Paul Davis RestorationFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Paul Davis Restoration franchise requires a total initial investment of $299K – $805K, including a $65K franchise fee and an ongoing 4.0% royalty[2]. Per the 2026 FDD, average unit revenue was $4.8M[2]. SBA 7(a) loans show a 8.9% charge-off rate across 178 loans[1]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $299K – $805K
- 77th pct Cleaning & Ma…
- Avg gross sales
- $4.8M
- 54th pct Cleaning & Ma…
- Royalty
- 4.0%
- 2nd pct Cleaning & Ma…
- Units
- 277
- 75th pct Cleaning & Ma…
- SBA default
- 8.9%
- system-wide median varies by category
Quick verdict · Cleaning & Maintenance · color = vs category peers
Green = >15% above Cleaning & Maintenance avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Each dollar invested generates 8.8x in gross revenue, well above the typical 1.5-2.5x range.
Franchising since 1970. Systems this mature have refined operations and brand recognition.
Franchised units fell from 277 to 245 over 3 years. Investigate why operators are leaving.
Bottom line
- Total investment $299K – $805K including a $65K franchise fee, 4.0% ongoing royalty.
- Average unit revenue of $4.8M/year (median $3.0M).
- Verdict A (Top Quintile) with a risk score of 12/100. SBA loan charge-off rate of 8.9% across 178 loans (near or below the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
- No protected territory and the franchisor reserves the right to compete in your area. Clarify territorial boundaries before signing.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Paul Davis Restoration, Inc.
- Parent company
- FSB Holdings, Inc.
- Ultimate parent
- FirstService Corporation
- CEO title
- Chief Executive Officer, President, Secretary, Treasurer and Director
- Brian M. McDonough
- Incorporated in
- FL
- HQ
- 7251 Salisbury Road, Suite 6, Jacksonville, FL 32256
- Auditor
- PricewaterhouseCoopers LLP
- Audited financials
- Franchisor revenue
- $850.4M
- vs $888.6M prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Affiliated brands
- of PDRI
- Paul Davis Commercial Division
Other brands the franchisor or its parent operates (Item 1).
Overview
About
Franchisees operate water damage restoration, fire damage cleanup, and mold remediation services. Day-to-day activities include emergency response dispatch, on-site assessment and mitigation work, customer communication, insurance claim coordination, and crew management. Most revenue derives from property damage claims processed through insurance carriers.
- CEO
- Brian M. McDonough
- Headquarters
- FL
- Founded
- 1967
- FDD year
- 2026
- States available
- 43
FDD Item 7 · 2026 filing · 16 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Franchise Fee | $65K | $208K | |
| Real Property and Improvements | $2K | $6K | |
| Marketing and Advertising | $12K | $72K | |
| Equipment, Computer, Copier | $13K | $30K | |
| Computer Software Licensing | $7K | $12K | |
| Office Furniture | $2K | $6K | |
| Branded or Compliant Vehicle | $10K | $121K | |
| Equipment & Chemical Package (Start-Up Kit) | $5K | $54K | |
| Travel and Living Expenses While Training | $5K | $8K | |
| Insurance | $21K | $64K | |
| Licensing | — | — | |
| Phone Installation and Utility Deposits | $1K | $3K | |
| Rent Deposit | $5K | $18K | |
| CPA Fees - Initial Work | $1K | $2K | |
| Legal Fees - Incorporation | $500 | $2K | |
| Additional Funds, working capital - First 3 Months | $150K | $200K | |
| Total initial investment | $299K | $805K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$689K
14.2% margin
Unlevered ROIC
95%
EBITDA / total invested capital
Payback
13 mo
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $299K – $805K
- Below avg, review vs category
- Liquid capital req'd
- $150K – $200K
- Below avg, review vs category
- Franchise fee
- $65K – $208K
- Below avg, review vs category
- Royalty
- 4.0%
- percentage_of_gross · typical 6–8%
- Ad fund
- 0.8%
- typical 3–5%
- Total fee load
- 4.8%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 4.0% of gross sales |
| Marketing / ad fund | 0.8% of gross sales |
| Technology fee | $495 |
| Transfer fee | $10K |
| Renewal fee | $5K |
| Inventory (initial) | $5K – $54K |
| Total fee load | 4.8% of rev |
A 4.8% total fee load is unusually lean. More of each revenue dollar stays with the franchisee.
