Is a Liberty Tax Service Franchise Worth It?
A data-driven verdict based on FDD analysis and real SBA loan outcomes.
Verdict: Proceed with Caution
- Moderate SBA default rate (10.0%)
- Royalty rate (14.0%) above industry average
- Negative unit growth (-6.1%)
The Numbers
Franchise Fee:
$25K
Total Investment:
$50K – $71K
Royalty Rate:
14.0%
Median Revenue (Item 19):
N/A
1-Year Unit Growth:
-6.1%
SBA Default Rate:
10.0%
What Franchisees Are Saying
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Potential Red Flags
- Moderate SBA default rate (10.0%)
- Royalty rate (14.0%) above industry average
- Negative unit growth (-6.1%)
Always perform your own due diligence and consult with a qualified franchise attorney.
Bottom Line
Based on the data, Liberty Tax Service presents a Proceed with Caution opportunity for a franchise buyer. We recommend a full FDD analysis for a deeper dive.
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Analyze Your FDD →Last updated: April 2026