How much does a The Grout Medic franchise cost?
The 2026 Franchise Disclosure Document places the Estimated Initial Investment for one U.S. home-based, mobile The Grout Medic Business at $161,600 to $223,000. That is the disclosed opening range, not the amount of liquid capital a candidate must hold and not the Initial Franchise Fee alone.
The range applies to the single home-based, mobile unit model disclosed by The Grout Medic, LLC. It includes a $65,000 Initial Franchise Fee, a $5,000 Initial Technology Fee and $60,000 to $70,000 of Additional Funds for the first six months. The FDD cover states that $70,000 is paid to the franchisor or an affiliate. Source: 2026 FDD, cover; Item 7, pp. 18-20.
The legal franchisor is The Grout Medic, LLC, which is wholly owned by PSB Group, LLC; Premium Service Brands, LLC owns 99.9% of PSB Group. The FDD was issued April 22, 2026 and amended July 6, 2026. This analysis uses Items 5, 6 and 7, plus cost-relevant disclosures in Items 8, 10, 11 and 17. Information was checked July 22, 2026. The offer is a home-based, mobile grout and tile cleaning, repair, restoration, recaulking and protection business. The brand's official U.S. franchise overview describes the same service model.
A matching 2026 FDD was not located on an official franchise-controlled website, so FDD references in this article are unlinked and identify the year, Item and exact pages.
The current official website does not match the amended 2026 FDD. Its investment page states $102,000 to $175,000, while its franchise FAQ states $122,000 to $175,000. The latest verified FDD is the governing source for this article. A prospect should request a written reconciliation before relying on either website range.
Capital snapshot
What is included in the $161,600 to $223,000 range?
The 2026 Item 7 table combines contract payments, a leased vehicle, equipment and supplies, launch costs, optional or circumstance-dependent expenses, marketing and six months of Additional Funds. It publishes one range for the home-based, mobile format; it does not publish separate totals for a conversion, a rented office or a purchased vehicle.
Contract, vehicle and operating setup
| Item 7 expenditure | 2026 range | Timing and payee |
|---|---|---|
| Franchise Fee | $65,000 | Wire upon signing; paid to The Grout Medic, LLC. |
| Vehicle | $1,500-$5,000 | Before opening; paid to a lessor. The estimate assumes one leased vehicle. |
| Real Estate and/or Leasehold Improvements | $0-$1,000 | Before opening; paid to third parties or a landlord. The range assumes a home office. |
| Equipment & Supplies | $7,000-$9,000 | Before opening; paid to third parties or approved suppliers. |
| Insurance | $2,000-$5,000 | Before opening; paid to third parties. |
| Signage | $1,000-$1,500 | Before opening; includes the vehicle wrap and other business signage. |
Launch, professional and staffing costs
| Item 7 expenditure | 2026 range | What changes the amount |
|---|---|---|
| Technology Fee | $5,000 | One-time payment to the franchisor before opening. |
| Grand Opening | $2,500-$5,000 | The FDD says this pre-opening spend is permitted but not required; media and local market costs vary. |
| Training Expenses | $2,000-$4,000 | Travel, lodging, meals and incidentals; the note also cites about $500 to $1,000 for required training software, hardware and materials. Salary during training is excluded. |
| Licenses/Bonds | $100-$1,500 | Local licensing, construction, occupancy or operating requirements. |
| Professional Fees | $1,500-$3,000 | Legal and accounting work as necessary. |
| Designated Manager Salary | $0-$30,000 | Applies when the sole or primary owner does not devote full-time best efforts and another Designated Manager is required. |
Marketing and opening runway
| Item 7 expenditure | 2026 range | Coverage |
|---|---|---|
| Marketing | $15,000-$20,000 | Advertising before opening and through the first six months, as necessary. |
| Additional Funds | $60,000-$70,000 | Six months of operating expenses, including employee salaries and the after-opening portion of Grand Opening Advertising. |
| Official Item 7 total | $161,600-$223,000 | Use the published total; the endpoint arithmetic issue below is unresolved. |
The bars compare six compatible low-to-high dollar ranges on a common $0 to $70,000 scale. Fixed fees are omitted because the reader question is where uncertainty is concentrated.
