How Much Does a Showhomes Franchise Cost?
Data from the 2025 Franchise Disclosure Document
Investment Summary
Total Investment
$49K – $158K
Franchise Fee
$20K
Royalty
Greater of $750/mo or 7%-10% of Service Sales; 5% of Product Sales; 3%-7% of Update Sales
Ad Fund
2.0%
Cost Breakdown
Initial Franchise Fee
The initial franchise fee for Showhomes is $20K. 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 Showhomes franchise requires a total investment of $49K – $158K. 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 $25K to $50K.
Ongoing Costs
Beyond the initial investment, Showhomes franchisees pay ongoing fees. The royalty structure is: Greater of $750/mo or 7%-10% of Service Sales; 5% of Product Sales; 3%-7% of Update Sales. The advertising or brand fund contribution is 2.0% of gross sales. There is also a technology fee of $295.
Net Worth & Liquid Capital Requirements
Showhomes requires working capital of $25K – $50K 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 Showhomes's Item 19 financial performance representation:
Median gross sales: $416K
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 Showhomes?
SBA Loans Issued
8
Default Rate
40.0%
The SBA (Small Business Administration) tracks loan performance for franchise brands. Showhomes has 8 SBA-backed loans on record. The default rate is 40.0%, which is above the franchise industry average, suggesting higher 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 Showhomes franchise owners
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Compare Showhomes to similar franchises
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