Bottom line
- Total investment $540K – $808K including a $30K franchise fee, 3.0% ongoing royalty.
- Average unit revenue of $1.9M/year (median $1.9M).
- Rated MODERATE with a risk score of 63/100.
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 TRUE SOCIETY unit return on the cash you put in?
Unlevered ROIC · per unit
22%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 TRUE SOCIETY units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$389K
on $1.9M purchase
Total debt
$1.6M
SBA $1.0M + senior + seller note
Overview
About
TRUE SOCIETY franchisees operate lifestyle or wellness-focused retail/service locations (exact model unclear from data provided). Day-to-day operations likely involve customer-facing service delivery, inventory/product management, and local marketing to drive the reported ~$1.9M average revenue per unit.
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 · 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).
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
TRUE SOCIETY presents elevated risk due to going concern disclosure, missing profitability data, minimal franchise network scale, and inability to verify franchisee returns despite moderate revenue averages.
Score breakdown · what drove the 63 / 100 rating
- 01HIGHGoing Concern Warning: Franchisor has disclosed going concern issues, indicating potential financial distress or viability questions
- 02MINORNo Net Income Disclosure: Item 19 financial performance representations absent—unable to validate if $1.9M revenue translates to meaningful profit after expenses
- 03MINORAggressive Unit Growth Masking Small Base: 50% YoY growth (4 new units) on only 8 total units is volatile and statistically insignificant; high churn risk
- 04MINORMinimal Franchisee Base: Only 8 operating units provides insufficient performance data and limits support infrastructure credibility
- 05HIGHHigh Initial Investment Range: $540K-$808K entry cost requires strong confidence in franchisor stability, which going concern status undermines
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
4 numbers
One-time purchase · CSV download · Validation questions included
FDD download
TRUE SOCIETY · FDD (2025) PDF