Structural Elements
Bottom line
- Total investment $11K – $23K including a $3K franchise fee, 8.0% ongoing royalty.
- Average unit revenue of $86K/year (median $78K).
- Rated MODERATE with a risk score of 60/100.
- Auditor disclosed a going-concern note — flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.
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 Structural Elements unit return on the cash you put in?
Unlevered ROIC · per unit
93%
Above typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Structural Elements units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$222K
on $1.1M purchase
Total debt
$890K
SBA $0.6M + senior + seller note
Overview
About
Franchisees provide structural engineering, inspection, and remediation services (likely residential/commercial foundation, concrete, or steel work). Day-to-day operations involve conducting site assessments, generating repair estimates, managing crews, coordinating with contractors, and handling customer service and billing.
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 · 6 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
Structural Elements presents elevated risk due to declining unit count, undisclosed profitability metrics, unprotected territory, and a contracting franchise system with questionable long-term viability.
Score breakdown · what drove the 60 / 100 rating
- 01MEDUnit count declined 9.1% YoY (from ~11 to 10 units) indicating system contraction and potential franchisee dissatisfaction
- 02MEDNet income not disclosed in FDD — inability to assess actual profitability despite $85.5K average revenue claim
- 03MINORNo protected territory — franchisees face direct competition from other franchisees and company-owned units in same markets
- 04MEDLow unit count (10 total) suggests nascent or struggling system with limited brand recognition and support infrastructure
- 05MINORRoyalty structure creates dual burden: 8% of gross receipts PLUS $200/month minimum ($2,400 annually) reducing thin margins
- 06MINORLow initial investment ($11.1K–$23.3K) attractive but may indicate insufficient capital for proper operations and working capital
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
17 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Structural Elements · FDD (2026) PDF