Rainbow Restoration Franchise Prices, Charges, Revenues, Income (2023 Evaluation)

On this unique Franchise Chatter FDD Speak put up, you’ll study the next:

Part I – Estimated preliminary funding (franchise prices) for a Rainbow Restoration franchise, primarily based on Merchandise 7 of the corporate’s 2023 FDD

Part II – Preliminary franchise charge, royalty charge, and advertising charge for a Rainbow Restoration franchise, primarily based on Gadgets 5 and 6 of the corporate’s 2023 FDD

Part III – Variety of franchised and company-owned Rainbow Restoration shops firstly of the yr and the tip of the yr for 2020, 2021, and 2022, primarily based on Merchandise 20 of the corporate’s 2023 FDD

Part IV – Information updates on the Rainbow Restoration franchise alternative

Part V – Presentation and evaluation of Rainbow Restoration’s monetary efficiency representations (common revenues and/or earnings), primarily based on Merchandise 19 of the corporate’s 2023 FDD, together with data on the:

• 2022 common, median, highest, and lowest product sales for the highest 10%, high 25%, high 50%, backside 50%, backside 25%, backside 10%, and all 267 Rainbow Restoration franchised companies that have been in operation and reporting gross sales for the total 12 months of the 2022 calendar yr and submitted their product sales knowledge utilizing the software program system

• 2022 common, median, highest, and lowest product sales for the 267 Rainbow Restoration franchised companies that have been in operation and reporting gross sales for the total 12 months of the 2022 calendar yr and submitted their product sales knowledge utilizing the software program system, grouped by territory measurement (inhabitants: 1 to 249,999, 250,000 to 499,999, 500,000 and up)

Part VI – Key ratios, comparables, computations, and analyses for the Rainbow Restoration franchise alternative (unique content material for Platinum subscribers)

Part I – Rainbow Restoration Franchise Prices

• Rainbow Restoration franchise prices, primarily based on Merchandise 7 of the corporate’s 2023 FDD:

• Preliminary Franchise Charge:  $40,000 + $400 per 1,000 further inhabitants over minimal
• Automobile:  $10,000 to $55,000
• Gear, Provides, and Stock:  $40,461 to $65,000
• Insurance coverage (Annual Normal Legal responsibility/Air pollution/Workman’s Comp/Workplace):  $12,000 to $18,000
• Promoting & Promotional and Native Advertising Spending for Advertising Begin-up Section:  $15,000 to $25,000
• Coaching, Journey, Lodging, and Meals:  $6,400 to $10,200
• Deposits, Permits, and Licenses:  $1,675 to $3,600
• Skilled Charges:  $2,500 to $5,000
• Recruiting and Onboarding:  $650 to $1,000
• Lead Protected Gear, Provides, and Certification:  $650 to $3,100
• Further Funds for 6-9 Months:  $40,000 to $100,000
• Actual Property:  quantity not specified
• Complete Estimated Rainbow Restoration Franchise Prices (doesn’t embody actual property prices):  $169,336 to $325,900 + any further franchise charge + any actual property prices

Part II – Rainbow Restoration’s Preliminary Franchise Charge, Royalty Charge, and Advertising Charge

• Rainbow Restoration’s preliminary franchise charge, royalty charge, and advertising charge, primarily based on Gadgets 5 and 6 of the corporate’s 2023 FDD:

• Preliminary Franchise Charge:  $40,000 + $400 per 1,000 further inhabitants over minimal
• License Charge:  3% to eight% of Gross Gross sales, aside from “roll-in” gross sales and Reconstruction Companies. As well as, minimal license charges apply.
• Advertising, Promoting, and Promotion (MAP) Charge:  2% of Gross Gross sales, aside from “roll-in” gross sales and Reconstruction Companies. As well as, minimal MAP charges apply.
• Native Advertising Teams:  to not exceed 3% of Gross Gross sales

Part III – Variety of Franchised and Firm-Owned Rainbow Restoration Shops

Franchised

2020

• Shops on the Begin of the 12 months:  294
• Shops on the Finish of the 12 months:  313
• Internet Change:  +19