Financial Performance
- Avg gross sales
- $4.8M
- Per unit, per year
- Median gross sales
- $3.0M
- Item 19 type
- gross_sales
- Sample size
- 231 units
- vs category median 31 · large
- Range (low → high)
- $3K→$64.4M
- Cohort dispersion (min → max)
- Transparency tier
- limited
- Categorical assessment of disclosure depth
- Reporting year
- 2025
- Fiscal year the figures cover
- Transparency
- 4 / 5
- vs category median 4 / 5 · typical
Compared against 204 Cleaning & Maintenance brands
Revenue is 8.8x the investment midpoint. At typical franchise margins, this suggests a payback under 3 years.
vs Cleaning & Maintenance averages
How Paul Davis Restoration Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 277
- Opened
- 19
- Last reporting year
- Closed
- 8
- Terminated
- 8
- Franchisor ended the franchise (per Item 20)
- Turnover rate
- 2.9%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (yr3)
- +4.1%
- Net unit change last year
- 3-yr CAGR
- +13.1%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 16
- Transfer rate
- 5.8%
- Owners selling to other franchisees
- Continuity rate
- 97.2%
- Units that stayed open
- Termination rate
- 2.9%
- Franchisor-initiated terminations
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 15 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 178
- Loan volume
- $90.4M
- Median loan
- $350K
- 50th percentile
- Charge-off rate
- 8.9%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 92.1%
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 57
- Defaults
- 8
Vintage analysis
Paul Davis Restoration charge-off rate by loan vintage
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Paul Davis Restoration's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 10 lenders with concentration factor
- Per-state charge-off rates across 15 states
- Startup risk premium and job creation velocity
- 24-year lending trend
- SBA 504 real estate/equipment data
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Paul Davis presents moderate-to-caution risk: substantial revenue scale but absent profitability data, unprotected territories, sluggish unit growth, and unusual zero franchise fee structure obscure true franchisee economics.
Litigation (Item 3)
No litigation required to be disclosed
Largest disclosed settlement: $20,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · PricewaterhouseCoopers LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 12 / 100 rating
- 01MEDNo average net income disclosed in FDD Item 19 — impossible to assess actual profitability despite $4.8M avg revenue claim
- 02MINORUnprotected territory creates direct competition risk; other franchisees can operate in your service area
- 03MINORSlow unit growth of 4.1% YoY suggests market saturation or franchisee satisfaction issues in a mature 277-unit system
- 04MINORWide investment range ($298K–$804K) indicates high variance in startup costs and unclear ROI predictability
- 05MINOR$0 franchise fee is unusual and may signal low brand demand or financial pressure to recruit franchisees
- 06MINOR5-year term is relatively short; rebuilding customer base after term end is high-risk in service business
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 5 years |
|---|---|
| Renewal term | 5 years |
| Territory type | Zip code boundaries |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Territory population | 500,000 |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 15 days |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Florida |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation required to be disclosed
Items 10, 11
Training & Operations
- Classroom training
- 158 hrs
- On-the-job training
- 106 hrs
- Training location
- On-site and corporate
- Franchisor financing
- Offered
- Item 10
- POS system
- Restoration Management Software (RMS) by CoreLogic
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Restoration Management Software (RMS) by CoreLogic
Item 20 · call current owners
Franchisee Contacts
77 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Paul Davis Restoration · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Paul Davis Restoration franchise?
The total investment to open a Paul Davis Restoration franchise ranges from $299K – $805K, with an initial franchise fee of $65K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Paul Davis Restoration franchise owners earn?
According to Item 19 of the Paul Davis Restoration FDD, the average gross sales per unit is $4.8M. The median is $3.0M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Paul Davis Restoration's franchise failure rate?
Based on SBA 7(a) loan data, Paul Davis Restoration has a charge-off rate of 8.9% across 178 loans, meaning 8.9% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many Paul Davis Restoration franchise locations are there?
As of their most recent FDD filing, Paul Davis Restoration has 277 total units in the United States, including 277 franchised units and 0 company-owned units. 19 new units were opened in the latest reporting year.
Is Paul Davis Restoration a good franchise to buy?
FranchiseVerdict rates Paul Davis Restoration as a A-grade franchise with a risk score of 12 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
Are you the franchisor?
If you represent Paul Davis Restoration, you can request corrections or provide updated information.
Claim this brandOther Cleaning & Maintenance franchises
Compare similar franchise opportunities in the Cleaning & Maintenance category
Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.