How to Finance an Everdry Waterproofing Franchise: Fee Deferral
By Marc Cornella
An Everdry Waterproofing franchise loan typically funds a basement waterproofing business: work trucks and trailers, excavation and installation equipment, a shop or warehouse, an initial marketing push and enough working capital to carry crews and materials until jobs are paid. Everdry also has a financing feature that is unusual among home service franchises: according to its SBA Franchise Directory note, the franchisor defers the initial franchise fee until the business has opened.
US Professional Funding is not affiliated with, sponsored by or endorsed by Everdry Waterproofing; the name is used only to describe the business. Figures from the franchisor’s disclosure document can change, loan programs vary, and every loan is subject to approval. Nothing here is legal, tax or investment advice. Review the current Franchise Disclosure Document (FDD) and franchise agreement with a franchise attorney and an accountant before you commit.
Everdry Waterproofing Franchise Loan at a Glance
- Concept: a franchised basement waterproofing brand serving homeowners from territory-based offices.
- Initial franchise fee: the amount is in Item 5 of the current FDD; the SBA directory note says the franchisor has agreed to defer payment until the business has successfully opened.
- Ongoing fees and investment: royalty, marketing contributions and the estimated initial investment are in Items 6 and 7 of the FDD.
- Main assets: trucks, trailers, excavation and installation equipment, tools and a shop or warehouse.
- SBA Franchise Directory: listed as Everdry (code S5154), with a note on the deferred fee and loan disbursement timing explained below.
What Is Everdry Waterproofing?
Everdry Waterproofing is a basement waterproofing brand operated by independent franchise owners in their own territories. Franchisees market to homeowners, inspect basements and foundations, sell waterproofing solutions and manage installation crews. The franchisor provides the brand, systems and support under a franchise agreement.
How the business runs. A waterproofing franchise is a field-service business with a sales side and a production side. In-home sales appointments generate signed contracts, and crews then complete the work with trucks, trailers and equipment. Revenue depends on lead flow, closing rates, crew productivity and weather.
Why lenders view it the way they do. Lenders see an established home service concept with tangible collateral in vehicles and equipment, a franchise on the SBA Franchise Directory and steady demand from homeowners dealing with water problems. Their main concerns are seasonality, job costing and whether the owner can manage both sales and crews.
Everdry Waterproofing Franchise Costs
The franchisor’s public materials that we could review did not state fees or investment figures, so your Everdry Waterproofing franchise loan budget should be built from the current FDD and quotes for your territory.
Initial franchise fee
Item 5 of the FDD lists the initial franchise fee. Because the franchisor has agreed to defer payment until the business has opened, the fee does not have to be paid from your cash at signing, but it still needs to be in your total funding plan.
Vehicles and equipment
Expect work trucks, trailers, a small excavator or mini skid steer if exterior work is offered, jackhammers, concrete saws, pumps, compactors, generators, hand tools and safety gear. These assets are often the largest part of the startup budget and the strongest collateral.
Facility
Most owners need a shop or warehouse to store materials, equipment and vehicles. Leasing is typical, so plan for deposits, rent before opening and any improvements.
Opening costs and working capital
Initial marketing, inventory of materials, insurance, licensing, technology, training costs and payroll for crews and sales staff before jobs are paid all belong in the budget.
Total investment
Item 7 of the FDD shows the estimated initial investment and its assumptions. When you review it, look for these categories:
- Initial franchise fee (deferred until opening, per the SBA directory note)
- Vehicles and trailers
- Excavation, installation and safety equipment
- Shop or warehouse lease deposits and improvements
- Opening materials inventory
- Insurance, licenses and permits
- Training travel and expenses
- Initial marketing
- Additional funds for the initial operating period
Ongoing Fees and How They Affect Your Loan
Most home service franchise systems charge a royalty on gross sales and require contributions to marketing and technology. Everdry’s rates and any other recurring charges appear in Item 6 of the current FDD.
