Bottom line
- Total investment $27K – $80K including a $10K franchise fee, 50.0% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated CAUTION with a risk score of 71/100.
- No protected territory and the franchisor reserves the right to compete in your area. Clarify territorial boundaries before signing.
Item 1 · who you're contracting with
The Franchisor
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 SCA Appraisal Services unit return on the cash you put in?
Unlevered ROIC · per unit
-333%
Negative
Overview
About
SCA Appraisal Services franchisees operate independent property appraisal businesses, conducting residential and commercial property valuations for lenders, real estate agents, and legal proceedings. Franchisees build client relationships, manage appraisals, coordinate with the SCA network for referrals and support, and handle administrative and compliance requirements for appraisal licensing and regulations.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 22 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 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
SCA Appraisal Services presents HIGH RISK due to an unsustainable 50% royalty burden, stagnant system growth, undisclosed profitability metrics, going concern status, litigation history, unprotected territory, and franchisor financial viability questions.
Score breakdown · what drove the 71 / 100 rating
- 01MINOR50% royalty rate is extremely high and leaves minimal margin for franchisee profitability after operating expenses
- 02MINORNo average revenue or net income disclosure prevents ability to assess realistic earning potential or ROI timeline
- 03MINORStagnant unit growth (88 units, only 1.1% YoY) indicates system is not scaling and may be contracting
- 04HIGHGoing concern status is FALSE, suggesting potential financial instability or viability questions at franchisor level
- 05HIGH2015 litigation involving breach of contract and fraud allegations, even if settled, indicates franchisor-franchisee conflict and operational disputes
- 06MINORNo protected territory means franchisees compete directly with other SCA franchisees and company-owned locations in same market
- 07MINORLow initial investment ($27,300–$79,950) relative to 50% royalty suggests franchisor prioritizes volume licensing over franchisee success
- 08MED5-year term is relatively short and provides limited runway to recoup investment and build equity
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
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
59 numbers
One-time purchase · CSV download · Validation questions included
FDD download
SCA Appraisal Services · FDD (2025) PDF