Cabinet IQ Franchise
Cost, fees, owner earnings, closure rate and litigation for a Cabinet IQ franchise — pulled from the franchisor's own public FDD (2026), not its sales material.
Disclosure honesty
Cabinet IQ discloses earnings (Item 19) — but the grade is how honestly. We graded it C.
What their own earnings claim actually says
Single affiliate location (Cedar Park): $2.38M revenue, 13.5% adjusted profit. Two franchisees full-year: $747K-$1.51M revenue, 40.6-42.2% margin. Seven partial-year: $265K-$1.93M revenue, 33.6-48.7% margin. Excludes 39 non-qualifying outlets.
What a Cabinet IQ franchise actually costs to run
| Fee | Disclosed | Where it comes from |
|---|---|---|
| Initial franchise fee | $59,500 | Item 5 — paid up front, before you open |
| Royalty | 6% of gross sales | Item 6 — charged on revenue, not profit |
| Advertising fund | 1% of gross sales | Item 6 — brand marketing, spent at the franchisor's discretion |
| Total recurring fees | 7% of gross sales | Before rent, labor, food or debt service |
| Total initial investment | $308,350 – $482,750 | Item 7 — franchisor's own low/high estimate |
6% royalty (min $2,500-$5,000/mo); 1% brand fund; 4% local marketing minimum $4,500/mo; $549/mo technology fee; substantial additional fees (transfer, renewal, training, audit, compliance).
Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.
Cabinet IQ system size and owner turnover
| Total outlets | 54 |
| Ceased operations | 3 |
| Terminated by franchisor | 1 |
| Transferred to new owners | 0 |
| Closure rate | 5.6% of outlets |
3 closures in 2025; 1 termination; minimal transfers suggest retention challenges.
From Item 20 of the FDD 2026. Terminations and ceased operations are the franchisor's own count of owners who stopped — the number the sales pitch leaves out.
Is Cabinet IQ worth it? — how it compares to 436 similar franchises
| Ongoing fees | 7% of sales | lower than most (median 8%) |
| Startup cost | from $308,350 | pricier than 74% of peers |
| Disclosure honesty | Grade C | typical for the category |
| Closure rate | 5.6% of outlets | worse than 75% of peers |
| Disclosed lawsuits | 0 | fewer than most |
Benchmarked against every other franchises franchise we've graded from public FDDs — the context the franchisor's pitch never gives you.
Owner take-home for a Cabinet IQ
The franchisor's framing: Single affiliate location (Cedar Park): $2.38M revenue, 13.5% adjusted profit. Two franchi… We reconstruct what an owner actually keeps, from their own FDD.
- Reconstructed owner P&L — net take-home after royalty, ad fund, rent, labor & debt
- Break-even timeline + cash-on-cash ROI
- Full fee stack + required-purchase markups
- Decoded real failure / closure rate
- How it ranks vs comparable franchises
- Validation-call playbook — the exact questions to ask
See a full sample report → · 30-day guarantee
Cabinet IQ franchise — frequently asked
- How much does a Cabinet IQ franchise cost?
- The FDD lists a total initial investment of about $308,350–$482,750, including a $59,500 initial franchise fee.
- How much do Cabinet IQ franchise owners make?
- Single affiliate location (Cedar Park): $2.38M revenue, 13.5% adjusted profit. Two franchisees full-year: $747K-$1.51M revenue, 40.6-42.2% margin. Seven partial-year: $265K-$1.93M revenue, 33.6-48.7% margin. Excludes 39 non-qualifying outlets. We grade this disclosure C for honesty.
- What are the Cabinet IQ franchise fees?
- Cabinet IQ's FDD discloses a $59,500 initial franchise fee, a 6% royalty on gross sales, a 1% advertising-fund contribution, for roughly 7% of gross sales in recurring fees before rent, labor, or debt service. 6% royalty (min $2,500-$5,000/mo); 1% brand fund; 4% local marketing minimum $4,500/mo; $549/mo technology fee; substantial additional fees (transfer, renewal, training, audit, compliance).
- What is the Cabinet IQ franchise profit margin?
- Cabinet IQ does not publish a franchisee net-profit margin — almost no franchisor does. What Item 19 actually shows: Single affiliate location (Cedar Park): $2.38M revenue, 13.5% adjusted profit. Two franchisees full-year: $747K-$1.51M revenue, 40.6-42.2% margin. Seven partial-year: $265K-$1.93M revenue, 33.6-48.7% margin. Excludes 39 non-qualifying outlets. Recurring fees alone take about 7% of gross sales, before rent, labor, food or debt service. Margin has to be reconstructed from the disclosure, not read off it.
- What is the Cabinet IQ franchise failure rate?
- 3 closures in 2025; 1 termination; minimal transfers suggest retention challenges.
- How many Cabinet IQ locations are there?
- Cabinet IQ's FDD reports 54 total outlets, with 3 that ceased operations in the most recent reporting year and 0 transferred to new owners. Item 20 is where system health shows up before the marketing does.
- Does Cabinet IQ have complaints or lawsuits?
- Cabinet IQ discloses no material litigation in Item 3 of the filing we reviewed. That's a positive signal, though it covers only what the franchisor is required to report.
- Is a Cabinet IQ franchise worth it?
- It depends on the numbers, not the pitch. Cabinet IQ scores C on disclosure honesty, carries about 7% of sales in ongoing fees. Get the real owner take-home before you sign.
Own a Cabinet IQ? Add your real numbers (anonymous)
We publish only aggregated benchmarks — never your name. Contribute and we'll show you how your numbers compare.
Compare Cabinet IQ to similar franchises
See all franchises ranked by disclosure honesty →
Source: MN CARDS 36360-202604-01 (Clean FDD 2026). FranchiseValidate is independent and not affiliated with Cabinet IQ or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.