ProMD HealthFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A ProMD Health franchise requires a total initial investment of $197K – $511K, including a $50K franchise fee and an ongoing 6.0% royalty[2]. Per the 2025 FDD, average unit revenue was $2.7M[2]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $197K – $511K
- 44th pct Healthcare
- Avg gross sales
- $2.7M
- 44th pct Healthcare
- Royalty
- 6.0%
- 14th pct Healthcare
- Units
- 12
- 33rd pct Healthcare
- SBA default
- 0.0%
- system-wide median varies by category
Quick verdict · Healthcare · color = vs category peers
Green = >15% above Healthcare 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 7.6x in gross revenue, well above the typical 1.5-2.5x range.
129% cash-on-cash return (based on P&L Bottom Line). Above the 20% threshold most investors target.
Bottom line
- Total investment $197K – $511K including a $50K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $2.7M/year (median $2.4M), with an estimated 129% cash-on-cash return (based on P&L Bottom Line).
- Verdict A (Top Quintile) with a risk score of 28/100.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- ProMD Development Group, Inc.
- Incorporated in
- MD
- HQ
- 166 Defense Highway, Suite 302, Annapolis, MD 21401
- Auditor
- Muhammad Zubairy, CPA PC
- Audited financials
- Franchisor revenue
- $582K
- vs $888K prior year
Overview
About
ProMD Health franchisees operate medical clinics or healthcare service centers, likely providing urgent care, occupational health, or primary care services. Day-to-day operations include patient scheduling, clinical staff management, billing/insurance processing, and regulatory compliance specific to healthcare delivery.
- CEO
- Scott R. Melamed
- Headquarters
- MD
- Founded
- 2018
- FDD year
- 2025
- States available
- 4
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $50K | $50K |
| Working capital (3–6 mo) | $50K | $150K |
| Equipment, build-out, other | $97K | $311K |
| Total initial investment | $197K | $511K |
Source: ProMD Health 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
$483K
18.0% margin
Unlevered ROIC
106%
EBITDA / total invested capital
Payback
11 mo
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $197K – $511K
- Near category avg vs category
- Liquid capital req'd
- $50K – $150K
- Near category avg vs category
- Franchise fee
- $50K – $50K
- Near category avg vs category
- Royalty
- 6.0%
- Gross Revenues · typical 6–8%
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 7.0%
- vs 9–13% typical
- Payback period
- 0.8 yrs
- From FDD / Item 19
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 1.0% of gross sales |
| Transfer fee | $30K |
| Renewal fee | $25K |
| Total fee load | 7.0% of rev |
Financial Performance
- Avg gross sales
- $2.7M
- Per unit, per year
- Median gross sales
- $2.4M
- Avg p&l bottom line
- $456K
- Reported as P&L Bottom Line in FDD Item 19
- Cash-on-cash
- 128.8%
- Based on P&L Bottom Line / investment midpoint
- Item 19 type
- Average and Median for Corporate and Franchise outlets
- Sample size
- 9 units
- vs category median 12
- Range (low → high)
- $965K→$5.3M
- Cohort dispersion (min → max)
- Transparency
- 10 / 5
- vs category median 4 / 5 · above
Compared against 201 Healthcare brands
Revenue is 7.6x the investment midpoint. At typical franchise margins, this suggests a payback under 3 years.
vs Healthcare averages
How ProMD Health Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 12
- Opened
- 3
- Last reporting year
- Closed
- 0
- Turnover rate
- 0.0%
- Company-owned
- 5
- Corporate units in the system
- % franchised
- 58%
- vs corporate-owned
- Net growth (yr3)
- +75.0%
- Net unit change last year
3-year detail · Item 20
- Transfers (3yr)
- 0
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 6 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.
Fast growth in a small system. Newer franchisors expanding quickly may not yet have the support infrastructure of larger systems.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 2 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 2
- Loan volume
- $1.3M
- Median loan
- $641K
- 50th percentile
- Charge-off rate
- 0.0%
- 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)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 2
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into ProMD Health's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 2 lenders with concentration factor
- Per-state charge-off rates across 2 states
- Startup risk premium and job creation velocity
- 1-year lending trend
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
ProMD Health is an extremely early-stage franchise system with unverified financial claims, minimal support infrastructure, and unclear unit quality given explosive growth from a micro base.
Audited financials (Item 21)
Yes · Muhammad Zubairy, CPA PC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 28 / 100 rating
- 01MINORExtremely small franchise system (only 12 units) with no established track record or brand recognition, limiting support infrastructure and marketing leverage
- 02MEDNo Item 19 financial performance representations disclosed—cannot verify if average revenues of $2.68M and net income of $455K are typical or outliers
- 03MINOR75% YoY unit growth appears impressive but from a negligible base (12 units); high growth rate can indicate unstable franchisees or unsustainable expansion
- 04MINORHigh investment-to-net-income ratio ($196.5K-$511K startup cost vs. $455K average net income) leaves minimal margin for underperformance or market variations
- 05MINOR6% royalty on gross revenues (not net) means franchisees pay during unprofitable periods and during seasonal downturns
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 | 10 years |
|---|---|
| Renewal term | 10 years |
| Territory type | Radius/Population |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Maryland |
| Litigation count | 0 |
Items 10, 11
Training & Operations
- Classroom training
- 72 hrs
- On-the-job training
- 48 hrs
- POS system
- Authorize.net
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Authorize.net
Item 20 · call current owners
Franchisee Contacts
32 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
ProMD Health · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a ProMD Health franchise?
The total investment to open a ProMD Health franchise ranges from $197K – $511K, with an initial franchise fee of $50K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do ProMD Health franchise owners earn?
According to Item 19 of the ProMD Health FDD, the average gross sales per unit is $2.7M. The median is $2.4M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is ProMD Health's franchise failure rate?
SBA 7(a) loan charge-off data is not available for ProMD Health (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many ProMD Health franchise locations are there?
As of their most recent FDD filing, ProMD Health has 12 total units in the United States, including 1 franchised units and 5 company-owned units. 3 new units were opened in the latest reporting year.
Is ProMD Health a good franchise to buy?
FranchiseVerdict rates ProMD Health as a A-grade franchise with a risk score of 28 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 ProMD Health, you can request corrections or provide updated information.
Claim this brandOther Healthcare franchises
Compare similar franchise opportunities in the Healthcare 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.