Bottom line
- Total investment $92K – $182K including a $40K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $481K/year (median $359K).
- Rated STRONG with a risk score of 51/100. SBA loan default rate of 0.0% across 27 loans (below the industry average).
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 WOW 1 DAY PAINTING unit return on the cash you put in?
Unlevered ROIC · per unit
25%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 WOW 1 DAY PAINTING units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$96K
on $481K purchase
Total debt
$385K
SBA $0.2M + senior + seller note
Overview
About
WOW 1 Day Painting franchisees operate interior and exterior residential painting services, completing projects in accelerated timeframes using standardized processes and crew-based models. Day-to-day operations include customer acquisition (lead generation/sales), crew scheduling, job estimation, project execution, quality control, and customer service recovery.
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 · 32 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
Declining unit base, undisclosed profitability, franchisor financial concerns, and litigation history create a CAUTION-to-HIGH RISK profile requiring significant due diligence before investment.
Score breakdown · what drove the 51 / 100 rating
- 01MINORUnit count declining 4.3% YoY (44 units) indicates system contraction and potential saturation or franchisee satisfaction issues
- 02MEDNet income not disclosed in Item 19 prevents ROI validation; $481k avg revenue unclear if sustainable or achievable by new franchisees
- 03HIGHLitigation history (DiNardo case) shows willingness to litigate; dismissal doesn't eliminate reputational/operational risk or indicate systemic compliance problems
- 04HIGHGoing Concern status = FALSE suggests financial instability at franchisor level, raising questions about support infrastructure and longevity
- 05MINOR5-year term is relatively short; rebuilding after year 3-4 struggles may be difficult before renewal decision
- 06MINORHigh initial investment range ($92k-$182k) with 6% royalty on top of all costs creates tight margin if avg revenue doesn't materialize
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
71 numbers
One-time purchase · CSV download · Validation questions included
FDD download
WOW 1 DAY PAINTING · FDD (2025) PDF