Real Deals on Home DécorFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Real Deals on Home Décor franchise requires a total initial investment of $143K – $268K, including a $30K franchise fee. Per the 2025 FDD, average unit revenue was $498K[2]. SBA 7(a) loans show a 7.1% charge-off rate across 21 loans[1]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $143K – $268K
- 52nd pct Home Services
- Avg gross sales
- $498K
- 16th pct Home Services
- Royalty
- N/A
- Units
- 46
- 40th pct Home Services
- SBA default
- 7.1%
- system-wide median varies by category
Quick verdict · Home Services · color = vs category peers
Green = >15% above Home 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
Bottom line
- Total investment $143K – $268K including a $30K franchise fee.
- Average unit revenue of $498K/year (median $337K).
- Verdict A (Top Quintile) with a risk score of 21/100. SBA loan charge-off rate of 7.1% across 21 loans (near or below the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Real Deals, Inc.
- Incorporated in
- ID
- HQ
- 1411 E. 4400 N., Buhl, Idaho 83316
- Auditor
- Kezos & Dunlavy
- Audited financials
- Franchisor revenue
- $1.3M
- vs $1.2M prior year
Overview
About
Real Deals on Home Décor franchisees operate retail showrooms selling discounted home furnishings, décor, and seasonal items through in-store retail and potentially online channels. Day-to-day operations include inventory management, customer sales, visual merchandising, managing a small team, and coordinating with the franchisor on product sourcing and promotional campaigns.
- CEO
- Nate Kelsey
- Headquarters
- ID
- Founded
- 2006
- FDD year
- 2025
- States available
- 20
FDD Item 7 · 2025 filing · 13 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | — | — | |
| Travel and Living Expenses While Training | $3K | $6K | |
| Real Deals on Home Decor Branded Products | $500 | $2K | |
| Real Estate Improvements | $5K | $50K | |
| Rent | $3K | $17K | |
| Equipment, Furniture, Fixtures, Decor, and Supplies | $5K | $13K | |
| Computer Hardware and Software | $2K | $4K | |
| Signs | $5K | $8K | |
| Pre-Opening Advertising | $5K | $5K | |
| Miscellaneous Opening Costs | $500 | $3K | |
| Opening Inventory | $56K | $86K | |
| Advertising (first 3 months) | $9K | $15K | |
| Additional Funds (first 3 months) | $20K | $30K | |
| Total initial investment | $113K | $238K |
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
$57K
11.5% margin
Unlevered ROIC
25%
EBITDA / total invested capital
Payback
4.0 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $143K – $268K
- Near category avg vs category
- Liquid capital req'd
- $20K – $30K
- Near category avg vs category
- Franchise fee
- $30K – $30K
- Better than avg vs category
- Royalty
- Currently 5% of gross sales
- Ad fund
- 1.5%
- typical 3–5%
- Total fee load
- 6.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Marketing / ad fund | 1.5% of gross sales |
| Technology fee | $60 |
| Transfer fee | $2K |
| Renewal fee | $2K |
| Total fee load | 6.5% of rev |
A 6.5% total fee load is unusually lean. More of each revenue dollar stays with the franchisee.
Financial Performance
- Avg gross sales
- $498K
- Per unit, per year
- Median gross sales
- $337K
- Item 19 type
- Average Weekly Sales
- Sample size
- 45 units
- vs category median 25
- Range (low → high)
- $18K→$4.9M
- Cohort dispersion (min → max)
- Transparency
- 4 / 5
- vs category median 4 / 5 · typical
Compared against 349 Home Services brands
vs Home Services averages
How Real Deals on Home Décor Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 46
- Opened
- 2
- Last reporting year
- Closed
- 2
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 4.3%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Multi-unit owners
- 1.0%
- Net growth (yr3)
- +0.0%
- Net unit change last year
- 3-yr CAGR
- +4.5%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 2
- Transfer rate
- 4.3%
- Owners selling to other franchisees
- Ceased ops
- 4.3%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 32 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
- 21
- Loan volume
- $4.8M
- Median loan
- $230K
- average
- Charge-off rate
- 7.1%
- 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
- 0.0%
- Loans approved 2021+
- Active lenders
- 17
- Defaults
- 1
Explore lender portfolios on Bank Reports or regional data on State Reports.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Real Deals on Home Décor presents elevated risk due to franchisor going concern issues, missing profitability disclosure, stagnant unit growth, and inability to validate claimed $498k average revenue translates to positive unit economics.
Litigation (Item 3)
No litigation required to be disclosed
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Kezos & Dunlavy
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 21 / 100 rating
- 01HIGHGoing Concern status is FALSE — indicates the franchisor may be financially unstable or operationally distressed
- 02MEDNet income not disclosed in FDD Item 19 — impossible to validate actual profitability claims; $498k revenue doesn't indicate margin quality
- 03MEDUnit growth unknown with only 46 locations — suggests stagnation or undisclosed closures; mature brands should show clear trajectory
- 04MINOR5-year term is shorter than industry standard (10 years) — increases renewal risk and suggests weaker franchisee commitment
- 05MEDHigh investment range ($142k-$268k) relative to undisclosed profitability — ROI timeline cannot be calculated
- 06MINOR5% royalty on gross sales (not net) — franchisees pay royalties even in unprofitable months
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 |
| Territory type | Radius |
| Protected territory | Yes |
| Exclusive territoryℹ | Yes |
| Territory radius | 3 mi |
| Territory population | 50,000 |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 3 years |
| Non-compete (miles)ℹ | 10 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | Salt Lake City, Utah |
| Jury trial waiver | Yes |
| Governing law | Idaho |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation required to be disclosed
Items 10, 11
Training & Operations
- Classroom training
- 18 hrs
- On-the-job training
- 26 hrs
- Training location
- On-site and corporate
- Ongoing training
- Required
- Time to open
- 6 mo
- From signing to launch
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
74 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Real Deals on Home Décor · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Real Deals on Home Décor franchise?
The total investment to open a Real Deals on Home Décor franchise ranges from $143K – $268K, with an initial franchise fee of $30K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Real Deals on Home Décor franchise owners earn?
According to Item 19 of the Real Deals on Home Décor FDD, the average gross sales per unit is $498K. The median is $337K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Real Deals on Home Décor's franchise failure rate?
Based on SBA 7(a) loan data, Real Deals on Home Décor has a charge-off rate of 7.1% across 21 loans, meaning 7.1% 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 Real Deals on Home Décor franchise locations are there?
As of their most recent FDD filing, Real Deals on Home Décor has 46 total units in the United States, including 44 franchised units and 0 company-owned units. 2 new units were opened in the latest reporting year.
Is Real Deals on Home Décor a good franchise to buy?
FranchiseVerdict rates Real Deals on Home Décor as a A-grade franchise with a risk score of 21 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.