Floorcoverings Franchise
Cost, fees, owner earnings, closure rate and litigation for a Floorcoverings franchise — pulled from the franchisor's own public FDD (2022), not its sales material.
Disclosure honesty
Floorcoverings discloses earnings (Item 19) — but the grade is how honestly. We graded it C.
What their own earnings claim actually says
Discloses 2021 gross revenue/landed data for 102 mature franchisees (24+ months). Top 10% averaged $2.9M produced. Cherry-picks mature franchisees; excludes startups, incomplete data, part-time operators.
What a Floorcoverings franchise actually costs to run
| Fee | Disclosed | Where it comes from |
|---|---|---|
| Initial franchise fee | $30,000 | Item 5 — paid up front, before you open |
| Royalty | 5% of gross sales | Item 6 — charged on revenue, not profit |
| Advertising fund | 3% of gross sales | Item 6 — brand marketing, spent at the franchisor's discretion |
| Total recurring fees | 8% of gross sales | Before rent, labor, food or debt service |
| Total initial investment | $165,400 – $235,100 | Item 7 — franchisor's own low/high estimate |
Royalty: 5% or $1,250–$2,917/mo minimum. Ad: 3% brand fund + 6% local minimum. Software $200–$300/mo + $500 annual.
Royalty and ad-fund percentages are charged on gross sales — an owner pays them whether or not the location is profitable.
Floorcoverings system size and owner turnover
| Total outlets | 194 |
| Ceased operations | 1 |
| Terminated by franchisor | 10 |
| Transferred to new owners | 6 |
| Closure rate | 0.5% of outlets |
2021: 29 openings, 1 ceased, 10 non-renewals, 10 terminations. Turnover rate elevated.
From Item 20 of the FDD 2022. Terminations and ceased operations are the franchisor's own count of owners who stopped — the number the sales pitch leaves out.
Is Floorcoverings worth it? — how it compares to 436 similar franchises
| Ongoing fees | 8% of sales | lower than most (median 8%) |
| Startup cost | from $165,400 | about average (median $138,750) |
| Disclosure honesty | Grade C | typical for the category |
| Closure rate | 0.5% of outlets | better than most (median 1.5%) |
| 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 Floorcoverings
The franchisor's framing: Discloses 2021 gross revenue/landed data for 102 mature franchisees (24+ months). Top 10% … 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
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Floorcoverings franchise — frequently asked
- How much does a Floorcoverings franchise cost?
- The FDD lists a total initial investment of about $165,400–$235,100, including a $30,000 initial franchise fee.
- How much do Floorcoverings franchise owners make?
- Discloses 2021 gross revenue/landed data for 102 mature franchisees (24+ months). Top 10% averaged $2.9M produced. Cherry-picks mature franchisees; excludes startups, incomplete data, part-time operators. We grade this disclosure C for honesty.
- What are the Floorcoverings franchise fees?
- Floorcoverings' FDD discloses a $30,000 initial franchise fee, a 5% royalty on gross sales, a 3% advertising-fund contribution, for roughly 8% of gross sales in recurring fees before rent, labor, or debt service. Royalty: 5% or $1,250–$2,917/mo minimum. Ad: 3% brand fund + 6% local minimum. Software $200–$300/mo + $500 annual.
- What is the Floorcoverings franchise profit margin?
- Floorcoverings does not publish a franchisee net-profit margin — almost no franchisor does. What Item 19 actually shows: Discloses 2021 gross revenue/landed data for 102 mature franchisees (24+ months). Top 10% averaged $2.9M produced. Cherry-picks mature franchisees; excludes startups, incomplete data, part-time operators. Recurring fees alone take about 8% 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 Floorcoverings franchise failure rate?
- 2021: 29 openings, 1 ceased, 10 non-renewals, 10 terminations. Turnover rate elevated.
- How many Floorcoverings locations are there?
- Floorcoverings' FDD reports 194 total outlets, with 1 that ceased operations in the most recent reporting year and 6 transferred to new owners. Item 20 is where system health shows up before the marketing does.
- Does Floorcoverings have complaints or lawsuits?
- Floorcoverings 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 Floorcoverings franchise worth it?
- It depends on the numbers, not the pitch. Floorcoverings scores C on disclosure honesty, carries about 8% of sales in ongoing fees. Get the real owner take-home before you sign.
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Compare Floorcoverings to similar franchises
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Source: MN CARDS 23795-202204-02 (Clean FDD 2022). FranchiseValidate is independent and not affiliated with Floorcoverings or its franchisor. Figures are extracted from the franchisor's own public disclosure document; verify against the current FDD before any decision.