About Superior Walls Franchise
Superior Walls is a construction industry franchise focused on the manufacturing, transport, and installation of precast concrete wall systems for both below grade and above grade applications.
Franchising since 1989, the brand serves builders, contractors, and developers who need efficient, high quality wall solutions for residential and commercial construction projects.
The initial franchise fee is $125,000, reflecting the specialized manufacturing nature of the business.
Superior Walls Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $125,000 | One-time payment upon signing |
| Royalty Fee | 4% of Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | None | National brand fund |
| Total Investment Range | $1,054,500 – $1,968,000 | Includes build-out, inventory, working capital |
The investment range of $1.1M–$2.0M reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (4% of Gross Sales) and marketing fee (None) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial License Fee | $125,000 | $125,000 |
| Forms & Form Components purchased from SWA or its designee | $200,000 | $350,000 |
| Freight expense on equipment purchased from SWA | $5,500 | $21,000 |
| Materials and Supplies purchased from SWA or Approved Supplier | $250,000 | $500,000 |
| Equipment leased from other vendors | $22,000 | $39,000 |
| Travel & living expenses when training | $2,000 | $8,000 |
| Real estate and manufacturing facility – leasing | $20,000 | $60,000 |
| Real estate and manufacturing facility – improvements | $70,000 | $180,000 |
| Materials and Supplies inventory | $90,000 | $160,000 |
| Computer equipment/ Software | $5,000 | $10,000 |
| Initial sales promotion and advertising (Regular License Model only) | $15,000 | $15,000 |
| Additional funds – 3 months | $250,000 | $500,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $10,000 |
| Renewal Fee | $10,000 |
| Technology Fee | Cost of software |
| Audit Fee | Cost of audit |
| Additional Training Fee | US $1,200/day per instructor; International $1,500/day per instructor |
| Overdue Payments Fee | Interest on the overdue amount, at 18% per annum |
| Indemnification | Will vary with circumstances |
| Insurance Cost and Fee | Cost of insurance |
| Inspection Agency Fee | Will vary first year. Thereafter, approximately $7,440 per year |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | approximately 30 days total |
| Classroom Training | 32 hours |
| On-the-Job Training | 136 hours |
| Training Location | SWA's facility in New Holland, Pennsylvania or another designated facility |
| Additional Training | Additional training or refresher courses are not required; however, if additional training is needed, the fee is currently US $1,200/day per instructor (International $1,500/day per instructor) plus travel, lodging, meals, and other expenses for SWA's training staff and licensee's personnel. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected |
| Exclusive Territory | No |
| Territory Size | designated county or counties |
| Description | For the Regular License Model, you are granted an Area of Primary Responsibility consisting of designated county or counties. SWA will not establish or operate, or license any other person to establish or operate, a Superior Walls manufacturing facility within your Area of Primary Responsibility. SWA will also not authorize other licensees to sell or install Superior Walls Products within your Area of Primary Responsibility. However, SWA retains rights to sell to National or Regional Accounts within your territory and may authorize others to do so if you fail to service them. For the Manufacturing License Model, no Area of Primary Responsibility is granted, and you may face competition from other licensees or company-owned outlets. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10-year term |
| Renewal Term | Two 10-year renewal terms |
| Renewal Fee | $10,000 |
| Renewal Conditions | Licensee must give written notice one year prior to expiration, be in compliance with the License Agreement, sign the then-current form of renewal license agreement and guarantee (which may differ materially), satisfy all monetary obligations, make required renovations/modernizations, and meet current qualification and training requirements. |
| Transfer Fee | $10,000 |
| Transfer Conditions | All monetary obligations satisfied; not in material default; mutual general releases executed; transferee assumes obligations or executes new agreement; transferee meets SWA’s standards; purchase new Superior Wall Forms and Form Components; transferee completes training programs; payment of transfer fee; licensee remains liable for pre-transfer obligations. |
| Termination for Cause | Automatic termination for bankruptcy/insolvency. Immediate termination for unauthorized transfer, knowingly false records, felony conviction, refusal of inspection, voluntary cessation of business, public safety threat, disclosure of confidential information, repeated defaults, or failure to meet performance standards (for Regular License Model) or foundation installation requirements (for Manufacturing License Model). Other defaults may be cured within 30 days. |
| Non-Compete Period | During the term of the License Agreement and for 2 years after transfer, termination, or expiration. |
| Non-Compete Details | During the term, licensee and principals may not divert customers, assist competing businesses, or engage in wholesale sale/distribution of competing products without SWA's consent. After termination/expiration, for 2 years, they may not divert customers or have interest in competing businesses within the Area of Primary Responsibility (or 60-mile radius of Approved Location/APR perimeter for Regular License Model) or within any projects/developments (or 60-mile radius of projects/developments for Manufacturing License Model). |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | An individual who has completed the required training for General Managers must exercise full-time, on-premises supervision of the Licensed Business. Licensees must employ at least two SWA-certified individuals in manufacturing, two SWA-certified individuals in installation, and three full-time salespeople (unless staffing is sufficient to meet performance requirements). Owners with >5% interest, directors, officers, and management personnel must execute a Confidentiality Agreement. |
| Required Suppliers | Superior Walls forms and form components from SWA or its designee; Materials and Supplies designated as “approved-only” from approved suppliers (SWA may be one or the only one). |
| Supply Restrictions | Superior Walls Forms and Form Components are custom-made and for manufacturing Superior Walls Products only. Materials and Supplies must meet SWA's standards and specifications. |
| Franchisor Revenue from Suppliers | $5,394,988 (47% of total revenues in 2021) |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | Neither we nor any agent or affiliate offers direct or indirect financing to you, guarantees any note, lease or obligations of yours, or has any practice or intent to sell, assign or discount to a third party all or any part of any financing arrangement of yours. |
Superior Walls Franchise Earnings — Item 19
Past financial performance does not guarantee future results. Individual results will vary.
Superior Walls 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.
Superior Walls System Growth
Superior Walls currently operates 11 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 |
|---|---|---|---|
| 2019 | 0 | 0 | 10 |
| 2020 | 1 | 0 | 11 |
| 2021 | 0 | 0 | 11 |
Transfers: 2 | Closures: 0
State Registrations
Registered in 14 states: CA, NY, HI, ND, IL, RI, IN, SD, MD, VA, MI, WA, MN, WI
Franchisor Financials (Item 21)
Audited by Herbein + Company, Inc. for year ending December 31.
Superior Walls Franchise — FAQ
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