FDD-based startup cost, franchise fee, revenue, profit, SBA default rate, and investment risk signals for COLOR WORLD.
Based on 2023 FDD · 6 filings in corpus
This page is using 2023 FDD source data. Verify the franchisor's current FDD before relying on costs, fees, or Item 19.
Cost and profit at a glance
Based on FDDIQ's FDD corpus, a COLOR WORLD franchise shows an estimated initial investment of $107K – $168K. Reported owner economics show $19K. Use the links below to compare the cost, revenue, SBA loan history, and ROI against other franchises before you request the full FDD.
Quick fee read: $50K franchise fee · 8% royalty/ad burden. These figures are directional screening data, not a substitute for reading the current FDD and speaking with existing operators.
COLOR WORLD requires a total initial investment of $107K to $168K (midpoint approximately $137K), with an initial franchise fee of $50K. The ongoing fee burden is 8% (6% royalty plus 2% advertising fund). This is below the industry average of approximately 22.3%, leaving more margin for the operator.
According to Item 19 of the 2023 FDD, the median revenue for COLOR WORLD locations is $193K. The implied franchisee EBITDA is approximately $19K, based on the margin assumptions disclosed in the FDD. The estimated cash-on-cash return is 14.1% with a payback period of approximately 7.1 years.
COLOR WORLD operates approximately 4 franchised units. The SBA 7(a) loan default rate of 63.6% is above the franchise industry average of approximately 4.9%, suggesting elevated financial risk for franchisees relying on debt financing.
Prospective franchisees should verify all figures against the most recent FDD, conduct validation calls with multiple existing franchisees, and consult with a franchise attorney before signing any agreement.
Analysis based on 2023 FDD filing. FDDIQ Editorial Team · Methodology
Estimated using sector-average margins. Actual franchise economics vary by location, operator, and market conditions.
Industry averages based on FranchiseIQ corpus benchmarks. ▲ = better than avg, ▼ = worse.
Real lending data from SBA 7(a) loans (2019-2024). 20 loans across 11 states.
Source: SBA 7(a) loan data via FOIA. Default rate = charged-off loans / total originated. Industry avg default rate ~7.2%.
Common questions buyers ask about COLOR WORLD, answered from FDD and SBA data.
The total initial investment for a COLOR WORLD franchise ranges from $107K to $168K, according to their Franchise Disclosure Document.
COLOR WORLD charges a 6% royalty fee on gross sales.
The initial franchise fee for COLOR WORLD is $49,500.
There are approximately 4 COLOR WORLD franchise locations as of 2023.
The median revenue for a COLOR WORLD franchise is $193K, with a cash-on-cash return of 14.1%, according to FDD Item 19 data.
COLOR WORLD has an SBA loan default rate of 63.6% based on SBA 7(a) loan data.
Whether a COLOR WORLD franchise is worth it depends on total startup cost, royalty burden, FDD Item 19 economics, SBA loan performance, and local operator execution. FDDIQ compares these signals against similar franchises so buyers can screen the opportunity before paying for diligence.
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