Bottom line
- Total investment $117K – $302K including a $54K franchise fee.
- Average unit revenue of $315K/year (median $401K). Estimated payback in 1.7 years.
- Rated STRONG with a risk score of 50/100.
Item 1 · who you're contracting with
The Franchisor
Yale framework · single-unit ROIC
Returns Analysis
Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.
The model · Yale framework
What would one Preservan unit return on the cash you put in?
Unlevered ROIC · per unit
15%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Preservan units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$315K
on $1.6M purchase
Total debt
$1.3M
SBA $0.8M + senior + seller note
Overview
About
Preservan franchisees operate food preservation and storage services, likely including canning, freezing, vacuum-sealing, or food safety consultation for residential or commercial clients. Daily operations involve customer acquisition, food handling/processing, compliance with food safety regulations, and managing inventory of preservation supplies and equipment.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 8 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 phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Preservan presents moderate-to-elevated risk due to unverified financial claims, explosive but fragile unit growth, high upfront costs, and absence of performance substantiation documentation.
Score breakdown · what drove the 50 / 100 rating
- 01MINORExtreme unit growth of 400% YoY suggests either explosive success or aggressive recruitment masking underlying issues; only 11 total units indicates fragile base for such claims
- 02HIGHNo Item 19 financial performance representations (Going Concern: False) means average revenue and net income figures cannot be independently verified or are not representative
- 03MINORHigh franchise fee ($54,000) relative to total investment floor ($117,300) creates 46% sunk cost before operations begin
- 04MINORMinimum weekly royalty requirement structure (greater of 7% or minimum fee) could be unsustainable for underperforming locations and indicates franchisor revenue dependency
- 05MINOROnly 11 franchises operating makes unit economics and territory protection claims difficult to validate; high growth rate may not be sustainable
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
Item 20
Franchisee Contacts
Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.
Franchisee contacts
13 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Preservan · FDD (2025) PDF