How lenders factor these in. Royalties and marketing fees come off the top of revenue before materials, labor, vehicle costs and debt service. Lenders deduct them in projections and look for enough margin after job costs to cover loan payments in slower months.
Franchisor Requirements for New Owners
The franchisor’s minimum net worth, liquidity and experience expectations are set out in its FDD and application process. Expect the franchisor to look for sales and management ability, comfort leading field crews and enough capital to carry the business through its first season.
The approval process. Candidates typically make an inquiry, receive the FDD, complete an application and interviews, sign the franchise agreement and attend training before opening. Talk with a lender early so financing is ready when you sign.
Ways to Own an Everdry Waterproofing Franchise
Opening a new territory. Most owners start a new territory, financing vehicles, equipment, a facility and working capital on projections. Our franchise start-up financing page explains how these loans work.
Buying an existing franchise. A resale gives a lender real revenue, backlog and job-cost history, and the purchase usually includes trucks and equipment. Franchisor approval is required. Read our article on buying a franchise resale.
Adding territories. Owners who perform well may add territories or offices, financing new crews and vehicles as they grow.
Financing Options for an Everdry Waterproofing Franchise
SBA 7(a) loans. An SBA 7(a) loan can combine vehicles, equipment, the franchise fee and working capital into one loan, subject to approval. Everdry’s directory listing makes this route available to qualified borrowers.
SBA 504 loans. If you buy a shop or warehouse building, an SBA 504 loan may fit the real estate and long-lived equipment.
Conventional term loans. Experienced contractors or buyers of established territories may use conventional business loans, especially when they have strong collateral.
Equipment and vehicle financing. Trucks, trailers, excavators and compactors can be financed separately, often secured by the equipment itself. Learn more about franchise equipment financing and leasing.
Working capital and lines of credit. Waterproofing demand can swing with rainfall, snowmelt and freeze-thaw cycles, and crews and materials must be paid before customers do. A line of credit helps smooth cash flow. See our franchise working capital options.
Seller financing on resales. A seller may carry part of the price on an existing franchise. Any seller note is typically subordinate to the senior lender, and SBA programs may limit how it can be structured.
SBA Loans for Everdry Waterproofing Franchisees
The SBA Franchise Directory lists brands whose franchise agreements have been reviewed for SBA eligibility. A listing does not approve any borrower; it lets lenders evaluate the borrower and the business. The SBA 7(a) program maximum is currently $5 million, though program rules can change.
Everdry on the SBA Franchise Directory. Everdry is listed under code S5154. The directory note tells lenders that the franchisor has agreed to defer the initial franchise fee until the business has successfully opened, and that this may increase the time for the initial disbursement of the loan.
What that means in plain English. You do not pay the franchise fee up front, which eases cash needs at signing. But if the loan includes money for that fee, the lender may hold that portion until the business opens and the fee becomes due. Plan your opening timeline, equipment deliveries and working capital with that delay in mind, and ask your lender how it will handle disbursement.
SBA application tips. Prepare a business plan with territory-specific projections, the FDD and franchise agreement, equipment and vehicle quotes, any facility lease and personal financial statements for every owner. Our guide to how lenders read an FDD explains which items get the most attention.
How Lenders Evaluate an Everdry Waterproofing Deal
Personal credit and financial history. Lenders review credit, tax returns and personal financial statements, and usually require personal guarantees.
Net worth and liquidity. Lenders want equity in the deal and reserves left after opening. Our article on how much franchise you can afford walks through the math.
Experience. Construction, home improvement, in-home sales or crew management experience strengthens an application.
Business plan and projections. Projections should show lead sources, appointment and closing assumptions, average job costs, crew capacity, seasonality and Item 6 fees.
The FDD and franchise agreement. Lenders review the territory, term, renewal and transfer provisions and any equipment requirements. Item 19 shows whether the FDD includes financial performance representations.
Historical financials for resales. Expect to provide several years of profit and loss statements, tax returns, backlog and warranty information.
Equipment, Vehicles and Warranty Reserves
Waterproofing is equipment-intensive and hard on vehicles. Trucks haul materials and debris, trailers carry machines, and tools face heavy wear. Build replacement into your long-term plan and consider financing major assets on terms that match their useful life.
