Bio-One does not disclose total annual owner take-home pay. The range above is an independent per-location scenario for residual 2025 Adjusted EBITDA, with a base case of about $36,700. It is calculated after operating costs and current recurring franchise-fee requirements, but the FDD payroll line already includes an undisclosed amount of owner draws and benefits. Total owner compensation therefore cannot be isolated from the published data.
Legal franchisor: Ringside Development Company d/b/a Bio-One Colorado, Inc.
FDD: Issued April 8, 2026; Item 19 reports 2025 results.
Population: Franchised locations with at least 12 months of operations; P&L statistics cover 61 franchisees operating 75 locations.
Official evidence: Revenue tiers, expense ratios, and Adjusted EBITDA percentages.
External guidance: Federal Trade Commission guidance on evaluating Item 19 claims.
Date checked: July 18, 2026.
Average Adjusted EBITDA
Item 19 percentage for the reporting P&L population, after the franchisor's fee adjustments.
Median Adjusted EBITDA
The median percentage is materially above the average, signaling a wide and skewed distribution.
Reporting locations
The FDD says 61 active franchisees in good standing supplied 2025 P&Ls for 75 locations.
Revenue-table count mismatch
The tier rows total 113 records, while the narrative says 110 franchisees fit the table.
Annualized local-ad minimum
Items 6 and 11 state the greater of $3,000 per month or 5% of Gross Sales.
Franchised outlets at 2025 year-end
Item 20 reports 152 at the start of 2025 and 144 at year-end, a net change of -8.
What does Bio-One's FDD actually measure?
The official earnings measure is Adjusted EBITDA as a percentage of revenue, not annual owner salary or take-home pay. For 2025, the 2026 Bio-One FDD reports average Adjusted EBITDA of 16.11% and median Adjusted EBITDA of 30.43% for the P&L reporting population. The same table states that Payroll and Personnel includes owner draws and benefits as well as direct and indirect labor.
This matters because Adjusted EBITDA is residual business performance after the reported payroll line, while an owner's total economic benefit may include both compensation embedded in payroll and residual business earnings. The FDD does not separate those components. It also excludes interest, taxes, depreciation, and amortization by definition; financing principal and capital expenditures are separate cash demands.
- Gross Sales or revenue: customer receipts and billings under the FDD definition. Revenue is not owner earnings.
- Adjusted EBITDA: the source-defined operating result after expense and franchisor-fee adjustments, but before interest, taxes, depreciation, and amortization.
- Owner draws and benefits: included inside Payroll and Personnel in the Item 19 data, but not disclosed as a separate dollar amount or percentage.
- Residual owner cash: may be lower than Adjusted EBITDA after debt service, vehicle replacement, equipment renewal, working-capital needs, and other capital expenditures.
| 2025 revenue tier | Median revenue | Reported low-high | Table records |
|---|---|---|---|
| Tier 1 | $709,844 | $533,389-$1,380,424 | 28 |
| Tier 2 | $385,848 | $314,948-$498,160 | 28 |
| Tier 3 | $217,488 | $148,781-$312,574 | 28 |
| Tier 4 | $73,138 | $5,280-$148,510 | 29 |
Source: 2026 Bio-One Franchise Disclosure Document, Item 19, pp. 36-38. The FDD labels the groups as tiers; this article does not relabel them as probabilities or guaranteed performance bands.
What annual residual earnings range is defensible?
A defensible FDD-anchored range is approximately a $19,300 loss to $135,100 of residual Adjusted EBITDA per location, with a base scenario of about $36,700. These are independent estimates, not official Bio-One dollar earnings. They use three revenue anchors from the Item 19 tier distribution and preserve the current minimum advertising obligations.
The 66.39% proxy is derived from the FDD's 76.39% average Total Costs less its 10.00% average Marketing & Advertising line. The model then replaces that marketing line with the current Item 6 obligations. Technology and other recurring charges are not subtracted again because the Item 19 expense structure and fee-adjustment footnote indicate that current franchisor fees are already reflected; subtracting them separately could double count costs.
