Bottom line
- Total investment $113K – $189K including a $59K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $666K/year.
- Rated STRONG with a risk score of 44/100. SBA loan default rate of 0.0% across 84 loans (below the industry average).
- System growing at 846.4% CAGR over 3 years with 271 total units — strong expansion trajectory.
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 That 1 Painter unit return on the cash you put in?
Unlevered ROIC · per unit
40%
In Yale's "attractive" band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 That 1 Painter units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$533K
on $2.7M purchase
Total debt
$2.1M
SBA $1.3M + senior + seller note
Overview
About
That 1 Painter is a residential and commercial interior/exterior painting service franchise. Franchisees manage crews, schedule jobs, handle customer acquisition and relations, and oversee quality control. Day-to-day operations involve coordinating painting crews, managing customer inquiries, estimating jobs, and collecting payments across their protected territory.
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 · 19 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
Explosive growth, undisclosed profitability, franchisor going concern doubts, and high fixed royalties create meaningful risk despite protected territories.
Score breakdown · what drove the 44 / 100 rating
- 01MEDNo average net income disclosed — unable to calculate ROI or validate profitability claims against $113k-$189k investment
- 02MINORExplosive unit growth of 327% YoY raises sustainability concerns — typical healthy franchise growth is 15-25% annually; this suggests either aggressive recruitment or recent market entry without track record
- 03HIGHGoing concern status is FALSE — indicates potential financial instability or going concern doubt in franchisor's own financials
- 04MINORMinimum royalty of $461/week ($23,972/year) creates fixed cost burden regardless of revenue, problematic if franchisee generates less than $377k annually (6% breakeven)
- 05MEDFranchise fee of $59k represents 52% of minimum investment — high upfront cost for unproven brand with limited historical data
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
31 numbers
One-time purchase · CSV download · Validation questions included
FDD download
That 1 Painter · FDD (2025) PDF