Koala insulation Franchise FDD, Profits & Costs (2025)
Established in 2018 and launching its franchise model in 2019, Koala Insulation specializes in the insulation sector, catering to both newly built structures and existing properties. The franchise focuses on improving energy efficiency, helping to lower greenhouse gas emissions and promote environmental sustainability.
Koala Insulation emphasizes both comfort and efficiency, ensuring high customer satisfaction with services that include thorough post-installation cleanup. No prior experience in the insulation field is necessary for franchisees, as the company provides extensive training and support to help them succeed.
Based in Melbourne, FL, Koala Insulation operates in the booming $52 billion insulation market. The franchise presents a recession-resistant business model within an essential industry, making it an attractive option for those interested in the home services sector.
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Initial Investment
How much does it cost to start a Koala Insulation franchise? It costs on average between $189,000 – $234,000 to start a Koala Insulation franchised facility.
This includes costs for equipment, inventory, initial training, and other startup expenses. The total investment varies depending on several factors, such as the franchisee’s location, the size of the operation, and whether they choose to lease or purchase the necessary property.
| Type of Expenditure | Amount (Low – High) |
|---|---|
| Initial Franchise Fee | $49,500 – $49,500 |
| Training Expenses | $500 – $5,000 |
| Equipment and Vehicles | $50,025 – $68,922 |
| GPS Tracking Systems | $350 – $600 |
| Insurances | $3,500 – $6,000 |
| Initial Advertising/Marketing | $26,000 – $30,000 |
| Professional Fees | $2,500 – $6,000 |
| Rent (parking location/office) | $0 – $4,000 |
| Office Expense | $500 – $1,250 |
| Computer, Phone, and Technology | $700 – $3,000 |
| Technology Activation Fee | $5,000 – $5,000 |
| Business Licenses and Permits | $500 – $5,000 |
| Additional Funds – 3 Months | $50,000 – $50,000 |
| TOTAL ESTIMATED INITIAL INVESTMENT | $189,075 – $234,272 |
Average Revenue (AUV)
How much revenue can you make with a Koala Insulation franchise? A Koala Insulation franchised business makes on average $428,000 in revenue (AUV) per year.
Here is the extract from the Franchise Disclosure Document:
This compares to $626,000 yearly revenue for similar other home services franchises. Below are a few Koala Insulation competitors as a comparison:
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We have compiled the list of the top 400 franchises across 9 industries. Download the report below.
Koala Insulation Franchise Disclosure Document
Frequently Asked Questions
How many Koala Insulation locations are there?
As of the latest data, Koala Insulation has a total of 395 units. All of these are franchised units, as the company does not currently own any locations.
What is the total investment required to open a Koala Insulation franchise?
The total investment required to open a Koala Insulation franchise ranges from $189,000 to $234,000.
What are the ongoing fees for a Koala Insulation franchise?
Koala Insulation franchisees must pay an 8% royalty fee and a 2% marketing fee. These fees are paid regularly and are intended to support the brand’s operational and marketing efforts, ensuring continued growth and brand visibility for all franchise locations.
What are the financial requirements to become a Koala Insulation franchisee?
To become a Koala Insulation franchisee, the minimum financial requirements include a net worth of at least $500,000 and liquid capital of $100,000. These financial requirements ensure that potential franchisees have the necessary resources to cover startup costs and sustain the business during its initial stages of operation.
How much can a Koala Insulation franchise owner expect to earn?
The average gross sales for a Koala Insulation franchise are approximately $0.43 million per location. Assuming a 15% operating profit margin, $0.43 million yearly revenue can result in $65,000 EBITDA annually.
Who owns Koala Insulation?
Koala Insulation franchise is owned by Koala Franchise Group, which is the parent company behind the brand. The group operates as the franchisor, overseeing the expansion and growth of the Koala Insulation network through franchisees across various regions.
Disclaimer
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