Gotcha Covered franchise research

Investment by format

Format-specific estimates only. Do not combine one format's minimum with another format's maximum.

Investment sourceFDD p.21 ↗

Franchise fees and ongoing costs

Franchise fee

$62,910 to $69,900 · Extracted Item 5 scalar range, not a universal minimum or maximum; formats, eligibility, discounts and waivers require original-filing review.

Royalty

Flat monthly royalty rising with time in operation: $350 (month 1) to $1,400 (months 12-36), then $2,250 (month 37+), plus $0.06 per household over 30,000 in territory; due 15th of month; may be adjusted annually by greater of 5% or CPI

Marketing contribution

Not captured

Technology fee

$476 per month (may increase up to 10% per year on 30 days' notice)

Other fees

Software fees $200-$500/month paid to vendors; Annual conference fee currently $1,000; Email account fee $235/year per account (waived first calendar year)

Working capital (FDD Item 7)

$20,000 - $35,000 (Additional Funds - 3 Months; includes payroll, vehicle lease payments, software payments, insurance, accounting software; excludes owner draw, royalties, marketing fees, debt service)

Fees sourceFDD p.15 ↗

Working capital is drawn from Item 7. The Investment source below locates the investment section, not an independently verified working-capital scalar.

Investment sourceFDD p.21 ↗

Franchise fee sourceFDD · page not captured ↗

Financial performance: Item 19

Item 19 captured

Yes

Metric / basis

Average, median, min/max annual and monthly gross sales, plus average close ratio, average sale amount, and average sale margin; also system-wide revenue by year

Reporting period

Calendar year 2025

Sample

125 of 134 U.S. franchised businesses open at least one year reporting sales data (text elsewhere says 126); 87 reported margin; 134 reported close ratio

Reported average

$580,224

Reported median

$392,019

Owner income is not captured. Gross sales and EBITDA are not owner pay. Results depend on the disclosed metric, sample and period; consult the full filing.

Item 19 performance sourceFDD p.50 ↗

Unit growth: Item 20

Reporting year

2025

Scope

franchised outlets

Starting outlets

169

Year-end outlets

172

Net change

+3

Derivation

ending minus starting outlets

Openings

24

Terminations

18

Non-renewals

3

Other closures

0

Reacquisitions

0

Transfers

2

Transfers are not closures. Net change is ending minus starting outlets for the stated scope and year, or complete openings less terminations, non-renewals, other closures and reacquisitions. Missing inputs stay unknown.

Unit growth sourceFDD p.55 ↗

SBA loan history

Loan activity

33 approvals

Activity window

FY2021-FY2026 YTD; snapshot 2026-06-30

Median SBA loan

$150,000

Median loan window

FY2023-FY2026 YTD through 2026-06-30

Median loan sample

25 loans

Historical charge-off share

27.27%

Cohort

7(a) FY2010-2019 approvals

Numerator / denominator

3 / 11

Formula

CHGOFF / (PIF + CHGOFF + EXEMPT) × 100

This is a historical loan-level share, not a franchise failure probability or location survival rate. Loan size is not total investment. Other loan statuses are excluded from the seasoned denominator. Activity combines 7(a) and 504 approvals, excluding canceled and not-funded records; this is not a rolling five-year count. FY2024-25 franchise tags are sparse after directory suspension; fewer tagged loans do not establish brand decline. Recent charge-off cohorts are immature.

SBA loans sourceSBA data · Jun 30, 2026 ↗

Median loan amounts are financing context, not startup cost. The median window is separate from the seasoned charge-off cohort.

Median SBA loan sourceSBA data · Jun 30, 2026 ↗

Questions before you invest

How much does Gotcha Covered franchise cost?

single-unit opening: $122,760 to $166,500; two-unit opening: $122,760 to $216,600 These are format-specific estimates, not a guaranteed cash requirement. Franchise fee: $62,910 to $69,900 · Extracted Item 5 scalar range, not a universal minimum or maximum; formats, eligibility, discounts and waivers require original-filing review..

Investment sourceFDD p.21 ↗

Franchise fee sourceFDD · page not captured ↗

How much do Gotcha Covered owners make?

Owner income is not captured. Gross sales and EBITDA are not owner pay. Item 19 metric: Average, median, min/max annual and monthly gross sales, plus average close ratio, average sale amount, and average sale margin; also system-wide revenue by year. Sample: 125 of 134 U.S. franchised businesses open at least one year reporting sales data (text elsewhere says 126); 87 reported margin; 134 reported close ratio. Period: Calendar year 2025.

Item 19 performance sourceFDD p.50 ↗

What's the SBA charge-off rate for Gotcha Covered?

27.27%; numerator / denominator: 3 / 11. Historical 7(a) FY2010-2019 approvals; CHGOFF / (PIF + CHGOFF + EXEMPT) × 100, snapshot 2026-06-30. This is not a franchise failure probability. Median SBA loan: $150,000; window: FY2023-FY2026 YTD through 2026-06-30; sample: 25 loans. Median financing is not total investment.

SBA loans sourceSBA data · Jun 30, 2026 ↗

Median SBA loan sourceSBA data · Jun 30, 2026 ↗