Sir Grout Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Sir Grout is a home-services franchise providing tile, grout, and stone cleaning, sealing, and restoration. Franchisees run a mobile, crew-based operation handling residential and commercial restoration jobs in a territory.
FranchiseVerdict summary · 2026
A Sir Grout franchise requires a total initial investment of $128K – $199K, including a $60K franchise fee and an ongoing 6.0% royalty[2]. Per the 2026 FDD, average unit revenue was $623K[2]. FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2026 FDD issuance
Overview
- Investment
- $128K – $199K
- 50th pct Cleaning & Ma…
- Avg gross sales
- $623K
- 19th pct Cleaning & Ma…
- Royalty
- 6.0%
- 9th pct Cleaning & Ma…
- Units
- 91
- 62nd pct Cleaning & Ma…
- SBA charge-off
- N/A
Quick verdict · Cleaning & Maintenance · color = vs category peers
Green = favorable by >10% vs Cleaning & Maintenance avg · 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 $128K – $199K including a $60K franchise fee, 6.0% ongoing royalty.
- RETURNSAverage unit revenue of $623K/year (median $496K).
- RISKVerdict A (Strongest tier), verdict score 85/100 (higher is better).
- GROWTHSystem growing at 46.8% CAGR over 3 years with 91 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Sir Grout Franchising, LLC
- Parent company
- Threshold Brands, LLC
- Ultimate parent
- HS Group Holding Company, LLC (majority owned by Riverside MicroCap Fund V-A, L.P. and RMCF V AIV I, L.P., managed by The Riverside Company)
- CEO title
- Chief Executive Officer
- Theodore Demarino
- Incorporated in
- Delaware
- HQ
- 17700 Saint Clair Avenue, Cleveland, Ohio 44110
- Auditor
- Plante & Moran, PLLC
- Audited financials
- Franchisor revenue
- $49.0M
- vs $47.9M prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Overview
About
- CEO
- Theodore Demarino
- Headquarters
- OH
- Founded
- 2007
- FDD year
- 2026
- States available
- 26
Can you afford it, and what does the money buy?
Entry cost runs 48% below the typical cleaning & maintenance franchise.
Source: FDD 2026 · Items 5–7
Full Item 7 breakdown13 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $60K | $60K | |
| The Right Start Package Fee | $12K | $15K | |
| Computer System and Website | $3K | $5K | |
| Training Costs | $10K | $12K | |
| Insurance | $1K | $3K | |
| Local Advertising | $11K | $12K | |
| Miscellaneous Opening Costs | $5K | $10K | |
| Opening Promotional Expenses | $250 | $750 | |
| Vehicle and Vehicle Wrap | $10K | $56K | |
| Permits and Licenses | $200 | $2K | |
| Credit card (Visa & Mastercard) Terminal | $50 | $500 | |
| Business Center Fee | $5K | $5K | |
| Additional Funds - 3 months | $14K | $20K | |
| Total initial investment | $128K | $199K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $128K – $199K
- Middle of category vs category
- Liquid capital req'd
- $14K – $20K
- Top 40% of category vs category
- Franchise fee
- $60K – $60K
- Bottom third — review vs category
- Royalty
- 6.0%
- Percentage of gross sales · typical 6–8%
- Ad fund
- $500
- Total fee load
- 6.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Technology fee | $2K |
| Training fee | $2K |
| Transfer fee | $5K |
| Renewal fee | $3K |
| Total fee load | 6.0% of rev |
A 6.0% total fee load is unusually lean. More of each revenue dollar stays with the franchisee.
What do units actually make?
Average unit sales run 31% below the cleaning & maintenance norm.
Source: FDD 2026 · Item 19
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
$62K
10.0% margin
Unlevered ROIC
35%
EBITDA / total invested capital
Payback
35 mo
cash-on-cash, unlevered
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
What one unit earns on your invested capital
Model A · Single-Unit Return
Computes unlevered return on invested capital (ROIC) for a single franchise unit. The target band for an attractive franchise is 30–60% ROIC. Below that and a passive index fund likely outperforms; above that and the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses. It's the top line only. Operating costs below are category estimates. Override them to match your real lease quote, labor market, and build-out budget.
Returns model · single-unit ROIC
What would one Sir Grout unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
35%
Within the 30–60% "attractive franchise" band
What 25 units return when you use SBA financing
Model B · Return on Equity: Debt-Financed Acquisition
Models a 25-unit portfolio acquisition financed with an SBA 7(a) loan. Shows equity IRR (your return on cash invested), DSCR (how safely the cash flow covers debt service), and the capital stack (SBA + seller + equity breakdown).
This is the “search fund” or “entrepreneurship through acquisition” scenario: you buy an existing multi-unit operator, use leverage to amplify returns, and either operate or hire management. The 25-unit size is the typical minimum for an SBA-backed franchise portfolio acquisition to pencil as a full-time income.
What “return on equity” means here: if you put in $500K of your own cash and the business generates enough EBITDA to pay down debt and grow, your equity IRR is the annual return on that $500K, including the value created when you eventually sell. Target IRR for a search fund is typically 25–35%.
