BoxDrop Franchise FDD, Costs & Fees (2025)

BoxDrop is a mattress and furniture retail franchise that offers high-quality products at significant discounts. By utilizing a unique business model, BoxDrop provides customers with exceptional value and a personalized shopping experience.

BoxDrop has emerged as a dynamic player in the mattress and furniture industry, offering deeply discounted, brand-name products to consumers across the U.S. Since its founding in 2011, the brand has expanded swiftly, now operating in more than 400 locations throughout 46 states.

With its headquarters based in Dublin, Ohio, BoxDrop launched its franchise program in 2015. The business operates using a streamlined clearance center model, enabling franchisees to offer well-known mattress and furniture brands at prices 30% to 70% below standard retail rates.

One of BoxDrop’s standout advantages is its franchise-friendly structure—there are no royalty fees, and startup costs remain relatively modest.

Franchisees benefit from a flexible schedule and strong support network, including initial training and ongoing business development assistance. This approach positions BoxDrop as an attractive opportunity for entrepreneurs seeking affordability, independence, and scalability.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

BoxDrop offers 2 types of franchises:

Business Type Initial Investment
New Mattress Only BoxDrop Business $67,000 to $115,900
New Mattress and Sofa BoxDrop Business $126,000 to $202,400

We are summarizing below the main costs associated with opening a New Mattress and Sofa BoxDrop franchised Business. For more information on costs required to start a BoxDrop franchise, refer to the Franchise Disclosure Document (Item 7).

Type of Expenditure Amount
Initial Franchise Fee $15,000
Building Lease – 3 Month’s Rent $9,000 – $25,000
Leasehold Improvements $0 – $2,500
Cash Register, Credit Card Processing Machines, Computer Systems $0 – $2,000
Furniture (non-inventory), Fixtures and Equipment $0 – $1,000
Phones, Other Miscellaneous Items $500 – $1,500
Security Deposits $0 – $2,000
Training Expenses $1,000 – $2,000
Opening Advertising $2,000 – $4,000
Initial Inventory Package $46,500 – $62,400
Exterior Signage $1,000 – $2,000
Local Marketing $9,000
Additional Funds – 3 months $42,000 – $74,000
Total Estimated Initial Investment $126,000 – $202,400

BoxDrop offers 2 types of franchises:

Business Type Initial Investment
New Mattress Only BoxDrop Business $67,000 to $115,900
New Mattress and Sofa BoxDrop Business $126,000 to $202,400

We are summarizing below the main costs associated with opening a New Mattress and Sofa BoxDrop franchised Business. For more information on costs required to start a BoxDrop franchise, refer to the Franchise Disclosure Document (Item 7).

Type of Expenditure Amount
Initial Franchise Fee $15,000
Building Lease – 3 Month’s Rent $9,000 – $25,000
Leasehold Improvements $0 – $2,500
Cash Register, Credit Card Processing Machines, Computer Systems $0 – $2,000
Furniture (non-inventory), Fixtures and Equipment $0 – $1,000
Phones, Other Miscellaneous Items $500 – $1,500
Security Deposits $0 – $2,000
Training Expenses $1,000 – $2,000
Opening Advertising $2,000 – $4,000
Initial Inventory Package $46,500 – $62,400
Exterior Signage $1,000 – $2,000
Local Marketing $9,000
Additional Funds – 3 months $42,000 – $74,000
Total Estimated Initial Investment $126,000 – $202,400

Franchise Disclosure Document

Number of units

Training

BoxDrop provides a structured training program designed to prepare franchisees for successfully operating their business. The training is divided into distinct phases, each with its own objectives and delivery format:

  1. Initial Training Program
    Franchisees are required to complete a 2-3 day Initial Training session within 90 days of opening their BoxDrop Business. This training includes classroom instruction, use of the Operations and Training Manuals, and materials accessed through BoxDrop's dealer website. The program covers logistics, advertising strategies, product specifications, and basic business operations, and may take place at BoxDrop’s Jacksonville training center, corporate office in Dublin, OH, or other designated sites.
  2. On-Going Training Program
    After the Initial Training, franchisees may participate in ongoing sessions offered at various locations. This includes modules on advertising (2.5 hours), product knowledge (2.5 hours), and merchandising (1 hour). Although attendance is optional, it becomes mandatory if a franchisee chooses to expand into additional product categories, such as non-bedding furniture.
  3. National Sales Conferences
    BoxDrop holds up to two National Sales Conferences per year. These events, typically lasting up to four days, offer franchisees in good standing the opportunity to engage in advanced learning, network with peers, and gain insight into new strategies.

Territory Protection

BoxDrop provides franchisees with a designated territory, but this protection is conditional rather than absolute. At the time a site is approved, the franchisor assigns a territory based on factors such as geography, demographics, and market conditions.

While BoxDrop agrees not to establish another franchise or operate a competing business under the same brand within this territory, this protection only remains valid as long as the franchisee is in full compliance with all contractual obligations, including minimum purchasing thresholds.

Competitors

Below are some of

BoxDrop

key competitors in the

Housing

sector.

Franchise
Franchisees
Initial fee
Total investment
Revenue
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Gross Profit
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EBITDA
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172

New
+
13%
13%

$15,000

$67,000

$202,000

n.a.

$0

$xxx,xxx

n.a.

xx%

n.a.

n.a.

xx%

n.a.

Competitors

BoConcept

BoConcept is a modern furniture franchise specializing in contemporary and customizable designs for urban and stylish living spaces.

Franchisees

?

20
+
5%
5%
Investment

?

$421,000 - $878,000
Retail
Housing

Verlo Mattress

Verlo Mattress offers custom mattresses and sleep solutions, providing personalized comfort and support for a good night's rest.

Franchisees

?

27
+
4%
4%
Investment

?

$270,000 - $714,000
Retail
Housing

The Great Frame Up

The Great Frame Up offers custom framing services, specializing in preserving and showcasing artwork, photos, and memorabilia for lasting memories.

Franchisees

?

55
+
-8%
-8%
Investment

?

$47,000 - $209,000
Retail
Housing

Tempur-Pedic

Tempur-Pedic offers sleep products and solutions, including mattresses and accessories designed to promote comfort and restful sleep for customers.

Franchisees

?

0
+
n.a.
n.a.
Investment

?

$953,000 - $1,653,000
Retail
Housing

Snooze Mattress Company

Snooze Mattress Company is a retail franchise offering personalized mattress fitting and sales, focusing on providing high-quality sleep solutions and customer satisfaction.

Franchisees

?

27
+
n.a.
n.a.
Investment

?

$197,000 - $484,000
Retail
Housing

Slumberland

Slumberland offers furniture and bedding solutions, providing a wide range of comfortable and stylish options for creating inviting living spaces.

Franchisees

?

71
+
0%
0%
Investment

?

$830,000 - $3,215,000
Retail
Housing