FranchiseVerdict
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FV-03000·STRONGExcellent86

World Options

Business Services - Shipping & PostalFranchising since 2017Website
Investment
$81K – $93K
43rd pct Shipping & Po…
Avg revenue
$1.0M
21st pct Shipping & Po…
Royalty
35.0% (?)
Likely extraction error
Units
7
7th pct Shipping & Po…
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $81K – $93K including a $55K franchise fee, 35.0% ongoing royalty.
  • Average unit revenue of $1.0M/year (median $909K).
  • Rated STRONG with a risk score of 52/100. SBA loan default rate of 0.0% across 13 loans (below the industry average).
  • Auditor disclosed a going-concern note — flagged doubt about the franchisor's ability to continue operations. Verify against the latest FDD.

Item 1 · who you're contracting with

The Franchisor

Legal entity
World Options, Inc.
Parent company
World Options Limited
Incorporated in
Utah
HQ
143 Union Blvd., Suite 625, Lakewood, Colorado 80228
Auditor
Squire & Company, PC
Audited financials
Franchisor revenue
$3.7M
vs $3.1M prior year
⚠ Going-concern note
Disclosed in FDD 2025
Auditor flagged doubt about continued operations. Verify against the latest FDD before deciding.

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 World Options unit return on the cash you put in?

Revenue · per unit, per year
$
FDD Item 19 reports $1,042,648
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: retail
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $81K–$93K
Working capital
$
FDD reports $12K–$17K

Unlevered ROIC · per unit

-258%

Negative

0%30–60% Yale band80%

Store EBITDA · annual
$-261K
EBITDA margin
-25.0%
Total invested
$101K
Payback
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Overview

About

World Options operates as a freight brokerage and logistics franchise focusing on Full Truckload (FTL), Less Than Truckload (LTL), and other shipping services. Franchisees manage client relationships, negotiate freight rates, arrange transportation, and handle billing/collections while remitting 15-35% of gross margin to the franchisor.

CEO
Stewart Michael Butler
Founded
2016
FDD year
2025
States available
5

Item 7 · what it costs

The Vitals

Total investment
$81K – $93K
All-in to open one unit
Liquid capital
$12K – $17K
Cash you must have on hand
Franchise fee
$55K
Royalty
35.0%
Gross Margin · typical 6–8%
Ad fund
5.0%
typical 3–5%
Total fee load
40.0%
vs 9–13% typical

Item 19

Financial Performance

Avg gross sales
$1.0M
Per unit, per year
Median gross sales
$909K
Item 19 type
Average and Median Gross Sales
Sample size
3 units
vs category median 32 · small
Range (low → high)
$99K$2.1M
Cohort dispersion
Transparency
4 / 5
vs category median 3 / 5 · above
Revenue rank21th
vs Business Services - Shipping & Postal peers
Investment cost rank43th
Lower investment ranks lower (better)
Royalty rate rank57th
Lower royalty = lower percentile (better)
Unit count rank7th
vs Business Services - Shipping & Postal peers
Risk score rank21th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
7
Opened
3
Last reporting year
Closed
1
Turnover rate
14.3%
Company-owned
1
Corporate units in the system
% franchised
86%
vs corporate-owned
Net growth (yr3)
+50.0%
Net unit change last year
3-yr CAGR
+20.0%
Compounded over last 3 years
2023
6+2
Franchised units
2024
4
Franchised units
2025
5
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 7 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).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 7 states
Not registered

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.

Total loans
13
Loan volume
Avg loan
Default rate
0.0%
vs <3% typical · system-wide
5-yr default

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

52
Risk · 0-100
STRONG52 / 100

Small, rapidly growing system with opaque profitability, punitive royalty rates, unprotected territories, and insufficient franchisee financial disclosure to validate investment viability.

Score breakdown · what drove the 52 / 100 rating

  1. 01MINORExtremely high royalty rates (15-35% of gross margin) compress profitability and leave minimal net income cushion
  2. 02MEDNet income not disclosed in FDD — inability to verify actual franchisee profitability despite $1M+ revenue claims
  3. 03MINORUnprotected territory creates direct competition risk; 50% YoY unit growth suggests rapid market saturation potential
  4. 04MEDOnly 7 units total indicates very small, unproven franchise system with limited track record and peer support network
  5. 05MEDHigh initial investment ($81-93K) + $55K franchise fee ($136-148K total) against undisclosed net income creates ROI uncertainty
  6. 06MINORRoyalty structure tied to gross margin (not revenue) incentivizes franchisor to monitor cost accounting closely and creates disputes risk

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Protected territory
No
Initial term
10 years
Renewal term
10 years
Online sales rights
Granted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
Colorado

Item 11

Training & Operations

Classroom training
20 hrs
On-the-job training
24 hrs
POS system
Portal
Operating tech stack

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

14 numbers

Locked
(801) 533-••••
UT
(512) 739-••••
TX
(903) 274-••••
TX

One-time purchase · CSV download · Validation questions included

FDD download

World Options · FDD (2025) PDF

Single-page checkout · instant download · CSV export of contacts available separately above