Re-Bath franchise unit economics
Re-Bath franchisees sell and install bathroom remodels for owners of single-family homes, working from a showroom, office and warehouse inside a protected territory.
Re-Bath franchise at a glance
Re-Bath’s Item 19 reports the average, median, high and low of 2025 marketing spend, leads, conversion rate, gross sales, gross margin and net income for 122 reporting businesses, and the same measures by year opened.
Re-Bath’s 122 franchised businesses that were open all of 2025 and supplied validated profit and loss statements averaged $3,581,213 in gross sales, with a median of $2,627,361, according to Item 19 of Re-Bath’s 2026 FDD, issued 6 July 2026. The 122 in that group are 86%* of Re-Bath’s 142 franchised businesses. A Re-Bath franchise costs $275,875 to $606,925 to open.
- A Re-Bath franchise costs $275,875 to $606,925 to open, including a $50,000 initial franchise fee.
- Re-Bath charges a royalty of 6% of gross sales, or 5% when weekly gross sales reach $0.04 per person of territory population, plus a 2% Advertising Contribution.
- Re-Bath reports an average gross margin of 53.5% and an average net income of 10.6% of sales for the same 122 businesses.
- Re-Bath’s 122 reporting businesses sold 24,151 jobs in 2025, an average of $18,091 in gross sales a job*.
- A Re-Bath franchise pays a minimum royalty that rises from $150 a week in year 1 to $800 a week from year 4.
- Re-Bath had 142 franchised and 3 company-owned outlets at the end of 2025, against 124 franchised outlets at the start of 2023.
- The franchisor, ReBath, LLC of Phoenix, Arizona, and its predecessors have offered Re-Bath franchises since 1991.
These figures come from Re-Bath's 2026 Franchise Disclosure Document, as the brand reported them, and were read by Averan Advisors. The $18,091 gross sales a job (436,908,001 / 24,151).
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Talk to Averan → Averan Re-Bath Conversion Package →- Marketing came to $1,800 for each job sold*. The 122 businesses spent an average of $356,326 on marketing and sold 24,151 jobs between them. Average marketing spend was 9.95%* of average gross sales.
- The average job was $18,091 in gross sales*. At the 53.5% average gross margin that is $9,679 of gross margin a job*, so marketing equalled 18.6%* of it.
- Businesses that opened before 2023 averaged $3,874,022 in gross sales and 10.1% net income. The 11 that opened in 2024 averaged $1,244,929 and 16.6%, and the 5 that opened in 2023 averaged $2,513,496 and 25.7%.
- The royalty rate moves at $0.04 of weekly gross sales per person of territory population, $2.08 a person a year*. Item 19 reports 2025 gross sales per person of $2.12 on average and $1.98 at the median. One point of royalty on the $3,581,213 average is $35,812*.
- The minimum royalty from year 4 is $41,600 a year*. That is $800 a week. At the 6% rate it equals the royalty on $693,333 of gross sales{A}; the lowest gross sales among businesses that opened before 2023 were $630,260.
Gross sales and profit
How much does a Re-Bath franchise make?
| Measure | Average | Median | High | Low |
|---|---|---|---|---|
| Gross sales | $3,581,213 | $2,627,361 | $19,269,109 | $223,115 |
| Gross sales per person of territory | $2.12 | $1.98 | $16.93 | $0.15 |
| Gross margin | 53.5% | 52.8% | 91.9% | 3.8% |
| Net income | 10.6% | 8.4% | 77.1% | −182.0% |
| Territory population | 1,685,445 | 1,515,291 | 8,322,309 | 312,296 |
As printed in Item 19. Gross margin is sales less materials, freight, installation labor and sales commissions. Net income is sales less all expenses, including fees owed to the franchisor, taxes and interest. Figures come from franchisee records and are unaudited.
The 122 businesses averaged $3,581,213 in 2025 gross sales, with a median of $2,627,361. 44 of the 122, 36.1%, were at or above the average. Item 19 counts 142 franchised businesses at 31 December 2025 and leaves out 2 that opened in 2025 and 18 that did not supply validated profit and loss statements.
Average net income was 10.6% of sales and the median was 8.4%. The range runs from −182.0% to 77.1%. Average gross margin was 53.5%, with a median of 52.8%.
48 of the 122 businesses are on legacy franchise agreements. Item 19 says some legacy agreements carry a royalty of 2% (or 3%) to 5% of installed or gross sales and different brand and media fund contributions, so their costs differ from the current agreement.
