Risk Score
Pending analysis
Investment Range
$88,300 - $163,200
Franchise Fee
$34,000
Min Cash Required
$15,000
Total US Locations
46
Business Summary
WOW 1 DAY PAINTING offers franchises for professional commercial and residential painting businesses. Their main competitive advantage is completing most painting projects in one day by using a strategic operating plan and a sufficient number of trained staff. The WOW 1 DAY PAINTING system includes proprietary software, brand development, training, business processes, marketing programs, and access to a centralized call center and online booking system called the Sales Center.
Corporate History
WOW 1 DAY PAINTING LLC was initially formed on December 1, 2010, as 1-888-WOW-1DAY! LLC. The company changed its name to WOW 1 DAY PAINTING LLC on March 5, 2014. It began offering franchises in the United States under the WOW 1 DAY PAINTING name since November 2010. The system and related trademarks were initially owned by its predecessor, One Day Franchising Inc., which was formed in 2010, and then sold to WOW 1 DAY PAINTING's parent company, 1Day Corporate, in October 2010.
Financial Overview
Investment Range
$88,300 - $163,200
Franchise Fee (Low)
$34,000
Franchise Fee (High)
$60,000
Minimum Cash Required
$15,000
Royalty %
6%
Marketing %
5%
Equipment Costs (Low)
$2,500
Equipment Costs (High)
$4,500
Working Capital
$20,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
WOW 1 DAY PAINTING LLC has significant financial concerns. The company operates with a member's deficiency and its current liabilities have consistently exceeded its current assets in the most recent periods disclosed (December 31, 2023, December 31, 2022, and March 31, 2024). The company is dependent on its Canadian parent company, WOW 1 DAY PAINTING Inc., for financial support. The parent company has deferred repayment of $1,000,000 owed by WOW 1 DAY PAINTING LLC until May 1, 2025, indicating a reliance on this financial assistance. The franchisor's disclosure document specifically highlights that its financial condition calls into question its ability to provide services and support to franchisees.
Financing Details
WOW 1 DAY PAINTING does not offer any direct or indirect financing to its franchisees. This includes not guaranteeing any debts, leases, or other obligations. While the company may, at its discretion, introduce franchisees to third-party financing sources, it does not receive any compensation for these referrals. Franchisees are responsible for securing their own funding.
Performance Metrics
Total US Locations
46
Franchised Units
46
Corporate Units
0
Franchising Since
2010
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Count
1
Litigation Summary
WOW 1 DAY PAINTING has disclosed one litigation case. In 2016, a franchisee named Val DiNardo sued WOW 1 DAY PAINTING LLC, alleging the company made misrepresentations, failed to comply with Connecticut business opportunity law, and sought to void the franchise agreement and receive damages. WOW 1 DAY PAINTING LLC counterclaimed for breach of contract. In January 2018, the court dismissed all of the franchisee's claims. WOW 1 DAY PAINTING LLC then filed a separate complaint in March 2018 against Val DiNardo, alleging breach of contract, and obtained a default judgment in August 2018. No other litigation is required to be disclosed.
Bankruptcy History
WOW 1 DAY PAINTING has no bankruptcy history to report.
Agreement Terms
Initial Term
5 years
Renewal Term
5 years
Renewal Conditions
To renew their WOW 1 DAY PAINTING franchise, franchisees must provide written notice to WOW 1 DAY PAINTING LLC between 9 and 12 months before their current term expires. They must sign WOW 1 DAY PAINTING LLC's then-current franchise agreement, which may have different rates for royalties and other fees. A non-refundable renewal fee of $15,000 (or $7,500 for subsequent renewals) is also required. Franchisees must replace, repaint, and update vehicles and signage if directed by WOW 1 DAY PAINTING LLC to meet current standards. Additionally, the franchisee and its principals must sign a general release of claims against WOW 1 DAY PAINTING LLC and its affiliates, and the franchisee must not be in default of any existing agreements or obligations with WOW 1 DAY PAINTING LLC at the time of renewal.
Training & Support Program
Franchisor Assistance
WOW 1 DAY PAINTING provides several forms of assistance to its franchisees. Before opening, the company designates a protected territory, supplies artwork for advertising, lists approved suppliers for marketing materials, vehicles, and signage, and provides an initial inventory of supplies. Franchisees also receive electronic access to the Operations Manual and an initial training program. During operation, WOW 1 DAY PAINTING continues to provide electronic access to the Operations Manual, access to its Sales Center and proprietary CRM System, and administers the Sales, Marketing & Technology Fund. It also offers marketing materials and sales aids (at the franchisee's cost), coordinates periodic training programs (at the franchisee's cost), conducts inspections and evaluations of the business, and provides general advice, assistance, and field support.
Initial Training Hours
160
Training Location
Vancouver, BC, Canada, and within the franchisee's territory
Ongoing Support
WOW 1 DAY PAINTING provides franchisees with ongoing access to its confidential Operations Manual, Sales Center, and proprietary CRM System. The company administers the Sales, Marketing & Technology Fund and makes marketing materials and sales aids available (at the franchisee's cost). WOW 1 DAY PAINTING coordinates and conducts periodic training programs for franchisees and their employees (at the franchisee's cost). Representatives from WOW 1 DAY PAINTING conduct periodic inspections and evaluations of the franchised business, including at least one field visit per year. Franchisees also receive general advice, assistance, and field support, including consultation and guidance via correspondence, telephone, and email during business hours.
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
Full-Time
Territory Type
Protected
Territory Size Requirements
WOW 1 DAY PAINTING territories are determined by developing geographic areas with a minimum population of 150,000, based on data from the U.S. Census Bureau. A typical territory generally consists of two to three of these geographic areas, with a minimum purchase usually being two subterritories.
Staffing Notes
WOW 1 DAY PAINTING franchisees are required to always have a sufficient number of properly trained, efficient, competent, and courteous employees to service customers and maintain inventory. All personnel must achieve and maintain the necessary skills, knowledge, and certifications to deliver services, and must wear uniforms according to the Operations Manual specifications. Franchisees are also expected to add an office assistant by the third month of operation. The Principal Operator, who must be a full-time owner, is responsible for ensuring the business maintains proper staffing standards and employee training.