Residual Adjusted EBITDA under three FDD-anchored scenarios
Annual dollars per location; owner draws and benefits remain embedded in the payroll proxy.
Interpretation: the fixed $3,000 monthly local-advertising requirement is most punitive at low revenue. At the Tier 4 median revenue anchor, $36,000 equals about 49% of annual sales before the marketing-fund fee.
Source and calculation: 2026 Bio-One FDD, Item 19 pp. 36-38; Item 6 pp. 13-17; Item 11 p. 25. Values rounded to the nearest dollar after full-precision calculations.
| Scenario | Revenue anchor | Fee and cost treatment | Residual Adjusted EBITDA |
|---|---|---|---|
| Conservative | $73,138 | Tier 4 median; $2,400 marketing minimum; $36,000 local-ad minimum | -$19,304 |
| Base | $301,668 | Midpoint of Tier 2 and Tier 3 medians; 2% marketing; $36,000 local-ad minimum | $36,732 |
| Upside | $709,844 | Tier 1 median; 2% marketing; $36,000 local-ad minimum, slightly above 5% | $135,143 |
- Revenue anchors: Conservative uses the official Tier 4 median, Upside uses the official Tier 1 median, and Base uses the analytical midpoint of the Tier 2 and Tier 3 medians because the FDD does not publish one overall median.
- Operating costs: The model uses the FDD average non-marketing expense ratio across the reporting P&L population; it does not claim that every revenue tier has the same labor or supply structure.
- Owner compensation: Payroll includes owner draws and benefits. The scenarios estimate residual business EBITDA after that line, not total owner benefit.
- Debt and taxes: Interest, financing principal, and personal income taxes are not deducted. No after-tax take-home estimate is presented.
How does owner involvement change the result?
Active owner operation can increase total owner benefit, but it does not automatically increase pure business profit. Item 15 requires the owner, a Principal Operator, or a Designated Manager to participate directly in day-to-day operation. The official franchise website's day-in-the-life description for a Bio-One owner also depicts daily marketing, team coordination, field work, estimating, and invoicing rather than passive ownership.
What does an owner-operator receive?
An owner-operator may receive both labor compensation and residual business earnings. Because Item 19 includes owner draws and benefits inside Payroll and Personnel, some owner compensation has already been deducted before Adjusted EBITDA. Adding residual EBITDA to those owner draws would better approximate pre-tax owner-operator benefit, but the FDD does not disclose the amount to add back.
What changes in a manager-run location?
A manager-run owner generally gives up the labor-value component and retains only residual cash after manager payroll. The P&L sample combines direct and indirect labor with owner draws and benefits, so it does not reveal a clean replacement-manager cost or separate manager-run cohort. A buyer should not add an assumed manager salary to the official EBITDA figure without confirming whether that manager expense is already represented in the location's payroll.
Which fees have the largest effect on earnings?
The 7.5% royalty and the local-advertising minimum are the most consequential recurring obligations in the earnings model. The marketing and local-ad requirements use a percentage-or-minimum structure, so their effective rate rises sharply when revenue is low. Item 19 states that Adjusted EBITDA was adjusted to match current royalty and other franchisor fees, so the official percentage should not be charged with those fees again.
