FRANCHISE·WATCH·DESK

Verified — real FDD extraction

SBA-eligible · directory code S1145 since 2017

Mr. Sandless

Other · independent · est. —

Mr. Sandless is a wood-floor refinishing service that resurfaces hardwood floors without traditional sanding, using a low-dust, faster-drying process. It serves homeowners and businesses wanting refreshed floors with minimal disruption. A franchisee operates a mobile service business performing floor refinishing jobs.

Mr. Sandless net unit count grew +17.1% from 20212025 per its FDD Item 20.

New to franchising? Start here

A franchise is a business where you (the franchisee) pay a company (the franchisor) for the right to open and run a location using their brand and system — think a local Anytime Fitness or Taco John's owned by a small-business owner, not the corporation.

Before you can buy in, U.S. law requires the franchisor to give you a Franchise Disclosure Document (FDD) — a long legal filing covering its fees, finances, and history. The numbers on this page come straight from that document:

  • Franchise fee — the one-time cost to buy in.
  • Royalty — the ongoing cut of your sales you pay the franchisor.
  • Item 20 — how many locations opened and closed, the basis for our verdict (from Proven & strong down to Distressed — or Too new to judge).

The verdict

Proven & strong

Distress

27
STABLE

Enough units and history to judge, and the record is good: growing or stable units with clean exits by the standards of its disclosed record. The standout in the record: owner turnover is low.

Exit rate · latest year

10.2%

fiscal 2025, per Item 20

Cost to open

$42K–$91K

Item 7 total investment range

SBA loan defaults

Too few resolved

10 loans exist; too few resolved to rate

Behind the verdict

the record, factor by factor · Item 20

hi-1.0.0
Net unit growth35%

3-yr trend · Item 20 Table 1

Strong
Exit quality25%

terminations + ceased-ops vs. all exits · Table 3

Strong
Transfer / churn15%

transfers vs. base · Table 3

Strong
Promise-keeping10%

actual vs. projected openings · Table 5

Strong
Transparency15%

Item 19 disclosure + completeness

Strong

Systemwide units

2021–2025

+17.1%
16420211732022191202318720241922025

Survival record

FDD Item 20 · outlet status by year

In fiscal 2025, 19 of 187 franchised outlets left the system — a 10.2% annualized exit rate. Not every exit is a failure — but this is the measurable floor.

Show the outlet tables
Status (FTC)20212022202320242025
Outlets at start176164173191187
Opened1732401931
Transfers13831
Terminations26726
Non-renewals99447
Reacquired by franchisor17811617
Ceased — other reasons10116
Outlets at end164173191187192
Net change-12+9+18-4+5

The lender's view

SBA 7(a)/504 loan performance · FY1991–present

Banks have made 10 SBA-backed loans to Mr. Sandless franchisees since 2011. Most are still open, so there is not yet a resolved cohort large enough to rate.

Charge-off rate

7 resolved · too thin to rate

Loss given default

avg. charged-off $ ÷ approved $

Expected loss

default rate × loss severity

Avg. loan · FY2020+

$74,433

what recent franchisees borrowed

Median time to default

52 mo

approval → charge-off, defaulted loans

Lenders · FY21+ vs FY16–20

3 vs 4

distinct banks still lending

Charge-off rate by loan approval year (%)

SOURCE: SBA 7(a)/504 FOIA LOAN DATA (DATA.SBA.GOV), FY1991–PRESENT · MATCHED TO MR. SANDLESS BY FRANCHISE NAME · RESOLVED = CHARGED-OFF + PAID-IN-FULL

What it costs — and what it drags

FDD Items 5–7 · fees, investment, royalty

Buying in means a $20K franchise fee (Item 5) and a total investment of $42K–$91K (Item 7). The franchisor publishes an earnings claim (Item 19) — read its methodology closely.

To open (Item 7)

$42K–$91K

all-in investment range

Franchise fee (Item 5)

$20K

upfront, one-time

Royalty (Item 6)

6%

of sales, ongoing

If a unit does this in annual sales…$1M/yr

Your figure — cross-check against this brand's Item 19 and current-owner validation.

Royalty you'd pay / yr

$60K

6% of sales, before profit

Over a 10-yr term

$600K

royalties alone, excl. ad fund

This is not profit. It's the only money the FDD actually pins down — what you put in, and the royalty you owe on every dollar of sales. Your real take-home depends on labor, rent, food cost, and ramp-to-breakeven, none of which any FDD discloses.

Build a real pro-forma for Mr. Sandless with an independent CPA

Labor record

US Dept. of Labor enforcement · franchisee-level · FY2005–present

Federal investigators have concluded 1 wage case against operators of this system, recovering $16K in back wages for 14 workers. These cases name franchisee-owned locations, not the franchisor itself.

Concluded cases

1

Back wages owed

$16K

Employees affected

14

Since 2020

0

Read this carefully. The employers in these cases are individual Mr. Sandless franchisees — separately owned businesses operating under the brand name — not Mr. Sandless itself. The franchisor is not the respondent and in most cases is not a party. What the record shows is how this system's operators run their payrolls, which is worth knowing before you become one of them. Counts rise with system size and with age: a 20-year-old, 10,000-unit system will out-count a young one regardless of conduct. Source: DOL Wage and Hour Division concluded compliance actions, FY2005–present, most recent finding 2010.

Modeled risk

FDD Risk Score · modeled from the public record

Elevated

The public record puts this brand toward the riskier end of the systems we score — but the evidence is thin, so treat it as a range, not a number.

Risk percentile (range)

58–82 / 100

Directional

Modeled SBA charge-off

15.5%

Observed SBA charge-off

28.6%

Top drivers: Investment ceiling (log) (raises) · Item 3 litigation (log) (raises) · Item 20 exit rate (raises) · Net unit growth (raises). Thin loan history — treat this as a range, not a number. A linear scorecard built from this brand's own disclosure figures plus the federal loan record behind its franchisees; full spec and cross-validated accuracy on the methodology page. A score is context, not a verdict.

Distress signals

news-sourced · bankruptcies, closures, lawsuits

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Mr. Sandless franchise questions, answered from the filings

What percentage of Mr. Sandless franchises closed last year?

In Mr. Sandless's latest FDD Item 20 (fiscal 2025), 19 of 187 franchised outlets left the system — an annualized exit rate of 10.2%. That counts terminations, non-renewals, and "ceased operations — other reasons." There is no official failure rate, and not every exit is a failure, but this is the measurable floor.

How much does a Mr. Sandless franchise cost?

Per Mr. Sandless's 2026 FDD, buying in requires an initial franchise fee of $20K (Item 5) and a total initial investment of $42K–$91K (Item 7).

What royalty does Mr. Sandless charge?

Mr. Sandless charges an ongoing royalty of 6.0% of gross sales, per Item 6 of its 2026 FDD.

Does Mr. Sandless disclose earnings (Item 19)?

Yes — Mr. Sandless makes a financial performance representation in Item 19 of its 2026 FDD, reporting a median unit volume of $171K. Read it closely: franchisors choose which units and which metrics to include.

Is Mr. Sandless a good franchise to buy? Health score, exit rate & costs (2026) · Franchise Watch Desk