Interpretation: Additional Funds are the largest disclosed variable category, while the manager decision creates the widest optional span. Source: 2026 FDD, Item 7, p. 18. Values are official FDD ranges; geometry is proportional.
Adding the published low endpoints produces $162,600, which is $1,000 above the official low total. Adding the high endpoints produces $225,000, which is $2,000 above the official high total. The 2026 FDD does not explain the difference. This article preserves the official total and does not replace it with the derived sums. Ask the franchisor to identify the affected line items in writing.
The $60,000 to $70,000 Additional Funds range is already inside the $161,600 to $223,000 total. It covers six months and expressly includes employee salaries, but the FDD does not say that owner compensation is included. Do not add Additional Funds a second time.
Which assumptions can move the cost outside the published range?
The Item 7 range is built around a home office, one leased vehicle and a staffing choice that may avoid a separate Designated Manager. A different premises, a vehicle purchase or an absentee ownership structure can change the capital requirement materially.
Home-office assumption
The Real Estate and/or Leasehold Improvements line assumes the Business is operated from home. The FDD says an outside office will likely cost more and describes small-office rent of about $500 to $1,500 per month, depending on market and lease terms.
One leased vehicle
The vehicle estimate assumes a lease. Purchasing one or more vehicles is expected to cost more. The mandatory vehicle wrap is recorded separately under Signage.
Designated Manager
The salary line can be zero when the sole or primary owner devotes full-time best efforts. A different manager becomes an additional salary obligation.
Required-source startup purchases
Item 8 estimates that required purchases account for about 65% of goods and services used to establish the Business and 20% to 30% of operating purchases. Designated services include the contact center, technology and first-year accounting support.
The low Equipment & Supplies estimate also assumes that a converting home-renovation operator already owns useful inventory. The FDD does not provide a separate conversion investment range, so the $161,600 to $223,000 total remains the only official format-level estimate. The brand's official format and cost FAQ confirms that a brick-and-mortar location is not required, but its investment figures do not match the 2026 FDD.
When is the startup money paid?
The largest franchisor payments are due when the Franchise Agreement is signed. Most third-party startup costs are then paid as arranged before opening, followed by operating expenses and weekly system fees after launch.
Sign the Franchise Agreement
Pay the nonrefundable $65,000 Franchise Fee by wire and the nonrefundable $5,000 Initial Technology Fee. Item 5 says third-party SBA financing may instead require a typical $15,000 Franchise Fee payment at signing and a typical $50,000 balance after funding; those terms come from the lender, not a financing commitment by the franchisor.
Arrange the mobile setup before opening
Lease the vehicle, secure insurance, buy Equipment & Supplies, install Signage, address any home-office work, obtain Licenses/Bonds and pay training travel expenses. The FDD estimates a typical opening about 60 days after signing and requires the Business to open within three months.
Fund the launch and six-month runway
Marketing, Professional Fees, any Designated Manager Salary and Additional Funds are paid as necessary. The Additional Funds reserve covers the first six months rather than a separate pre-opening invoice.
Begin weekly and monthly obligations
Royalty, Marketing Fund, Contact Center, Technology and first-year Accounting and Business Advisory Services fees are generally due Tuesday each week. The Local Advertising requirement is measured monthly.
Source: 2026 FDD, Items 5 and 7, pp. 15 and 18-20; Item 11, pp. 24-34. The official ownership process places FDD review before agreement signing, consistent with the federal disclosure sequence.
What fees continue after The Grout Medic opens?
