Cartridge WorldFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Cartridge World franchise requires a total initial investment of $75K – $107K, including a $50K franchise fee. The 2024 FDD does not disclose unit-level revenue (no Item 19). SBA 7(a) loans show a 22.8% charge-off rate across 198 loans[1]. Verdict grade: F. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2024 FDD issuance
Overview
- Investment
- $75K – $107K
- 6th pct Retail
- Avg gross sales
- N/A
- 21st pct Retail
- Royalty
- N/A
- Units
- 109
- 27th pct Retail
- SBA default
- 22.8%
- 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
22.8% of SBA loans charged off across 198 loans, above the 16% franchise average.
Started franchising in 2024. Newer systems carry more uncertainty but may offer better territories.
The system contracted 21% year-over-year. Investigate why units are closing.
Bottom line
- Total investment $75K – $107K including a $50K franchise fee.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict F (Bottom Quintile) with a risk score of 100/100. SBA loan charge-off rate of 22.8% across 198 loans (well above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2024).
- Bankruptcy history disclosed in the FDD. Review Item 4 for details before proceeding.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- CWE America, LLC
- Predecessor
- is Cartridge World USA
- Prior franchisor entity
- Incorporated in
- NC
- HQ
- 445 S. Main Street, 4th Floor, Davidson, North Carolina 28036
- Auditor
- Reese CPA LLC
- Audited financials
- Franchisor revenue
- $159K
- vs $2.2M prior year
Affiliated brands
- Won Life Holdings
- is associated with multiple brands
- maintains a pr
- Holiday Park Partners
Other brands the franchisor or its parent operates (Item 1).
Overview
About
Cartridge World franchisees operate retail storefronts selling refurbished printer cartridges, toner, and ink supplies to small businesses and consumers. Daily operations involve managing inventory, processing cartridge refills, handling customer sales, and managing local marketing. The business model depends on recurring revenue from refill customers in an increasingly digital/paperless market.
- CEO
- Gregory J. Carafello
- Headquarters
- NC
- Founded
- 2022
- FDD year
- 2024
- States available
- 35
FDD Item 7 · 2024 filing · 14 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $50K | $50K | |
| Construction and Leasehold Improvements | $0 | $5K | |
| Lease Deposits - Three Months | $2K | $3K | |
| Furniture, Fixtures and Equipment | $0 | $500 | |
| Signage | $0 | $500 | |
| Computer, Software and Business Management System | $750 | $2K | |
| Opening Launch | $18K | $18K | |
| Initial Inventory | $500 | $500 | |
| Utility Deposits | $0 | $500 | |
| Insurance Deposits - Three Months | $600 | $2K | |
| Travel for Initial Training | $500 | $2K | |
| Professional Fees | $1K | $8K | |
| Licenses and Permits | $300 | $800 | |
| Additional Funds - Three Months | $2K | $15K | |
| Total initial investment | $75K | $107K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $75K – $107K
- Better than avg vs category
- Liquid capital req'd
- $2K – $15K
- Better than avg vs category
- Franchise fee
- $50K – $50K
- Better than avg vs category
- Royalty
- The greater of 8% of Gross Sales or Monthly Minimum Royal…
- Ad fund
- 4.0%
- typical 3–5%
- Total fee load
- 12.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Marketing / ad fund | 4.0% of gross sales |
| Technology fee | $70 |
| Transfer fee | $25K |
| Renewal fee | $10K |
| Inventory (initial) | $500 – $500 |
| Total fee load | 12.0% 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 Cartridge World Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 109
- Opened
- 0
- Last reporting year
- Closed
- 27
- Turnover rate
- 24.8%
- Company-owned
- 2
- Corporate units in the system
- % franchised
- 98%
- vs corporate-owned
- Net growth (yr3)
- -20.7%
- Net unit change last year
- 3-yr CAGR
- -35.5%
- Compounded over last 3 years
3-year detail · Item 20
- Closed (3yr)
- 13
- Terminated (3yr)
- 12
- Non-renewed (3yr)
- 5
- Transfers (3yr)
- 1
- Reacquired (3yr)
- 2
- Franchisor bought back
- Termination rate
- 0.8%
- Franchisor-initiated terminations
- Ceased ops
- 0.6%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 36 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.
