Quick Verdict · who it fits
Tempur-Pedic fits first-time franchise buyers looking for an emerging retail concept.
The numbers a buyer needs first — straight from the filing.
Initial investment (Item 7)
$953K - $1.7M
Franchise fee (Item 5)
$75K
Royalty (Item 6)
6% + 2% ad
Company-owned units
113
Model Tempur-Pedic's costs in the investment calculator → Prefilled from this filing — startup cost, cash flow and break-even.
Data extracted from the 2026 FDD filed with state regulators. Fees and terms may have changed since filing — request the current FDD from the franchisor before deciding. Not legal, financial, or investment advice. Full disclaimer.
Drag to your projected annual sales. Royalty 6% + ad fund 2% on gross sales.
PROJECTED ANNUAL SALES$500,000
$100k$2M
Royalty (6%)
—
Ad fund (2%)
—
Total / year
—
▪ Of-sales fees only · excludes rent, labor, COGS, and one-time costs · for illustration
Free AI summary — the first read on the filing.
113
Total units open
1
Units opened last year
2
Units closed last year
-1
Net unit growth
What our analysis flagged across the 2026 filing.
5
Risks to review
3
Strengths identified
4
Questions to ask
How Tempur-Pedic ranks against 119 Retail peers we've analyzed.
Initial investment
96th pct · of 119 peers
Franchise fee
96th pct · of 119 peers
System size
0th pct · of 119 peers
Retail industry averages
Avg investment
$246K - $701K
Avg franchise fee
$37K
Avg system size
238
Franchises analyzed
119
Closest concepts by category and investment.
| Brand | Item 19 | Fee | Investment | Royalty | Units |
|---|---|---|---|---|---|
| Tempur-Pedic | None | $75K | $953K - $1.7M | 6% | 0 |
| 7-ElevenSimilar price | Disclosed | — | $163K - $1.7M | 45–56% | 7,274 |
| Snap-on ToolsBiggest system | Disclosed | $8K | $223K - $509K | — | 3,159 |
| Byrider Franchising PartnersTop-rated in category | Disclosed | $60K | $947K - $1.6M | 1–2.5% | 81 |
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Free explainers to go deeper before you sign.
Brand Analysis
The '$0 franchise fee' is the bottom of a range, not the fee. 7-Eleven's 2026 FDD prices the Franchise Fee at $0 to $1,100,000 per store, and the ongoing 7-Eleven Charge is not just a royalty: Item 6 says it is also your lease of the store and equipment. Here is the full cost stack, line by line.
Brand Analysis
Ace Hardware Corporation is a retailer-owned cooperative, not a conventional franchisor. It counted 5,250 cooperative locations in the United States at the end of 2025, members buy stock rather than paying a royalty, and some states still deem those member-owned stores franchises.
Investment Guide
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Tempur-Pedic requires a $75,000 initial franchise fee and a total initial investment range of $953,000–$1,653,000, per the most recent FDD on file.
Tempur-Pedic is franchised by Tempur Franchising US, LLC, the franchisor entity of record on its Franchise Disclosure Document. Item 1 of the FDD discloses the franchisor's corporate history, parents, and predecessors.
No. Tempur-Pedic does not include a financial performance representation in its FDD. Prospective buyers should rely on validation calls with existing franchisees and benchmark against industry medians.
Franchisees pay a royalty of 6% and an advertising fund contribution of 2% on gross sales as defined in Item 6 of the FDD.
This page is part of VetMyFranchise. View all pages: llms.txt · llms-full.txt