UnitsFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A UNITS franchise requires a total initial investment of $708K – $1.2M, including a $56K franchise fee and an ongoing 8.0% royalty[2]. The 2024 FDD does not disclose unit-level revenue (no Item 19). SBA 7(a) loans show a 0.0% charge-off rate across 70 loans[1]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2024 FDD issuance
Overview
- Investment
- $708K – $1.2M
- 53rd pct Business Serv…
- Avg gross sales
- N/A
- 29th pct Business Serv…
- Royalty
- 8.0%
- 22nd pct Business Serv…
- Units
- 73
- 37th pct Business Serv…
- SBA default
- 0.0%
- system-wide median varies by category
Quick verdict · Business Services · color = vs category peers
Green = >15% above Business 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
Only 0.0% of 70 SBA loans charged off, well below the 16% franchise average.
The system grew 17% year-over-year. Fast growth means demand, but can strain support.
Bottom line
- Total investment $708K – $1.2M including a $56K franchise fee, 8.0% ongoing royalty.
- Item 19 discloses "gross_sales" rather than annual gross sales, so unit revenue is not directly comparable.
- Verdict A (Top Quintile) with a risk score of 5/100. SBA loan charge-off rate of 0.0% across 70 loans (well below the franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
- System growing at 59.1% CAGR over 3 years with 73 total units. Strong expansion trajectory.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- UNITS FRANCHISING GROUP, INC.
- Incorporated in
- SC
- HQ
- 234 Seven Farms Drive, Suite 111-B, Daniel Island, South Carolina 29492
- Auditor
- Glaser and Company, LLC
- Audited financials
- Franchisor revenue
- $10.8M
- vs $11.6M prior year
Affiliated brands
- MHM Group
Other brands the franchisor or its parent operates (Item 1).
Overview
About
UNITS franchisees operate modular storage unit rental centers, managing inventory, customer acquisition, leasing/collections, and facility maintenance. Day-to-day involves sales consultations, tenant communication, logistics coordination, and pricing/occupancy optimization to drive recurring revenue.
- CEO
- Michael McAlhany
- Headquarters
- SC
- Founded
- 2005
- FDD year
- 2024
- States available
- 33
FDD Item 7 · 2024 filing · 9 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Franchise Feenot refundable | $56K | $222K | |
| Real Estate | $25K | $50K | |
| Technology Systems and Initial Inventorynot refundable | $8K | $18K | |
| Containers, including Freight and Shippingnot refundable | $303K | $434K | |
| UNITS Moving and Portable Storage Delivery Systems and Forkliftnot refundable | $225K | $300K | |
| Signagenot refundable | $200 | $5K | |
| Grand Opening Advertisingnot refundable | $10K | $10K | |
| Trainingnot refundable | $2K | $5K | |
| Additional Fundsnot refundable | $80K | $200K | |
| Total initial investment | $708K | $1.2M |
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
- $708K – $1.2M
- Near category avg vs category
- Liquid capital req'd
- $80K – $200K
- Near category avg vs category
- Franchise fee
- $56K – $222K
- Near category avg vs category
- Royalty
- 8.0%
- Gross Sales · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 10.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 8.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $10K |
| Transfer fee | $20K |
| Renewal fee | $1K |
| Inventory (initial) | $8K – $18K |
| Total fee load | 10.0% of rev |
Financial Performance
This brand's FDD disclosed "gross_sales" in Item 19 rather than annual gross sales. This metric cannot be directly compared across brands, so we omit it from rankings.
vs Business Services averages
How Units Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 73
- Opened
- 11
- Last reporting year
- Closed
- 0
- Turnover rate
- 0.0%
- Company-owned
- 3
- Corporate units in the system
- % franchised
- 96%
- vs corporate-owned
- Net growth (yr3)
- +16.7%
- Net unit change last year
- 3-yr CAGR
- +59.1%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 10
- Closed (3yr)
- 0
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 1
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 33 states reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
33
states with franchisees (per FDD Item 12)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 70
- Loan volume
- $82.4M
- Median loan
- $1.1M
- 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
- 11
- Defaults
- 0
Vintage analysis
Units charge-off rate by loan vintage
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Units's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 10 lenders with concentration factor
- Per-state charge-off rates across 15 states
- Startup risk premium and job creation velocity
- 10-year lending trend
- SBA 504 real estate/equipment data
Instant access. No subscription.
With a 0.0% charge-off rate across 70 loans, banks have historically viewed this brand favorably for lending.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
UNITS presents moderate-to-caution risk: unverified financial claims, high capital requirements, questionable going concern status, and lack of transparent Item 19 disclosure demand serious due diligence before investment.
Litigation (Item 3)
0 case reference(s): 0 pending, 0 settled.
Largest disclosed settlement: $734,400
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Glaser and Company, LLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: No
Score breakdown · what drove the 5 / 100 rating
- 01MEDNo Item 19 Financial Performance Representation disclosed — cannot independently verify claimed $762,508 avg revenue or $137,050 net income figures
- 02MINORHigh initial investment range ($707k-$1.2M) with only 18% net margin — 5-8 year payback period and significant capital at risk
- 03MINORModest unit growth of 16.7% YoY against large system (73 units) suggests potential market saturation; absolute growth may be slowing
- 04HIGHGoing Concern status is FALSE — unusual flag suggesting potential franchisor financial instability or accounting red flags that require clarification
- 05MINOR8% royalty on gross sales (not net) creates cash flow pressure during slow months and misaligned incentives between franchisor and franchisee profitability
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 | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Population-based |
| Protected territory | Yes |
| Territory population | 300,000 |
| 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 |
| Termination notice | 30 days |
| Termination groundsℹ | 2 |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | South Carolina |
| Litigation count | 0 |
View Item 3 litigation summary
0 case reference(s): 0 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 35 hrs
- On-the-job training
- 4 hrs
- Training location
- On-site and off-site
- Site selection
- franchisee
- POS system
- Sitelink Portable Storage Software
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Sitelink Portable Storage Software
Item 20 · call current owners
Franchisee Contacts
1 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
UNITS · FDD (2024) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a UNITS franchise?
The total investment to open a UNITS franchise ranges from $708K – $1.2M, with an initial franchise fee of $56K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do UNITS franchise owners earn?
UNITS 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 UNITS's franchise failure rate?
Based on SBA 7(a) loan data, UNITS has a charge-off rate of 0.0% across 70 loans, meaning 0.0% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many UNITS franchise locations are there?
As of their most recent FDD filing, UNITS has 73 total units in the United States, including 44 franchised units and 3 company-owned units. 11 new units were opened in the latest reporting year.
Is UNITS a good franchise to buy?
FranchiseVerdict rates UNITS as a A-grade franchise with a risk score of 5 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.