Schooley Mitchell
Formerly known as Ontario Limited
Bottom line
- Total investment $75K – $263K including a $73K franchise fee, 8.0% ongoing royalty.
- Average unit revenue of $224K/year (median $132K).
- Rated STRONG with a risk score of 51/100. SBA loan default rate of 0.0% across 108 loans (below the industry average).
- System growing at 29.7% CAGR over 3 years with 298 total units — strong expansion trajectory.
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 SCHOOLEY MITCHELL unit return on the cash you put in?
Unlevered ROIC · per unit
17%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 SCHOOLEY MITCHELL units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$268K
on $1.3M purchase
Total debt
$1.1M
SBA $0.7M + senior + seller note
Overview
About
Schooley Mitchell is a telecom and utility cost reduction consulting business where franchisees identify savings opportunities for small-to-mid-size businesses on their phone, internet, and energy contracts. Franchisees conduct consultations, negotiate with providers, and earn commissions on negotiated savings. The model relies on direct sales outreach and relationship management in an assigned geographic market.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 16 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.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Schooley Mitchell presents elevated risk due to absent profitability disclosure, regulatory/litigation history, unprotected territories, and false going concern status — making true investment ROI unverifiable.
Score breakdown · what drove the 51 / 100 rating
- 01MEDNo average net income disclosed (Item 19) despite $223k average revenue — impossible to assess profitability or ROI on $75-262k investment
- 02HIGHTwo separate litigation cases involving misrepresentation and regulatory violations (Ontario settlement $120k CAD + NY AG penalty $12k) suggest compliance and disclosure issues
- 03MINORNo protected territory combined with 14.2% YoY growth of 298 units creates saturation risk and inter-franchisee competition
- 04HIGHGoing Concern status is FALSE, indicating potential financial instability at corporate level despite unit growth
- 05MEDHigh franchise fee ($73k) relative to disclosed revenue without net income transparency creates pay-back period uncertainty
- 06MINOR8% royalty on gross sales (not net profit) means franchisees pay 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
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
88 numbers
One-time purchase · CSV download · Validation questions included
FDD download
SCHOOLEY MITCHELL · FDD (2025) PDF