FRANCHISE·WATCH·DESK

Verified — real FDD extraction

SBA-eligible · directory code S1907 since 2017

WE INSURE

Business Services · independent · est. —

We Insure is an insurance-agency franchise where franchisees run independent agencies selling personal and commercial insurance policies from many carriers, with back-office support from the franchisor. The day-to-day work is quoting, selling, and servicing insurance for clients. The business is insurance brokerage/agency.

WE INSURE net unit count declined -30.2% from 20222024 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

Showing strain

Distress

0
STABLE

The disclosed record shows weakness — shrinking units, elevated exits, or churn — worth reading closely before going further.

Exit rate · latest year

1.0%

vs 8.1% across 28 business services systems

Cost to open

$70K–$138K

Item 7 total investment range

SBA loan defaults

Too few resolved

4 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

Weak
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

Weak
Transparency15%

Item 19 disclosure + completeness

Weak

Systemwide units

2022–2024

-30.2%
225202219620231572024

Survival record

FDD Item 20 · outlet status by year

In fiscal 2024, 2 of 195 franchised outlets left the system — a 1.0% annualized exit rate, vs 8.1% across 28 business services systems. Not every exit is a failure — but this is the measurable floor.

Show the outlet tables
Status (FTC)202220232024
Outlets at start207225196
Opened4681
Transfers784
Terminations100
Non-renewals000
Reacquired by franchisor202938
Ceased — other reasons782
Outlets at end225196157
Net change+18-29-39

The lender's view

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

Banks have made 4 SBA-backed loans to WE INSURE franchisees since 2016. Most are still open, so there is not yet a resolved cohort large enough to rate.

Charge-off rate

1 resolved · too thin to rate

Loss given default

avg. charged-off $ ÷ approved $

Expected loss

default rate × loss severity

Avg. loan · FY2020+

$729,900

what recent franchisees borrowed

Median time to default

approval → charge-off, defaulted loans

Lenders · FY21+ vs FY16–20

2 vs 1

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 WE INSURE 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 $50K franchise fee (Item 5) and a total investment of $70K–$138K (Item 7). The franchisor publishes no earnings claim (Item 19) — ask current and former franchisees for real numbers.

To open (Item 7)

$70K–$138K

all-in investment range

Franchise fee (Item 5)

$50K

upfront, one-time

Royalty (Item 6)

of sales, ongoing

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

Your figure — this brand discloses no Item 19 earnings; validate with current & former owners.

Royalty you'd pay / yr

$0

0% of sales, before profit

Over a 10-yr term

$0

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 WE INSURE with an independent CPA

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)

55–79 / 100

Directional

Modeled SBA charge-off

15.1%

Observed SBA charge-off

no resolved cohort

Top drivers: Investment ceiling (log) (raises) · Net unit growth (raises) · Item 20 exit rate (lowers) · System size (log units) (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

No recent closures, bankruptcies, or major lawsuits found in the news for WE INSURE. That's a good sign — but it reflects news coverage, not a guarantee.

Before you sign anythingfree · 30 min · no commission

A broker is paid by the franchisor to place you. An independent CPA is paid by you — and the job is pressure-testing WE INSURE's numbers, including talking you out of a bad deal.

Talk to an independent CPA before you buy →

WE INSURE franchise questions, answered from the filings

What percentage of WE INSURE franchises closed last year?

In WE INSURE's latest FDD Item 20 (fiscal 2024), 2 of 195 franchised outlets left the system — an annualized exit rate of 1.0% — compared with 8.1% across 28 business services systems tracked here. 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 WE INSURE franchise cost?

Per WE INSURE's 2025 FDD, buying in requires an initial franchise fee of $50K (Item 5) and a total initial investment of $70K–$138K (Item 7).

Does WE INSURE disclose earnings (Item 19)?

No — WE INSURE's 2025 FDD makes no financial performance representation in Item 19. That is legal and common, but it means the franchisor publishes no earnings claim; ask current franchisees for real numbers.

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