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General

Industry

Healthcare Services

Category

Specialized

Works with Franchise Brokers

No

Year of Founding

2006

Fees

Marketing Fee

NA

Royalty Fee

1.45%

Franchise Fee

$0-$0

Investment Range

$28K-$435K

Location units

Total U.S. Locations

625

U.S. Franchised Units

625

U.S. Corporate Units

N/A

Headquarters (City)

Kingwood

Other

Item 19 - Franchise Financials

No

E-2 Visa Eligibility

No

Started Offering Franchises

2006

Issuance of FDD Data

03/01/2022

Key Indicators

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Franchise Payback Period (Years)

Owner Salary / Compensation

Average Unit Volume (AUV)

Franchise Cost

$28K-$435K

Franchise Fee

$0-$0

What to know about Smile Source franchise?

Smile Source franchisees operate a dental office, in a specific territory, for routine dental treatments, conducting examinations to diagnose extensive implant, cosmetic, and orthodontic elective health problems, using corrective tooth loss and esthetic measures such as dental prosthetic implant replacements or orthodontic and cosmetic corrections, and provide all other areas of dental care which dentists may be permitted by law to perform, including the retail sale of dental supplies. Smile Source franchisees have an exclusive territory within which they are the only Smile Source - authorized provider of Smile Source dental care services. Within this territory, franchisees may conduct any dental care activities. Another significant advantage that Smile Source franchisees have is the support they receive from Smile Source corporate. From the initial franchise fee to ongoing support in marketing and advertising, to access to exclusive dental products and supplies, franchisees have everything they need to succeed. The Smile Source franchise system provides franchisees with significant advantages over non-franchised businesses. First and foremost among these advantages is the power of the Smile Source brand. The Smile Source name is recognized by patients and dentists alike as a provider of high-quality dental care services. This recognition is the result of years of marketing and advertising by Smile Source and its franchisees. When patients see the Smile Source name, they know they will receive quality dental care services.

Smile Source is based in Kingwood, TX. Scroll down to learn more!

How much does a Smile Source franchise cost?

Are you wondering how much is a Smile Source franchise? Before starting a Smile Source franchise, it is important to know the franchise fee, working capital and other costs required to start the business.

The minimum investment amount required to open a Smile Source franchise is $27,800 and can go all the way up to $435,000. Keep in mind, you should also allocate additional funds to live off of while the Smile Source business ramps up. This can take as little as 6 months to over 2 years depending on the franchise opportunity. You should speak to at least 5 Smile Source franchisees to understand the true cost of opening the franchise and how long it takes to: 1) start a Smile Source business 2) pass break even 3) hit significant income.

After (and if) you pass the point of earning significant income from your Smile Source franchise, there may be enough margin to hire a day-to-day manager and work less hours in the business.

Franchise Net Unit Growth

Industry Report Request

Download our guide to compare Smile Source. Hotels to the Specialized, Outdoor Healthcare Services industry.

Franchise Data

Year Start of Year Units Opened Units Closed End of Year
2016 352 149 32 470
2017 470 161 68 562
2018 563 143 83 623
2019 623 179 68 734
2020 734 76 216 594
2021 594 112 81 625

Additional Details

How much does a Smile Source franchise owner make?

Smile Source franchise earnings and revenue can vary significantly from one franchisee to another.
The Smile Source franchise owner profits can be influenced by labor costs, lease rates, hours worked as well as other factors.

Smile Source unfortunately does not disclose financials on how much Smile Source franchise owners make. This means they do not disclose sales or earnings for franchisees operating in the U.S.

Every franchisor is required by law to disclose income statements and balance sheets for how the franchisor is performing but not for the franchisee level. Unfortunately, Smile Source does not make it easy to understand franchisee financial performance. This can be seen as a red flag and it is important to be that much more diligent in your conversations with Smile Source franchisees. Do note that Smile Source is not alone as about 40% of franchises do not disclose franchisee financial performance.

At Vetted Biz, we suggest you to speak with 5 to 10 Smile Source franchisees to understand how much money they are making from their Smile Source business.

You should also speak to former Smile Source franchisees to understand why they left the system. Did they sell their Smile Source at a profit? Were they forced to close their Smile Source franchise down because it kept losing money?

What is the Smile Source franchise fee?

Owning a Smile Source franchise requires 1.45% royalty fee and a variable marketing fee. These two expenses represent the main ongoing costs you can expect to pay the franchisor throughout the franchise relationship. There may be other ongoing fees disclosed in the Smile Source Franchise Disclosure Document

Keep in mind, there is also an initial Smile Source franchise fee of $0 that is included in the initial investment amount of $27,800 to $435,000. Depending on the franchise agreement you sign, you might have to pay the full franchise fee again if you decide to extend the Smile Source franchise relationship. Consult with a licensed franchise attorney to understand exactly what you receive for paying the Smile Source franchise fee of $0.

Visit the Smile Source metrics tab to explore the financials for this business, royalty and marketing fees compare to other Healthcare Services franchises. You can also compare these fees for 2,000+ franchises currently offered in the U.S.

When was Smile Source founded?

Smile Source started offering franchises in 2006. Smile Source was founded 16 years ago in 2006.

At Vetted Biz, we recommend franchises have 3-5 corporate locations and 5+ years of experience before offering a franchise. There needs to be proof that the business model works and is replicable before offering the franchise to other!

How many Smile Source locations are in the U.S.?

As of 2022, there were 625 locations across the U.S. There are also 0 corporate locations. Most Healthcare Services franchises like Smile Source have more franchised locations than corporate locations.

How many Smile Source franchises opened over the past few years?