The 2026 FDD combines percentage-based charges, weekly minimums, fixed weekly service fees and a substantial Local Advertising obligation. These are separate from the Estimated Initial Investment except where Item 7 includes an initial payment or operating reserve.
| Ongoing obligation | Amount or basis | Payment timing | Cost interpretation |
|---|---|---|---|
| Royalty | 6% of Gross Sales; $150 weekly minimum | Tuesday, weekly | Based on the previous week's Gross Sales. |
| Marketing Fund Contribution | Greater of 2% of Gross Sales or $50 weekly | Tuesday, weekly | National or system marketing fund payment. |
| Contact Center Fee | Greater of 2% of Gross Sales or phased weekly minimum; $770 weekly maximum | Tuesday, weekly | Minimum rises from $50 to $100 to $150 during year one, then $220. |
| Technology Fee | $210 per week | Tuesday, weekly | Website, email, customer relationship management software and related services. |
| Accounting and Business Advisory Services Fee | $85 per week | Tuesday, weekly | Required from the franchisor for at least the first 12 months; an approved third party may be used afterward. |
| Local Advertising | At least $5,000 per month or 10% of Gross Sales, whichever is greater | Monthly spending requirement | Local spend, not the same as the Marketing Fund Contribution. |
| Advertising Cooperative | Up to the greater of $10,000 or 2% of Gross Sales per year | Upon demand, if formed | Not additional to other required marketing spend; cooperative participation can satisfy part of local spend. |
| Annual Convention | Variable; recently $1,000 per attendee, plus $2,000 for nonattendance | Upon demand | Location affects attendance cost; fees can change on notice. |
Gross Sales is defined broadly as the money and receipts derived in connection with the Business, including commissions, finder's fees, referral fees, construction management fees and other operating compensation. The definition excludes specified supplier rebates, properly collected sales or use taxes, approved coupon value, bona fide discounts and approved customer refunds. Source: 2026 FDD, Item 6, pp. 17-18.
This derived chart adds only the disclosed weekly minimum or fixed amounts for Royalty, Marketing Fund, Contact Center, Technology and first-year Accounting and Business Advisory Services. Percentage overrides and Local Advertising are excluded.
Derived calculation: $150 Royalty minimum + $50 Marketing Fund minimum + the applicable $50/$100/$150 Contact Center minimum + $210 Technology Fee + $85 Accounting and Business Advisory Services Fee. Actual weekly payments can be higher when percentage formulas exceed minimums. Source: 2026 FDD, Item 6, pp. 15-18.
Item 11 requires at least $5,000 of Local Advertising each month. Six months at that fixed floor would equal $30,000, while Item 7 lists $15,000 to $20,000 for Marketing. The FDD does not expressly state how the Item 7 Marketing line and Additional Funds divide that required spend. Do not automatically add $30,000 to the official Item 7 total; ask for a written cash-flow reconciliation.
Which fees are triggered by a later event or default?
$1,000 for a first violation, $2,000 for the first repeat violation and $4,000 for the second and each later repeat violation.
$100 per late payment, plus 1.5% per month or the highest lawful rate if lower. The Item 6 table also states $100/report/week; the triggering event should be clarified in writing.
Unpaid premiums plus the franchisor's expenses if required coverage lapses and the franchisor obtains insurance.
The initial term is 10 years. Before expiration, the Renewal Fee is the greater of 25% of the then-current Initial Franchise Fee or $15,000.
The greater of $20,000 or actual out-of-pocket expenses, except a transfer to a wholly controlled entity is charged at cost. A transferee may also be required to refurbish Vehicles or purchase additional Vehicles.
The franchisee may owe attorneys' fees and other enforcement costs, defense and indemnification costs, and reimbursement for certain taxes imposed on payments to the franchisor.
Upon a termination for cause or failure to operate for the full term, the FDD claims royalties, Marketing Fund payments and other fees that would have been paid for the remaining term.
How much liquid capital or net worth is required?
The 2026 FDD does not disclose a minimum Liquid Capital or Net Worth requirement. The official franchise website supplies qualification figures, but its pages conflict: the financial qualification page states $65,000 in Liquid Capital and $150,000 in Net Worth, while the official FAQ states $50,000 in Liquid Capital and $150,000 in Net Worth.