2021

• Shops on the Begin of the 12 months:  313
• Shops on the Finish of the 12 months:  315
• Internet Change:  +2

2022

• Shops on the Begin of the 12 months:  315
• Shops on the Finish of the 12 months:  314
• Internet Change:  -1

Firm-Owned

2020

• Shops on the Begin of the 12 months:  0
• Shops on the Finish of the 12 months:  0
• Internet Change:  0

2021

• Shops on the Begin of the 12 months:  0
• Shops on the Finish of the 12 months:  0
• Internet Change:  0

2022

• Shops on the Begin of the 12 months:  0
• Shops on the Finish of the 12 months:  0
• Internet Change:  0

Part IV – Information Updates on the Rainbow Restoration Franchise

Part V – Monetary Efficiency Representations (Common Revenues and/or Income) for the Rainbow Restoration Franchise (Merchandise 19, 2023 FDD)

• The gross sales figures listed under embody common and median Gross Gross sales derived from historic working outcomes of the franchised companies indicated for the time durations lined.

• Rainbow Restoration obtained these gross sales figures from data offered to it by its franchisees for the interval from January 1, 2022 via December 31, 2022 (the “2022 Reporting Interval”). Neither Rainbow Restoration nor its impartial licensed public accountants have audited or verified any of the gross sales figures reported to it. Franchisees should not required to make use of usually accepted accounting ideas when reporting these figures.

• As of December 31, 2022, there have been 314 franchised companies in operation within the U.S. This Merchandise 19 consists of knowledge from 267 franchised companies, which have been in operation and reporting gross sales for the total 12 months of the 2022 Reporting Interval, they usually submitted their Gross Gross sales knowledge utilizing the Software program System.

• The data offered on this Merchandise 19 doesn’t embody knowledge from (i) 23 franchised companies that opened throughout the yr 2022 and subsequently weren’t in operation for all the 2022 Reporting Interval, (ii) 6 franchised companies that have been transfers and weren’t in operation for all the 2022 Reporting Interval, (iii) 4 franchised companies that didn’t report back to Rainbow Restoration Gross Gross sales knowledge utilizing its Software program System, and (iv) 14 franchised companies that reported $0 in Gross Gross sales for all the 2022 Reporting Interval.

• Twenty-four franchised companies closed throughout the 2022 fiscal yr, and so they didn’t report knowledge for all the 2022 Reporting Interval and subsequently their knowledge can be excluded from this Merchandise 19. Of the 24 franchised companies that closed throughout the fiscal yr 2022, 1 franchised enterprise closed after being open for lower than 12 months.

• “Gross Gross sales” means the full revenues and receipts from no matter supply (whether or not within the type of money, credit score, settlement to pay, barter, commerce, or different consideration) that come up, immediately or not directly, from the operation of – or in reference to – a Rainbow Restoration enterprise whether or not beneath any of the Marks or in any other case.

• Gross Gross sales exclude gross sales taxes collected from prospects and paid to the suitable taxing authority and some other bona fide refunds, rebates, or reductions that Rainbow Restoration authorizes in writing. Gross Gross sales additionally exclude gross sales from any Excluded Companies (as outlined in a mutually executed Excluded Companies Addendum).

• The entire companies included within the figures under are usually akin to the franchise supplied by the Disclosure Doc. A few of such companies are “conversions,” which means that they have been working companies earlier than they transformed to a Rainbow Restoration franchise, together with firms that diversified their current portfolio of companies by including Rainbow Restoration’s companies to their current operations. These companies might have larger gross sales initially than companies that weren’t in operation previous to changing into a Rainbow Restoration franchisee.

• No changes, together with changes for geographic location, have been made to those reported gross sales. As well as, the data on this report is predicated on gross sales in a single 52-week interval in 2022. This report doesn’t embody details about earlier durations or attempt to estimate or predict what might happen in any future durations.

• Additionally, as a result of these are Gross Gross sales outcomes solely, no prices or bills are taken under consideration.