A system losing more than 10% of its units year-over-year is a red flag. Check whether closures are concentrated in specific regions.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 198
- Loan volume
- $25.2M
- Median loan
- $120K
- 50th percentile
- Charge-off rate
- 22.8%
- 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)
- 77.2%
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 88
- Defaults
- 39
Vintage analysis
Cartridge World charge-off rate by loan vintage
Shaded area: recent vintages with few resolved loans; rates may change as loans mature.
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Cartridge World's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 10 lenders with concentration factor
- Per-state charge-off rates across 15 states
- Startup risk premium and job creation velocity
- 19-year lending trend
Instant access. No subscription.
A 22.8% charge-off rate means roughly 1 in 4 franchisees failed to repay their SBA loan. Investigate what changed.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Cartridge World presents extreme risk: a contracting franchise system (down 20.7% YoY to 109 units) with no financial transparency, unprotected territory, and potential franchisor financial instability, making investor recovery unlikely.
Litigation (Item 3)
0 case reference(s): 0 pending, 0 settled.
Largest disclosed settlement: $50,000
Bankruptcy (Item 4)
Disclosed in last 7 years
Bankruptcy,” is supplemented by the addition of the following: No entity or person listed in Items 1 and 2 of this Disclosure Document has, at any time during the previous 10 fiscal years (a) filed for bankruptcy protection, (b) been adjudged bankrupt, (c) been reorganized due to insolvency, or (d)
Audited financials (Item 21)
Yes · Reese CPA LLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Must buy proprietary products: No
- Restricted to system-approved products: Yes
Score breakdown · what drove the 100 / 100 rating
- 01MINORSystem declining rapidly: 20.7% unit contraction YoY indicates shrinking franchise base and potential market saturation or model failure
- 02MINORNo financial disclosure: Absence of Item 19 (Average Financial Performance) makes ROI analysis impossible; cannot validate investment viability
- 03HIGHGoing Concern status False: Suggests potential financial instability or structural issues with the franchisor itself
- 04MINORUnprotected territory: Franchisees face cannibalization risk from company-owned or competing franchisee locations within their market
- 05MINORHigh minimum royalty burden: 8% or monthly minimum creates fixed overhead even during low-revenue periods; unsustainable during downturns
- 06MINOROnly 109 remaining units: Severely diminished system size limits brand recognition, supply chain leverage, and peer support network
- 07MED10-year commitment: Long lock-in period with no exit clause mentioned; risky given market decline trajectory
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 |
| Allowed renewalsℹ | 1 |
| Territory type | Designated Territory |
| Protected territory | No |
| Online sales rights | Granted |
| 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 |
| Termination groundsℹ | 1 |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | North Carolina |
| Litigation count | 0 |
View Item 3 litigation summary
0 case reference(s): 0 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 40 hrs
- On-the-job training
- 40 hrs
- Training location
- On-site and corporate
- Site selection
- franchisee
- Franchisor financing
- Offered
- Item 10
- POS system
- Fusion Platform
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Fusion Platform
Item 20 · call current owners
Franchisee Contacts
135 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Cartridge World · FDD (2024) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Cartridge World franchise?
The total investment to open a Cartridge World franchise ranges from $75K – $107K, with an initial franchise fee of $50K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Cartridge World franchise owners earn?
Cartridge World 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 Cartridge World's franchise failure rate?
Based on SBA 7(a) loan data, Cartridge World has a charge-off rate of 22.8% across 198 loans, meaning 22.8% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many Cartridge World franchise locations are there?
As of their most recent FDD filing, Cartridge World has 109 total units in the United States, including 107 franchised units and 2 company-owned units.
Is Cartridge World a good franchise to buy?
FranchiseVerdict rates Cartridge World as a F-grade franchise with a risk score of 100 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.