The Paterson CenterFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A The Paterson Center franchise requires a total initial investment of $20K – $107K, including a $15K franchise fee. The 2025 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: C. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $20K – $107K
- 1st pct Education
- Avg gross sales
- N/A
- 47th pct Education
- Royalty
- N/A
- Units
- 98
- 57th pct Education
- SBA default
- N/A
Quick verdict · Education · color = vs category peers
Green = >15% above Education 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
Started franchising in 2023. Newer systems carry more uncertainty but may offer better territories.
The system grew 22% year-over-year. Fast growth means demand, but can strain support.
Bottom line
- Total investment $20K – $107K including a $15K franchise fee.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict C (Average) with a risk score of 68/100.
- No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- The Paterson Center, LLC
- Parent company
- Paterson Holdings, LLC
- Incorporated in
- DE
- HQ
- PO Box 5386, Mooresville, NC 28117
- Auditor
- DJJCPA, LLC
- Audited financials
- Franchisor revenue
- $242K
- vs $509K prior year
Independent franchisee associations
- Independent Franchisee Association
Franchisee-led councils or alliances disclosed in Item 20. Indicates operator voice.
Affiliated brands
- is The Paterson Group
- has owned and operated businesses similar to the type you will be operating s
- The Paterson Group
Other brands the franchisor or its parent operates (Item 1).
Overview
About
The Paterson Center operates as a service-based franchise (specific service model unclear from public filings). Franchisees likely manage client relationships, deliver services or programs, and handle local operations within their assigned business model. The lack of disclosed revenue suggests either a B2B model, subscription-based service, or membership-driven operation with variable unit economics.
- CEO
- Jason Baker
- Headquarters
- NC
- Founded
- 2023
- FDD year
- 2025
- States available
- 30
FDD Item 7 · 2025 filing · 7 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $15K | $38K | |
| Additional Costs to Attend Trainingnot refundable | $500 | $2K | |
| Computer Technology and Hardwarenot refundable | $500 | $2K | |
| Insurancenot refundable | $2K | $3K | |
| Miscellaneous 1st Year Expensesnot refundable | $2K | $5K | |
| Accounting and Professional Feesnot refundable | $1K | $3K | |
| Additional Funds for First 6 Months of Operationnot refundable | $0 | $55K | |
| Total initial investment | $20K | $107K |
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.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $20K – $107K
- Better than avg vs category
- Liquid capital req'd
- $0 – $55K
- Better than avg vs category
- Franchise fee
- $15K – $38K
- Better than avg vs category
- Royalty
- None during current term
- Ad fund
- Not currently assessed
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Renewal fee | $6K |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Education averages
How The Paterson Center Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 98
- Opened
- 20
- Last reporting year
- Closed
- 3
- Turnover rate
- 3.1%
- Company-owned
- 10
- Corporate units in the system
- % franchised
- 90%
- vs corporate-owned
- Net growth (yr3)
- +22.2%
- Net unit change last year
3-year detail · Item 20
- Opened (3yr)
- 16
- Closed (3yr)
- 72
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 72
- Franchisor bought back
- Ceased ops
- 88.9%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 14 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 2 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 2
- Loan volume
- N/A
- Amount data pending
- Median loan
- N/A
- 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
- 0
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Regulatory compliance violations, financial opacity, rapid unvetted growth, and territorial vulnerability create meaningful risk despite no royalties and low entry fees.
Litigation (Item 3)
0 case reference(s): 0 pending, 0 settled.
Largest disclosed settlement: $750
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · DJJCPA, LLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Must buy proprietary products: No
- Restricted to system-approved products: No
Score breakdown · what drove the 68 / 100 rating
- 01MINORRegulatory enforcement action by Washington State Division of Franchising (July 2024) involving unlicensed franchise agreements by affiliate Paterson Holdings, LLC — suggests compliance gaps in franchise documentation and governance
- 02MEDNo Item 19 financial performance data disclosed — impossible to validate the 22.2% YoY unit growth or assess actual franchisee profitability against $20K-$107K investment range
- 03MINORUnprotected territory creates direct competition between franchisees and undermines value proposition for $15,000 franchise fee
- 04MINORRapid expansion (22.2% YoY growth) without financial transparency raises sustainability and quality control concerns
- 05MED3-year term is short for franchisees to recoup investment; combined with no royalties, suggests potential revenue model misalignment or undisclosed income streams
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 | 3 years |
|---|---|
| Renewal term | 3 years |
| Protected territory | No |
| Online sales rights | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Right of first refusalℹ | No |
| Termination notice | 30 days |
| Termination groundsℹ | 2 |
| Curable defaultsℹ | 3 |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Delaware |
| Litigation count | 1 |
View Item 3 litigation summary
0 case reference(s): 0 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 120 hrs
- On-the-job training
- 113 hrs
- Training location
- On-site and off-site
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
17 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
The Paterson Center · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a The Paterson Center franchise?
The total investment to open a The Paterson Center franchise ranges from $20K – $107K, with an initial franchise fee of $15K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do The Paterson Center franchise owners earn?
The Paterson Center 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 The Paterson Center's franchise failure rate?
SBA 7(a) loan charge-off data is not available for The Paterson Center (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 Paterson Center franchise locations are there?
As of their most recent FDD filing, The Paterson Center has 98 total units in the United States, including 7 franchised units and 10 company-owned units. 20 new units were opened in the latest reporting year.
Is The Paterson Center a good franchise to buy?
FranchiseVerdict rates The Paterson Center as a C-grade franchise with a risk score of 68 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.
For franchisors
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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.