Bottom line
- Total investment $36K – $60K including a $20K franchise fee, 10.0% ongoing royalty.
- Average unit revenue of $138K/year (median $127K).
- Rated MODERATE with a risk score of 63/100.
- Emerging franchise — only 2 years of franchising with 42 units. Early-stage systems carry higher risk but may offer better territory availability.
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 Velox Valuations unit return on the cash you put in?
Unlevered ROIC · per unit
24%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Velox Valuations units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$83K
on $413K purchase
Total debt
$331K
SBA $0.2M + senior + seller note
Overview
About
Velox Valuations franchisees operate business valuation and appraisal services, likely serving small-to-mid-market clients, accounting firms, law firms, and M&A advisors. Day-to-day operations involve conducting financial valuations, preparing reports, managing client relationships, and potentially supervising junior appraisers. Revenue depends on billable hours and engagement complexity.
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 · 14 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
Velox Valuations presents CAUTION-level risk due to undisclosed going concern issues, missing profitability data, stagnant unit growth, and insufficient transparency on actual franchisee net returns.
Score breakdown · what drove the 63 / 100 rating
- 01HIGHGoing Concern status is FALSE — franchisor may face financial or operational viability issues
- 02MEDNet Income not disclosed in Item 19 — impossible to validate actual profitability claims against $137,831 avg revenue
- 03MINORUnknown unit growth trajectory — 42 units with no growth data suggests stagnation or inability to scale
- 04MED10% royalty on gross sales is high relative to disclosed average revenue ($13,783 annual royalty burden at average unit)
- 05HIGHNo litigation disclosed but going concern status raises questions about financial disputes or regulatory issues
- 06MEDLimited transparency — franchise fee ($20k) is modest but overall financial picture is opaque
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
15 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Velox Valuations · FDD (2025) PDF