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Decorating Den

Decorating Den

The total investment to open a Decorating Den franchise ranges from $43,813 to $79,900. The initial franchise fee is $39,900. Ongoing royalties are 9% plus a 4% advertising fee.

What is the Decorating Den franchise?

The United States interior design market was valued at $18.6 billion in 2023. The sector is fragmented, with many independent contractors lacking the support systems found in established franchise networks. Design Studio presents a structured model for serving consumers who want personalized and attractive living or working spaces. The brand was created around the goal of professionalizing and standardizing the high touch interior design service through a repeatable framework for design professionals and business minded owners. Specific founding details are not publicly disclosed. The concept appears to address the gap between high end architectural firms and individual freelance designers by offering accessible design services through a consistent system. Design Studio currently has 26 active units, and all 26 are franchised. The company has no company owned units, giving it a 100% franchised structure. Its target market includes homeowners planning renovations, new home buyers seeking interior decoration, and businesses improving their commercial spaces. The interior design services market is projected to reach $27.9 billion by 2030, representing a compound annual growth rate of 5.9% over the forecast period. Demand is supported by demographic changes, higher disposable incomes, and consumer interest in functional and attractive environments. The network remains modest in size compared with some large franchisors, but its 26 units form the current operating base. PeerSense assigns Design Studio a Loan Activity Score of 46 (Fair), providing an overall assessment of the franchise system and its investment profile.

The interior design services market was valued at $18.6 billion in the United States in 2023 and is forecast to reach $27.9 billion by 2030, with a 5.9% CAGR. Urbanization supports demand for efficient and attractive spaces, particularly as over 80% of the U.S. population lives in urban areas. The housing stock also creates demand for renovation and redesign. The median age of owner occupied homes exceeds 40 years, which can lead owners to seek professional help as homes are updated. Remote and hybrid work has made many homes serve as both living and work environments. More than 25% of the U.S. workforce works remotely at least part time, affecting the way homeowners plan rooms and work areas. Consumers are also showing a preference for customized interiors. One survey found that 78% of homeowners value customization over off the shelf solutions. Sustainable design and smart home features add another source of demand, with the smart home market projected to grow at a CAGR of 15% through 2028. A franchise can also give an owner access to a recognized brand and established operating systems in a fragmented field. The market includes tens of thousands of independent designers, while fewer providers have standardized processes, collective purchasing power, and broad marketing support. Design Studio has 26 active locations and offers a structured entry into this expanding service category.

The specific Design Studio franchise fee is not publicly available in the current FDD. Comparable home service and design franchises commonly charge an initial fee from $30,000 to $60,000. That fee generally provides access to the brand name, proprietary systems, initial training, and an exclusive territory. The precise total initial investment for Design Studio is also not disclosed. Comparable low overhead service businesses that operate from a home or through mobile service often require $75,000 to $250,000. Such an investment can include leasehold improvements if the owner selects a studio, an initial marketing launch, software and technology licenses, sample and presentation materials, legal and accounting services, and working capital for the first 3 to 6 months. Working capital can represent 20% to 30% of the total initial investment and helps cover operating costs before revenue is fully established. Specific liquid capital and net worth requirements are not detailed in the FDD. For a service franchise of this type, prospective lenders and franchisors typically look for approximately $50,000 to $100,000 in liquid capital and a minimum net worth of $150,000 to $300,000. These measures are intended to show that an owner can launch and sustain the business. Design Studio's specific royalty and advertising fees are also not available. Industry averages for service franchises generally range from 5% to 8% for royalties and from 1% to 2% for advertising contributions. Royalty payments generally support ongoing assistance, brand development, and system improvements. Advertising contributions support shared marketing and lead generation for the 26 Design Studio locations. A buyer should also account for staffing, insurance, local marketing, and continuing professional development when evaluating total ownership costs. Design Studio has a Loan Activity Score of 46 (Fair), which provides a baseline view of the opportunity while specific franchise financial data remains unavailable.

