FranchiseVerdict
TeamLogic IT logo
FV-02570·STRONGExcellent91

TeamLogic IT

OtherFranchising since 2005Website
Investment
$110K – $145K
37th pct Other
Avg revenue
$1.3M
34th pct Other
Royalty
7.0%
33rd pct Other
Units
344
92nd pct Other
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $110K – $145K including a $50K franchise fee, 7.0% ongoing royalty.
  • Average unit revenue of $1.3M/year.
  • Rated STRONG with a risk score of 39/100. SBA loan default rate of 0.0% across 104 loans (below the industry average).
  • System growing at 22.0% CAGR over 3 years with 344 total units — strong expansion trajectory.

Item 1 · who you're contracting with

The Franchisor

Legal entity
TeamLogic, LLC
Parent company
Franchise Services, LLC
Incorporated in
Delaware
HQ
26722 Plaza, Mission Viejo, California 92691
Auditor
CliftonLarsonAllen LLP
Audited financials
Franchisor revenue
$20.3M
vs $23.1M prior year

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 TeamLogic IT unit return on the cash you put in?

Revenue · per unit, per year
$
FDD Item 19 reports $1,280,220
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: generic
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $110K–$145K
Working capital
$
FDD reports $61K–$78K

Unlevered ROIC · per unit

96%

Above typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$189K
EBITDA margin
14.8%
Total invested
$197K
Payback
12 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Levered LBO scenario · Yale Crease Capital framing

What would 25 TeamLogic IT units return on equity?

Edit assumptions

Equity IRR · 5-yr

49.9%

7.57× MOIC

Year-1 DSCR

1.88×

EBITDA ÷ debt service

Equity required

$2.0M

on $10.0M purchase

Total debt

$8.0M

SBA $5.0M + senior + seller note

Overview

About

TeamLogic IT franchisees operate local managed IT service provider (MSP) businesses, managing networks, cybersecurity, cloud solutions, and IT support for small-to-medium businesses (SMBs). Day-to-day operations include client onboarding, network monitoring, helpdesk support, sales prospecting, and account management. Franchisees typically employ technicians and administrative staff to service a portfolio of recurring revenue contracts.

CEO
Richard Lowe
Founded
2004
FDD year
2026
States available
40

Item 7 · what it costs

The Vitals

Total investment
$110K – $145K
All-in to open one unit
Liquid capital
$61K – $78K
Cash you must have on hand
Franchise fee
$50K
Royalty
7.0%
7% of Gross Sales starting the day you open; beginning with the 13th month, the greater of 7% of… · typical 6–8%
Ad fund
1.2%
typical 3–5%
Total fee load
8.2%
vs 9–13% typical

Item 19

Financial Performance

Avg gross sales
$1.3M
Per unit, per year
Median gross sales
Item 19 type
Gross Revenue
Sample size
182 units
vs category median 20 · large
Range (low → high)
$9K$21.7M
Cohort dispersion
Transparency
3 / 5
vs category median 3 / 5 · typical
Revenue rank34th
vs Other peers
Investment cost rank37th
Lower investment ranks lower (better)
Royalty rate rank33th
Lower royalty = lower percentile (better)
Unit count rank92th
vs Other peers
Risk score rank2th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
344
Opened
41
Last reporting year
Closed
8
Turnover rate
2.3%
Company-owned
0
Corporate units in the system
% franchised
100%
vs corporate-owned
Multi-unit owners
4.8%
Net growth (yr3)
+10.6%
Net unit change last year
3-yr CAGR
+22.0%
Compounded over last 3 years
2024
344+33
Franchised units
2025
311
Franchised units
2026
282
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 8 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).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 8 states
Not registered

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.

Total loans
104
Loan volume
Avg loan
Default rate
0.0%
vs <3% typical · system-wide
5-yr default

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

39
Risk · 0-100
STRONG39 / 100

TeamLogic IT presents moderate-to-caution risk due to regulatory compliance issues, lack of earnings disclosure, and modest growth rate, warranting thorough earnings and franchisee satisfaction validation before investment.

Score breakdown · what drove the 39 / 100 rating

  1. 01MEDNo Item 19 (Average Unit Volume) disclosed despite $1.28M average revenue claim — unable to verify profitability or typical franchisee earnings
  2. 02MINORRegulatory violation in January 2024 for failing to maintain required salesperson disclosures in California, indicating compliance lapses in franchise sales documentation
  3. 03MINOR10.6% YoY unit growth is modest for a 344-unit system and may indicate slowing expansion or market saturation concerns
  4. 04MEDHigh royalty rate of 7% on gross sales (not net profit) creates earnings pressure, especially given undisclosed net income figures
  5. 05MINORInitial investment range of $109.7K–$145K is substantial for an IT services franchise with no earnings transparency to justify ROI

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Geographical
Protected territory
Yes
Initial term
10 years
Renewal term
10 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
1
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
California

Item 11

Training & Operations

Classroom training
94 hrs
On-the-job training
84 hrs
POS system
Professional Services Automation (PSA) software
Operating tech stack

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

94 numbers

Locked
(205) 783-••••
AL
(475) 299-••••
CT
(310) 385-••••
CA

One-time purchase · CSV download · Validation questions included

FDD download

TeamLogic IT · FDD (2026) PDF

Single-page checkout · instant download · CSV export of contacts available separately above