What was the average gross margin for Spray Net businesses?
Spray_Net Franchise · 2025 FDDAnswer from 2025 FDD Document
median will be the center number.
Section I CN Businesses and US Disclosed Businesses Business Performance During 2024 Calendar Year
| Gross Booking | Gross Sales (Production) USD | Gross Margin | Net Promoter | |
|---|---|---|---|---|
| USD | Score | |||
| Number of | 4 | 4 | 4 | 4 |
| Businesses | ||||
| Average | $469,436 | $442,678 | 53% | 84 |
| Median | $499,026 | $468,798 | 53% | 88 |
| High | $543,659 | $512,812 | 61% | 100 |
| Low | $336,036 | $320,304 | 47% | 62 |
| Number and | 2 (50%) | 3 (75%) | 2 (50%) | 3 (75%) |
| Percentage of | ||||
| Businesses that Met | ||||
| or Exceeded the | ||||
| Average | US Disclosed Businesses Open for 20 to 36 Months as of December 31, 2024 | |||
| Gross Booking USD | Gross Sales (Production) USD | Gross Margin | Net Promoter Score | |
| Number of | 3 | 3 | 3 | 3 |
| Businesses | ||||
| Average | $782,380 | $710,687 | 55% | 96 |
| Median | $749,294 | $676,409 | 54% | 97 |
| High | $1,044,040 | $962,190 | 62% | 100 |
| Low | $533,808 | $493,462 | 52% | 90 |
| Number and | 1 (33%) | 1 (33%) | 2 (66%) | 1 (33%) |
| Percentage of | ||||
| Businesses that | ||||
| Met or Exceeded | ||||
| the Average | CN Businesses Open for 24 Months as of December 31, 2024 | |||
| Gross Booking CAD | Gross Sales (Production) CAD | Gross Margin | Net Promoter Score | |
| Number of Businesses | 13 | 13 | 13 | 13 |
| Average | $1,438,626 | $1,253,259 | 61% | 89 |
| Median | $1,257,056 | $1,090,285 | 60% | 92 |
| High | $2,985,551 | $2,794,680 | 69% |
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 63–72)
What This Means (2025 FDD)
According to Spray Net's 2025 Franchise Disclosure Document, the average gross margin varies depending on the location and duration of operation. For US businesses open for 20 to 36 months as of December 31, 2024, the average gross margin was 53% across four businesses. For Canadian businesses open for 24 months as of December 31, 2024, the average gross margin was 55% among three businesses. For all Canadian businesses, with an average of 96 months of operation, the average gross margin was 61% across 13 businesses.
These figures represent the average gross margin achieved by specific groups of Spray Net franchisees. It's important to note that these numbers are based on historical data and may not be indicative of future performance. Factors such as location, market conditions, and the franchisee's management skills can significantly impact gross margins.
The FDD defines "Gross Margin" as a particular business's Gross Profit (Gross Sales (Production) less Labor and Paint costs divided by the business's Gross Sales (Production).
A prospective Spray Net franchisee should consider these figures as a general benchmark and conduct their own due diligence to assess the potential profitability of a franchise in their specific market. This includes reviewing the complete Item 19 in the FDD, consulting with existing franchisees, and developing a detailed business plan with realistic financial projections.