A Design Studio owner would generally combine client consultations, design work, vendor coordination, project management, and business development. Consultations may take place in a client's home so the owner can evaluate the space directly. The work can include space planning, concept development, material selection, furniture, lighting, accessories, vendor coordination, and monitoring project schedules and budgets. Marketing and relationship building are also recurring responsibilities within the owner's territory. The 26 active locations reflect a model centered on personalized service, with the franchisee serving as the main client contact and creative director. Staffing can remain limited during the early stages. Many owners may operate the business themselves and use their design knowledge and business skills to manage projects. As volume increases, an owner may add design assistants for administrative work, material sourcing, and project coordination, or hire additional designers for larger workloads. The concept can be operated from a home based setting, which can reduce overhead, or from a small commercial studio. The initial training program's duration is not specified. Comparable service franchises often provide two to four weeks of initial training covering design principles, business management, sales, client relationship management, and proprietary software and tools. Corporate support is intended to maintain consistency across the 26 units. It may include preferred vendors, competitive pricing, exclusive products, marketing materials and strategies, design software updates, and continuing education. A territory system likely uses demographic information and population density to create an exclusive protected market and reduce internal competition. Multi unit requirements are not explicitly detailed.

Broader industry information can help frame the opportunity, though results for an individual unit will vary. Results depend on client acquisition costs, project management, and the ability to charge premium prices. Design Studio's 26 active locations operate within a system intended to give franchisees brand recognition, centralized marketing, and access to preferred vendors. Those resources may support client acquisition, pricing on materials, and operating processes that are often difficult for independent designers to build alone. The market's projected 5.9% CAGR through 2030 provides a growing pool of potential clients. Individual unit results would be affected by the demographics and economic condition of the protected territory, the owner's drive and business judgment, local marketing and networking, project management, and client communication. PeerSense gives Design Studio a Loan Activity Score of 46 (Fair).

Design Studio has 26 active units, all of which are franchised. The network reflects a measured approach to expansion rather than rapid unit growth. Historical net new unit data is not available, but the continued operation of 26 locations indicates a system focused on unit level performance and owner support. Changes in the interior design industry may create additional ways to deliver and manage services. Digital tools such as 3D rendering software, virtual reality tours, and online project management platforms are changing client presentations and project administration. These tools can support virtual consultations, more realistic design concepts, and remote project management, which may broaden a franchisee's reach and reduce geographic limits. Design Studio's potential competitive advantages include an established brand name, centralized marketing and advertising, a preferred vendor network, and training with ongoing support. Even with 26 units, a recognized name may provide credibility that an independent designer must build separately. Shared advertising funded through collective fees can support promotion across the 26 locations, although the specific amounts are not disclosed. Preferred vendors may offer pricing on materials and furnishings and may help with quality and reliability during projects. Training and ongoing support may also help people without prior design experience operate within a professional system.

Design Studio has 26 active locations and depends entirely on franchisees for its market presence. A suitable candidate does not have to be a classically trained interior designer. An eye for aesthetics and an interest in creating attractive spaces can help, but interpersonal and communication skills are central because client relationships drive the service. Business ability in sales, marketing, and project management is also needed because each franchisee operates a business. A customer service focus, willingness to follow the operating system, and readiness to use corporate support are important. The system is suited to self directed and organized owners who can manage client expectations and project details. The current network is primarily built around single unit operations, but high performing franchisees may have an opportunity to develop multiple units if they show strong operations and market penetration. Territory allocation likely considers demographic information, household income, population density, and existing competition. These factors are intended to give each current Design Studio location, and future locations, a viable and exclusive area. The period from signing a franchise agreement to opening generally ranges from three to six months. That time can cover initial training, local licenses, operating setup, and introductory marketing. The franchise agreement term is not available. Comparable service franchise agreements commonly run from five to ten years and may include renewal options, allowing an owner to build client relationships and business value within a protected territory.

