Bottom line
- Total investment $77K – $222K including a $40K franchise fee.
- No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
- Rated CAUTION with a risk score of 69/100.
- No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
Item 1 · who you're contracting with
The Franchisor
Yale framework · single-unit ROIC
Returns Analysis
Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.
The model · Yale framework
What would one CR3 American Exteriors unit return on the cash you put in?
Unlevered ROIC · per unit
61%
Above typical band (30–60%)
Overview
About
CR3 American Exteriors franchisees provide residential exterior services including roofing, siding, windows, and gutters. Day-to-day operations involve sales/estimating, project management, crew coordination, and customer relations. Revenue model depends on local market penetration and ability to compete against established regional contractors.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 24 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 phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Early-stage, unproven exterior services franchise led by litigation-prone founder, lacking financial transparency and operating with structural royalty burden that threatens unit economics.
Score breakdown · what drove the 69 / 100 rating
- 01HIGHFounder John T. Hewitt has substantial litigation history including fraud allegations from Liberty Tax tenure, creating reputational and operational risk
- 02MINORNo average revenue or net income disclosure (Item 19) prevents validation of $77k-$222k investment ROI claims
- 03MINORRapid 50% YoY unit growth with only 16 total units suggests early-stage franchise with unproven business model and high failure risk
- 04MINORMinimum $2,000/month royalty floor ($24k annually) represents 31% of lowest investment on a breakeven basis
- 05HIGHNo going concern statement indicates potential financial instability at corporate level affecting franchisee support
- 06MINORExterior services market is highly competitive with low barriers to entry and price-sensitive customers
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
Item 20
Franchisee Contacts
Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.
Franchisee contacts
37 numbers
One-time purchase · CSV download · Validation questions included
FDD download
CR3 American Exteriors · FDD (2025) PDF