About LEI Home Enhancements Franchise
LEI Home Enhancements is a home improvement franchise that has been franchising since 2017, backed by Lasting Energy Innovations, LLC.
The brand specializes in energy efficient home improvement products and services, including windows, doors, siding, insulation, and other upgrades designed to improve a home's comfort, appearance, and energy performance.
The franchise fee is $49,500.
LEI Home Enhancements Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $39,500 - $49,500 | One-time payment upon signing |
| Royalty Fee | 5% of Monthly Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Not to exceed 1% of Monthly Gross Sales | National brand fund |
| Total Investment Range | $61,100 – $141,700 | Includes build-out, inventory, working capital |
The investment range of $61K–$142K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (5% of Monthly Gross Sales) and marketing fee (Not to exceed 1% of Monthly Gross Sales) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $39,500 | $49,500 |
| Rent/Lease of Office Space | $100 | $5,000 |
| Initial Rent, Telephone, Bank and Other Deposits | $500 | $10,000 |
| Leasehold Improvements | $0 | $5,000 |
| Furniture and Equipment | $1,000 | $15,000 |
| Computer System, Software | $1,000 | $7,000 |
| Office Supplies | $500 | $1,000 |
| Training Expenses for Initial Training | $3,000 | $18,000 |
| Insurance | $500 | $1,200 |
| Local Advertising/Grand Opening Advertising | $10,000 | $10,000 |
| Additional Funds – 3 months | $5,000 | $20,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $10,000 |
| Technology Fee | $132.50 per user, per month |
| Audit Fee | $2,000 to $3,000 |
| Operating Assistance | $500 per day plus all travel and living expenses |
| Holdover Fee | $2,000 per 6-month holdover term |
| Local Advertising | Greater of $1,000 or up to 10% of revenue per month at minimum |
| ROFR Fee | $7,500 |
| LEI University | Tuition cost below (which cost is per participant), plus travel and expenses: Territory Sales Director - $500 |
| Supplier Approval Costs | Variable according to the costs incurred, but estimated between $2,000 and $4,000 |
| Past Due Service Charge | Equal to the lesser of eighteen percent (18%) per year on the amount due or the maximum permissible rate on any past due amounts. |
| Enforcement and Mediation Costs | Variable |
| Indemnification | Variable according to amount of loss or claims. |
| Customer Deficiency Reimbursements | Variable according to customer complaint. |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Initial training within six months of signing the Franchise Agreement. Follow-up training of six days within two months after commencement of business. Two additional three-day sessions upon request. |
| Classroom Training | 35 |
| On-the-Job Training | 17 |
| Training Location | Cincinnati, Ohio (corporate headquarters) |
| Additional Training | Optional training programs (LEI University) with tuition fees (e.g., Director of Operations training: $500, Assistant Director of Operations training: $300, Franchise School: $750). System meetings (up to two per year) are also required. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected |
| Exclusive Territory | No |
| Territory Size | Area designated by Postal ZIP Code(s), roads, political boundaries (municipal, county, state or national borders), geographic boundaries (rivers and oceans), or a combination of these. |
| Description | Franchisee receives a protected territory, meaning the franchisor will not grant another franchise using Licensed Marks within the territory, nor permit another entity to service customers within the territory using Licensed Marks, unless the franchisee fails to meet Minimum Sales Performance Standards. Franchisor and its affiliates may operate similar businesses or other channels of distribution within the territory under Licensed Marks or other marks. Franchisee may service customers in contiguous 'Open Territories' with prior approval, but must cease if assigned to another franchisee. Minimum annual revenue levels are required: Year 1: $1,000,000; Year 2: $1,500,000; Year 3 and remaining years: $1,750,000. Failure to meet these standards may result in the territory becoming non-protected or termination of the agreement. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | One additional 10-year period |
| Renewal Conditions | Franchisee must not be in default, sign new Franchise Agreement and renewal addendum, sign a general release of claims, and give 3-6 months notice prior to expiration. New agreements may contain different terms and conditions. |
| Transfer Fee | $10,000 |
| Transfer Conditions | Proposed transferee must qualify under Franchisor’s standards, franchisee not in default, all outstanding amounts paid, general release executed, transferee completes initial training, transferee assumes all rights/obligations and signs new agreement, transfer completed per bulk sales legislation, no outstanding disputes. |
| Termination for Cause | Franchisor can terminate if franchisee defaults or breaches the Franchise Agreement. Cured defaults include non-payment of fees, failure to service customer accounts, failure to satisfy other obligations. Uncurable defaults include bankruptcy, seizure of assets, misrepresentation, three or more curable default notices in 12 months, under-reporting gross sales two or more times, death/incapacity (if not transferred), adversely affecting goodwill, default under other agreements, infringing another territory, abandonment, failure to meet Minimum Sales Performance Standards. |
| Non-Compete Period | During the term of the franchise and for 2 years after termination or expiration. |
| Non-Compete Details | During the term, franchisee (and owners) cannot directly or indirectly own or be involved with a Competitive Business anywhere in the United States. Post-term, for 2 years, cannot be involved with a Competitive Business in any city where another LEI Home Enhancements business is located or in the former territory, nor divert customers or influence to reduce business with LEI Home Enhancements. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | The Franchised Business must be under your direct, full-time, on-premises supervision (or a qualified shareholder/managing partner/member for a business entity) at all times during regular business hours. All owners of a corporate, limited liability company or partnership franchisee must personally guarantee the franchisee’s obligations. You and any employed management personnel must complete the initial training program. |
| Required Suppliers | Yes, home improvement products must be supplied by approved suppliers. Franchisor is currently the sole approved supplier of products and services that use the Licensed Marks. |
| Supply Restrictions | Franchisor reserves the right to specify products and services. Approved suppliers are those meeting standards and specifications. Franchisor may designate itself or affiliates as approved suppliers. Alternative suppliers for home improvement products are not approved. Other required products/services/leases from unapproved suppliers require written request and approval. Franchisor may inspect supplier facilities and revoke approval. Franchisee must reimburse supplier approval costs. Other items like computers and office supplies must meet specifications. |
| Franchisor Revenue from Suppliers | $1,925,746, which is 71% of our total revenue (based on 2021 audited financial statements). |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | Neither we, nor any agent or affiliate offers direct or indirect financing or guarantees obligations, except that in sole discretion, we may guarantee franchisee credit with a supplier if the franchisee is unable to secure credit, for a 'Guarantee Cost' not to exceed $2,000 per year. |
LEI Home Enhancements Franchise Earnings — Item 19
LEI Home Enhancements does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
LEI Home Enhancements 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.
LEI Home Enhancements System Growth
LEI Home Enhancements currently operates 22 franchised locations and 8 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2019 | 14 | 1 | 25 |
| 2020 | 1 | 2 | 24 |
| 2021 | 0 | 2 | 22 |
Transfers: 2 | Closures: 2
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Audited by Clark, Schaefer, Hackett & Co. for year ending December 31.
LEI Home Enhancements Franchise — FAQ
Similar Home Services Franchises
Interested in LEI Home Enhancements?
Get free info on this franchise. We will send you a detailed FDD report by email.