Warranty obligations. Waterproofing work often comes with long warranties. When you buy an existing franchise, ask about outstanding warranty obligations and how they transfer, because lenders and buyers both need to account for them.
Multi-Unit Growth and Development
Growth usually means adding crews, trucks and possibly territories. Lenders look at combined cash flow and guarantor liquidity when financing expansion. Our article on multi-unit franchise financing explains how lenders approach growth.
Real-World Scenarios
A contractor launching a new territory. A former construction supervisor signs a franchise agreement, finances trucks, equipment and working capital with an SBA 7(a) loan and plans for the franchise fee portion to be disbursed after opening.
A buyer acquiring an existing franchise. A buyer purchases an established territory with trucks, equipment and a backlog of jobs. The lender underwrites the business’s history and reviews outstanding warranties.
An owner adding crews. A franchisee with steady demand finances two additional trucks and trailers through equipment financing and adds a line of credit for materials.
Common Mistakes to Avoid
- Assuming the deferred franchise fee means it does not need to be funded
- Ignoring the disbursement delay the SBA note describes
- Underestimating vehicle and equipment costs
- Leaving too little working capital for wet and dry seasons
- Overlooking warranty obligations on a resale
For more pitfalls, read our list of service contractor loan mistakes.
Next Steps to Finance Your Everdry Waterproofing Franchise
Step 1: Request the FDD. Review Items 5, 6, 7, 17 and 19 with a franchise attorney and accountant.
Step 2: Price your equipment and vehicles. Get quotes for trucks, trailers and tools in your market.
Step 3: Build projections. Base them on your territory, lead sources and crew capacity.
Step 4: Estimate payments. Use our SBA loan calculator for planning; results are estimates only, not offers or approvals.
Step 5: Apply for your Everdry Waterproofing franchise loan. Submit your plan, financial statements, quotes and FDD, and discuss how the deferred fee affects disbursement.
Step 6: Close and launch. Coordinate funding with training, equipment delivery and your opening date.
Everdry Waterproofing Franchise Loan FAQs
How much does it cost to open an Everdry Waterproofing franchise?
The estimated initial investment is in Item 7 of the current FDD. Your cost depends on vehicles, equipment, facility and working capital needs in your territory.
What is the Everdry franchise fee?
The fee is listed in Item 5 of the current FDD. According to the SBA Franchise Directory note, the franchisor has agreed to defer payment until the business has opened.
What royalty does Everdry charge?
Royalty and marketing fees are disclosed in Item 6 of the current FDD.
Can I get an SBA loan for an Everdry Waterproofing franchise?
Yes, if you qualify. Everdry is on the SBA Franchise Directory under code S5154.
Why might my SBA loan take longer to disburse?
Because the franchise fee is deferred until opening, the directory note says initial disbursement may take longer. Ask your lender how it will handle timing.
Can I finance trucks and equipment separately?
Yes. Vehicles and equipment can often be financed on their own, secured by the assets.
Can I buy an existing Everdry franchise?
Yes, with franchisor approval. Review the business’s financials, equipment condition and warranty obligations.
Does Everdry offer financing?
The fee deferral is one form of franchisor accommodation. Check Item 10 of the current FDD for any other financing the franchisor offers.
Can a first-time owner get an Everdry Waterproofing franchise loan?
Yes, if the borrower has solid credit, equity and reserves. Construction, sales or management experience helps.
Does the FDD include financial performance information?
Review Item 19 of the current FDD to see whether it includes financial performance representations.
Final Thoughts
An Everdry Waterproofing franchise combines in-home sales with equipment-heavy fieldwork, so financing centers on vehicles, equipment and working capital. The deferred franchise fee eases cash at signing, but it can shift loan disbursement, so plan the timeline with your lender from the start.
US Professional Funding helps franchise owners finance start-ups, acquisitions, equipment and working capital. Learn more about our franchise financing and service contractor financing programs.
