About Koala Insulation Franchise
Koala Insulation is a home services franchise backed by Empower Brands that specializes in residential and commercial insulation installation and upgrades.
The brand provides energy efficiency solutions including spray foam, blown in, batt, and other insulation products, helping property owners reduce energy costs and improve comfort in their homes and buildings.
With a franchise fee ranging from $5,000 to $49,500, Koala Insulation offers a flexible investment structure that accommodates various territory sizes and market opportunities.
Koala Insulation Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $5,000 to $49,500 | One-time payment upon signing |
| Royalty Fee | 6.5% of Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | $2,500 | National brand fund |
| Total Investment Range | $182,558 – $210,507 | Includes build-out, inventory, working capital |
The investment range of $183K–$211K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (6.5% of Gross Sales) and marketing fee ($2,500) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee1 | $49,500 | $49,500 |
| Training Expenses2 | $500 | $3,000 |
| Equipment and Vehicles3 | $45,008 | $54,157 |
| GPS Tracking Systems3 | $350 | $600 |
| Insurances4 | $3,500 | $6,000 |
| Initial Advertising/Marketing5 | $24,500 | $24,500 |
| Professional Fees6 | $2,500 | $6,000 |
| Rent (parking location/office)7 | $0 | $2,500 |
| Office expense8 | $500 | $1,250 |
| Computer, Phone and Technology Systems9 | $700 | $3,000 |
| Technology Activation Fee | $5,000 | $5,000 |
| Business Licenses and permits11 | $500 | $5,000 |
| Additional Funds – 3 Months 12 | $50,000 | $50,000 |
| TOTAL ESTIMATED INITIALINVESTMENT12 | $182,558 | $210,507 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | Payable to us. Weekly Sales reports must include Gross Sales and other informati |
| Renewal Fee | Greater of 25% of the Franchise Fee or $5,000 per Territory |
| Technology Fee | $80 |
| Audit Fee | We have the right under the Agreement to examine certain records including witho |
| Local Marketing (Ongoing) | $2,000 |
| Interest Charge | 1.5% per month from due date, or the maximum allowed by law. |
| Late Fee | $50 |
| Insurance Procurement | You must reimburse us for the cost plus 10% plus interest for any amounts we pay |
| Failure to Comply with Operational Standards | $100 |
| Annual Conference Fee | $200 |
| Additional Initial Training | $5,000 |
| Additional Opening Assistance | $500 |
| 7-12 | $250 |
| 13-24 | $350 |
| 25-36 | $500 |
| 37+ | $625 |
| Training Expenses2 | $500 |
| Equipment and Vehicles3 | $45,008 |
| GPS Tracking Systems3 | $350 |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | exclusive |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Renewal Term | If you have complied with all of the provisions in the Franchise Agreement, you may renew the Franchise for two additional terms of 5 years each, subject to certain contractual requirements described |
| Termination for Cause | Not applicable |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | Does not offer financing. |
Koala Insulation Franchise Earnings — Item 19
Past financial performance does not guarantee future results. Individual results will vary.
Koala Insulation Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Koala Insulation System Growth
Koala Insulation currently operates 27 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2020 | 0 | 0 | |
| 2020 | 0 | 0 | |
| 2020 | 0 | 0 | |
| 2020 | 0 | 0 | |
| 2020 | 0 | 0 | |
| 2020 | 2 | 2 | |
| 2020 | 2 | 2 | |
| 2020 | 0 | 0 | |
| 2020 | 0 | 0 | |
| 2021 | 1 | 1 | |
| 2021 | 0 | 0 | |
| 2021 | 9 | 9 | |
| 2021 | 0 | 0 | |
| 2021 | 1 | 1 | |
| 2021 | 39 | 41 | |
| 2021 | 18 | 20 | |
| 2021 | 4 | 4 | |
| 2021 | 8 | 8 | |
| 2022 | 4 | 5 | |
| 2022 | 3 | 3 | |
| 2022 | 6 | 15 | |
| 2022 | 5 | 5 | |
| 2022 | 0 | 1 | |
| 2022 | 18 | 54 | |
| 2022 | 0 | 12 | |
| 2022 | 0 | 4 | |
| 2022 | 4 | 12 |
Koala Insulation Franchise — FAQ
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