SvnFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A SVN franchise requires a total initial investment of $37K – $124K, including a $30K franchise fee and an ongoing 7.0% royalty[2]. The 2026 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: B. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $37K – $124K
- 20th pct Real Estate
- Avg gross sales
- N/A
- 25th pct Real Estate
- Royalty
- 7.0%
- 38th pct Real Estate
- Units
- 115
- 44th pct Real Estate
- SBA default
- N/A
Quick verdict · Real Estate · color = vs category peers
Green = >15% above Real Estate 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 138 to 115 over 3 years. Investigate why operators are leaving.
Bottom line
- Total investment $37K – $124K including a $30K franchise fee, 7.0% ongoing royalty.
- Item 19 discloses "Gross Receipts Growth Rate" rather than annual gross sales, so unit revenue is not directly comparable.
- Verdict B (Above Average) with a risk score of 58/100.
- Bankruptcy history disclosed in the FDD. Review Item 4 for details before proceeding.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- SVN International PBC
- Parent company
- SVN International Corp. Employee Stock Ownership Trust
- Incorporated in
- DE
- HQ
- 1309 Beacon Street, Suite 300, Brookline, Massachusetts 02446
- Auditor
- MRPR Group, P.C.
- Audited financials
- Franchisor revenue
- $11.6M
- vs $9.9M prior year
Overview
About
SVN franchisees operate as commercial real estate advisory firms, generating revenue through brokerage commissions on property sales, leases, and consulting services. Day-to-day operations involve prospecting clients, managing client relationships, negotiating deals, and coordinating with a network of advisors. Revenue is highly commission-dependent with significant variability based on local market conditions and deal flow.
- CEO
- Lukas Krause
- Headquarters
- MA
- Founded
- 2001
- FDD year
- 2026
- States available
- 39
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $30K | $30K |
| Working capital (3–6 mo) | $4K | $44K |
| Equipment, build-out, other | $4K | $51K |
| Total initial investment | $37K | $124K |
Source: SVN 2026 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
- $37K – $124K
- Better than avg vs category
- Liquid capital req'd
- $4K – $44K
- Better than avg vs category
- Franchise fee
- $20K – $30K
- Better than avg vs category
- Royalty
- 7.0%
- percentage_of_gross · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 9.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 7.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $1K |
| Transfer fee | $25K |
| Renewal fee | $15K |
| Inventory (initial) | $2K |
| Total fee load | 9.0% of rev |
Financial Performance
This brand's FDD disclosed "Gross Receipts Growth Rate" in Item 19 rather than annual gross sales. This metric cannot be directly compared across brands, so we omit it from rankings.
vs Real Estate averages
How Svn Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 115
- Opened
- 4
- Last reporting year
- Closed
- 10
- Terminated
- 2
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 7
- Term expired, not renewed (per Item 20)
- Turnover rate
- 8.7%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (yr3)
- -5.0%
- Net unit change last year
- 3-yr CAGR
- -16.7%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 4
- Transfer rate
- 3.5%
- Owners selling to other franchisees
- Continuity rate
- 92.0%
- Units that stayed open
- Termination rate
- 7.8%
- Franchisor-initiated terminations
- Ceased ops
- 0.9%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 39 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.
39
states with franchisees (per FDD Item 12)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 14
- Loan volume
- $6.4M
- Median loan
- $150K
- 50th percentile
- Charge-off rate
- N/A
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
- 3
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Svn's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 3 lenders with concentration factor
- Per-state charge-off rates across 3 states
- Startup risk premium and job creation velocity
- 3-year lending trend
- SBA 504 real estate/equipment data
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Declining unit base, missing financial transparency, recent exclusivity litigation, and unprotected territory create meaningful risks for new franchisees entering a contracting commercial real estate network.
Litigation (Item 3)
KOVA Commercial, LLC v. SVN International Corp. et al. (Case 11-2020-CA-003216-0001-XX, Collier County, Florida Circuit Court). Franchisee plaintiff alleged infringement of geographical exclusivity and tortious interference, seeking over $100,000,000 in damages. Settled April 1, 2021 for $300,000 total ($75,000 paid by franchisor). Plaintiff agreed to cease operations and terminate franchise by September 4, 2021. Dismissed April 12, 2021.
Largest disclosed settlement: $75,000
Bankruptcy (Item 4)
Disclosed in last 7 years
Bankruptcy Code; (b) obtained a discharge of its debts under the U.S. Bankruptcy Code; or (c) was a principal officer of a company or a general partner in a partnership that either filed as a debtor (or had filed against it) a petition to start an action under the U.S. Bankruptcy Code or that obtain
Audited financials (Item 21)
Yes · MRPR Group, 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: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 58 / 100 rating
- 01MEDUnit count declined 5.0% YoY (115 units), indicating system contraction and potential market saturation or franchisee dissatisfaction
- 02MEDNo average revenue or net income disclosure (missing Item 19) prevents ROI validation and obscures true profitability potential
- 03HIGHRecent litigation (2021) over territorial exclusivity and advisor poaching suggests franchisor enforcement issues and competitive vulnerability
- 04MINORUnprotected territory creates direct competition risk from other SVN franchisees in same geographic area
- 05HIGHGoing Concern = False is ambiguous; clarify if this means no going concern issues exist or if disclosure is incomplete
- 06MINORRoyalty structure (7%-3% tiered) could compress margins significantly at lower revenue thresholds common in early-stage units
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 | 5 years |
|---|---|
| Renewal term | 5 years |
| Territory type | Primary Market Area |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | Norfolk County, MA |
| Jury trial waiver | Yes |
| Governing law | Massachusetts |
| Litigation count | 1 |
View Item 3 litigation summary
KOVA Commercial, LLC v. SVN International Corp. et al. (Case 11-2020-CA-003216-0001-XX, Collier County, Florida Circuit Court). Franchisee plaintiff alleged infringement of geographical exclusivity and tortious interference, seeking over $100,000,000 in damages. Settled April 1, 2021 for $300,000 total ($75,000 paid by franchisor). Plaintiff agreed to cease operations and terminate franchise by September 4, 2021. Dismissed April 12, 2021.
Items 10, 11
Training & Operations
- Classroom training
- 24 hrs
- On-the-job training
- 0 hrs
- Training location
- Online
- Ongoing training
- Optional
- POS system
- SVN Dashboard / Buildout
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: SVN Dashboard / Buildout
Item 20 · call current owners
Franchisee Contacts
1 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
SVN · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a SVN franchise?
The total investment to open a SVN franchise ranges from $37K – $124K, with an initial franchise fee of $30K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do SVN franchise owners earn?
SVN 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 SVN's franchise failure rate?
SBA 7(a) loan charge-off data is not available for SVN (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 SVN franchise locations are there?
As of their most recent FDD filing, SVN has 115 total units in the United States, including 138 franchised units and 0 company-owned units. 4 new units were opened in the latest reporting year.
Is SVN a good franchise to buy?
FranchiseVerdict rates SVN as a B-grade franchise with a risk score of 58 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.
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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.