Payroll VaultFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A PAYROLL VAULT franchise requires a total initial investment of $77K – $112K, including a $69K franchise fee. Per the 2025 FDD, average unit revenue was $282K[2]. SBA 7(a) loans show a 7.7% charge-off rate across 13 loans[1]. Verdict grade: F. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $77K – $112K
- 51st pct Financial Ser…
- Avg gross sales
- $282K
- 9th pct Financial Ser…
- Royalty
- N/A
- Units
- 62
- 39th pct Financial Ser…
- SBA default
- 7.7%
- system-wide median varies by category
Quick verdict · Financial Services · color = vs category peers
Green = >15% above Financial Services 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
82% cash-on-cash return (based on P&L Bottom Line). Above the 20% threshold most investors target.
Bottom line
- Total investment $77K – $112K including a $69K franchise fee.
- Average unit revenue of $282K/year, with an estimated 82% cash-on-cash return (based on P&L Bottom Line).
- Verdict F (Bottom Quintile) with a risk score of 86/100. SBA loan charge-off rate of 7.7% across 13 loans (near or below the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
- System growing at 19.6% CAGR over 3 years with 62 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Payroll Vault Franchising, LLC
- Parent company
- Prosperity Holdings, LLC
- Incorporated in
- CO
- HQ
- 1860 W. Littleton Blvd, Littleton, Colorado 80120
- Auditor
- Whipplewood CPAs
- Audited financials
- Franchisor revenue
- $2.9M
- vs $4.1M prior year
Overview
About
Franchisees operate payroll processing and HR compliance services for small-to-mid-market businesses. Day-to-day activities include client onboarding, payroll data entry/processing, tax filing management, and customer support. The model is B2B service-based, typically requiring minimal physical footprint and relying on client retention and upselling of ancillary HR services.
- CEO
- Tricia Petteys
- Headquarters
- CO
- Founded
- 2012
- FDD year
- 2025
- States available
- 29
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $69K | $69K |
| Working capital (3–6 mo) | $3K | $10K |
| Equipment, build-out, other | $6K | $33K |
| Total initial investment | $77K | $112K |
Source: PAYROLL VAULT 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
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
$39K
14.0% margin
Unlevered ROIC
39%
EBITDA / total invested capital
Payback
31 mo
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $77K – $112K
- Near category avg vs category
- Liquid capital req'd
- $3K – $10K
- Better than avg vs category
- Franchise fee
- $69K – $89K
- Near category avg vs category
- Royalty
- greater of 6% of Gross Revenue or $400
- Ad fund
- $300
- Total fee load
- 6.0%
- vs 9–13% typical
- Payback period
- 1.2 yrs
- From FDD / Item 19
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Technology fee | $175 |
| Transfer fee | $7K |
| Renewal fee | $17K |
| Total fee load | 6.0% of rev |
A 6.0% total fee load is unusually lean. More of each revenue dollar stays with the franchisee.
Financial Performance
- Avg gross sales
- $282K
- Per unit, per year
- Median gross sales
- N/A
- Avg p&l bottom line
- $78K
- Reported as P&L Bottom Line in FDD Item 19
- Cash-on-cash
- 82.3%
- Based on P&L Bottom Line / investment midpoint
- Item 19 type
- Actual Results
- Sample size
- 42 units
- vs category median 97 · small
- Range (low → high)
- $3K→$1.5M
- Cohort dispersion (min → max)
- Transparency
- 8 / 5
- vs category median 0 / 5 · above
Compared against 58 Financial Services brands
vs Financial Services averages
How Payroll Vault Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 62
- Opened
- 14
- Last reporting year
- Closed
- 7
- Turnover rate
- 11.3%
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 98%
- vs corporate-owned
- Net growth (yr3)
- +13.0%
- Net unit change last year
- 3-yr CAGR
- +19.6%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 0
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 29 states reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
29
states with franchisees (per FDD Item 12)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 13
- Loan volume
- $1.6M
- Median loan
- $125K
- 50th percentile
- Charge-off rate
- 7.7%
- 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)
- 80.0%
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 6
- Defaults
- 1
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Payroll Vault's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 6 lenders with concentration factor
- Per-state charge-off rates across 10 states
- Startup risk premium and job creation velocity
- 7-year lending trend
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Payroll Vault presents moderate-to-cautious risk: early-stage franchise system with undisclosed financials, high upfront costs relative to net income, and royalty structures that may strain smaller locations.
Audited financials (Item 21)
Yes · Whipplewood CPAs
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 86 / 100 rating
- 01MEDNo Item 19 (Financial Performance Representations) disclosed — cannot verify claimed $77,925 average net income
- 02MINORHigh royalty floor of $400/month ($4,800/year) creates breakeven pressure on lower-revenue locations
- 03MINORModest unit growth of 13% YoY with only 62 total units suggests early-stage system maturity risk
- 04MINORFranchise fee of $68,500 represents 88% of average annual net income, creating slow payback period
- 05MINORTotal investment ($77,375–$111,885) requires 12–18 months to recoup at stated profitability levels
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 | 10 years |
| Allowed renewalsℹ | 2 |
| Territory type | Population |
| Protected territory | Yes |
| Online sales rights | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Colorado |
| Litigation count | 0 |
Items 10, 11
Training & Operations
- Classroom training
- 99 hrs
- On-the-job training
- 0 hrs
- POS system
- QuickBooks Online
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: QuickBooks Online
Item 20 · call current owners
Franchisee Contacts
10 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
PAYROLL VAULT · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a PAYROLL VAULT franchise?
The total investment to open a PAYROLL VAULT franchise ranges from $77K – $112K, with an initial franchise fee of $69K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do PAYROLL VAULT franchise owners earn?
According to Item 19 of the PAYROLL VAULT FDD, the average gross sales per unit is $282K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is PAYROLL VAULT's franchise failure rate?
Based on SBA 7(a) loan data, PAYROLL VAULT has a charge-off rate of 7.7% across 13 loans, meaning 7.7% 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 PAYROLL VAULT franchise locations are there?
As of their most recent FDD filing, PAYROLL VAULT has 62 total units in the United States, including 51 franchised units and 1 company-owned units. 14 new units were opened in the latest reporting year.
Is PAYROLL VAULT a good franchise to buy?
FranchiseVerdict rates PAYROLL VAULT as a F-grade franchise with a risk score of 86 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.
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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.