Bottom line
- Total investment $266K – $410K including a $55K franchise fee.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated MODERATE with a risk score of 56/100. SBA loan default rate of 0.0% across 75 loans (below the industry average).
- System growing at 150.0% CAGR over 3 years with 101 total units — strong expansion trajectory.
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 USA Insulation unit return on the cash you put in?
Unlevered ROIC · per unit
20%
Below typical band (30–60%)
Overview
About
USA Insulation franchisees manage residential and commercial insulation installation and removal services. Day-to-day operations include customer acquisition/sales, job estimation, crew scheduling and supervision, material procurement, and quality assurance on insulation projects (spray foam, fiberglass, cellulose, etc.). Most franchisees operate as owner-operators with 5–15 employees.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 23 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
USA Insulation presents elevated risk due to undisclosed financial performance, rapid growth without earnings transparency, and a high minimum royalty that may strain marginal locations.
Score breakdown · what drove the 56 / 100 rating
- 01MEDNo Item 19 financial performance data disclosed — impossible to validate ROI claims or benchmark profitability
- 02MINORAggressive unit growth (69.5% YoY) suggests rapid expansion with unclear unit quality/sustainability
- 03MINORRoyalty floor of $1,000/month ($12,000 annually) creates break-even pressure for low-revenue locations
- 04MEDHigh initial investment ($265.5K–$410K) with no disclosed average net income creates profitability uncertainty
- 05MED101-unit system remains relatively small with limited brand recognition — fewer peer benchmarks and less operational maturity
- 06MINOR10-year term is longer than industry standard (typically 5–7 years), locking franchisees into dated economics
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
52 numbers
One-time purchase · CSV download · Validation questions included
FDD download
USA Insulation · FDD (2024) PDF