The Tailored Closet®
Formerly known as Organized Spaces
Bottom line
- Total investment $177K – $271K including a $20K franchise fee.
- Average unit revenue of $507K/year (median $322K).
- Rated MODERATE with a risk score of 60/100. SBA loan default rate of 0.0% across 1 loans (below the industry average).
- System contracting at -16.0% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).
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 THE TAILORED CLOSET® unit return on the cash you put in?
Unlevered ROIC · per unit
15%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 THE TAILORED CLOSET® units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$101K
on $507K purchase
Total debt
$406K
SBA $0.3M + senior + seller note
Overview
About
Tailored Closet franchisees design, manufacture, and install custom closet organization systems for residential clients. Day-to-day operations include client consultations, measuring spaces, creating designs, managing installations, and handling customer service in a defined geographic 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 · 21 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
Declining franchise system with undisclosed net profitability, regulatory history, and royalty floors that may be unsustainable for underperforming locations.
Score breakdown · what drove the 60 / 100 rating
- 01MEDUnit count declined 5.6% YoY (136 units), indicating system contraction and potential market saturation
- 02MEDNet income not disclosed in Item 19 — unable to assess actual profitability despite $506,934 average revenue
- 03MINORParent company (Aussie Pet Mobile) had 2006 Maryland Securities Division Consent Order for franchise disclosure violations — raises compliance culture concerns
- 04MINORRoyalty structure floor of $500/mo (yr 1) and $1,000/mo (thereafter) represents 11.8%-23.6% of monthly revenue for lower-performing franchises
- 05MINORHigh franchise fee ($19,950) relative to 10-year term and declining unit base suggests franchisor dependent on recruitment rather than franchisee success
- 06MINORNo Item 19 financial performance disclosure prevents validation of average revenue claims and benchmarking against actual franchisee results
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
51 numbers
One-time purchase · CSV download · Validation questions included
FDD download
THE TAILORED CLOSET® · FDD (2026) PDF