CLOSETS BY DESIGN
Home Organizers, Inc.
Company Information
13272 Garden Grove Boulevard
CBDF's principal and corporate business address is 13272 Garden Grove Blvd., Garden Grove, California 92843. Our telephone number is (714) 890 5860. CBDF does business under the name “Closets By Design.” CBDF is a California corporation that was organized on March 31, 2001, the same date that CBDF acquired the assets (including a license to the trademarks) of its predecessor Closets By Design Franchising, LLC (“CBD LLC”), a California limited liability company that was located 13151 South Western Avenue, Gardena, California 90249 and that had been selling Closets By Design franchises since January 1998. Several of the original CBD LLC franchises were purchased by its affiliated company, Closet By Design, Inc., a California corporation (“CBDI”), which has operated them as company owned outlets since April 2001 and licenses the trademarks to CBDF. The other franchises of CBD LLC were assigned to CBDF on March 31, 2001. CBDLLC no longer exists, and it never operated businesses of the type being franchised.
Not Available
2 Ongoing Lawsuits
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Franchise Rating
Franchimp Summary Rating
5/10
Earning Transparency
7/10
Investment Accessibility
2/10
Summary of potential earnings
$7,947,014 / unit
Average Revenue During 2021Home Improvement & Remodeling
Franchise System Development
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Employee Contact Database
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Summary of Investment Costs
Upfront Franchise Fees
Minimum: $38,000 Maximum: $55,000
Upfront franchise fees are the one-time payments required to secure rights to operate under an established brand, typically ranging from $20,000 to $100,000+ depending on brand value.
These fees grant access to proprietary business systems, training programs, intellectual property rights, and often territorial exclusivity—essentially purchasing the blueprint for a proven business model.
While separate from ongoing royalties, investors should evaluate these fees against expected returns, comparing fee-to-earnings ratios across opportunities and assessing how effectively franchisors reinvest these funds into system improvements.
Total Investment Costs
Minimum: $154,000 Maximum: $511,000
Ongoing Fees
Ongoing franchise fees, typically structured as royalties ranging from 4-8% of gross sales, represent the continuous payments franchisees make to maintain brand affiliation and support services.
These recurring fees fund the franchisor's operational assistance, marketing initiatives, technology updates, and continued brand development—creating a partnership where the franchisor's revenue grows alongside the franchisee's success. In addition to royalties, franchisees often contribute to national advertising funds (usually 1-3% of sales) and may incur technology fees, supply chain markups, or renewal fees depending on the franchise agreement.
Investors should carefully analyze these ongoing costs within their financial projections, as they directly impact profit margins and cash flow throughout the entire franchise relationship.
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