Studio 6
Formerly known as Franchising North
Bottom line
- Total investment $197K – $9.2M including a $25K franchise fee, 5.0% ongoing royalty.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated MODERATE with a risk score of 61/100. SBA loan default rate of 0.0% across 81 loans (below the industry average).
- 11 litigation matters disclosed in Item 3 — higher than typical. Review the summary for patterns (franchisor-initiated vs. franchisee-initiated).
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 Studio 6 unit return on the cash you put in?
Unlevered ROIC · per unit
2%
Below typical band (30–60%)
Overview
About
Studio 6 franchisees operate extended-stay hotel properties, managing guest check-ins, housekeeping, maintenance, and front-desk operations. Day-to-day responsibilities include occupancy management, revenue optimization through room pricing, staff management, and compliance with brand standards. Franchisees bear full operational and liability risk while paying 5% of gross room revenues as royalties.
Item 7 · what it costs
The Vitals
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
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 23 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
Studio 6 presents HIGH RISK due to undisclosed unit economics, active litigation including civil rights violations, franchisor collection actions, and lack of going concern status despite aggressive growth.
Score breakdown · what drove the 61 / 100 rating
- 01HIGHActive litigation involving breach of contract, civil rights violations, and immigration data disclosure issues creates legal and reputational risk
- 02MEDNo Item 19 financial disclosure (Avg Revenue and Net Income not disclosed) prevents accurate ROI analysis and suggests weak unit economics
- 03MINORFranchisor collection actions indicate cash flow problems and potential non-compliance with franchise obligations
- 04HIGHGoing Concern status is FALSE, indicating potential financial viability concerns at corporate level
- 05MINORExtremely wide investment range ($197K–$9.2M) with no average revenue/profit data makes unit performance assessment impossible
- 06MINORHigh unit growth (27.7% YoY) may indicate aggressive recruitment masking underlying profitability issues rather than organic health
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
100 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Studio 6 · FDD (2024) PDF