• Some shops have earned this quantity. Your particular person outcomes might differ. There is no such thing as a assurance you’ll earn as a lot.

Half 1 – Common and Median Gross Gross sales in 2022 Attained by Franchised Companies in Enterprise 12 Months or Extra and Reporting Utilizing Rainbow Restoration’s Software program System

Prime 10%

• Excessive Gross Gross sales:  $10,041,994
• Low Gross Gross sales:  $1,895,270
• Median Gross Gross sales:  $3,018,118
• Common Gross Gross sales:  $3,551,679
• Quantity in This Group:  27
• Quantity and % in Group That Attained the Common or Larger:  7 / 26%

Prime 25%

• Excessive Gross Gross sales:  $10,041,994
• Low Gross Gross sales:  $1,104,358
• Median Gross Gross sales:  $1,626,552
• Common Gross Gross sales:  $2,257,244
• Quantity in This Group:  67
• Quantity and % in Group That Attained the Common or Larger:  18 / 27%

Prime 50%

• Excessive Gross Gross sales:  $10,041,994
• Low Gross Gross sales:  $571,299
• Median Gross Gross sales:  $1,101,084
• Common Gross Gross sales:  $1,526,074
• Quantity in This Group:  134
• Quantity and % in Group That Attained the Common or Larger:  42 / 31%

Backside 50%

• Excessive Gross Gross sales:  $567,184
• Low Gross Gross sales:  $4,194
• Median Gross Gross sales:  $249,820
• Common Gross Gross sales:  $257,659
• Quantity in This Group:  133
• Quantity and % in Group That Attained the Common or Larger:  64 / 48%

Backside 25%

• Excessive Gross Gross sales:  $250,379
• Low Gross Gross sales:  $4,194
• Median Gross Gross sales:  $127,457
• Common Gross Gross sales:  $125,398
• Quantity in This Group:  67
• Quantity and % in Group That Attained the Common or Larger:  35 / 52%

Backside 10%

• Excessive Gross Gross sales:  $108,449
• Low Gross Gross sales:  $4,194
• Median Gross Gross sales:  $54,920
• Common Gross Gross sales:  $57,495
• Quantity in This Group:  27
• Quantity and % in Group That Attained the Common or Larger:  14 / 52%

100%

• Excessive Gross Gross sales:  $10,041,994
• Low Gross Gross sales:  $4,194
• Median Gross Gross sales:  $567,184
• Common Gross Gross sales:  $889,491
• Quantity in This Group:  267
• Quantity and % in Group That Attained the Common or Larger:  91 / 34%

Half 2 – Common and Median Gross Gross sales in 2022 Attained by Franchised Companies in Enterprise 12 Months or Extra and Reporting Utilizing Rainbow Restoration’s Software program System – Based mostly on Territory Dimension

Territory Dimension (by way of inhabitants): 1 to 249,999

• Excessive Gross Gross sales:  $3,303,179
• Low Gross Gross sales:  $4,566
• Median Gross Gross sales:  $362,900
• Common Gross Gross sales:  $556,307
• Quantity in This Group:  95
• Quantity and % in Group That Attained the Common or Larger:  32 / 34%

Territory Dimension (by way of inhabitants): 250,000 to 499,999

• Excessive Gross Gross sales:  $2,604,645
• Low Gross Gross sales:  $4,194
• Median Gross Gross sales:  $438,600
• Common Gross Gross sales:  $621,791
• Quantity in This Group:  91
• Quantity and % in Group That Attained the Common or Larger:  36 / 40%

Territory Dimension (by way of inhabitants): 500,000 and up

• Excessive Gross Gross sales:  $10,041,993
• Low Gross Gross sales:  $33,531
• Median Gross Gross sales:  $971,655
• Common Gross Gross sales:  $1,581,012
• Quantity in This Group:  81
• Quantity and % in Group That Attained the Common or Larger:  28 / 35%

Part VI – Rainbow Restoration Franchise Ratios, Comparables, Computations, and Analyses (Unique Content material for Platinum Subscribers) ⬇️