Lapels franchise research

Investment by format

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

Investment sourceFDD · page not captured ↗

Franchise fees and ongoing costs

Franchise fee

$27,000 to $60,000 · Extracted Item 5 scalar range, not a universal minimum or maximum; formats, eligibility, discounts and waivers require original-filing review.

Royalty

6% · 6% of weekly Gross Revenue, debited every Monday for the week ending the prior Sunday

Marketing contribution

2% (basis not captured; see original filing)

Technology fee

Up to $1,000/month, billed weekly; includes POS licensing (~$150/license/month, typically 2 licenses per store) and route management software; Laundromat POS fee currently $400/month

Other fees

18%/year interest on late payments; $500/month non-reporting fee; store remodel every 5 years ($2,000-$10,000)

Working capital (FDD Item 7)

Varies by format: Satellite Store $20,000-$40,000; Lapels Delivers $1,200-$20,000; Plant and Laundromat amounts not captured (table trimmed). Covers payments to suppliers, vendors, and employees.

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 · page not captured ↗

Franchise fee sourceFDD · page not captured ↗

Financial performance: Item 19

Item 19 captured

Yes

Metric / basis

Segmented financial/operating performance data for dry cleaning outlets (Plant and Satellite) and separately for Laundromat outlets: Gross Sales (top/average/median/lowest), Average Visit Price, Number of Visits, New Clients, and Average/Median Controllable Expenses & resulting Net Controllable Income % (dry cleaning); Revenue per Machine, Turns per Machine per Day, Revenue Mix, and Time to Break-Even (Laundromat)

Reporting period

Calendar year 2025 for Plant/Satellite/Delivers; December 1, 2025-February 28, 2026 comparable period plus initial ramp-up since opening (August 2025 and November 2025) for the two Laundromat locations

Sample

34 Plant units and 28 Satellite units (of 83 total franchised outlets) for gross sales/visit metrics; a 9-Enterprise subset (9 Plant + 9 Satellite) for controllable expense/Net Controllable Income data; 2 Laundromat locations (n=2) for laundromat metrics

Reported average

Not captured

Reported median

Not captured

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.43 ↗

Unit growth: Item 20

Reporting year

2025

Scope

franchised outlets

Starting outlets

81

Year-end outlets

83

Net change

+2

Derivation

ending minus starting outlets

Openings

3

Terminations

0

Non-renewals

0

Other closures

1

Reacquisitions

0

Transfers

5

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.52 ↗

SBA loan history

Loan activity

10 approvals

Activity window

FY2021-FY2026 YTD; snapshot 2026-06-30

Median SBA loan

$191,700

Median loan window

FY2023-FY2026 YTD through 2026-06-30

Median loan sample

6 loans

Historical charge-off share

20.00%

Cohort

7(a) FY2010-2019 approvals

Numerator / denominator

4 / 20

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 Lapels franchise cost?

Plant: $535,930 to $796,742; Satellite Store: $113,065 to $345,650; Lapels Delivers: $40,900 to $78,600; Laundromat: Not captured (invalid or incomplete range) These are format-specific estimates, not a guaranteed cash requirement. Franchise fee: $27,000 to $60,000 · Extracted Item 5 scalar range, not a universal minimum or maximum; formats, eligibility, discounts and waivers require original-filing review..

Investment sourceFDD · page not captured ↗

Franchise fee sourceFDD · page not captured ↗

How much do Lapels owners make?

Owner income is not captured. Gross sales and EBITDA are not owner pay. Item 19 metric: Segmented financial/operating performance data for dry cleaning outlets (Plant and Satellite) and separately for Laundromat outlets: Gross Sales (top/average/median/lowest), Average Visit Price, Number of Visits, New Clients, and Average/Median Controllable Expenses & resulting Net Controllable Income % (dry cleaning); Revenue per Machine, Turns per Machine per Day, Revenue Mix, and Time to Break-Even (Laundromat). Sample: 34 Plant units and 28 Satellite units (of 83 total franchised outlets) for gross sales/visit metrics; a 9-Enterprise subset (9 Plant + 9 Satellite) for controllable expense/Net Controllable Income data; 2 Laundromat locations (n=2) for laundromat metrics. Period: Calendar year 2025 for Plant/Satellite/Delivers; December 1, 2025-February 28, 2026 comparable period plus initial ramp-up since opening (August 2025 and November 2025) for the two Laundromat locations.

Item 19 performance sourceFDD p.43 ↗

What's the SBA charge-off rate for Lapels?

20.00%; numerator / denominator: 4 / 20. 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: $191,700; window: FY2023-FY2026 YTD through 2026-06-30; sample: 6 loans. Median financing is not total investment.

SBA loans sourceSBA data · Jun 30, 2026 ↗

Median SBA loan sourceSBA data · Jun 30, 2026 ↗