Renovation Sells Franchise Cost, Revenue & Review 2026
- Investment
- $79K – $171K
- Disclosed sales
- partial, no system average
- SBA charge-off
- Under 10 loans (8)
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Renovation Sells is a home renovation franchise offering fast, pre-sale updates like kitchen and bathroom refreshes to help homes sell for more. Franchisees run local operations, managing design, contractors, and projects.
FranchiseVerdict summary · 2026
A Renovation Sells franchise requires a total initial investment of $79K – $171K, including a $50K franchise fee and an ongoing 7.0% royalty[2]. The 2024 FDD on file does not yield a unit-revenue figure we can publish. FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: high - issued more than two years ago
Evidence: partial✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✗ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored4 of 5 headline figures on this page cite a page of the filing; the rest are marked “Not cited” beside the figure.
Overview
- Investment
- $79K – $171K
- 19th pct Home Services
- Avg gross sales
- N/A
- Company-owned only1 outlet
- Royalty
- 7.0%
- 48th pct Home Services
- Units
- 43
- 40th pct Home Services
- SBA charge-off
- N/A
Quick verdict · Home Services · color = vs category peers
Green = favorable by >10% vs Home Services median · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $79K – $171K including a $50K franchise fee, 7.0% ongoing royalty.
- RETURNSItem 19 disclosed $2.3M from 1 affiliate-owned outlet across 43 total units. This reflects franchisor operations, not franchisee performance.
- RISKVerdict B (Above average), verdict score 64/100 (higher is better).
- GROWTHPositive: net +11 franchised outlets in the latest year (13 opened, 4 closed) (Item 20).
- FLAG4 units terminated last reporting year (9.3% of the system). Ask existing franchisees why.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Renovation Sells Franchising, LLC
- Parent company
- Renovation Sells Holdings, LLC
- FDD Item 1, page 6 of the 2024 FDD
- CEO title
- Chief Executive Officer
- Michael Valente
- Incorporated in
- Illinois
- HQ
- 2370 N. Elston Avenue, Chicago, Illinois 60614
- Auditor
- REESE CPA LLC
- Audited financials
- Franchisor revenue
- $1.7M
- vs $407K prior year
Overview
About
- CEO
- Michael Valente
- Headquarters
- IL
- Founded
- 2020
- FDD year
- 2024
- States available
- 19
Can you afford it, and what does the money buy?
Entry cost runs 26% below the typical home services franchise.
Source: FDD 2024 · Items 5–7
The filing's Item 7 TOTAL row prints $79,005 to $171,484. Its own single-territory lines add to $79,005 to $101,484: the printed high carries the three-territory initial franchise fee ($120,000) in place of the $50,000 single-territory fee (Note 1). The total is shown as the franchisor printed it.
FDD Item 7 · 2024 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $50K | $50K |
| Working capital (3–6 mo) | $5K | $13K |
| Equipment, build-out, other | $24K | $108K |
| Total initial investment | $79K | $171K |
Source: Renovation Sells 2024 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $79K – $171K
- Top 40% of category vs category
- Liquid capital req'd
- $5K – $13K
- Top 40% of category vs category
- Franchise fee
- $50K – $50K
- Middle of category vs category
- Royalty
- 7.0%
- typical 6–8%
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 7.0% of gross sales |
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $150 |
| Transfer fee | $5K |
| Renewal fee | $5K |
| Total fee load | 8.0% of rev |
What do units actually make?
Source: FDD 2024 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
No Item 19 revenue figure for Renovation Sells is on file. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one Renovation Sells unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2024 FDD
Financial Performance
Item 19 disclosed $2.3M from 1 affiliate-owned outlet across 43 total units. This reflects franchisor operations, not franchisee performance.
Company-owned outlets only - not franchisee performance
Based on a single outlet - not a system average
- Item 19 type
- Affiliate Owned Outlet
- Sample size
- 1 outlet
- vs category median 32 · small
- Reporting year
- 2023
- Fiscal year the figures cover
- Source filing
- FDD 2024
- Disclosed in the 2024 filing, covering 2023
- Transparency
- 6 / 10
- vs category median 4 / 10 · above
Compared against 319 Home Services brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 8.0% (near the Home Services median).
