C12 GroupFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A C12 Group franchise requires a total initial investment of $37K – $67K, including a $25K franchise fee and an ongoing 17.0% royalty[2]. Per the 2025 FDD, average unit revenue was $691K[2]. Verdict grade: A. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $37K – $67K
- 8th pct Business Serv…
- Avg gross sales
- $691K
- 15th pct Business Serv…
- Royalty
- 17.0%
- 33rd pct Business Serv…
- Units
- 67
- 36th pct Business Serv…
- SBA default
- N/A
Quick verdict · Business Services · color = vs category peers
Green = >15% above Business Services 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
Each dollar invested generates 13.4x in gross revenue, well above the typical 1.5-2.5x range.
Bottom line
- Total investment $37K – $67K including a $25K franchise fee, 17.0% ongoing royalty.
- Average unit revenue of $691K/year (median $472K).
- Verdict A (Top Quintile) with a risk score of 30/100.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- The C12 Group, LLC
- Incorporated in
- TX
- HQ
- 777 E. Sontera Blvd., Suite 305, San Antonio, TX 78258
- Auditor
- ADKF, P.C.
- Audited financials
- Franchisor revenue
- $7.3M
- vs $8.3M prior year
Overview
About
C12 Group operates peer-advisory and peer-coaching networks where franchisees typically facilitate monthly peer meetings (C12 Boards) for business owners, providing facilitation, coaching, and accountability support. Franchisees generate revenue through board membership fees and are expected to recruit and maintain multiple boards within their protected territory.
- CEO
- Michael W. (Mike) Sharrow
- Headquarters
- TX
- Founded
- 1992
- FDD year
- 2025
- States available
- 34
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $25K | $25K |
| Working capital (3–6 mo) | $500 | $3K |
| Equipment, build-out, other | $11K | $40K |
| Total initial investment | $37K | $67K |
Source: C12 Group 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$21K
3.0% margin
Unlevered ROIC
39%
EBITDA / total invested capital
Payback
31 mo
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $37K – $67K
- Better than avg vs category
- Liquid capital req'd
- $500 – $3K
- Better than avg vs category
- Franchise fee
- $13K – $38K
- Better than avg vs category
- Royalty
- 17.0%
- Sliding scale based on Gross Billings · typical 6–8%
- Ad fund
- -n/d
- Total fee load
- 17.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 17.0% of gross sales |
| Technology fee | $12K |
| Transfer fee | $6K |
| Renewal fee | $0 |
| Total fee load | 17.0% of rev |
At 17.0% total fee load, roughly $118K per year goes to the franchisor before you pay a single operating expense.
Financial Performance
- Avg gross sales
- $691K
- Per unit, per year
- Median gross sales
- $472K
- Item 19 type
- Historical Total Revenue
- Sample size
- 65 units
- vs category median 32 · large
- Range (low → high)
- $19K→$3.4M
- Cohort dispersion (min → max)
- Transparency
- 4 / 5
- vs category median 3 / 5 · above
Compared against 360 Business Services brands
Revenue is 13.4x the investment midpoint. At typical franchise margins, this suggests a payback under 3 years.
vs Business Services averages
How C12 Group Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 67
- Opened
- 2
- Last reporting year
- Closed
- 0
- Turnover rate
- 0.0%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Multi-unit owners
- 1.0%
- Net growth (yr3)
- +3.1%
- Net unit change last year
- 3-yr CAGR
- +3.1%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 2
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 13 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 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
High-royalty, slow-growth franchise with undisclosed profitability, regulatory history, and short contract terms presents elevated risk for franchisee capital recovery.
Audited financials (Item 21)
Yes · ADKF, P.C.
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 30 / 100 rating
- 01MINORHigh royalty rate (17-30% of gross billings) significantly erodes profitability and creates breakeven risk
- 02MEDNet income not disclosed in FDD Item 19 — inability to validate profit claims or ROI timeline
- 03HIGHSEC/Maryland litigation (2012) for unregistered franchise sales and escrow violations indicates regulatory compliance history
- 04MINORMinimal system growth (3.1% YoY) suggests market saturation, franchisee recruitment challenges, or brand weakness
- 05MINORShort 1.5-year term creates renewal uncertainty and limits franchisee investment recovery window
- 06MEDOnly 67 units system-wide indicates limited scale, fewer peer networks, and higher operational overhead per franchisee
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 | 1 year |
|---|---|
| Renewal term | 1 year |
| Territory type | Geography (cities, zip codes, counties, states, or radius) |
| Protected territory | Yes |
| Franchisor can compete | No |
| Hire a manager? | Not allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | No |
| Termination notice | 90 days |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Texas |
| Litigation count | 1 |
Items 10, 11
Training & Operations
- Classroom training
- 64 hrs
- On-the-job training
- 238 hrs
- POS system
- C12 App and CRM
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: C12 App and CRM
Item 20 · call current owners
Franchisee Contacts
15 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
C12 Group · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a C12 Group franchise?
The total investment to open a C12 Group franchise ranges from $37K – $67K, 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 C12 Group franchise owners earn?
According to Item 19 of the C12 Group FDD, the average gross sales per unit is $691K. The median is $472K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is C12 Group's franchise failure rate?
SBA 7(a) loan charge-off data is not available for C12 Group (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 C12 Group franchise locations are there?
As of their most recent FDD filing, C12 Group has 67 total units in the United States, including 65 franchised units and 0 company-owned units. 2 new units were opened in the latest reporting year.
Is C12 Group a good franchise to buy?
FranchiseVerdict rates C12 Group as a A-grade franchise with a risk score of 30 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.