Zagg Franchise Cost, Revenue & Review 2026
- Investment
- $49K – $109K
- Disclosed sales
- partial, no system average
- SBA charge-off
- Under 10 loans (1)
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
ZAGG is a retail franchise selling screen protectors, phone cases, chargers, and mobile accessories, with install services, from kiosks and stores. Franchisees run mall and retail locations managing sales, installs, and inventory.
FranchiseVerdict summary · 2026
A ZAGG franchise requires a total initial investment of $49K – $109K, including a $15K franchise fee and an ongoing 5.0% royalty[2]. The 2026 FDD on file does not yield a unit-revenue figure we can publish. FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: low - issued within the last 12 months
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✗ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored5 of 5 headline figures on this page cite a page of the filing.
Overview
- Investment
- $49K – $109K
- 3rd pct Retail
- Avg gross sales
- N/A
- Partial period
- Royalty
- 5.0%
- 6th pct Retail
- Units
- 98
- 29th pct Retail
- SBA charge-off
- N/A
Quick verdict · Retail · color = vs category peers
Green = favorable by >10% vs Retail median · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $49K – $109K including a $15K franchise fee, 5.0% ongoing royalty.
- RETURNSItem 19 reports Monthly Gross Volume and Gross Profit Margin rather than annual gross sales, so unit revenue is not directly comparable.
- RISKVerdict A (Strongest tier), verdict score 78/100 (higher is better).
- GROWTHNegative: net -1 franchised outlets in the latest year (4 opened, 5 closed) (Item 20).
- FLAG5 units terminated last reporting year (5.1% of the system). Ask existing franchisees why.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- MMI-JS, LLC dba Retail Channel Partners
- Parent company
- Marathon Management Services II, LLC
- FDD Item 1, page 7 of the 2026 FDD
- Ultimate parent
- ZAGG and mophie (joint owners of intellectual property)
- FDD Item 1, page 7 of the 2026 FDD
- Predecessor
- ZAGG Inc.
- Prior franchisor entity
- CEO title
- Chief Executive Officer
- Steve Bain
- CEO experience
- 8 yrs
- Years in role or industry
- Incorporated in
- Delaware
- HQ
- 7100 E. Pleasant Valley Rd., Ste. 300, Independence, OH 44131
- Auditor
- Ciuni & Panichi, Inc.
- Audited financials
- Franchisor revenue
- $3.5M
- vs $3.0M prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Same owner · FDD Item 1, page 7
1 other brand on this site name ZAGG and mophie (joint owners of intellectual property) as parent or ultimate parent in their own FDD.
Grouped by the owner's name as each filing prints it (this page: the 2026 FDD). Spelling variants of the same group may be listed apart; a brand is never grouped with an owner its filing does not name.
Overview
About
- CEO
- Steve Bain
- Headquarters
- OH
- FDD year
- 2026
- States available
- 25
Can you afford it, and what does the money buy?
Entry cost runs 76% below the typical retail franchise.
Source: FDD 2026 · Items 5–7
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $15K | $15K |
| Working capital (3–6 mo) | $21K | $25K |
| Equipment, build-out, other | $14K | $69K |
| Total initial investment | $49K | $109K |
Source: ZAGG 2026 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $49K – $109K
- Top 40% of category vs category
- Liquid capital req'd
- $21K – $25K
- Top 40% of category vs category
- Franchise fee
- $15K – $15K
- Top 40% of category vs category
- Royalty
- 5.0%
- Set by a formula · typical 6–8%
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 7.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $1 |
| Transfer fee | $5K |
| Renewal fee | $5K |
| Inventory (initial) | $10K – $30K |
| Total fee load | 7.0% of rev |
What do units actually make?
Source: FDD 2026 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
No Item 19 revenue figure for ZAGG is on file. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one ZAGG unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2026 FDD
Financial Performance
Item 19 reports Monthly Gross Volume and Gross Profit Margin rather than annual gross sales, so unit revenue is not directly comparable. We omit it from rankings.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 7.0% (near the Retail median).
Disclosure
Item 19 reports Monthly Gross Volume and Gross Profit Margin rather than annual gross sales, so unit revenue is not directly comparable.