Gross sales include the value of signed customer contracts. Item 19 defines gross sales as the sum value of executed customer contracts, service revenues and other revenues, less refunds and sales taxes.
Marketing to jobs
Marketing, leads and jobs, 2025
| Step | All 122 | Average a business | Median | Low to high |
|---|---|---|---|---|
| Marketing spend | $356,326 | $264,780 | $3,951 to $2,030,845 | |
| Leads generated | 247,609 | 2,030* | ||
| Cost a lead | $176 | $183 | $5 to $889 | |
| Conversion rate | 9.8% | 9.8% | 2.7% to 45.6% | |
| Jobs sold | 24,151 | 198* | ||
| Gross sales | $436,908,001 | $3,581,213 | $2,627,361 | $223,115 to $19,269,109 |
| Gross sales a job* | $18,091* | |||
| Marketing a job* | $1,800* |
Totals, averages, medians and ranges as printed in Item 19. Leads and jobs a business divide the totals by 122; gross sales a job divides $436,908,001 by 24,151 jobs; marketing a job divides total marketing ($356,326 × 122) by 24,151 jobs. Marketing spend includes the franchisee’s Advertising Fund contribution.
The 122 businesses generated 247,609 leads and sold 24,151 jobs in 2025. That is about 2,030 leads* and 198 jobs* a business. The average conversion rate was 9.8%.
Each sold job carried about $1,800 of marketing* and $18,091 of gross sales*. At the 53.5% average gross margin, a job of that size carries $9,679 of gross margin*, and the marketing is 18.6%* of it. These per-job figures use system totals and averages, so they describe the group, not any one business.
Cost a lead ran from $5 to $889 and conversion from 2.7% to 45.6%. The averages were $176 a lead and 9.8%, and the medians $183 and 9.8%.
Average marketing spend was $356,326, or 9.95% of average gross sales*. The current agreement requires local advertising of at least $0.15 a person or 10% of the prior quarter’s gross sales from year 3, plus the 2% Advertising Contribution. Item 19 says some legacy agreements carry a lower local requirement of 8%.
By year opened
Results by year opened, 2025
| Opened | Businesses | Average gross sales | Median gross sales | Average gross margin | Average net income | Median net income |
|---|---|---|---|---|---|---|
| 2024 | 11 | $1,244,929 | $1,312,886 | 57.8% | 16.6% | 32.0% |
| 2023 | 5 | $2,513,496 | $1,706,178 | 63.8% | 25.7% | 15.4% |
| Before 2023 | 106 | $3,874,022 | $2,801,449 | 53.2% | 10.1% | 8.4% |
| All 122 | 122 | $3,581,213 | $2,627,361 | 53.5% | 10.6% | 8.4% |
As printed in Item 19. Each figure is the average or median within its own group; the 2023 group has 5 businesses.
Average gross sales were $1,244,929 for businesses opened in 2024, $2,513,496 for 2023 and $3,874,022 for those opened before 2023. Medians were $1,312,886, $1,706,178 and $2,801,449.
Average net income was 16.6%, 25.7% and 10.1% of sales across the same three groups. In the 2024 group the median, 32.0%, is above the average; that group’s lowest result was −182.0%.
Gross sales spread widely inside each group. Businesses opened before 2023 ranged from $630,260 to $19,269,109, the 2023 group from $611,122 to $4,629,907 and the 2024 group from $223,115 to $2,546,212.
Average marketing spend was $81,757 for the 2024 group, $218,718 for 2023 and $391,310 for businesses opened before 2023. Average cost a lead was $98, $180 and $178, and average conversion was 7.5%, 10.8% and 9.8%.
