FranchiseVerdict
The Shutter House logo
FV-02708·STRONGExcellent91

The Shutter House

Home Services - OtherFranchising since 2023Website
Investment
$98K – $198K
40th pct Other
Avg revenue
$475K
15th pct Other
Royalty
Units
4
14th pct Other
SBA default

Bottom line

  • Total investment $98K – $198K including a $60K franchise fee.
  • Average unit revenue of $475K/year. Estimated payback in 0.8 years.
  • Rated STRONG with a risk score of 50/100.
  • Emerging franchise — only 3 years of franchising with 4 units. Early-stage systems carry higher risk but may offer better territory availability.

Item 1 · who you're contracting with

The Franchisor

Legal entity
THE SHUTTER HOUSE FRANCHISING, LLC
Incorporated in
Alabama
HQ
25958 County Road 13, Daphne, Alabama 36526
Auditor
Haynie & Company
Audited financials
Franchisor revenue
$53K
vs $82K 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 The Shutter House unit return on the cash you put in?

Revenue · per unit, per year
$
FDD Item 19 reports $474,845
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: restoration
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $98K–$198K
Working capital
$
FDD reports $15K–$20K

Unlevered ROIC · per unit

34%

In Yale's "attractive" band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$57K
EBITDA margin
12.0%
Total invested
$165K
Payback
35 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 The Shutter House 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

$475K

on $2.4M purchase

Total debt

$1.9M

SBA $1.2M + senior + seller note

Overview

About

The Shutter House franchisees operate retail/service locations selling and installing window shutters, blinds, and related window treatments. Day-to-day operations include customer consultations, product design/measurement, installation coordination, and ongoing customer service in a protected territory.

CEO
Edward Terry
Founded
2023
FDD year
2025
States available
3

Item 7 · what it costs

The Vitals

Total investment
$98K – $198K
All-in to open one unit
Liquid capital
$15K – $20K
Cash you must have on hand
Franchise fee
$60K
Royalty
greater of 5% of Gross Sales or annual minimum ($12,500 y…
Ad fund
1.0%
typical 3–5%
Total fee load
6.0%
vs 9–13% typical
Payback period
0.8 yrs
From v3 / Item 19

Item 19

Financial Performance

Avg gross sales
$475K
Per unit, per year
Median gross sales
Item 19 type
Franchised outlets
Sample size
2 units
vs category median 21 · small
Range (low → high)
$337K$612K
Cohort dispersion
Transparency
9 / 5
vs category median 4 / 5 · above
Revenue rank15th
vs Home Services - Other peers
Investment cost rank40th
Lower investment ranks lower (better)
Royalty rate rank54th
Lower royalty = lower percentile (better)
Unit count rank14th
vs Home Services - Other peers
Risk score rank26th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
4
Opened
1
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
1
Corporate units in the system
% franchised
75%
vs corporate-owned
Net growth (yr3)
+50.0%
Net unit change last year
3-yr CAGR
+200.0%
Compounded over last 3 years
2023
3+1
Franchised units
2024
2
Franchised units
2025
1
Franchised units

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

Item 20 · 3 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 · 3 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.

No SBA loan data available for this brand.

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

Risk & Legal

50
Risk · 0-100
STRONG50 / 100

Early-stage franchise with minimal operating history, aggressive growth trajectory, and opaque financial performance creates elevated risk despite reasonable unit economics and no litigation.

Score breakdown · what drove the 50 / 100 rating

  1. 01MINOROnly 4 units in system with no Item 19 financial disclosure creates validation difficulty for $97.5K-$198.3K investment
  2. 02MINORExtremely aggressive unit growth (50% YoY) from micro base (4 units) suggests unsustainable expansion or recent launches
  3. 03MINORRoyalty floor of $25,000/year on average net income of $195K represents 12.8% effective tax, compressing margins significantly
  4. 04MEDHigh franchise fee ($60K) represents 61.5% of total minimum investment ($97.5K), leaving limited working capital
  5. 05MINORProtected territory with only 4 units suggests either new concept or market saturation concerns in existing territories

Severity inferred from the FDD text · not a regulatory classification

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

Contract & Territory Detail

Territory
Zip codes/Households
Protected territory
Yes
Initial term
10 years
Renewal term
5 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
No
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
Alabama

Item 11

Training & Operations

Classroom training
28 hrs
On-the-job training
12 hrs
POS system
BuildMatPro
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

3 numbers

Locked
(251) 263-••••
Master Kraft Contracting, LLC
AL
(630) 518-••••
TAPJR VENTURES LLC
IL
(850) 462-••••
The Younger Group, LLC
FL

One-time purchase · CSV download · Validation questions included

FDD download

The Shutter House · FDD (2025) PDF

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