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Closets By Design

Information based on 2024 FDD
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Brand Highlights
  • Founded in 1982
  • Franchising Since 1998
  • 76 US Franchises
  • $154,000 - $511,000 Investment Range
  • $9,569,421 Average Gross Revenue
  • 7% - 7.25% Royalty Fee
  • $20,000 Franchise Fee
Pre-qualification Amount

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Brand Description

Closets By Design has been transforming homes with custom storage solutions since 1982, establishing itself as a leader in the home organization industry. With a proven track record spanning over four decades, this franchise specializes in designing and installing custom closets, home offices, garage systems, and other innovative storage solutions tailored to each client's unique needs.

What sets Closets By Design apart is their comprehensive approach to home organization. Their process begins with professional design consultants who work closely with homeowners to create personalized storage solutions that maximize space while complementing the home's aesthetic. The franchise offers multiple design collections, from the cost-effective Everyday Collection to the sophisticated Regency Collection, ensuring options for every budget and style preference.

The brand's commitment to quality is evident in their craftsmanship and attention to detail. Their installations are handled by skilled professionals who prioritize customer satisfaction, consistently earning praise for their efficiency, cleanliness, and precise workmanship. This dedication to excellence has helped build a loyal customer base and strong reputation in the home services sector.

As a Closets By Design franchise owner, you'll benefit from their established business model, comprehensive training programs, and ongoing support. The franchise operates in a growing market segment driven by increasing demand for home organization solutions and the rising trend of home improvement projects. With their proven systems and strong brand recognition, Closets By Design offers entrepreneurs an opportunity to build a successful business in the thriving home services industry.

DID YOU KNOW?

How much does it cost to start a franchise with Closets By Design?

$154,000
$511,000
Did you know that launching your own Closets By Design franchise - a leading custom closet and home organization business that's been transforming cluttered spaces into beautifully organized solutions for over 30 years - requires a total investment between $154,000 and $511,000, which includes the $20,000 franchise fee plus all the equipment, inventory, marketing, and working capital you'll need to start helping homeowners create their dream storage spaces?
Financial Summary
Franchise Fee
$20,000
Investment Range
$154,000 - $511,000
Investment Midpoint
$332,500
Minimum Cash Required
$154,000
Royalty Fees
7% - 7.25%
Brand Fund
2.25%
Brand Bragging Rights
40+ years of proven market presence since 1982
82 active units demonstrating scalable business model
Four distinct product collections (Everyday, Classic, Regency, Brio)
Full-service offering from design consultation to installation
Lower investment entry point than sub-sector average
Comprehensive custom storage solutions for growing home organization market
Financial Analysis
Closets by Design requires an investment range of $154,000 to $511,000, offering a lower entry point than the sub-sector average minimum of $278,663 while maintaining a maximum investment well below the sector's average ceiling of $1.38 million. This positioning provides accessible entry into the expanding home organization market, driven by increased homeowner focus on maximizing living spaces and remote work trends.

With 82 active units established since 1982, the system demonstrates over four decades of operational refinement and market validation. The franchise reports total system gross revenue of $9.57 million across all units, significantly outperforming when compared to the sub-sector average of $482,798. This mature franchise infrastructure suggests established operational systems, supplier relationships, and brand recognition within the custom storage sector.

The business model targets affluent homeowners seeking custom storage solutions, requiring territories with sufficient household income levels and homeownership rates. Operational complexity involves design consultation, manufacturing coordination, and installation management, suggesting ideal candidates possess project management experience or construction industry background.

Investors should evaluate territory demographics, competition from both franchise and independent operators, and seasonal demand patterns. The franchise's established presence and comprehensive service offerings from consultation through installation provide competitive positioning, though success depends on local market conditions and operator execution capabilities.
Expected Investment Range
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Average Gross Sales
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Financing
Financing Details

Franzy connects you with top-tier financing partners to help secure the funds to invest in a franchise like Closets By Design. Whether you're looking for a loan or exploring other financial products, our partners provide expert guidance to ensure you obtain the necessary capital. They specialize in offering solutions tailored to the needs of franchisees, making the process of securing financing smooth and straightforward.

Why Financing with Franzy Partners?

Choosing to finance through Franzy's partners ensures you get the best terms and support for your franchise investment. Our partners have extensive experience in the franchising industry and offer specialized financial solutions tailored to your needs. With competitive interest rates and flexible repayment options, you can find the right financing plan that fits your budget and goals. Our partners are committed to providing personalized guidance throughout the financing process, making it easier for you to secure the necessary funds and confidently move forward with your franchise venture.

Finance Partners
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CRF USA

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First Bank of the Lake

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Golden Capital Solutions

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Location Analysis
Closets By Design demonstrates strong market presence across multiple states with widespread coverage, showing strategic concentration in key markets. The franchise maintains significant presence across the Eastern Seaboard and Midwest, with notable strength in major markets like Florida, Michigan, and New York, followed by strong representation in Pennsylvania and North Carolina, suggesting successful penetration in both high-density urban markets and affluent suburban areas. The franchise's impressive 4.65 average rating across thousands of customer reviews indicates consistent service quality across regions.

The geographic distribution reveals a focus on markets with high homeownership rates and strong real estate activity. Strongest performance is seen in states with substantial home renovation spending and higher median household incomes. Key success factors include proximity to affluent suburban communities, new housing developments, and areas with active real estate markets.

Ideal locations typically feature: median household incomes above $75,000, high concentration of single-family homes, active housing markets, and proximity to design districts or home improvement retail clusters. Significant expansion opportunities exist in underserved Western states and growing Sun Belt markets, particularly in areas experiencing population growth and strong housing development.

Prospective franchisees should prioritize locations near upscale residential areas with high home values and renovation activity, while considering competition from both national brands and local custom closet providers.
Total US Locations82
Open Franchises76
Corporate Locations6
Average Sq. FootN/A
Territory Map

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Franchise Net Unit Growth
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Additional Information

Executive Team

Get to know the leadership behind Closets By Design. Learn about the experience and expertise of the executive team guiding Closets By Design's success. For more details, refer to Item 2 of the Franchise Disclosure Document (FDD).

Litigation

Review any legal actions or pending litigation involving Closets By Design. Understanding the legal history helps assess potential risks and the brand's business practices. For more details, refer to Item 3 of the Franchise Disclosure Document (FDD).

Bankruptcy

Review Closets By Design's bankruptcy history and any filings by key personnel or affiliates. This critical information provides transparency about the brand's financial stability and management. For more details, refer to Item 4 of the Franchise Disclosure Document (FDD).

Franchisor Assistance

Learn about Closets By Design's comprehensive support system for franchisees, including initial training programs and continuous operational assistance. Understanding the available resources and support structure is crucial for franchise success. For more details, refer to Item 11 of the Franchise Disclosure Document (FDD).

Frequently Asked Questions
Disclaimer

The information provided on this page is based on the latest Franchise Disclosure Document (FDD) that is publicly available and that we have on record, which was issued in 2024. This information is for informational purposes only and is not intended to constitute legal, financial, or business advice. We make no guarantees or claims regarding the completeness or accuracy. For the most current and detailed information, we recommend consulting the franchisor directly for the most recent FDD and regarding any questions that you may have about the information provided.

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