Brand charges
Brand charges
| Fee | Amount | When |
|---|---|---|
| Initial franchise fee | $50,000 for a territory of 750,000 to 1,250,000 people; $25,000 for each additional territory signed at the same time | At signing |
| Royalty | 6% of gross sales when weekly gross sales are under $0.04 a person of territory population; 5% at or above; up to 8% for a pricing policy violation | Weekly, by the Thursday of the 8th week after the customer contract is signed |
| Minimum royalty | $150 a week in year 1, $350 in year 2, $700 in year 3, $800 from year 4 | Weekly, starting 6 months after signing |
| Advertising Contribution | 2% of gross sales, minimum $75 a week in year 1 rising to $400 from year 4; may rise to 6% | Weekly |
| Minimum local advertising (spent by the franchisee) | Each quarter: $0.05 a person in year 1; greater of $0.10 a person or 10% of prior-quarter gross sales in year 2; greater of $0.15 a person or 10% from year 3 | Quarterly |
| Technology fee | $1 a month for every 1,000 people in the territory, plus $12 to $213 a month for each user | Monthly |
| Digital marketing services | $900 a month up to $5,000 of media spend; 15% to 7.5% of spend above that | Monthly |
| Minimum annual gross sales shortfall | Royalty on the gap to $0.50 a person in year 1, $1.00 in year 2, $1.50 from year 3 | On demand |
| Owners’ retreat and certification training | $1,000 and $200 a person | Each year |
| Renewal and transfer | 25% and 50% of the then-current initial franchise fee | At renewal or transfer |
| Royalty, Advertising Contribution and technology territory charge at the average | 8.56%* of gross sales at the 6% rate; 7.56%* at 5% |
Amounts as printed in Items 5, 6, 11 and 12. Averan’s total adds the royalty, the 2% Advertising Contribution and the technology fee’s territory charge for the 1,685,445-person average territory ($20,225 a year*), divided by the $3,581,213 average. It leaves out per-user technology charges, marketing services fees and local advertising spend.
The royalty rate depends on weekly gross sales per person of territory population. It is 6% below $0.04 a person a week and 5% at or above, which is $2.08 a person a year*. Item 19 reports 2025 gross sales per person of $2.12 on average and $1.98 at the median; the rate is set week by week, so an annual figure does not show which rate a business paid.
Royalty and Advertising Contribution fall due by the Thursday of the 8th week after the customer contract is signed. Both are figured on gross sales recorded for the week eight weeks earlier.
The minimum royalty reaches $800 a week from year 4, which is $41,600 a year*. At 6%, that equals the royalty on $693,333 of gross sales*.
The territory carries a minimum annual gross sales figure of $1.50 a person from year 3. On the 1,685,445-person average territory that is $2,528,168*. A business that falls short can cure the default by paying the royalty it would have paid on the minimum.
Cost to open
Cost to open
| Item | Low | High |
|---|---|---|
| Initial franchise fee | $50,000 | $50,000 |
| Initial training | $0 | $5,000 |
| Travel and living during training | $2,000 | $8,000 |
| Insurance, 3 months | $3,000 | $10,000 |
| Business license and permits | $2,000 | $5,000 |
| Vehicle(s) | $30,000 | $80,000 |
| Vehicle wrap | $400 | $4,000 |
| Equipment, supplies and inventory | $18,000 | $50,000 |
| Internet, 3 months | $100 | $300 |
| Showroom, warehouse and office | $60,000 | $100,000 |
| Professional fees | $1,000 | $4,000 |
| Grand opening campaign and minimum local advertising | $34,375 | $40,625 |
| Additional funds, 3 months | $75,000 | $250,000 |
| Total | $275,875 | $606,925 |
As printed in Item 7. The estimate does not include royalty, minimum royalty or Advertising Contribution payments, or the cost of buying land or a building.
Item 7 puts the cost to open at $275,875 to $606,925. $56,000 to $60,000 of it is paid to the franchisor or its affiliates.
Additional funds for the first 3 months are the largest line, at $75,000 to $250,000. Item 7 says they cover payroll, product for National Account jobs, royalty, advertising and other costs, and the timing of payment on National Account jobs.
The franchisee needs a showroom, a warehouse and an office. Item 7 recommends a showroom of 1,000 to 1,200 square feet and about 2,500 square feet of warehouse, and puts the space at $60,000 to $100,000. At least $25,000 must go on local advertising in the 30 days before the grand opening.
Locations
Locations, 2023 to 2025
| Year | Franchised at start | Opened | Terminated | Not renewed | Reacquired | Franchised at end | Company-owned at end | Total at end |
|---|---|---|---|---|---|---|---|---|
| 2023 | 124 | 13 | 0 | 1 | 0 | 136 | 0 | 136 |
| 2024 | 136 | 17 | 3 | 5 | 0 | 145 | 0 | 145 |
| 2025 | 145 | 2 | 2 | 0 | 3 | 142 | 3 | 145 |
| 2023–2025* | 124 | 32* | 5* | 6* | 3 | 142 | 3 | 145 |
Yearly figures as printed in Item 20; no outlets ceased operations for other reasons. The three-year sums are Averan calculations.