Over the prior 3 years we have data for, Smile Source has opened 367 outlets throughout the U.S. Visit the Smile Source metrics tab to explore how the openings compare to other Healthcare Services franchises.

How many Smile Source franchises closed over the past few years?

Over the prior 3 years we have data for, Smile Source has closed 365 outlets throughout the U.S

Visit the Smile Source metrics tab to explore how the openings compare to other Healthcare Services franchises.

Is Smile Source growing? Are they opening more locations than they are closing?

The net unit growth rate for Smile Source over the past 3 years is 0%. Over the last year we have data for, Smile Source had a net unit growth rate of 5%.

Without a comparison, this number doesn’t mean much. Compare how the Smile Source growth rate compares to 2,000+ other franchises and Industry franchises like Smile Source. More info in the Smile Source metrics tab.

Is Smile Source franchise eligible for an SBA Loan?

Smile Source is not eligible for SBA loans including the 7(a) loan last time we checked.

Smile Source franchise does not have a SBA Franchise ID and was not in the SBA Franchise Directory. The SBA Franchise Directory will only include business models like Smile Source that are reviewed and found eligible under SBA’s affiliation rules and other eligibility criteria.

To find out more about the SBA loan program for franchising click here.

Is Smile Source a franchise in the United States?

According to the SBA, Smile Source does not meet the Federal Trade Commission (FTC) definition of a franchise.

Many popular brands like Starbucks and Topgolf are not franchises in the U.S. but franchise outside of the United States. Be sure the franchisor provides you with an updated Franchise Disclosure Document as this is one of the key indicators that the business opportunity is truly a franchise in the U.S.

The FTC Franchise Rule requires franchisors to provide all potential franchisees with a disclosure document (FDD) containing 23 items of about the franchise, its officers, and other franchisees. Be sure that Smile Source provides you with an FDD if you are in discussion to buy a Smile Source

What is the Smile Source Franchise for Sale Rate?

The Smile Source systemwide health and franchisee satisfaction can be measured by the Smile Sourcefranchise for sale rate. The franchise for sale rate is calculated by the percentage of units transferred to new franchisees and reacquired by franchisor.

Smile Source franchise for sale rate over the past 3 years is 1%. Over the last year we have data for, Smile Source had a franchise for sale rate of 0%.

Without a comparison, this number doesn’t mean much. Compare how the Smile Source franchise for sale rate compares to 2,000+ other franchises and Industry franchises like Smile Source. More info in the Smile Source metrics tab.

What is the Smile Source Franchise Failure Rate?

Smile Source franchise failures comprise franchise terminations, franchise non-renewals, and franchises that ceased operations for other reasons. The failure rate is one of the most important franchise metrics to consider when investing in a franchise!

Smile Source failure rate over the past 3 years is 58%. Over the last year we have data for, Smile Source had a franchise failure rate of 13%.

Without a comparison, this number doesn’t mean much. Compare how the Smile Source franchise for sale rate compares to 2,000+ other franchises and Industry franchises like Smile Source. More info in the Smile Source metrics tab.

How can I find out more details on Smile Source franchise?

Visit the Smile Source metrics tab to explore franchise profitability, industry comparables and more. Become a Vetted Member today today for exclusive access on this franchise opportunity!

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Investment Midpoint

The average of the low and high range of the investment amounts calculated from the most recently available Franchise Disclosure Document

Smile Source

$231,400

Industry median

All franchises median

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Royalty Fee

The median royalty fee from the Franchise Disclosure Document

Smile Source

1.45%

Industry median

All franchises median

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Franchise Fee Midpoint

Payment that the franchisee must pay to the franchise owner in order to start a franchise.

Smile Source

$0

Industry median

All franchises median

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Item 19 – Financial Performance Representations

Historical financial performance representations

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Franchise Financials

Franchisor company financial information and financial performance representations, if disclosed by the franchisor.

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General

Industry

Healthcare Services

Category

Specialized

Works with Franchise Brokers

No

Year of Founding

2006

Fees

Marketing Fee

NA

Royalty Fee

1.45%

Franchise Fee

$0-$0

Investment Range

$28K-$435K

Location units

Total U.S. Locations

625

U.S. Franchised Units

625

U.S. Corporate Units

N/A

Headquarters (City)

Kingwood

Other

Item 19 - Franchise Financials

No

E-2 Visa Eligibility

No

Started Offering Franchises

2006

Issuance of FDD Data

03/01/2022

Detailed Franchise metrics for Smile Source

Detailed Franchise Metrics are metrics calculated and reviewed by Vetted Biz. You can find the available metrics for Smile Source below. “N/A" or Not Applicable results mean that there is not enough data available to compute a precise rate or that the result is not mathematically computable. When results are not mathematically computable, you should pay attention to the absolute values (#) instead of the percentage rate itself.

Growth Rate

The percentage change of total franchise units from one year to the next by franchisor.

 

1 year

3 years

Smile Source

-19%

0%

Industry median

All franchises median

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Franchise for Sale Rate

The percentage of units transferred to new franchisees and reacquired by franchisor.

 

1 year

3 years

Smile Source

0%

1%

Industry median

All franchises median

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Net Unit Growth (most recent year)

Net Unit Growth (3 years)

Failure Rate

Franchise failures comprise franchise terminations, franchise non-renewals, and franchises that ceased operations for other reasons.

 

1 year

3 years

Smile Source

9%

58%

Industry median

All franchises median

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Business details

Website

www.smilesource.com

Business email

c********@smilesource.com

Mailing address

4025 Feather Lakes Way #5858

State headquarters

Texas

Contact Name

Smile Source

Phone

+1 (000) 0********00

City

Kingwood

Zip code

77339
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