Operator retention
System roughly stable (0.0% 3-year CAGR) with 98 units.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Retail medians
How Zagg Compares
Category median of published Retail brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 98
- Opened
- 4
- Last reporting year
- Closed
- 5
- Terminated
- 5
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 5.1%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- +0.0%
- Net unit change over 3 years
- 3-yr CAGR
- +0.0%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 5
- Not renewed
- 0
- Transferred
- 2
- Reacquired
- 0
- Franchisor bought back
- Transfer rate
- 2.0%
- Owners selling to other franchisees
- Termination rate
- 6.1%
- Franchisor-initiated terminations
- Ceased ops
- 5.1%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 19 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 contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Where the owners are · Item 20 owner list
80 current owners across 18 states; 4 former (terminated, transferred or not renewed) listed separately.
- UT 19
- CA 12
- NJ 8
- NY 6
- TX 6
- CO 4
- ID 4
- AZ 3
- OH 3
- OK 3
- AK 2
- FL 2
- +6 more states
Counts only, from the list the franchisor prints in Item 20. Names and phone numbers are for your own due diligence and are not shown here.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 1 7(a) loan on file; statistical reliability is limited below 10 loans.
- Total loans
- 1
- Loan volume
- $150K
- Median loan
- $150K
- 50th percentile
- Charge-off rate
- Under 10 loans (1)
- Insufficient SBA coverage: 1 loan, rate hidden below 10
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- Under 10 loans (1)
- 5-yr charge-off
- Under 10 loans (1)
- Loans approved 2021+
- Active lenders
- 1
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Clean: no litigation, no bankruptcy, audited financials, Item 19 disclosed. Positive net worth $504,514 and strong net income $941,349 on $2.97M revenue. Stable 98-unit all-franchised system with low 5.1% turnover.
Litigation (Item 3)
Subject: officers or affiliates. The franchisor is not a named party in these cases.
No litigation required to be disclosed
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Ciuni & Panichi, Inc.
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Franchisor revenue: continuing licensee/franchisee fees, advertising fund, ZAGG & CPR warranty product commissions, corporate store sales (declined to $0 by 2025 as company-owned units closed), other.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 78 / 100 verdict
- 01MINORNo litigation or bankruptcy
- 02MINORPositive net worth $504K, net income $941K
- 03MINORStable 98-unit system, 5.1% turnover
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 7.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 3 years |
|---|---|
| Renewal term | 3 years |
| Territory type | Exclusive territory |
| Protected territory | Yes |
| Exclusive territoryℹ | Yes |
| Territory sizeℹ | Specific shopping mall/retail center or defined geographic area (Franchise Premises) |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Not allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 10 days |
| Termination groundsℹ | 15 |
| Curable defaultsℹ | 5 |
| Mandatory arbitration | Yes |
| Arbitration location | Cleveland, Ohio |
| Jury trial waiver | Yes |
| Governing law | Ohio |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation required to be disclosed
Items 10, 11
Training & Operations
- Classroom training
- 22 hrs
- On-the-job training
- 12 hrs
- Ongoing training
- Required
- Time to open
- 2 mo
- From signing to launch
- Site selection
- franchisee
- Franchisor financing
- Not offered
- Item 10
- POS system
- RQ Retail Management by iQmetrix
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: RQ Retail Management by iQmetrix
Item 20 · call current owners
Franchisee Contacts
84 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a ZAGG franchise?
The total investment to open a ZAGG franchise ranges from $49K – $109K, with an initial franchise fee of $15K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do ZAGG franchise owners earn?
Item 19 of the ZAGG FDD discloses figures for part of the system but no single average across all outlets. These are gross sales figures, not profit; the Revenue section shows what the filing reports and on what basis. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns ZAGG?
ZAGG is franchised by MMI-JS, LLC dba Retail Channel Partners. Its parent company is Marathon Management Services II, LLC. The ultimate parent named in the FDD is ZAGG and mophie (joint owners of intellectual property). Source: FDD Item 1, 2026 filing.
What is Item 19 in the ZAGG FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the ZAGG FDD and qualifies whose outlets they describe.
What is ZAGG's franchise failure rate?
SBA 7(a) loan charge-off data is not available for ZAGG (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many ZAGG franchise locations are there?
As of their most recent FDD filing, ZAGG has 98 total units in the United States, including 98 franchised units and 0 company-owned units. 4 new units were opened in the latest reporting year.
Is ZAGG a good franchise to buy?
FranchiseVerdict rates ZAGG as a A-grade franchise with a verdict score of 78 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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.
For franchisors
Are you the franchisor?
If you represent ZAGG, you can request corrections or provide updated information.
Other Retail franchises
Compare similar franchise opportunities in the Retail category
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.