Risk Score
Pending analysis
Investment Range
$64,300 - $924,500
Franchise Fee
$20,000
Total US Locations
47
Business Summary
SEALMASTER (InFrasys, Inc.) offers franchises for businesses that manufacture pavement sealers, and sell and rent pavement maintenance products, tools, accessories, and equipment. These businesses primarily cater to pavement maintenance contractors, public works departments, and other entities responsible for pavement maintenance. Franchisees use proprietary SEALMASTER specially formulated pavement maintenance and sports surface products and equipment.
Corporate History
InFrasys, Inc., doing business as SEALMASTER, was initially incorporated in Minnesota on October 3, 1991, under the name SealMaster Franchising, Inc., before changing its name to InFrasys, Inc. on June 16, 2003. Its affiliate, ThorWorks Industries, Inc., has a longer history, operating a similar business since 1990, with a predecessor dating back to 1969. InFrasys, Inc. has been offering SEALMASTER franchises since 1993, providing a system for manufacturing pavement sealers and selling/renting pavement maintenance and sports surface products and equipment.
Financial Overview
Investment Range
$64,300 - $924,500
Franchise Fee (Low)
$20,000
Franchise Fee (High)
$35,000
Royalty %
5%
Marketing %
1.5%
Equipment Costs (Low)
$10,000
Equipment Costs (High)
$480,000
Working Capital
$75,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
The financial statements for SEALMASTER (InFrasys, Inc.) have received an unqualified audit opinion, indicating that they present the company's financial position fairly. The auditors did not identify any conditions or events that raise substantial doubt about SEALMASTER's ability to continue as a going concern. This suggests SEALMASTER (InFrasys, Inc.) is in good financial health. SEALMASTER (InFrasys, Inc.) has significantly increased its cash from $3.7 million in 2022 to $8.8 million in 2024. Total assets have grown from $24.1 million to $26.3 million in the same period. Notably, long-term debt was fully repaid by fiscal year 2023. Contract liabilities for advertising funds and deferred revenue have increased, reflecting higher customer contributions and deferred income. Stockholder's equity has also shown consistent growth, rising from $15.5 million to $18.0 million. Net income has been strong and consistent, with $11.6 million in 2022, $13.3 million in 2023, and $13.6 million in 2024. These financial indicators suggest a robust and improving financial position for SEALMASTER (InFrasys, Inc.).
Financing Details
SEALMASTER (InFrasys, Inc.) does not offer any direct or indirect financing options to its franchisees. Franchisees are responsible for securing their own funding, and SEALMASTER (InFrasys, Inc.) does not guarantee any loans, leases, or other financial obligations for them.
Performance Metrics
Total US Locations
47
Franchised Units
43
Corporate Units
4
Avg Square Footage
10,000
Franchising Since
1993
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Count
1
Litigation Summary
SEALMASTER (InFrasys, Inc.) has one disclosed litigation case. In February 2007, the California Department of Corporations issued a Citation and Desist and Refrain Order against SEALMASTER. This order was for offering and selling franchises in California without being registered under the Franchise Investment Law and for not disclosing two prior California civil actions. As a result, SEALMASTER was ordered to cease these activities and pay a $5,000 penalty. There is no other litigation required to be disclosed for SEALMASTER (InFrasys, Inc.).
Bankruptcy History
SEALMASTER (InFrasys, Inc.) has no bankruptcy history to report for itself or its key management.
Agreement Terms
Initial Term
10 years
Renewal Term
5 years
Renewal Conditions
To renew their SEALMASTER franchise, franchisees must have fully complied with all provisions of their Franchise Agreement throughout the initial term. They need to maintain possession of an approved location or secure a new one that meets SEALMASTER's current standards for new or renewing businesses. Franchisees must provide written notice of their intent to renew 12 to 18 months before the current agreement expires. All financial obligations to SEALMASTER (InFrasys, Inc.) and suppliers must be satisfied, and the franchisee must meet current training requirements. Finally, they will need to sign SEALMASTER's then-current Franchise Agreement, which might have different terms, and pay a renewal fee (not exceeding 25% of the then-current initial franchise fee). The franchisee and each principal owner must also sign a general release of any claims against SEALMASTER (InFrasys, Inc.) and its affiliates.
Training & Support Program
Franchisor Assistance
SEALMASTER (InFrasys, Inc.) provides various assistance to its franchisees. Before opening, SEALMASTER (InFrasys, Inc.) helps approve the location and may assist in site identification. They can optionally provide construction and installation services at cost plus a reasonable mark-up. A representative will visit the premises for 2 to 5 days to help with the grand opening and personnel training. Franchisees also receive a confidential operations manual. During operation, SEALMASTER (InFrasys, Inc.) offers additional assistance upon request (for a daily fee plus expenses), provides guidelines for grand opening advertising, and manages a national advertising fund that franchisees contribute to. They update lists of approved suppliers and products, negotiate group rates, coordinate product distribution, and may publish a newsletter. SEALMASTER (InFrasys, Inc.) representatives also make periodic visits to consult and assist with operations and may offer guidance on pricing. Furthermore, SEALMASTER (InFrasys, Inc.) provides specifications for required computer hardware and software, and has full access to the franchisee's computer data.
Initial Training Hours
120
Training Location
Sandusky, Ohio
Ongoing Support
After opening, SEALMASTER (InFrasys, Inc.) provides ongoing support through periodic visits by its representatives to consult and assist franchisees in all aspects of business operations, with written reports provided. They also offer guidance on pricing for products and services. Franchisees have access to updated lists of approved suppliers and products. SEALMASTER (InFrasys, Inc.) negotiates group rates on products, coordinates distribution, and publishes a periodic franchisee newsletter when practical. For an additional fee, SEALMASTER (InFrasys, Inc.) offers contractor training to the franchisee's customers. Franchisees may also request additional specialized training at SEALMASTER's headquarters, for which travel and living expenses are the franchisee's responsibility. SEALMASTER (InFrasys, Inc.) may also require franchisees and their managers/employees to attend refresher training programs or seminars, up to twice a year for a maximum of 10 business days, at the franchisee's expense.
Franchise Requirements
Ideal Candidate Profile
SEALMASTER (InFrasys, Inc.) seeks qualified individuals or entities. For conversion franchisees, candidates must have at least two years of experience in manufacturing pavement sealants within the past five years. All franchisees are expected to be hands-on, with the owner or a designated manager providing direct, full-time, on-site supervision of the business. Franchisees must also employ at least one dedicated full-time outside sales person before initial training, who must also complete the training. For existing SEALMASTER franchisees, a minimum of two such sales persons is required.
Industry Experience Required
Yes
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Min Years Experience
2
Operational Details
Location Type
Commercial
Owner Participation
Full-Time
Territory Type
Protected
Staff Count
2
Territory Size Requirements
SEALMASTER (InFrasys, Inc.) defines its protected territories, called "Area of Primary Responsibility," by geographic boundaries such as zip codes, county lines, highways, or physical landforms. These territories generally have a population base of approximately 3,000,000 people and a radius of about 80 miles. However, in rural areas, the population can be as low as 500,000 with a radius up to 250 miles, while urban areas might have a radius as small as 30 miles.
Staffing Notes
SEALMASTER (InFrasys, Inc.) requires that the franchisee or a trained and competent full-time manager directly supervise the business. The franchisee must employ at least one dedicated full-time outside sales person before attending the initial training program, who must also complete this training. This requirement increases to a minimum of two outside sales persons after the first three years of operation. For existing SEALMASTER franchisees, two outside sales persons are required from the outset.