TeamLogic ITFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A TeamLogic IT franchise requires a total initial investment of $110K – $145K, including a $50K franchise fee and an ongoing 7.0% royalty[2]. Per the 2026 FDD, average unit revenue was $1.3M[2]. SBA 7(a) loans show a 7.7% charge-off rate across 60 loans[1]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $110K – $145K
- 32nd pct Business Serv…
- Avg gross sales
- $1.3M
- 21st pct Business Serv…
- Royalty
- 7.0%
- 15th pct Business Serv…
- Units
- 344
- 51st pct Business Serv…
- SBA default
- 7.7%
- system-wide median varies by category
Quick verdict · Business Services · color = vs category peers
Green = >15% above Business 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
Each dollar invested generates 10.1x in gross revenue, well above the typical 1.5-2.5x range.
Bottom line
- Total investment $110K – $145K including a $50K franchise fee, 7.0% ongoing royalty.
- Average unit revenue of $1.3M/year.
- Verdict A (Top Quintile) with a risk score of 44/100. SBA loan charge-off rate of 7.7% across 60 loans (near or below the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
- 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
- Ultimate parent
- KOAH, Inc.
- CEO title
- President and Director
- Richard Lowe
- Incorporated in
- DE
- HQ
- 26722 Plaza, Mission Viejo, California 92691
- Auditor
- CliftonLarsonAllen LLP
- Audited financials
- Franchisor revenue
- $20.3M
- vs $23.1M prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
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
- Headquarters
- CA
- Founded
- 2004
- FDD year
- 2026
- States available
- 40
FDD Item 7 · 2026 filing · 6 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $40K | $50K | |
| Help Desk Service Feenot refundable | $1K | $1K | |
| Vehicle Lease and Graphicsnot refundable | $0 | $3K | |
| Initial Equipmentnot refundable | $7K | $11K | |
| Real Estate Leasehold Improvementsnot refundable | $900 | $2K | |
| Additional Funds (10 to 12 months)not refundable | $61K | $78K | |
| Total initial investment | $110K | $145K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$189K
14.8% margin
Unlevered ROIC
96%
EBITDA / total invested capital
Payback
12 mo
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $110K – $145K
- Better than avg vs category
- Liquid capital req'd
- $61K – $78K
- Near category avg vs category
- Franchise fee
- $40K – $50K
- Better than avg vs category
- Royalty
- 7.0%
- percentage_of_gross · typical 6–8%
- Ad fund
- 1.2%
- typical 3–5%
- Total fee load
- 8.2%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 7.0% of gross sales |
| Marketing / ad fund | 1.2% of gross sales |
| Technology fee | $300 |
| Training fee | $1K |
| Transfer fee | $10K |
| Renewal fee | $2K |
| Total fee load | 8.2% of rev |
Financial Performance
- Avg gross sales
- $1.3M
- Per unit, per year
- Median gross sales
- N/A
- Item 19 type
- gross_sales
- Sample size
- 182 units
- vs category median 32 · large
- Range (low → high)
- $9K→$21.7M
- Cohort dispersion (min → max)
- Quartile band
- $147K→$2.5M
- Bottom 25% → top 25%
- Reporting year
- 2025
- Fiscal year the figures cover
- Transparency
- 3 / 5
- vs category median 3 / 5 · typical
Compared against 360 Business Services brands
Revenue is 10.1x the investment midpoint. At typical franchise margins, this suggests a payback under 3 years.
vs Business Services averages
How TeamLogic IT Compares
Unit growth
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
3-year detail · Item 20
- Opened (3yr)
- 33
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 11
- Reacquired (3yr)
- 0
- Franchisor bought back
- Ceased ops
- 33.3%
- Units that stopped operating
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).
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.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 60
- Loan volume
- $18.9M
- Median loan
- $150K
- 50th percentile
- Charge-off rate
- 7.7%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 92.3%
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 20
- Defaults
- 2
Vintage analysis
TeamLogic IT charge-off rate by loan vintage
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into TeamLogic IT's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 10 lenders with concentration factor
- Per-state charge-off rates across 15 states
- Startup risk premium and job creation velocity
- 12-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
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.
Litigation (Item 3)
0 case reference(s): 0 pending, 0 settled.
Largest disclosed settlement: $8,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · CliftonLarsonAllen LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: No
Score breakdown · what drove the 44 / 100 rating
- 01MEDNo Item 19 (Average Unit Volume) disclosed despite $1.28M average revenue claim — unable to verify profitability or typical franchisee earnings
- 02MINORRegulatory violation in January 2024 for failing to maintain required salesperson disclosures in California, indicating compliance lapses in franchise sales documentation
- 03MINOR10.6% YoY unit growth is modest for a 344-unit system and may indicate slowing expansion or market saturation concerns
- 04MEDHigh royalty rate of 7% on gross sales (not net profit) creates earnings pressure, especially given undisclosed net income figures
- 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
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Territory type | Geographical |
| Protected territory | Yes |
| 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 |
| Termination notice | 20 days |
| Curable defaultsℹ | 1 |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | California |
| Litigation count | 1 |
View Item 3 litigation summary
0 case reference(s): 0 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 94 hrs
- On-the-job training
- 84 hrs
- Training location
- Mission Viejo, California
- Ongoing training
- Required
- Field support
- 87 hrs/yr
- On-site visits per year
- Time to open
- 2 mo
- From signing to launch
- Franchisor financing
- Not offered
- Item 10
- POS system
- Professional Services Automation (PSA) software
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Professional Services Automation (PSA) software
Item 20 · call current owners
Franchisee Contacts
94 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
TeamLogic IT · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a TeamLogic IT franchise?
The total investment to open a TeamLogic IT franchise ranges from $110K – $145K, with an initial franchise fee of $50K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do TeamLogic IT franchise owners earn?
According to Item 19 of the TeamLogic IT FDD, the average gross sales per unit is $1.3M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is TeamLogic IT's franchise failure rate?
Based on SBA 7(a) loan data, TeamLogic IT has a charge-off rate of 7.7% across 60 loans, meaning 7.7% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many TeamLogic IT franchise locations are there?
As of their most recent FDD filing, TeamLogic IT has 344 total units in the United States, including 282 franchised units and 0 company-owned units. 41 new units were opened in the latest reporting year.
Is TeamLogic IT a good franchise to buy?
FranchiseVerdict rates TeamLogic IT 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.
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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.