FranchiseVerdict
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FV-02036·MODERATEExcellent91

PrideStaff

Business Services - StaffingFranchising since 1995Website
Investment
$100K – $231K
63rd pct Staffing
Avg revenue
$2.8M
21st pct Staffing
Royalty
Units
75
63rd pct Staffing
SBA default

Bottom line

  • Total investment $100K – $231K including a $40K franchise fee.
  • Average unit revenue of $2.8M/year (median $2.4M).
  • Rated MODERATE with a risk score of 60/100.
  • System contracting at -15.7% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).

Item 1 · who you're contracting with

The Franchisor

Legal entity
PRIDESTAFF, INC.
Incorporated in
California
HQ
7535 North Palm Avenue, Suite 101, Fresno, CA 93711
Auditor
Dedekian, George, Small & Markarian Accountancy Corporation
Audited financials
Franchisor revenue
$246.8M
vs $273.9M prior year

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 PrideStaff unit return on the cash you put in?

Revenue · per unit, per year
$
FDD Item 19 reports $2,819,636
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: generic
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $100K–$231K
Working capital
$
FDD reports $63K–$133K

Unlevered ROIC · per unit

178%

Above typical band (30–60%)

0%30–60% Yale band80%
ROIC above 100% usually means the revenue figure is a system-wide aggregate or top-cohort number rather than a single-unit average. Verify the "Revenue · per unit" field against the brand's FDD Item 19 detail tables before relying on this output.

Store EBITDA · annual
$469K
EBITDA margin
16.7%
Total invested
$263K
Payback
7 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Levered LBO scenario · Yale Crease Capital framing

What would 25 PrideStaff units return on equity?

Edit assumptions

Equity IRR · 5-yr

26.5%

3.24× MOIC

Year-1 DSCR

3.11×

EBITDA ÷ debt service

Equity required

$14.0M

on $27.2M purchase

Total debt

$13.2M

SBA $5.0M + senior + seller note

SBA 7(a) request ($13.6M) exceeds the $5M program cap. Excess capped automatically; backfill via conventional or equity.

Overview

About

PrideStaff franchisees operate staffing and recruitment agencies, providing temporary and permanent placement services to corporate clients. Franchisees manage client relationships, recruit and screen candidates, handle payroll processing, and coordinate placements. Day-to-day involves sales calls, candidate interviews, compliance documentation, and fulfilling client staffing needs.

CEO
Michael Aprile
Founded
1978
FDD year
2025
States available
24

Item 7 · what it costs

The Vitals

Total investment
$100K – $231K
All-in to open one unit
Liquid capital
$63K – $133K
Cash you must have on hand
Franchise fee
$40K
Royalty
The greater of (i) 35% of Gross Margin or (ii) 6% of Net …
Ad fund
0.4%
typical 3–5%
Total fee load
35.4%
vs 9–13% typical

Item 19

Financial Performance

Avg gross sales
$2.8M
Per unit, per year
Median gross sales
$2.4M
Item 19 type
Gross Billings and Gross Margin
Sample size
59 units
vs category median 59
Range (low → high)
$360K$13.1M
Cohort dispersion
Transparency
4 / 5
vs category median 0 / 5 · above
Revenue rank21th
vs Business Services - Staffing peers
Investment cost rank63th
Lower investment ranks lower (better)
Royalty rate rank79th
Lower royalty = lower percentile (better)
Unit count rank63th
vs Business Services - Staffing peers
Risk score rank38th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
75
Opened
1
Last reporting year
Closed
7
Turnover rate
9.3%
Company-owned
5
Corporate units in the system
% franchised
93%
vs corporate-owned
Net growth (yr3)
-9.1%
Net unit change last year
3-yr CAGR
-15.7%
Compounded over last 3 years
2023
70-7
Franchised units
2024
77
Franchised units
2025
83
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 14 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).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 14 states
Not registered

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

60
Risk · 0-100
MODERATE60 / 100

Declining franchise system with opaque financials and an aggressive royalty structure that prioritizes franchisor revenue over franchisee profitability.

Score breakdown · what drove the 60 / 100 rating

  1. 01MEDUnit count declined 9.1% YoY (75 units) indicating system contraction and potential franchisee dissatisfaction
  2. 02MEDNet income not disclosed in Item 19 prevents ROI analysis—impossible to assess profitability against 35% margin royalty or 6% net billings fee
  3. 03MINORRoyalty structure is unusually aggressive: 35% of gross margin is exceptionally high and could eliminate profitability if margins compress
  4. 04MEDHigh initial investment range ($99.75K–$230.7K) with no disclosed average net income creates unquantifiable risk-reward
  5. 05HIGHNo litigation disclosed but declining unit count suggests silent operational or relationship issues
  6. 06MINOR5-year term is relatively short; may indicate franchisor prioritizes recruitment over franchisee retention

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Zip Codes
Protected territory
Yes
Initial term
5 years
Renewal term
5 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Optional
Governing law
California

Item 11

Training & Operations

Classroom training
122 hrs
On-the-job training
16 hrs
POS system
Bullhorn
Operating tech stack

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

82 numbers

Locked
(704) 237-••••
MS
(972) 661-••••
TX
(281) 507-••••
MI

One-time purchase · CSV download · Validation questions included

FDD download

PrideStaff · FDD (2025) PDF

Single-page checkout · instant download · CSV export of contacts available separately above