Disclosure
Item 19 reports Affiliate Owned Outlet rather than annual gross sales, so unit revenue is not directly comparable.
Operator retention
System expanding at 425.0% CAGR over 3 years across 43 units — operators are staying and new ones are joining.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Home Services medians
How Renovation Sells Compares
Category median of published Home Services brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2024 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 43
- Opened
- 13
- Last reporting year
- Closed
- 4
- Terminated
- 4
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 9.5%
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 98%
- vs corporate-owned
- Net growth (3-yr)
- Outlier (see FDD)
- Likely small-sample artifact
- 3-yr CAGR
- Outlier (see FDD)
- Likely small-sample artifact
Last fiscal year · Item 20 exits and transfers
- Terminated
- 4
- Not renewed
- 0
- Transferred
- 0
- Reacquired
- 0
- Franchisor bought back
- Signed, not yet open
- 0
- 0.00 per open outlet · Item 20 Table 5
- Projected new
- 33
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 19 states reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
19
states with franchisees (per FDD Item 12)
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 8 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 8
- Loan volume
- $987K
- Median loan
- $150K
- 50th percentile
- Charge-off rate
- Under 10 loans (8)
- Insufficient SBA coverage: 8 loans, rate hidden below 10
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- Under 10 loans (8)
- 5-yr charge-off
- Under 10 loans (8)
- Loans approved 2021+
- Active lenders
- 4
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Renovation franchisor with strongly negative net worth (-$2,736,027) and a large net loss (-$1,081,614) on $1.67M revenue, though audited and Item 19 disclosed with rapid unit growth (+425% to 43 units). No litigation, bankruptcy, or going-concern note, but negative equity plus sizable losses stack two real financial concerns.
Litigation (Item 3)
Subject: officers or affiliates. The franchisor is not a named party in these cases.
No litigation disclosed.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · REESE CPA LLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 64 / 100 verdict
- 01MINORNegative net worth -$2,736,027
- 02MINORNet loss -$1,081,614 on $1.67M revenue
- 03MEDNo going-concern note despite losses; audited, Item 19 disclosed
- 04MINORRapid growth +425% offsets somewhat
- 05MINORNo litigation or bankruptcy
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 8.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2024 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Protected territory |
| Protected territory | Yes |
| Territory sizeℹ | Zip codes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 20 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 5 days |
| Curable defaultsℹ | 5 |
| Mandatory arbitration | No |
| Arbitration location | Illinois (franchisor's headquarters; mediation, not binding arbitration) |
| Jury trial waiver | Yes |
| Governing law | Illinois |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation disclosed.
Items 10, 11
Training & Operations
- Classroom training
- 22 hrs
- On-the-job training
- 41 hrs
- Franchisor financing
- Not offered
- Item 10
- POS system
- QuickBooks online, Buildertrend, ProfitKeeper
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: QuickBooks online, Buildertrend, ProfitKeeper
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Renovation Sells franchise?
The total investment to open a Renovation Sells franchise ranges from $79K – $171K, 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 Renovation Sells franchise owners earn?
Item 19 of the Renovation Sells FDD discloses figures for part of the system but no single average across all outlets. These are gross sales figures, not profit; the Revenue section shows what the filing reports and on what basis. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns Renovation Sells?
Renovation Sells is franchised by Renovation Sells Franchising, LLC. Its parent company is Renovation Sells Holdings, LLC. Source: FDD Item 1, 2024 filing.
What is Item 19 in the Renovation Sells FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Renovation Sells FDD and qualifies whose outlets they describe.
What is Renovation Sells's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Renovation Sells (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 Renovation Sells franchise locations are there?
As of their most recent FDD filing, Renovation Sells has 43 total units in the United States, including 42 franchised units and 1 company-owned units. 13 new units were opened in the latest reporting year.
Is Renovation Sells a good franchise to buy?
FranchiseVerdict rates Renovation Sells as a B-grade franchise with a verdict score of 64 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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
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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.