redbox+Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A redbox+ franchise requires a total initial investment of $671K – $1.1M, including a $60K franchise fee. Per the 2026 FDD, average unit revenue was $1.2M[2]. SBA 7(a) loans show a 0.0% charge-off rate across 90 loans[1]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $671K – $1.1M
- 53rd pct Business Serv…
- Avg gross sales
- $1.2M
- 20th pct Business Serv…
- Royalty
- N/A
- Units
- 253
- 50th pct Business Serv…
- SBA default
- 0.0%
- system-wide median varies by category
Quick verdict · Business Services · color = vs category peers
Green = >15% above Business 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
Only 0.0% of 90 SBA loans charged off, well below the 16% franchise average.
Franchised units fell from 270 to 253 over 3 years. Investigate why operators are leaving.
Bottom line
- Total investment $671K – $1.1M including a $60K franchise fee.
- Average unit revenue of $1.2M/year (median $1.0M).
- Verdict A (Top Quintile) with a risk score of 28/100. SBA loan charge-off rate of 0.0% across 90 loans (well below the franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
- System contracting at -6.3% 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
- Redbox+ International, LLC
- Parent company
- BELFOR Franchise Group, LLC
- Incorporated in
- MI
- HQ
- 5405 Data Court, Ann Arbor, Michigan 48108
- Auditor
- BDO USA, P.C.
- Audited financials
- Franchisor revenue
- $29.5M
- vs $30.1M prior year
Overview
About
Redbox+ franchisees operate small retail/kiosk locations or partner locations offering DVD and Blu-ray rentals, video games, and merchandise sales. Day-to-day activities include inventory management, customer service at physical kiosks or retail partnerships, restocking rental inventory, handling transactions, and maintenance of vending/retail equipment.
- CEO
- Sheldon Yellen
- Headquarters
- MI
- Founded
- 2021
- FDD year
- 2026
- States available
- 27
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $60K | $60K |
| Working capital (3–6 mo) | $25K | $35K |
| Equipment, build-out, other | $586K | $965K |
| Total initial investment | $671K | $1.1M |
Source: redbox+ 2026 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
$173K
15.0% margin
Unlevered ROIC
19%
EBITDA / total invested capital
Payback
5.2 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $671K – $1.1M
- Near category avg vs category
- Liquid capital req'd
- $25K – $35K
- Better than avg vs category
- Franchise fee
- $60K – $60K
- Near category avg vs category
- Royalty
- Between 6% and 8% of Gross Sales
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $2K |
| Transfer fee | $10K |
| Renewal fee | $10K |
| Total fee load | 8.0% of rev |
Financial Performance
- Avg gross sales
- $1.2M
- Per unit, per year
- Median gross sales
- $1.0M
- Item 19 type
- Average and Median Revenue
- Sample size
- 63 units
- vs category median 32
- Range (low → high)
- $98K→$3.6M
- Cohort dispersion (min → max)
- Transparency
- 6 / 5
- vs category median 3 / 5 · above
Compared against 360 Business Services brands
vs Business Services averages
How redbox+ Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 253
- Opened
- 10
- Last reporting year
- Closed
- 10
- Turnover rate
- 4.0%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (yr3)
- +0.0%
- Net unit change last year
- 3-yr CAGR
- -6.3%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 7
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 29 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
- 90
- Loan volume
- $55.7M
- Median loan
- $545K
- 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)
- 100.0%
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 33
- Defaults
- 0
Vintage analysis
redbox+ charge-off rate by loan vintage
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into redbox+'s SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 10 lenders with concentration factor
- Per-state charge-off rates across 15 states
- Startup risk premium and job creation velocity
- 8-year lending trend
- SBA 504 real estate/equipment data
Instant access. No subscription.
With a 0.0% charge-off rate across 90 loans, banks have historically viewed this brand favorably for lending.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Redbox+ operates under a financially distressed franchisor with undisclosed profitability metrics, stagnant unit growth, and ongoing corporate restructuring that threatens support infrastructure and brand viability.
Audited financials (Item 21)
Yes · BDO USA, P.C.
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 28 / 100 rating
- 01HIGHGoing Concern status indicates financial distress at franchisor level — raises sustainability questions
- 02MEDNet income not disclosed in Item 19 — cannot assess actual franchisee profitability despite $1.15M avg revenue
- 03MINORUnit count stagnant at 253 with unknown growth trajectory — suggests market saturation or underperformance
- 04MINORHigh initial investment ($671K-$1.06M) paired with 6-8% royalties creates thin margin for error
- 05HIGHRedbox parent company (Chicken Soup for the Soul Entertainment) filed for bankruptcy protection in 2024 — existential franchisor risk
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 |
| Allowed renewalsℹ | 1 |
| Territory type | Zip codes |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 1.5 years |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Michigan |
| Litigation count | 0 |
Items 10, 11
Training & Operations
- Classroom training
- 17 hrs
- On-the-job training
- 16 hrs
- POS system
- QuickBooks Online Accounting and redbox+ CRM Operating System
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: QuickBooks Online Accounting and redbox+ CRM Operating System
Item 20 · call current owners
Franchisee Contacts
71 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
redbox+ · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a redbox+ franchise?
The total investment to open a redbox+ franchise ranges from $671K – $1.1M, with an initial franchise fee of $60K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do redbox+ franchise owners earn?
According to Item 19 of the redbox+ FDD, the average gross sales per unit is $1.2M. The median is $1.0M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is redbox+'s franchise failure rate?
Based on SBA 7(a) loan data, redbox+ has a charge-off rate of 0.0% across 90 loans, meaning 0.0% 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 redbox+ franchise locations are there?
As of their most recent FDD filing, redbox+ has 253 total units in the United States, including 270 franchised units and 0 company-owned units. 10 new units were opened in the latest reporting year.
Is redbox+ a good franchise to buy?
FranchiseVerdict rates redbox+ 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.
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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.