SoftrocFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A Softroc franchise requires a total initial investment of $94K – $179K, including a $60K franchise fee. The 2023 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: A. Run a live ROI scan →
Data last verified June 21, 2026 · figures per the 2023 FDD issuance
Overview
- Investment
- $94K – $179K
- 29th pct Home Services
- Avg gross sales
- N/A
- 54th pct Home Services
- Royalty
- N/A
- Units
- 25
- 30th pct Home Services
- SBA default
- N/A
Quick verdict · Home Services · color = vs category peers
Green = >15% above Home Services avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Franchised units fell from 25 to 0 over 3 years. Investigate why operators are leaving.
Bottom line
- Total investment $94K – $179K including a $60K franchise fee.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict A (Top Quintile) with a risk score of 44/100.
- 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
- Softroc Global, LLC
- Parent company
- Restoration 1 Franchising Holding LLC
- Ultimate parent
- RH1 Investments, LLC
- CEO title
- Chief Executive Officer
- Sherry Rose
- Incorporated in
- DE
- HQ
- 2929 Carlisle St., Suite 100, Dallas, Texas 75204
- Auditor
- Huselton, Morgan & Maultsby, P.C.
- Audited financials
- Franchisor revenue
- $111K
- vs $360K prior year
Overview
About
Softroc franchisees appear to operate in the restoration/damage remediation space (likely water, fire, or property damage restoration based on affiliate brand context). Day-to-day operations likely involve emergency response dispatch, customer assessment, remediation project management, and vendor/insurance coordination.
- CEO
- Sherry Rose
- Headquarters
- TX
- Founded
- 2021
- FDD year
- 2023
- States available
- 9
FDD Item 7 · 2023 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $60K | $60K |
| Working capital (3–6 mo) | $11K | $22K |
| Equipment, build-out, other | $23K | $97K |
| Total initial investment | $94K | $179K |
Source: Softroc 2023 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
- $94K – $179K
- Better than avg vs category
- Liquid capital req'd
- $11K – $22K
- Better than avg vs category
- Franchise fee
- $40K – $60K
- Near category avg vs category
- Royalty
- Greater of (a) 7% of Collected Gross Revenue or (b) the M…
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty (flat) | Greater of 7% of Collected Gross Revenue or Minimum Royalty Fee ($0 initial 6 months, $250 months 7-12, $500 thereafter) |
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $450 |
| Training fee | $3K |
| Transfer fee | $5K |
| Total fee load | 8.0% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Home Services averages
How Softroc Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 25
- Opened
- 19
- Last reporting year
- Closed
- 2
- Terminated
- 2
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 8.0%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (yr3)
- Outlier (see FDD)
- Likely small-sample artifact
3-year detail · Item 20
- Transfers (3yr)
- 0
- Projected new
- 9
- Franchisor's next-year forecast
- Termination rate
- 8.0%
- Franchisor-initiated terminations
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 21 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 contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
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 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Undisclosed financials, prior regulatory settlement, unprotected territories, and unsustainable growth trajectory create material uncertainty about unit economics and franchisor stability.
Litigation (Item 3)
Commonwealth of Virginia, ex rel. State Corporation Commission v. Restoration 1 Franchise Holding, LLC and Andor Kovacs (Case No. SEC-2014-00028). Settled July 16, 2014. Affiliate Restoration 1 Franchise Holding LLC alleged to have offered and sold a Restoration 1® franchise in Virginia after Virginia registration lapsed. Settlement terms: paid $1,000 to defray investigation costs, agreed to attend franchise sales compliance training, and agreed not to violate Virginia Retail Franchise Act in future. No admission or denial of allegations.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Huselton, Morgan & Maultsby, P.C.
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
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 44 / 100 rating
- 01MEDNo average revenue or net income disclosed in FDD (Item 19 missing or inadequate) — cannot validate ROI claims
- 02HIGHAffiliate litigation in 2014 involving unlawful franchise sale after registration lapsed suggests compliance/governance concerns
- 03MINORUnprotected territory creates direct competition risk — franchisees can cannibalize each other's revenue
- 04MEDMinimum royalty fee structure not disclosed — unknown fixed cost burden could eliminate profitability at lower revenue levels
- 05MINORExplosive unit growth (212.5% YoY) on only 25 units is unsustainable and may indicate recruitment-heavy model rather than organic growth
- 06HIGHGoing Concern = False is ambiguous — clarify whether franchisor has undisclosed financial distress
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Geographic area (ZIP codes, boundaries, or roads) |
| Protected territory | No |
| 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 | 2 years |
| Non-compete (miles)ℹ | 25 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | Dallas, Texas |
| Jury trial waiver | Yes |
| Governing law | Texas |
| Litigation count | 1 |
View Item 3 litigation summary
Commonwealth of Virginia, ex rel. State Corporation Commission v. Restoration 1 Franchise Holding, LLC and Andor Kovacs (Case No. SEC-2014-00028). Settled July 16, 2014. Affiliate Restoration 1 Franchise Holding LLC alleged to have offered and sold a Restoration 1® franchise in Virginia after Virginia registration lapsed. Settlement terms: paid $1,000 to defray investigation costs, agreed to attend franchise sales compliance training, and agreed not to violate Virginia Retail Franchise Act in future. No admission or denial of allegations.
Items 10, 11
Training & Operations
- Classroom training
- 10 hrs
- On-the-job training
- 34 hrs
- Training location
- On-site and corporate
- Time to open
- 5 mo
- From signing to launch
- POS system
- House Call Pro
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: House Call Pro
Item 20 · call current owners
Franchisee Contacts
34 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Softroc · FDD (2023) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Softroc franchise?
The total investment to open a Softroc franchise ranges from $94K – $179K, 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 Softroc franchise owners earn?
Softroc does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Softroc's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Softroc (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 Softroc franchise locations are there?
As of their most recent FDD filing, Softroc has 25 total units in the United States, including 25 franchised units and 0 company-owned units. 19 new units were opened in the latest reporting year.
Is Softroc a good franchise to buy?
FranchiseVerdict rates Softroc as a A-grade franchise with a risk score of 44 out of 100, 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
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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.