| Recurring obligation | Current FDD amount | Owner-earnings treatment |
|---|---|---|
| Royalty | Greater of the applicable monthly minimum or 7.5% of Gross Sales | Explicitly modeled at 7.5%; minimums may matter during low-revenue periods. |
| Marketing fee | Greater of $200 per month or 2% of Gross Sales; may rise to 3% | Modeled as the greater of $2,400 annually or 2% of revenue. |
| Local advertising | Items 6 and 11: greater of $3,000 per month or 5% of Gross Sales | Modeled as the greater of $36,000 annually or 5% of revenue. |
| Technology maintenance | $650 per month, currently allocated between technology and software | Treated as embedded in the FDD operating-cost proxy to avoid double counting. |
| QSP consumables | Reported historical spending of $100-$1,000 per month | Variable with job volume and mix; treated as embedded in operating costs. |
Source: 2026 Bio-One FDD, Item 6 pp. 13-17 and Item 11 pp. 25-26. Item 7 p. 19 separately states a $2,000 monthly local-marketing minimum, which conflicts with the $3,000 requirement in Items 6 and 11. The scenario uses $3,000 because it appears in the fee table and operating-obligation section, but a buyer should obtain written clarification.
How much can actual performance vary?
Very widely: Item 19 reports Adjusted EBITDA from -166.76% at the lowest location to 53.97% at the highest location. The average was 16.11%, while the median was 30.43%. The gap between average and median indicates that weaker locations materially pull down the mean, so a single midpoint is not a reliable prediction for a new owner.
Official 2025 Adjusted EBITDA range and central measures
Percentage of revenue for the 75-location P&L reporting population.
Interpretation: the official range includes a severe loss location and a high-margin location. It should be read as observed variation, not as a probability distribution or a forecast.
Source: 2026 Bio-One FDD, Item 19, pp. 37-38. The FDD states that the MIN and MAX columns present the complete expense profiles of the lowest- and highest-Adjusted-EBITDA locations.
The evidence confidence is MODERATE: the current FDD directly reports a relevant earnings measure, but the dollar scenarios combine separate revenue and P&L populations, owner compensation is embedded in payroll, and the sample descriptions contain internal count inconsistencies.
Item 20 adds system context rather than a profit explanation. Franchisee-owned outlets declined from 152 at the start of 2025 to 144 at year-end; the table reports 12 openings, 17 terminations, and three reacquisitions. Those events should not be attributed to earnings without franchisee-level evidence, but they increase the importance of interviewing both current and former owners. See the FTC's guidance on evaluating potential franchise earnings for questions about typicality, geography, assumptions, and written substantiation.
What should a buyer verify before relying on the range?
A buyer should verify the owner-compensation treatment, the sample counts, and the advertising minimum before treating any dollar figure as decision-ready. The FTC explainsthat Item 19 claims should be evaluated against their source data, assumptions, and applicability to the buyer's planned operation. The franchisor must provide written substantiation on reasonable request.
- Request Item 19 substantiation and ask for a reconciliation of 110 stated revenue reporters versus 113 tier records, and 79 P&Ls versus 75 locations.
- Ask for owner draws and benefits separately from employee wages, payroll taxes, and manager compensation for owner-operated and manager-run locations.
- Confirm the local-advertising minimum in writing because Item 7 states $2,000 per month while Items 6 and 11 state $3,000 per month or 5% of Gross Sales.
- Match your territory to comparable locations by revenue tier, years open, job mix, insurance-payment cycle, labor model, and urban or rural geography.
- Review actual cash conversion by asking about accounts receivable, bad debt, vehicle replacement, QSP renewal, capital expenditures, and debt service.
- Interview current and former franchisees from Item 20 and Exhibit D, including low-, middle-, and high-revenue operators and owners who use a Designated Manager.
What is the strongest decision-ready takeaway?
The strongest defensible quantified range is approximately -$19,000 to $135,000 of residual annual Adjusted EBITDA per Bio-One location, with a $36,700 base scenario. It is scenario-based, not an official dollar earnings claim. Revenue scale and the fixed local-advertising minimum are the largest modeled drivers. The largest unresolved uncertainty is owner compensation: Item 19 includes owner draws and benefits in payroll but does not disclose them separately. A prospective buyer should reconcile the Item 19 samples, obtain written substantiation, and test the model against actual owner-operated and manager-run franchisee P&Ls before estimating personal pre-tax income.