360 Painting Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$132,350
Min Cash Required
$17,500
Total US Locations
153
Business Summary
360 Painting is a home-based, mobile business that offers a complete range of painting and wall finishing services for both the inside and outside of homes and smaller commercial buildings. Franchisees operate their 360 Painting business primarily from a van or truck and a home office, and they are responsible for finding and attracting their own customers.
Corporate History
360 Painting, LLC was officially formed as a Delaware company on April 1, 2013. Before that, its predecessor, 360 Painting Inc., a Virginia entity, had been offering painting franchises since April 2006. In April 2013, the existing franchise agreements were transferred to the newly formed 360 Painting, LLC, which then continued the franchising operations. The company is part of a larger family of brands, being 100% owned by PSB Group, LLC, which in turn is almost entirely owned by Premium Service Brands, LLC. Both these parent companies, along with their ultimate parent AE Capital, LLC, share the same headquarters location as 360 Painting in Charlottesville, Virginia.
Financial Overview
Investment Range
$132,350
Minimum Cash Required
$17,500
Marketing %
2%
Equipment Costs (Low)
$1,250
Working Capital
$28,750
Audited Financials
Yes
Offers Financing
No
Financing Details
360 Painting does not offer any direct or indirect financing options to its prospective franchise buyers. This means that 360 Painting will not provide loans or guarantees for things like your initial franchise fee, equipment purchases, or other obligations you might have. Franchisees will need to secure all necessary funding independently from banks or other lenders.
Performance Metrics
Total US Locations
153
Franchised Units
153
Corporate Units
0
Franchising Since
2013
Legal & Compliance Analysis
Recent Litigation
Yes
Bankruptcy
No
Litigation Count
14
Litigation Summary
360 Painting and its parent company, Premium Service Brands, have been involved in several legal matters. Currently, there are two ongoing pending actions. In 2022, 360 Painting sued a former franchisee for breaking their agreement, unauthorized use of their brand name, and misusing trade secrets. The former franchisee then counter-sued 360 Painting, Premium Service Brands, and its CEO Paul Flick, alleging fraud and misrepresentation during the sales process and failure to provide promised services. Both sides have had some of their claims allowed to proceed, and the case is now in the discovery phase. Additionally, in December 2024, 360 Painting's affiliate, RooterMan, began a lawsuit and arbitration against a former franchisee for similar issues of trademark infringement, unfair competition, and breach of contract, with the franchisee also filing counterclaims alleging fraudulent inducement and other violations. These cases are in their early stages. In the past, 360 Painting has faced several resolved lawsuits. In 2021, 360 Painting sued a former franchisee over royalty reporting, which was settled with 360 Painting paying $21,000. In 2019, a former franchisee sued 360 Painting for breach of contract and misrepresentation, claiming inadequate support and advertising materials, which was settled in 2021 with 360 Painting paying $57,500. Premium Service Brands, the parent company, settled a contract dispute with a software vendor in 2019 by paying $190,000. In 2017, 360 Painting settled a dispute with an advertising vendor for $21,000. A more historical case from 2011 involved Paul Flick (CEO) and 360 Painting being sued for fraud related to an asset purchase, settling in 2020 with a payment of $100,000. 360 Painting has also had a series of governmental actions: * In 2016, the Maryland Securities Division found 360 Painting and Paul Flick in violation for unregistered franchise sales and FDD disclosure failures, including not disclosing a lawsuit. They entered a Consent Order agreeing to cease sales in Maryland (unless registered) and offered rescission to two franchisees. * In 2020, the Illinois Attorney General's Office investigated 360 Painting for not obtaining required Illinois amendments to franchise agreements. 360 Painting entered an Assurance of Voluntary Compliance (AVC), agreeing to offer rescission to affected franchisees, pay $6,000 to the state, and disclose this agreement. * In 2020, the Virginia State Corporation Commission investigated 360 Painting for failing to disclose certain litigation in FDDs. 360 Painting settled in 2021, paying $10,000 in penalties and $1,000 for investigation costs. * In 2021, the California Department of Financial Protection and Innovation investigated several Premium Service Brands affiliates, including 360 Painting, for FDD disclosure failures and alleged misrepresentations. They entered a Consent Order requiring cessation of unregistered sales in California, payment of $72,500 in penalties and $10,500 in costs, disgorgement of initial franchise fees from California franchisees, and a 36-month bar for Paul Flick from offering or selling franchises in California. * In 2022, the Washington Department of Financial Institutions Securities Division investigated 360 Painting and Pro-Lift Doors, leading to a Consent Order where they agreed to cease violations and pay $2,000 in investigative costs. * In 2022, the Maryland Securities Division initiated another investigation into 360 Painting and Paul Flick for failing to disclose certain lawsuits in FDDs from 2017 to 2019. In 2023, they entered a Consent Order, agreeing to cease unregistered sales in Maryland and pay a $50,000 civil penalty.
Bankruptcy History
360 Painting has no bankruptcy history to report.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
To renew their franchise agreement, 360 Painting franchisees must meet several conditions. First, they need to notify 360 Painting in writing between six and nine months before their current agreement is set to expire. They must also have a clean record, meaning they've consistently followed all the rules in their Franchise Agreement and any other agreements with 360 Painting or its affiliates, without any outstanding defaults. At the time of renewal, franchisees will need to sign 360 Painting's then-current Franchise Agreement. This new agreement might have terms that are significantly different from their original contract, potentially including changes to fees, the size or makeup of their territory, the number of future renewal options, and new minimum royalty payments that reflect the current market and the business's performance. They also have to pay a renewal fee, which will be the greater of 25% of the current initial franchise fee or $15,000. Furthermore, franchisees must upgrade their vehicles and remodel or renovate their business location to match 360 Painting's latest brand image and standards. All financial obligations to 360 Painting, its affiliates, subsidiaries, landlords, vendors, and suppliers must be paid in full and on time. Franchisees and their managers must also meet current qualification and training requirements, which may involve attending and successfully completing new training programs. Finally, they will need to sign a legal release form that clears 360 Painting and its related parties from any claims the franchisee might have, subject to state law.
