The franchisee will operate a USA INSULATIONbusiness that (i) offers and sells an array of insulation products, including without limitation, proprietary injection foam, polyurethane spray foam insulation, blown fiberglass insulation, rolled/batten fiberglass insulation and other energy efficient products and itemsthat we authorize now or at any time in the future, and (ii) evaluates a customer’s insulation needs and subsequently installs one (1) or more of the foregoing Approved Products at that customer’s home, utilizing certain proprietary marks and a proprietary operating system that we and our affiliates/principals have developed
Company Background
USA Insulation is the nation's leading franchisee of insulation and air sealing services for existing homes. With more than 16,000 locations across the country and more than 1,000 new locations opening every year, we offer a variety of business opportunities to those looking to join our rapidly expanding company. We provide extensive training programs that will teach you everything you need to know about your particular market as well as how to run a successful insulation or air sealing service business. Whether you are an experienced professional with years in the industry or just starting out as an entrepreneur, USA Insulation has a package designed specifically for you!
Franchise Opportunity
Insulation is a necessary part of every home, but it can also be expensive and time consuming to have someone come out and do the job. We are here to help you save money on your energy bills by providing high-quality insulation services for existing homes. Our franchisees will work with homeowners in their area who need more insulation or additional repairs. This service will be offered at an affordable price so that anyone can afford it! By offering our professional residential insulation services we help homeowners improve their energy efficiency while saving them money on utility bills each month. Our business model allows us to offer lower prices than our competitors because we don't require any large initial investments from our franchisees and they only pay a small percentage of each sale back into the company's marketing efforts. As long as you're willing to put in the hard work, this is a great opportunity for you!
Corporate Structure
USA Insulation Franchise Corporation was incorporated on March 20, 2006 under the laws of the State of Ohio. Their principal business address is 17700 Saint Clair Avenue, Cleveland, Ohio 44110. They first began offering franchises in March 2006.
Investment and Franchisee Fees
The total investment necessary to begin operation of a USA Insulation franchise ranges from $170,500 to $346,000. This includes approximately $94,000 to $106,000 in fees that must be paid to the franchisor or its affiliates prior to opening.
Royalties and Marketing Fees
Royalties : The greater of: (a) 5% of Gross Sales2 of your Franchised Business from the preceding reporting period; or (b) $1,000 per month.
Royalties : The greater of: (a) 2% of the Gross Sales of your Franchised Business from the preceding reporting period; or (b) $800 per month.
Royalties : Minimum of 15% of the Gross Sales of your Franchised Business each calendar month, unless we approve otherwise
Earnings Transparency
7 /10
This Franchise discloses slightly more information about the financial performance of their franchisees compared to other franchises in the same industry
Why do some franchises disclose more than others?
There are many reasons why a brand may choose to not include item 19 on their FDD: they could be a newer franchise, they may be in a unique industry that is not super profitable or well-known yet
Financial Performance of "Standard" Units
Average Revenue Per Unit
Compared vs. Building & Construction Industry
$1,281,499 / unit
Franchise Type: Standard
Average Revenue During 2021
$1,281,499
$138,307 Industry Low
$4,429,751 Industry High
Franchisee Attrition
10 /10
This franchise's rate of attrition in 2023
of 0.00%
was
Higher
than the % in the Building & Construction industry. Generally speaking, a higher rate of attrition represents a less stable franchise system and a lower rate of attrition indicates a more successful system
What's Included in franchise attrition?
We define the franchisee attrition rate as the sum of terminations, re-acquisitions by
franchisor, non-renewals, and ceased operations, divided by the number of outlest at the start of the year.
It is a strong indicator of the strength of the underlying operating model
Employee Contact Database
#
Name
Position
Phone Number
Email Address
Franchise Disclosure Documents
FDD
Effective Date
Distribution of USA Insulation Franchisees
USA Insulation Franchise System Development in 2021
FAQ
How much investment do I need to start my own USA Insulation business?
Franchisees typically require at least
$149,750 to
$270,000 investment to get their
USA Insulation business started
What are the initial franchise fees for USA Insulation?
Franchisees typically need to pay at least
$70,000 in fees directly to
USA Insulation in order to earn the right to launch their business
How much money can I make with a USA Insulation franchise? What are
the average revenues for a typical USA Insulation business?
We estimate that the average revenue of an individual
USA Insulation unit is approximately
$1,281,499. We based this on Item 19 in franchise disclosure
document
How long do I need to commit to running a USA Insulation unit? What
is my contractual commitment?
USA Insulation franchisees are typically required to sign up to a
10 year contract initially. The renewal length
is 10 years. You can of course exit early but
don’t expect to get any refund!
Accessibility
0 /10
The Franchisor's investment costs ranges from
$1,115,200 to $1,464,200
which is
Much Lower
than the $283,991 to $562,195 average in the Building & Construction industry
What determines the investment cost?
Item 7 of the Franchise Disclosure Document lays out the full list of initial investment costs, including the fee payable to the franchisor, security deposits, equipment, professional fees etc
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