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Closets by Design franchise — is it worth it?
Medium risk Growing network Item 19 disclosed
CLOSETS BY DESIGN is a home services franchise with an initial investment ranging from $154,000 to $511,000.
Everything below is free, read straight off Closets by Design's registered filing, with where the numbers land against home services peers. Weighing Closets by Design against other options? Get a free shortlist of franchises that fit your budget.
Figures above are as disclosed in Closets by Design's most recent FDD (registered 2026). Source: Wisconsin Dept. of Financial Institutions — Franchise Registration · filing 641538 — check it yourself. See every other Wisconsin-registered franchise.
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How much does a Closets by Design franchise make?
Closets by Design is one of the franchisors that answers this on the record: its most recent FDD makes an Item 19 financial performance representation — actual unit earnings figures, disclosed by the franchisor itself. The headline figure did not machine-read cleanly from this filing, so we don't print one; Item 19 of the source FDD has the tables. See every home services brand that discloses earnings in the Home services & home improvement franchises with disclosed Item 19 earnings ranking.
Closets by Design franchise profit vs. revenue
Revenue is not profit. An Item 19 almost always reports sales — what a location takes in — not what an owner keeps. Out of that number come Closets by Design's 7.25% royalty, the ad fund, rent, payroll, supplies and debt service. No FDD tells you a Closets by Design franchise's profit, because profit depends on your site, your rent and how you run it — so treat any "Closets by Design franchise profit" figure quoted elsewhere as someone's estimate, not a disclosure.
Closets by Design lawsuits & legal history (FDD Item 3)
Closets by Design's most recently filed Franchise Disclosure Document (2026) does disclose legal proceedings in Item 3 . Item 3 is the item where a franchisor must put its material legal history on the record. Two things it is not: it covers the franchisor and its predecessors, parents and affiliates, so a disclosed case is not necessarily a suit against Closets by Design itself; and a disclosure is a fact, not a finding of wrongdoing — most entries are contract disputes with former franchisees, which every large system accumulates. Item 3 of the source FDD describes each case.
Closets by Design closures & failure rate
Before you sign, Closets by Design will hand you a list of current owners to call as references — and they choose who's on that list. It won't include the owners who quit, got bought out, or were forced out last year. The FDD does report that number, even though the reference list leaves those people off. Below is what Closets by Design's most recent filing shows, and whether it's normal for a home services of this kind.
The closest thing an FDD has to a failure rate is Item 20 — outlet openings, closures, terminations and non-renewals, reported by the franchisor. Closets by Design's latest tables show a growing franchised network. Its franchised-outlet closure rate — closures, terminations and non-renewals against outlets — is 5.1%, against a home services median of 5.1% — at or better than the category. Net franchised outlets moved +5 to 84 in the latest reported year.
Who owns Closets by Design?
Closets by Design's franchise is offered by CBD FRANCHISING, INC. — the franchisor named on the cover of its most recently filed Franchise Disclosure Document (2026), and the entity a franchisee actually signs with. That name comes straight off the filing at WI DFI; it identifies the franchisor, not necessarily the ultimate parent company behind it.
Home services franchises at a similar investment level
Anyone weighing Closets by Design is really weighing it against the other brands their money could go into. These are the closest by total initial investment (FDD Item 7), each with its own FDD-based page.
Closets by Design franchise — frequently asked
Who owns Closets by Design — who is the franchisor?
Closets by Design's most recently filed FDD (2026) names CBD FRANCHISING, INC. as the franchisor — the entity you would actually sign the franchise agreement with, as stated on the disclosure document itself. A registry filing names the franchisor, not necessarily its ultimate parent company.
How much does a Closets by Design franchise cost?
Closets by Design's most recently filed FDD (Item 7) puts the total estimated initial investment at $154,000 – $511,000, with an initial franchise fee of $20,000 and a 7.25% royalty. That price is the franchisor's own estimate of what it takes to open, not a quote. Against home services peers it sits in the bottom quartile (median $162,725).
How much profit does a Closets by Design franchise make?
Closets by Design discloses unit earnings in Item 19, but that figure is revenue — sales — not profit. Royalties (7.25% of gross for Closets by Design), the ad fund, rent, payroll and supplies all come out of it, and no FDD discloses what an owner nets. Any Closets by Design franchise profit number quoted elsewhere is an estimate.
Does Closets by Design disclose financial performance (Item 19)?
Yes — Closets by Design reports unit-level earnings in Item 19. The headline figure did not machine-read cleanly, so check Item 19 of the source FDD for the numbers.
Are there lawsuits against Closets by Design?
Closets by Design's most recently filed FDD (2026) discloses legal proceedings in Item 3. Item 3 covers the franchisor, its predecessors, parents and affiliates — so a disclosed case is not necessarily a suit against Closets by Design itself, and a disclosure is not a finding of wrongdoing.
Is Closets by Design a good franchise to buy?
Nobody can answer that from Closets by Design's numbers alone — it comes down to how its investment, earnings, litigation and franchisee churn stack up against home services peers and against your own budget. Our read on this filing is medium risk. Every figure behind that read is on this page for free. If you're comparing options, the free shortlist on this page matches you with 5–10 franchises that fit your budget and industry.
Get a free email when something changes on Closets by Design or home services: a new FDD registration, a new lawsuit, an outlet count that shifts, or Item 19 earnings going from undisclosed to disclosed. Pulled straight from the same state registries this page is built on.