Wonderly Lights Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$91,007 - $142,428
Franchise Fee
$23,600
Total US Locations
40
Business Summary
Wonderly Lights operates a business that offers consultation, design, installation, and maintenance services for premium outdoor lighting and decor. This includes Christmas and holiday season lighting, event-based lighting for occasions like weddings, and permanent as well as landscape lighting. Wonderly Lights serves a diverse customer base, including residential, commercial, and municipal clients.
Corporate History
Wonderly Lights, operating as BFB Light Franchising, LLC, was established as a Delaware limited liability company on May 18, 2022. The company began offering franchises for its outdoor lighting and decor business in June 2022. It is a wholly-owned subsidiary of BFB Light Holdings, LLC, which is controlled by Buzz Franchise Brands, LLC, a multi-brand franchising company founded in 2009 that also owns British Swim School, Home Clean Heroes, and Pool Scouts.
Financial Overview
Investment Range
$91,007 - $142,428
Franchise Fee (Low)
$23,600
Franchise Fee (High)
$29,500
Royalty %
7%
Marketing %
2%
Equipment Costs (Low)
$13,555
Equipment Costs (High)
$14,398
Working Capital
$10,500
Audited Financials
Yes
Offers Financing
Yes
Audit Opinion
Unqualified opinion
Financial Health Notes
Wonderly Lights' financial statements indicate that the company is dependent on the continued support from its related party, Buzz Franchise Brands, LLC (BFB). BFB has confirmed its intent and ability to fund Wonderly Lights' operations through March 5, 2025.
Financing Details
Wonderly Lights may offer direct financing to franchisees for a portion of their initial investment or operating capital, potentially covering up to half of the initial fee. The annual interest rate is typically 12%, but this can vary based on the franchisee's creditworthiness. Repayment terms usually span 1 to 3 years with monthly payments, though other terms, such as daily credit card receipt submissions, may be required. Franchisees or their principals must personally guarantee the debt, and Wonderly Lights may also secure an interest in the franchise's assets. Prepayment is allowed without penalty. However, Wonderly Lights does not offer any financing in the State of California.
Performance Metrics
Total US Locations
40
Franchised Units
39
Corporate Units
1
Franchising Since
2022
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
Yes
Litigation Summary
Wonderly Lights has no litigation to report.
Bankruptcy History
Wonderly Lights' Vice President of Franchise Development, Dave Warn, along with Karen Denise Warn, filed for Chapter 13 bankruptcy on April 24, 2014. The bankruptcy plan was confirmed on August 20, 2014, and the debts were discharged on January 27, 2020, concluding the proceedings.
Agreement Terms
Initial Term
10 years
Renewal Term
5 years
Renewal Conditions
To renew their Wonderly Lights franchise, franchisees must provide written notice of their intent to renew between 6 and 9 months before the current term ends. They must also modernize the business to meet the then-current system standards, be in good standing without any defaults, and have paid all monetary obligations owed to Wonderly Lights and its affiliates. Franchisees are required to sign Wonderly Lights' then-current franchise agreement, which may have different terms, and execute a general release of claims. Additionally, they must meet current qualification and training requirements and pay a renewal fee of $5,000.
Training & Support Program
Franchisor Assistance
Wonderly Lights provides extensive support to its franchisees. Before opening, this includes a 5-day (Year-Round) or 3-day (Seasonal) in-person training program in Virginia Beach, VA, supplemented by 44 or 39 remote training hours. Wonderly Lights also offers guidance on selecting trailers and commercial locations, provides the Operations Manual, and gives franchisees names of approved suppliers for equipment, products, and marketing materials. Ongoing assistance includes advice and written materials on business techniques, periodic inspections, and telephone or email support. Franchisees may be required to attend advanced training, national conventions, or regional meetings. Wonderly Lights also administers vendor relationships for the integrated business management system, mailer program, and credit card processing, and offers trademark indemnity. They also provide opportunities for group purchasing discounts.
Initial Training Hours
84
Training Location
Virtually and at Wonderly Lights' principal place of business in Virginia Beach, VA.
Ongoing Support
Wonderly Lights provides ongoing support to its franchisees through advice and written materials on business techniques, new developments, and improvements in promotion, public relations, customer relations, services, products, and equipment. The franchisor conducts periodic inspections and evaluations of services. Franchisees receive telephone and email support during normal business hours for operational questions. Wonderly Lights may also require attendance at advanced training, national conventions, and regional meetings. They offer opportunities to participate in group purchasing programs and provide planning assistance for marketing. Additionally, Wonderly Lights contracts with and administers vendor relationships for essential products, equipment, and services like the Integrated Business Management System and Credit Card Processing Services.
Franchise Requirements
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Hybrid
Owner Participation
Hands-On
Territory Type
Exclusive
Territory Size Requirements
Wonderly Lights defines its franchise territories based on a geographic area containing up to 25,000 Targeted Households. These households are typically single-family homes with an annual income exceeding $100,000, though this income threshold may be adjusted based on the region and community type. The specific number of Targeted Households for a franchisee's territory is outlined in Schedule A of the Franchise Agreement, determined using data from a third-party provider.
Staffing Notes
Wonderly Lights requires franchisees to either directly supervise the business operations or appoint an approved Designated Manager who possesses a relevant, qualifying background and has successfully completed initial training. Franchisees are solely responsible for hiring, training, and managing their staff, ensuring all employees are properly licensed and certified as required. Wonderly Lights may also require Designated Managers and other employees to sign non-compete and confidentiality agreements. The Operations Manual will specify further details regarding staffing, including appearance and customer relations standards. The initial inventory package is designed for one complete trailer and one installation team.