Design Studio operates in a United States interior design services market valued at $18.6 billion in 2023 and projected to reach $27.9 billion by 2030. Its 26 active units are all franchised, creating a structured model in a sector serving demand for personalized residential and commercial spaces. The system offers brand recognition, centralized marketing, preferred vendors, training, and ongoing support that may help an owner compete in a fragmented market. PeerSense assigns the franchise a Loan Activity Score of 46 (Fair). The opportunity may suit someone with strong communication skills, business ability, and an interest in design, including a candidate without professional design experience. Exclusive territories and a structured operating model are intended to support franchisees as they build local businesses. Market factors include remote work, an aging housing stock, and continued interest in home improvement. A buyer should review the undisclosed fees and financial requirements with the franchisor and assess the investment against personal resources, territory conditions, and operating experience.

Loan Activity Score

46/100

SBA Default Rate

7.1%

Active Lenders

19

According to its Franchise Disclosure Document or public business records, Decorating Den has 28 locations, all owned by franchisees. Public SBA loan records show 19 lenders made 28 loans to franchisees of Decorating Den. PeerSense calculates Decorating Den's score as 46 out of 100, using public SBA loan performance and recent lending activity.

Franchising since 1969 · 28 locations

Investment

$43,813 to $79,900

Franchise Fee

$39,900

Total Units

28

28 franchised

Loan Activity Score
High
46
SBA Lending
17
Lender Quality
9
Transparency
8
Reach
9
Momentum
3

Proprietary PeerSense metric

Fair
Capital Sources
19SBA lenders

Distinct lenders in public SBA records for Decorating Den

28

Total SBA loans

$40K

Average loan size

Source: public SBA 7(a) and 504 loan records through December 31, 2025

Referral fee at closing

SBA Lending Activity for Decorating Den

Loan Activity Score Breakdown

Established (25 to 99 loans)

High Confidence
46out of 100
Fair
Market Momentum3/35

Are lenders increasingly or decreasingly funding this brand? Growing trends score highest.

Loan Safety17/25

Blended default rate (recent + all time) compared to NAICS sector peers.

Lender Confidence9/15

Quality lenders actively backing this brand, with penalty for lender pullback.

Transparency8/15

FDD availability, Item 19 disclosure, and overall data completeness.

Footprint9/10

Geographic spread of SBA funded locations across states.

SBA Lending Performance

SBA Default Rate

7.1%

vs 9.9% peer avg

SBA Loans

28

Total Volume

$1.1M

Active Lenders

19

1 selective

States

20

vs. SBA Sector Average

+2.8%lower default rate

SBA loan default rate vs. all franchises in the same NAICS sector, not limited to direct competitors

Key Highlights

Low SBA default rate (7.1%)

Data Insights

Key performance metrics for Decorating Den based on SBA lending data

SBA Default Rate

7.1%

2.8% below peer avg

SBA Loan Volume

28 loans

Across 19 lenders

Lender Diversity

19 lenders

Avg 1.5 loans per lender

Investment Tier

Low cost entry

$43,813 to $79,900 total

Payment Estimator

Loan Amount$35K
Interest Rate9.5%
Term (Years)10 yr

Estimated Monthly Payment

$454

Principal & Interest only

Indicative only, as of October 1, 2026. Not a quote, commitment or offer of credit. Final pricing, leverage and terms are determined by the lender at underwriting, after full transaction materials are reviewed. PeerSense sources the file. The lender sets pricing. What these terms mean.

Locations

Decorating Den, unit breakdown

Total Units
N/A
Franchisee Owned
n/a
System Owned
n/a
Closed
n/a

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Decorating Den

Page Review

Reviewed by Edward L. Freeman, Founder and Managing Director, PeerSense

  • PeerSense is a capital advisory firm that places commercial financing with direct capital sources; it does not lend, fund, or approve loans, and the capital source sets final terms.
  • Edward L. Freeman founded PeerSense in January 2020.
  • He is a Registered Franchise Consultant with Business Alliance, Inc., a credential issued in March 2022, and worked as a franchise consultant there from March 2022 to May 2023.
  • His recorded experience includes a $22 million SBA construction loan, with about $16 million funded on the deal.
  • In the 12 months through September 30, 2026, PeerSense tracked 912 publicly announced financings with a disclosed size of $361.32 billion. PeerSense Capital Data Report · Methodology page

Last reviewed LinkedIn profileAbout Edward Freeman