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FranchiseVerdict

How Much Does a HomeSmiles Franchise Cost?

Data from the 2026 Franchise Disclosure Document

Investment Summary

Total Investment

$148K – $202K

Franchise Fee

$60K

Royalty

Greater of 6% of Gross Sales or Minimum Monthly Royalty Fee Requirements

Ad Fund

2.0%

Cost Breakdown

Initial Franchise Fee

The initial franchise fee for HomeSmiles is $60K. This one-time payment covers the right to operate under the brand, access to proprietary systems, and initial training programs.

Total Investment Range

Opening a HomeSmiles franchise requires a total investment of $148K – $202K. This range typically includes real estate or leasehold improvements, equipment and fixtures, initial inventory, signage, insurance, and working capital to sustain operations during the ramp-up period.

Working capital alone ranges from $42K to $65K.

Ongoing Costs

Beyond the initial investment, HomeSmiles franchisees pay ongoing fees. The royalty structure is: Greater of 6% of Gross Sales or Minimum Monthly Royalty Fee Requirements. The advertising or brand fund contribution is 2.0% of gross sales. There is also a technology fee of $297.

Net Worth & Liquid Capital Requirements

HomeSmiles requires working capital of $42K – $65K to cover initial operating expenses. This is the liquid cash you should have available beyond the franchise fee and buildout costs.

What Can You Earn?

According to HomeSmiles's Item 19 financial performance representation:

$584KAvg. Gross Sales

Median gross sales: $584K

This figure comes from Item 19 of the FDD. Gross sales are not the same as take-home profit. After deducting royalties, ad fund fees, rent, labor, and COGS, net income is typically a fraction of gross revenue.

How Do Banks View HomeSmiles?

SBA Loans Issued

26

Default Rate

0.0%

The SBA (Small Business Administration) tracks loan performance for franchise brands. HomeSmiles has 26 SBA-backed loans on record. The default rate is 0.0%, which is below the franchise industry average, indicating relatively lower lending risk. A lower default rate generally indicates that lenders view the franchise as a safer investment, though past performance does not guarantee future results.

Next Steps

Talk to current HomeSmiles franchise owners

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See full HomeSmiles research

Risk analysis, unit growth, contract terms, and more

Compare HomeSmiles to similar franchises

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