FranchiseVerdict
ShippingShop logo
FV-02304·CAUTIONExcellent81

ShippingShop

Food & Beverage - Quick ServiceFranchising since 2024Website
Investment
$100K – $209K
11th pct Quick Service
Avg revenue
60th pct Quick Service
Royalty
5.0%
14th pct Quick Service
Units
1
3rd pct Quick Service
SBA default

Bottom line

  • Total investment $100K – $209K including a $35K franchise fee, 5.0% ongoing royalty.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated CAUTION with a risk score of 75/100.
  • No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.

Item 1 · who you're contracting with

The Franchisor

Legal entity
ShippingShop LLC
Incorporated in
Texas
HQ
711 Louisiana Street, Suite 2120, Houston, Texas 77002
Auditor
Metwally CPA PLLC
Audited financials
Franchisor revenue
$0
vs $29K prior year

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 ShippingShop unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: qsr
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $100K–$209K
Working capital
$
FDD reports $15K–$35K

Unlevered ROIC · per unit

67%

Above typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$120K
EBITDA margin
16.0%
Total invested
$179K
Payback
18 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Overview

About

ShippingShop franchisees operate retail shipping service centers offering package shipping, mailbox services, and related logistics support to small businesses and consumers. Day-to-day operations include processing shipments, managing customer relationships, handling multiple carrier integrations (UPS, FedEx, USPS), and maintaining compliance with carrier regulations.

CEO
Melchor Felix Chavez
Founded
2023
FDD year
2025
States available
1

Item 7 · what it costs

The Vitals

Total investment
$100K – $209K
All-in to open one unit
Liquid capital
$15K – $35K
Cash you must have on hand
Franchise fee
$35K
Royalty
5.0%
Percentage of Gross Sales · typical 6–8%
Ad fund
1.0%
typical 3–5%
Total fee load
6.0%
vs 9–13% typical

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

Total units
1
Opened
1
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
0
Corporate units in the system
% franchised
100%
vs corporate-owned
2023
1+1
Franchised units
2024
0
Franchised units
2025
0
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 12 · 1 state 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.

1

states with franchisees (per FDD Item 12)

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

75
Risk · 0-100
CAUTION75 / 100

ShippingShop presents extreme risk due to going concern status, single-unit system with no growth, absent financial disclosures, and unproven unit economics—avoid unless franchisor provides comprehensive Item 19 data and explains going concern issues.

Score breakdown · what drove the 75 / 100 rating

  1. 01HIGHGoing Concern status indicates material uncertainty about franchisor's ability to continue operations
  2. 02MINOROnly 1 unit in system with unknown growth trajectory suggests failed or stalled expansion
  3. 03MINORNo Item 19 (average revenue/income disclosure) provided — cannot assess unit economics or ROI potential
  4. 04MEDHigh initial investment ($99.5K–$209K) paired with undisclosed earnings creates severe risk asymmetry
  5. 05MINOR5% royalty on gross sales with no profitability data means franchisee bears revenue risk without visibility into actual net returns
  6. 06MEDExtremely limited franchisee base (1 unit) prevents meaningful validation and suggests pilot-stage or failed system

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Radius
Protected territory
Yes
Initial term
10 years
Renewal term
10 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
Texas

Item 11

Training & Operations

Classroom training
20 hrs
On-the-job training
20 hrs
POS system
Square
Operating tech stack

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

3 numbers

Locked
(360) 902-••••
UT
(212) 416-••••
NY
(701) 328-••••
NY

One-time purchase · CSV download · Validation questions included

FDD download

ShippingShop · FDD (2025) PDF

Single-page checkout · instant download · CSV export of contacts available separately above