AcfnFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A ACFN franchise requires a total initial investment of $38K – $58K, including a $25K franchise fee and an ongoing 1.3% royalty[2]. The 2026 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: C. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2026 FDD issuance
Overview
- Investment
- $38K – $58K
- 2nd pct Retail
- Avg gross sales
- N/A
- 21st pct Retail
- Royalty
- 1.3%
- 0th pct Retail
- Units
- 210
- 32nd pct Retail
- SBA default
- 0.0%
- system-wide median varies by category
Quick verdict · Retail · color = vs category peers
Green = >15% above Retail avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Franchised units fell from 227 to 210 over 3 years. Investigate why operators are leaving.
Bottom line
- Total investment $38K – $58K including a $25K franchise fee, 1.3% ongoing royalty.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict C (Average) with a risk score of 67/100.
- System contracting at -7.5% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- ACFN Franchised Inc.
- Incorporated in
- CA
- HQ
- 75 East Santa Clara Street, Suite 1450, San Jose, California 95113
- Auditor
- Simon & Edward, LLP
- Audited financials
- Franchisor revenue
- $15.3M
- vs $15.0M prior year
Overview
About
ACFN franchisees operate [BRAND TYPE NOT PROVIDED - request clarification]. Day-to-day operations likely involve customer acquisition, service/product delivery, and local marketing within their unprotected territory while paying 1.25% brand fees to corporate.
- CEO
- Jeffrey D. Kerr
- Headquarters
- CA
- Founded
- 2002
- FDD year
- 2026
- States available
- 39
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $25K | $25K |
| Working capital (3–6 mo) | $500 | $2K |
| Equipment, build-out, other | $12K | $32K |
| Total initial investment | $38K | $58K |
Source: ACFN 2026 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $38K – $58K
- Better than avg vs category
- Liquid capital req'd
- $500 – $2K
- Better than avg vs category
- Franchise fee
- $25K – $25K
- Better than avg vs category
- Royalty
- 1.3%
- Net Revenue · typical 6–8%
- Ad fund
- 1.3%
- typical 3–5%
- Total fee load
- 2.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 1.3% of gross sales |
| Marketing / ad fund | 1.3% of gross sales |
| Transfer fee | $15K |
| Renewal fee | $10K |
| Total fee load | 2.5% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Retail averages
How Acfn Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 210
- Opened
- 26
- Last reporting year
- Closed
- 46
- Turnover rate
- 21.9%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (yr3)
- -9.9%
- Net unit change last year
- 3-yr CAGR
- -7.5%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 43
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 39 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 2 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 2
- Loan volume
- $71K
- Median loan
- $35K
- 50th percentile
- Charge-off rate
- 0.0%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 100.0%
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 1
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Acfn's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 1 lenders with concentration factor
- Per-state charge-off rates across 1 states
- Startup risk premium and job creation velocity
- 1-year lending trend
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
ACFN presents HIGH RISK due to contracting unit count, absence of financial disclosures, questionable franchisor financial health, unprotected territories, and lack of performance benchmarks.
Audited financials (Item 21)
Yes · Simon & Edward, LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 67 / 100 rating
- 01MINORSystem shrinking rapidly: 210 units declining 9.9% year-over-year indicates deteriorating franchisee satisfaction and/or market demand
- 02MINORNo average revenue or net income disclosure: Absence of Item 19 financial performance data prevents ROI assessment and suggests franchisor may lack strong performer data
- 03HIGHGoing concern status is FALSE: Indicates the franchisor itself may have financial stability issues or internal operational challenges
- 04MINORUnprotected territory: Franchisees face direct competition from other franchisees in same area, increasing business risk and margin compression
- 05MINORLow royalty rate (1.25%) masks potential profitability concerns: May indicate franchisor cannot extract sustainable fees, suggesting unit economics are weak
- 06MINORModest franchise fee ($25,000) relative to total investment suggests low barriers to entry and potential oversaturation risk
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Territory type | non_exclusive |
| Protected territory | No |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | State in which the Area of Operation is located |
| Litigation count | 0 |
Items 10, 11
Training & Operations
- Classroom training
- 8 hrs
- On-the-job training
- 0 hrs
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
248 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
ACFN · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a ACFN franchise?
The total investment to open a ACFN franchise ranges from $38K – $58K, with an initial franchise fee of $25K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do ACFN franchise owners earn?
ACFN does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is ACFN's franchise failure rate?
SBA 7(a) loan charge-off data is not available for ACFN (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many ACFN franchise locations are there?
As of their most recent FDD filing, ACFN has 210 total units in the United States, including 227 franchised units and 0 company-owned units. 26 new units were opened in the latest reporting year.
Is ACFN a good franchise to buy?
FranchiseVerdict rates ACFN as a C-grade franchise with a risk score of 67 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.