The Driveway CompanyFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A THE DRIVEWAY COMPANY franchise requires a total initial investment of $89K – $169K, including a $60K franchise fee. Per the 2022 FDD, average unit revenue was $263K[2]. Verdict grade: A. Run a live ROI scan →
Data last verified June 21, 2026 · figures per the 2022 FDD issuance
Overview
- Investment
- $89K – $169K
- 26th pct Home Services
- Avg gross sales
- $263K
- 5th pct Home Services
- Royalty
- N/A
- Units
- 36
- 36th pct Home Services
- SBA default
- 0.0%
- system-wide median varies by category
Quick verdict · Home Services · color = vs category peers
Green = >15% above Home 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
Franchised units fell from 36 to 9 over 3 years. Investigate why operators are leaving.
Bottom line
- Total investment $89K – $169K including a $60K franchise fee.
- Average unit revenue of $263K/year (median $205K).
- Verdict A (Top Quintile) with a risk score of 36/100.
- System growing at 300.0% CAGR over 3 years with 36 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- TDC Franchising, LLC
- Parent company
- Restoration 1 Franchise Holdings, LLC
- Ultimate parent
- Stellar Brands, LLC
- CEO title
- Chief Executive Officer
- Sherry Rose
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- TX
- HQ
- 5113 Steinbeck Bend Drive, Waco, Texas 76708
- Auditor
- Jaynes Reitmeier Boyd & Therrell, P.C.
- Audited financials
- Franchisor revenue
- $192K
- vs $422K prior year
Overview
About
The Driveway Company franchisees provide driveway installation, repair, and maintenance services (likely asphalt, concrete, or sealcoating). Day-to-day operations involve managing crews, estimating jobs, sourcing materials, scheduling installations, and managing customer relationships in their protected territory.
- CEO
- Sherry Rose
- Headquarters
- TX
- Founded
- 2019
- FDD year
- 2022
- States available
- 11
FDD Item 7 · 2022 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $60K | $60K |
| Working capital (3–6 mo) | $11K | $21K |
| Equipment, build-out, other | $18K | $88K |
| Total initial investment | $89K | $169K |
Source: THE DRIVEWAY COMPANY 2022 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
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
$32K
12.0% margin
Unlevered ROIC
22%
EBITDA / total invested capital
Payback
4.6 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $89K – $169K
- Better than avg vs category
- Liquid capital req'd
- $11K – $21K
- Better than avg vs category
- Franchise fee
- $40K – $60K
- Near category avg vs category
- Royalty
- Greater of (a) 7% of Gross Sales or (b) the minimum royal…
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $450 |
| Transfer fee | $5K |
| Total fee load | 8.0% of rev |
Financial Performance
- Avg gross sales
- $263K
- Per unit, per year
- Median gross sales
- $205K
- Item 19 type
- gross_sales
- Sample size
- 12 units
- vs category median 25 · small
- Range (low → high)
- $36K→$674K
- Cohort dispersion (min → max)
- Reporting year
- 2021
- Fiscal year the figures cover
- Transparency
- 7 / 5
- vs category median 4 / 5 · above
Compared against 349 Home Services brands
vs Home Services averages
How The Driveway Company Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 36
- Opened
- 13
- Last reporting year
- Closed
- 0
- Terminated
- 1
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.0%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (yr3)
- +50.0%
- Net unit change last year
- 3-yr CAGR
- Outlier (see FDD)
- Likely small-sample artifact
3-year detail · Item 20
- Transfers (3yr)
- 1
- Transfer rate
- 2.8%
- Owners selling to other franchisees
- Termination rate
- 2.8%
- Franchisor-initiated terminations
- Ceased ops
- 8.3%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 22 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.
Fast growth in a small system. Newer franchisors expanding quickly may not yet have the support infrastructure of larger systems.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 7 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 7
- Loan volume
- $926K
- Median loan
- $150K
- 50th percentile
- Charge-off rate
- 0.0%
- 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)
- 100.0%
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 2
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into The Driveway Company's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 2 lenders with concentration factor
- Per-state charge-off rates across 5 states
- Startup risk premium and job creation velocity
- 4-year lending trend
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Rapidly expanding small system with regulatory history and opaque profitability metrics presents moderate-to-cautious risk despite protected territories and reasonable unit growth.
Litigation (Item 3)
Commonwealth of Virginia, ex rel. State Corporation Commission v. Restoration 1 Franchise Holding, LLC and Andor Kovacs (Case No. SEC-2014-00028). Settled July 16, 2014. Allegation: offered and sold franchise in Virginia after registration lapsed. Settlement terms: $1,000 payment to Virginia, attendance at franchise sales compliance training, agreement not to violate Virginia Retail Franchise Act.
Largest disclosed settlement: $1,000
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Jaynes Reitmeier Boyd & Therrell, P.C.
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 36 / 100 rating
- 01MEDNo Item 19 (Average Net Income) disclosed — inability to assess actual profitability despite $262,764 average revenue
- 02MINOR50% YoY unit growth is aggressive for a 36-unit system; sustainability and franchisee quality concerns at this scaling rate
- 03MINOR2014 regulatory settlement with Virginia SCC for operating without valid franchise registration indicates compliance/governance issues
- 04MEDHigh royalty structure (7% of gross sales OR minimum fee) — minimum fee amount not disclosed; could significantly impact unit economics
- 05MINORFranchise fee of $59,900 is substantial; combined with $88,765-$168,980 total investment, ROI timeline is unclear without net income data
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 | 5 years |
| Allowed renewalsℹ | 2 |
| Territory type | Geographic / Population |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory population | 100,000 |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | Texas |
| Litigation count | 1 |
View Item 3 litigation summary
Commonwealth of Virginia, ex rel. State Corporation Commission v. Restoration 1 Franchise Holding, LLC and Andor Kovacs (Case No. SEC-2014-00028). Settled July 16, 2014. Allegation: offered and sold franchise in Virginia after registration lapsed. Settlement terms: $1,000 payment to Virginia, attendance at franchise sales compliance training, agreement not to violate Virginia Retail Franchise Act.
Items 10, 11
Training & Operations
- Classroom training
- 25 hrs
- On-the-job training
- 28 hrs
- Training location
- Waco, Texas or Atlanta, Georgia
- Ongoing training
- Required
- Field support
- 28 hrs/yr
- On-site visits per year
- POS system
- House Call Pro
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: House Call Pro
Item 20 · call current owners
Franchisee Contacts
40 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
THE DRIVEWAY COMPANY · FDD (2022) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a THE DRIVEWAY COMPANY franchise?
The total investment to open a THE DRIVEWAY COMPANY franchise ranges from $89K – $169K, with an initial franchise fee of $60K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do THE DRIVEWAY COMPANY franchise owners earn?
According to Item 19 of the THE DRIVEWAY COMPANY FDD, the average gross sales per unit is $263K. The median is $205K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is THE DRIVEWAY COMPANY's franchise failure rate?
SBA 7(a) loan charge-off data is not available for THE DRIVEWAY COMPANY (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 THE DRIVEWAY COMPANY franchise locations are there?
As of their most recent FDD filing, THE DRIVEWAY COMPANY has 36 total units in the United States, including 36 franchised units and 0 company-owned units. 13 new units were opened in the latest reporting year.
Is THE DRIVEWAY COMPANY a good franchise to buy?
FranchiseVerdict rates THE DRIVEWAY COMPANY as a A-grade franchise with a risk score of 36 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.