$161,600 to $223,000 is the FDD's total opening range for the home-based, mobile Business.
Cash or readily available funds used as a screening threshold. The official website conflict leaves the current threshold unresolved at $50,000 versus $65,000.
Assets minus liabilities. The official pages reviewed state $150,000, but Net Worth is not the same as cash available to invest.
The FDD's special-risk disclosure states that a spouse must guarantee the financial obligations under the Franchise Agreement even without an ownership interest.
Does the franchisor finance the investment?
Item 10 states that The Grout Medic, LLC does not offer direct or indirect financing and does not guarantee a note, lease or obligation. The official FAQ says the sales process can introduce candidates to third-party funding providers, including Benetrends or FranFund. A referral is not a promise of approval, and lender terms can change the timing of the Franchise Fee without changing the total fee owed. The parent company's investment information also says portions of an initial investment may be financed, but its posted The Grout Medic range does not match the amended 2026 FDD.
Can the Franchise Fee be reduced, and what costs can arise later?
Item 5 offers two non-combinable 10% discounts on the $65,000 Franchise Fee: one for qualifying honorably discharged U.S. military veterans and qualifying current or retired first responders, and one for an owner of another franchise in a system owned by the franchisor or an affiliate who is in compliance.
Derived calculation: 10% of $65,000 is $6,500, so an eligible buyer's Franchise Fee would be $58,500. The FDD does not publish a separate discounted Estimated Initial Investment range, and the discount does not reduce the Initial Technology Fee, vehicle, equipment, marketing, Additional Funds or other Item 7 categories.
Renewal requires payment of the Renewal Fee and may require vehicle maintenance or replacement plus renovation, modernization or remodeling. System changes can also require replacement equipment, signs or fixtures. Item 11 estimates annual computer hardware and software update, upgrade or maintenance costs of $0 to $1,200, but the Franchise Agreement places no contractual limit on the frequency or cost of required hardware upgrades.
What should be confirmed before committing capital?
The central task is to reconcile the amended 2026 FDD with the lower and inconsistent figures on the official website, then convert the FDD's broad ranges into a buyer-specific payment schedule without substituting unsupported local estimates.
Obtain the April 22, 2026 FDD as amended July 6, 2026, including all state addenda and the complete Franchise Agreement.
Request a written explanation for the $1,000 low-end and $2,000 high-end Item 7 arithmetic differences.
Ask how the $15,000 to $20,000 Item 7 Marketing line, $60,000 to $70,000 Additional Funds and the $5,000 monthly Local Advertising minimum interact during the first six months.
Confirm whether the Business will remain home-based, whether the vehicle will be leased or purchased and whether a separate Designated Manager is required.
Resolve the official website's $50,000 versus $65,000 Liquid Capital conflict and document any lender equity, non-borrowed-fund or collateral requirement.
Price required insurance, approved technology, accounting, vehicle wrap and designated supplier purchases using current written quotes.
Model the weekly minimum fee schedule separately from percentage-based fees and from Local Advertising spend.
The Federal Trade Commission's franchise buying guide explains that a prospect must receive the FDD at least 14 calendar days before signing a binding agreement or paying the franchisor or an affiliate. A state registration can authenticate an offer but does not mean the state recommends it; the Wisconsin active franchise registration list is one official filing lookup.
What is the practical cost conclusion?
The verified 2026 cost contract is $161,600 to $223,000 for one home-based, mobile The Grout Medic Business. The largest disclosed capital elements are the $65,000 Franchise Fee and $60,000 to $70,000 of Additional Funds. The most important variables are manager staffing, marketing, premises, vehicle acquisition and supplier-driven operating requirements. The unresolved issues are the Item 7 arithmetic, the interaction between Local Advertising and the six-month budget, and the conflicting official website figures for total investment and Liquid Capital.