Re-Bath had 145 outlets at the end of 2025: 142 franchised and 3 company-owned. The franchisor reacquired 3 franchised outlets in 2025, in Arizona, North Carolina and South Carolina.
Openings fell to 2 in 2025, from 13 in 2023 and 17 in 2024. 2 franchised outlets were terminated in 2025, and 5 were not renewed in 2024.
Franchised outlets changed hands 8 times over the three years*. There were 1 transfer in 2023, 5 in 2024 and 2 in 2025.
5 franchise agreements were signed but not yet open at the end of 2025. Item 20 projects 4 new franchised outlets in the next fiscal year.
Questions we get asked
Questions owners ask
How much does a Re-Bath franchise cost to open?
Item 7 puts the total at $275,875 to $606,925. That includes the $50,000 initial franchise fee, $60,000 to $100,000 for a showroom, warehouse and office, $30,000 to $80,000 for vehicles and $75,000 to $250,000 of additional funds for the first 3 months.
What fees does a Re-Bath franchisee pay?
A royalty of 6% of gross sales, or 5% in weeks when gross sales reach $0.04 a person of territory population, with a minimum that rises to $800 a week from year 4. There is a 2% Advertising Contribution, a technology fee, and a local advertising requirement of at least 10% of prior-quarter gross sales from year 2. At the $3,581,213 average, Averan puts royalty, Advertising Contribution and the technology territory charge at 8.56% of sales* at the 6% rate.
How much revenue does a Re-Bath franchise make?
The 122 franchised businesses that were open all of 2025 and supplied validated profit and loss statements averaged $3,581,213 in gross sales, with a median of $2,627,361. Businesses opened in 2024 averaged $1,244,929, and those opened before 2023 averaged $3,874,022.
Does the Re-Bath FDD show profit?
Yes. Item 19 reports average net income of 10.6% of sales and a median of 8.4% for the 122 businesses. Net income is sales less all expenses, including fees owed to the franchisor, taxes and interest. The average gross margin was 53.5%.
What does it cost to win a Re-Bath job?
Item 19 reports an average cost a lead of $176 and an average conversion rate of 9.8%. Dividing total marketing by the 24,151 jobs sold gives about $1,800 of marketing a job*, against $18,091 of gross sales a job*.
How many Re-Bath locations are there?
Item 20 reports 145 outlets at the end of 2025: 142 franchised and 3 company-owned. There were 124 franchised outlets at the start of 2023, and 5 signed agreements were not yet open at the end of 2025.
Questions worth putting to Re-Bath
These are questions the filing leaves open. An owner or a buyer can put them to the franchisor directly.
- Is the revenue in Item 19 gross sales or collected revenue, and how many locations sit below the average?
- Which factors does Re-Bath see in its highest-selling locations, such as territory, years open and staffing?
- How long does a new location take to reach the average you publish, and what does the build-up look like month by month?
- At what level of sales do the minimum charges stop applying and the percentage take over?
- How many Re-Bath locations closed, were sold, or changed hands last year, and why?
Run your own numbers.
The Franchise Numbers Check runs the same checks on your own numbers. It scores where you stand and compares you with Item 19 of your brand’s FDD. It works out what one location earns and spends, and builds a 13-week cash forecast. It also checks whether you are ready to open another one. It is free and it runs in your browser.
Launch the diagnostic →Reporting for a Re-Bath owner
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Questions owners ask next
The figures above raise these, and each one is answered on its own page.
- At what level of sales does a minimum fee stop costing me more than the percentage?It works out the sales level where a minimum fee stops applying.
- How much cash do I fund before a new location covers its own costs?It builds a 13-week forecast for the months before break-even.
- What does this location earn on the money I put into it?It works out the payback period and cash-on-cash return for one unit.
- How much of Item 19 can I rely on?It explains what an Item 19 financial performance representation tells you and what it leaves out.
Where these figures come from
Every figure here comes from ReBath, LLC’s 2026 FDD and is unaudited by us. We are unaffiliated with the brand. Calculations of our own are labeled where they appear. The figures describe past performance at other businesses and are not a projection of yours. This page is an educational summary. It is not an offer to sell a franchise, and it is not financial, legal or tax advice. Re-Bath is a trademark of its owner. How Averan reads a Franchise Disclosure Document.
These figures come from the brand's disclosure. They are not a forecast, an offer to sell a franchise or advice. Source: ReBath, LLC, 2026 Franchise Disclosure Document, issued 6 July 2026.