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Rytech

Rytech Franchising, Inc.

Kennesaw, GA Website FDD: April 3, 2024
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Investment Range

$166,500 - $258,100

Franchise Fee

$60,000

Royalty

9%

Marketing Fee

8%

Total Units

90

Median Revenue

$502,229/yr

AI Summary

Rytech Restoration offers franchises specializing in comprehensive water damage restoration, mold remediation, fire and smoke damage cleaning, and other insurance restoration services. The initial investment for a Rytech franchise ranges from $166,500 to $258,100, which includes an initial franchise fee of $60,000 to $85,000, along with an ongoing royalty rate of 8% of gross revenues or a minimum of $2,000 per month, with the minimum waived for the first twelve months. The system has demonstrated consistent growth, expanding from 61 franchised units in 2021 to 88 by the end of 2023, with 11 new units opened in the last year alone. While protected territories are granted based on zip codes with a minimum population of 400,000, a notable risk is that the franchisor retains significant rights to operate under different brands, use alternative distribution channels, or assign other franchisees to a territory during catastrophic events or if the franchisee fails to respond to service requests, potentially impacting a franchisee's exclusivity.

Unit Growth

Last 5 years

2021

80

+3.8%

2022

83

+8.4%

2023

90

Initial Investment Breakdown

CategoryLowHigh
Initial Franchise Fee(1)$60,000$85,000
Initial Equipment and Supplies(2)$55,000$60,000
Office Equipment & Supplies(3)$5,000$10,000
Grand Opening Marketing(4)$1,500$3,000
Travel for Initial Training(5)$3,000$7,000
+ 10 more categories (apply to see all)
TOTAL INVESTMENT$166,500$258,100

Financial Performance Data

Access detailed revenue metrics, expense breakdowns, and profitability data from the Item 19 Financial Performance Representation.

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Franchisee Contact Directory

101

Connect directly with existing franchise owners to learn about their experience, get real insights, and validate your decision.

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Is Rytech a Good Investment?

Based on the FDD data, here are key factors to consider when evaluating a Rytech franchise opportunity:

Potential Advantages

  • Strong growth trajectory with 8.4% year-over-year expansion
  • Financial Performance Representation (Item 19) available for review

Considerations

  • Higher royalty fee of 9% compared to industry average
  • Litigation history disclosed in FDD (review Item 3 carefully)

Disclaimer: This analysis is based on publicly available FDD data and should not be considered financial advice. Always consult with a franchise attorney and accountant before making any investment decision.

Frequently Asked Questions About Rytech

How much does a Rytech franchise cost?

The total initial investment for a Rytech franchise ranges from $166,500 to $258,100. This includes the franchise fee, equipment, inventory, real estate, and other startup costs as disclosed in the FDD.

What is the Rytech franchise fee?

The initial franchise fee for Rytech ranges from $60,000 to $85,000.

What are the ongoing fees for a Rytech franchise?

Rytech franchisees pay a 9% royalty fee and a 8% marketing/advertising fee on an ongoing basis.

How many Rytech franchise locations are there?

Rytech currently operates 90 franchise locations. This includes both franchised and company-owned units.

Quick Facts

Litigation Disclosed
Bankruptcy None
Protected Territory Yes
Item 19 (FPR) Available
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