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Red Barn franchise — is it worth it?
Medium risk Growing network
Red Barn is a real estate franchise with a relatively low initial investment range of $56,465 to $257,820.
Everything below is free, read straight off Red Barn's registered filing, with where the numbers land against real estate peers. Weighing Red Barn against other options? Get a free shortlist of franchises that fit your budget.
Figures above are as disclosed in Red Barn's most recent FDD (registered 2026). Source: Wisconsin Dept. of Financial Institutions — Franchise Registration · filing 641615 — check it yourself. See every other Wisconsin-registered franchise.
Considering Red Barn? See what else fits your budget
Tell us your budget and the industries you're open to. We'll match you with 5–10 franchises whose own FDDs fit — ranked by earnings disclosure, growth and closure rate — and email you the list. Red Barn will be on it if it fits.
Red Barn franchise profit — what the FDD discloses
Plainly: Red Barn does not disclose franchise profit or revenue. Its most recent FDD makes no Item 19 financial performance representation, so there is no franchisor-backed earnings figure for Red Barn — any number quoted elsewhere is an estimate, not a disclosure. The absence is itself worth weighing (22% of real estate franchisors in our corpus do disclose); the fees, litigation and outlet churn Red Barn's FDD does contain are on this page. For brands that put earnings on paper, see Real estate franchises with disclosed Item 19 earnings.
Red Barn lawsuits & legal history (FDD Item 3)
Red Barn's most recently filed Franchise Disclosure Document (2026) discloses no litigation in Item 3. That is a real signal rather than a gap: the FTC Franchise Rule requires a franchisor to disclose material litigation involving itself, its predecessors, parents, affiliates and management, so an empty Item 3 in a current filing means there was nothing it was required to report. It is worth reading alongside the churn numbers — a system can have a clean Item 3 and still be losing franchisees, which is what Item 20 shows.
Red Barn closures & failure rate
Before you sign, Red Barn 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 Red Barn's most recent filing shows, and whether it's normal for a real estate 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. Red Barn's latest tables show a growing franchised network. Its franchised-outlet closure rate — closures, terminations and non-renewals against outlets — is 2.3%, against a real estate median of 6.3% — at or better than the category. Net franchised outlets moved +39 to 125 in the latest reported year.
Who owns Red Barn?
Red Barn's franchise is offered by Red Barn Homebuyers, LLC — 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.
Real estate franchises at a similar investment level
Anyone weighing Red Barn 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.
Red Barn franchise — frequently asked
Who owns Red Barn — who is the franchisor?
Red Barn's most recently filed FDD (2026) names Red Barn Homebuyers, LLC 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 Red Barn franchise cost?
Red Barn's most recently filed FDD (Item 7) puts the total estimated initial investment at $56,465 – $257,820 and a 0.25% royalty. That price is the franchisor's own estimate of what it takes to open, not a quote. Against real estate peers it sits in the upper quartile (median $169,950).
How much profit does a Red Barn franchise make?
Red Barn makes no Item 19 financial performance representation, so there is no franchisor-disclosed revenue or profit figure for Red Barn at all — and profit would never be disclosed even where earnings are, because it depends on your rent, labor and how you operate. Any profit figure quoted elsewhere is an estimate, not a disclosure.
Does Red Barn disclose financial performance (Item 19)?
No — Red Barn's most recent FDD makes no Item 19 financial performance representation. Its absence is worth weighing: 22% of real estate franchisors in our corpus do disclose.
Are there lawsuits against Red Barn?
No — Red Barn's most recently filed FDD (2026) discloses no litigation in Item 3. Franchisors must disclose material litigation involving themselves, their predecessors, parents, affiliates and management, so an empty Item 3 is a genuine signal rather than an omission.
Is Red Barn a good franchise to buy?
Nobody can answer that from Red Barn's numbers alone — it comes down to how its investment, earnings, litigation and franchisee churn stack up against real estate 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 Red Barn or real estate: 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.