Training & Support Program
Franchisor Assistance
360 Painting helps its franchisees get started by designating their protected territory and providing an initial training program. Franchisees receive a copy of the Brand Standards Manual, which contains important operational guidelines, and a list of approved suppliers for equipment and supplies. The company also assists with setting up mandatory software systems, websites, and email accounts. While franchisees set their own minimum prices, 360 Painting may offer pricing policy suggestions and can consult on office location if a franchisee chooses not to operate from a home office. After a 360 Painting business opens, the company offers ongoing support through various channels. This includes providing additional assistance with sales, promotions, and operations upon request. They offer general guidance periodically via telephone, email, and newsletters, covering topics like operational methods, accounting procedures, and marketing strategies. 360 Painting also conducts occasional onsite visits to provide consultation, assistance, and guidance, and makes available updates and changes to the System, Brand Standards Manual, and lists of approved suppliers. For marketing and advertising, 360 Painting operates a Marketing Fund, to which franchisees contribute a portion of their gross sales or a weekly minimum. This fund is used at 360 Painting's discretion for national, regional, or local advertising, public relations, and promotional programs to benefit all 360 Painting businesses. Franchisees are also required to spend a minimum amount on local advertising each month, and all their advertising materials, whether local or part of an Advertising Cooperative, must be approved by 360 Painting. Technologically, 360 Painting requires franchisees to use a specific laptop that converts into a tablet, and to exclusively use its contact center for centralized customer service and scheduling. Franchisees must also use 360 Painting’s business management software and its in-house Accounting and Business Advisory Services for at least the first 12 months, which covers pre-launch setup and ongoing monthly support. High-speed internet access and 360 Painting-provided email accounts are mandatory, and 360 Painting offers an approved website provider. The company maintains continuous remote access to the franchisee's electronic data for system management, benchmarking, and preparing financial performance representations. Training is comprehensive, with 360 Painting requiring the franchisee or their designated manager to complete a three-week initial training program. This program includes virtual and live classroom sessions covering key areas like capacity, marketing, estimating, sales, and production, supported by an onboarding specialist. Franchisees are responsible for their own travel, lodging, meals, and other expenses during training, as well as any fees for necessary software, hardware, and materials. 360 Painting may also require attendance at additional refresher training or annual conventions, for which franchisees are responsible for associated costs and potential fees.
Initial Training Hours
80
Training Location
Corporate offices in Charlottesville, Virginia (hybrid with virtual sessions)
Ongoing Support
After a 360 Painting franchise opens, its franchisees receive several types of ongoing support. If a franchisee asks for it and it's approved, 360 Painting can offer additional help with sales, promotions, and general operations. Franchisees also get regular advice and guidance through phone calls, emails, faxes, and newsletters. This advice covers a range of topics, including operational methods, accounting procedures, and strategies for marketing and sales. 360 Painting's team might also visit the franchisee's business from time to time to offer consultations, assistance, and guidance on various aspects of managing the business. They also provide ongoing training as needed. Franchisees are kept up-to-date with any changes or additions to the 360 Painting System, the Brand Standards Manual, approved suppliers, and the authorized products and services. For marketing, 360 Painting approves the advertising materials its franchisees use. It also runs a central contact center that handles customer service and schedules appointments for all businesses in the system. While 360 Painting may suggest pricing strategies, franchisees are the ones who set their minimum prices, though the franchisor might set maximum prices for sales promotions. Franchisees and/or their managers are required to attend an annual convention, and while 360 Painting covers the event's costs, franchisees are responsible for their own travel, meals, lodging, and any convention fees (currently $1,000 per attendee, or $2,000 if they don't attend). Additionally, 360 Painting may require franchisees, managers, or employees to attend other training programs to keep up with market developments, learn advanced techniques, or adapt to changes in the System. Franchisees are responsible for all costs related to attending these additional training sessions and may also need to pay a fee to 360 Painting for them.
Franchise Requirements
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
Yes
Operational Details
Location Type
Hybrid
Owner Participation
Absentee Allowed
Territory Type
Limited
Territory Size Requirements
360 Painting defines its franchise territories by specific zip codes. Each protected territory is designed to include an area with approximately 50,000 to 80,000 single-family homes.
Staffing Notes
360 Painting businesses are required to have a Designated Manager who provides full-time, on-premises supervision. This manager can be the franchisee themselves, or the franchisee can hire someone for this role. If the franchisee chooses to hire a manager and not dedicate their own full-time efforts to the business, they will be responsible for that manager's salary. Beyond the manager, franchisees must hire enough qualified employees to operate the business at its maximum capacity and efficiency during designated operating hours. Franchisees are solely responsible for all aspects of hiring, compensating, and, if necessary, firing their employees. 360 Painting provides resources like employment applications, interview questions, job descriptions, and suggested pay scales in its Brand Standards Manual to help with staffing. All employees must wear company-approved apparel and maintain a neat appearance while conducting themselves in a competent and courteous manner. Franchisees may also use third-party subcontractors, who must comply with the same quality, performance, and insurance standards as the franchisee's own employees. Franchisees are responsible for implementing an approved training program for their staff and ensuring all employees are properly trained and qualified.