Levered LBO scenario · Yale Crease Capital framing
What would 25 Sir Grout units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$374K
on $1.9M purchase
Total debt
$1.5M
SBA $0.9M + senior + seller note
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: 2026 FDD
Financial Performance
- Avg gross sales
- $623K
- Per unit, per year
- Median gross sales
- $496K
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- Historical Gross Revenues by quartile and by year-opened cohort
- Sample size
- 44 franchisees
- vs category median 32
- Range (low → high)
- $120K→$2.2M
- Cohort dispersion (min → max)
- Quartile band
- $236K→$1.2M
- Bottom 25% → top 25%
- Reporting year
- 2025
- Fiscal year the figures cover
- Source filing
- FDD 2026
- Disclosed in the 2026 filing, covering 2025
- Transparency
- 4 / 10
- vs category median 4 / 10 · typical
Compared against 192 Cleaning & Maintenance brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Unit economics
Average unit generates $623K/year in gross sales. Median is $496K — top performers pull the average up, so a typical unit earns less. Revenue-to-investment ratio: 3.8x.
Fee burden
Total ongoing fee load of 6.0% — below the Cleaning & Maintenance average of 9.7%.
Disclosure
Transparency score 4/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence.
Operator retention
System expanding at 46.8% CAGR over 3 years across 91 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 Cleaning & Maintenance averages
How Sir Grout Compares
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 91
- Opened
- 23
- Last reporting year
- Closed
- 3
- Terminated
- 2
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 6.6%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- +46.8%
- Net unit change over 3 years
- 3-yr CAGR
- +46.8%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 23
- Closed (3yr)
- 3
- Terminated (3yr)
- 3
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 2
- Reacquired (3yr)
- 0
- Franchisor bought back
- Transfer rate
- 2.2%
- Owners selling to other franchisees
- Termination rate
- 2.2%
- Franchisor-initiated terminations
- Ceased ops
- 2.2%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 26 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.
26
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 4 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 4
- Loan volume
- $600K
- Median loan
- $150K
- 50th percentile
- Charge-off rate
- N/A
- limited sample (4 loans) — rate not shown below 10
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 1
- 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
Litigation (Item 3)
In the Matter of MaidPro Franchise, LLC (Securities Commissioner of Maryland, Case No. 2025-0075). On August 13, 2025, MaidPro entered into a Consent Order with the Securities Commission of Maryland regarding inadvertent violations of franchise fee deferral requirements in two franchise sales in 2022. MaidPro agreed to comply with deferral conditions, cease and desist from violations of Maryland Franchise Law, and paid a $15,000 penalty to the Maryland Office of the Attorney General.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Plante & Moran, PLLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
ⓘ These are the parent company's consolidated financials (the parent guarantees the franchisor), not this brand's standalone results — the figure reflects the whole corporate group, not this brand alone.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 85 / 100 verdict
- 01MINORParent-level financials, net loss -$13.59M (not brand-level)
- 02MINOR1 minor affiliate consent order ($15K penalty)
- 03MEDStrong growth +46.8%, Item 19 disclosed
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 6.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Territory type | Household count |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory population | 100,000 |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 1.5 years |
| Non-compete (miles)ℹ | 10 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 60 days |
| Transfer requires consent | Yes |
| Termination notice | 10 days |
| Mandatory arbitration | Yes |
| Arbitration location | Cleveland, Ohio |
| Jury trial waiver | Yes |
| Governing law | Ohio |
| Litigation count | 1 |
View Item 3 litigation summary
In the Matter of MaidPro Franchise, LLC (Securities Commissioner of Maryland, Case No. 2025-0075). On August 13, 2025, MaidPro entered into a Consent Order with the Securities Commission of Maryland regarding inadvertent violations of franchise fee deferral requirements in two franchise sales in 2022. MaidPro agreed to comply with deferral conditions, cease and desist from violations of Maryland Franchise Law, and paid a $15,000 penalty to the Maryland Office of the Attorney General.
Items 10, 11
Training & Operations
- Classroom training
- 35 hrs
- On-the-job training
- 0 hrs
- Training location
- On-site
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
59 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Sir Grout · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Sir Grout franchise?
The total investment to open a Sir Grout franchise ranges from $128K – $199K, 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 Sir Grout franchise owners earn?
According to Item 19 of the Sir Grout FDD, the average gross sales per unit is $623K. The median is $496K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Item 19 in the Sir Grout 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 Sir Grout FDD and qualifies whose outlets they describe.
What is Sir Grout's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Sir Grout (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 Sir Grout franchise locations are there?
As of their most recent FDD filing, Sir Grout has 91 total units in the United States, including 91 franchised units and 0 company-owned units. 23 new units were opened in the latest reporting year.
Is Sir Grout a good franchise to buy?
FranchiseVerdict rates Sir Grout as a A-grade franchise with a verdict score of 85 out of 100 (higher is better), 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.
For franchisors
Are you the franchisor?
If you represent Sir Grout, you can request corrections or provide updated information.
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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.