HHO Carbon Clean Systems Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
HHO Carbon Clean Systems is an automotive franchise that uses hydrogen-based technology to remove carbon buildup from vehicle engines. Franchisees run mobile or shop operations, managing service calls and customer accounts.
FranchiseVerdict summary · 2026
A HHO Carbon Clean Systems franchise requires a total initial investment of $108K – $185K, including a $45K franchise fee. The 2025 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $108K – $185K
- 40th pct Cleaning & Ma…
- Avg gross sales
- N/A
- Royalty
- N/A
- Units
- 15
- 24th pct Cleaning & Ma…
- SBA charge-off
- N/A
Quick verdict · Cleaning & Maintenance · color = vs category peers
Green = favorable by >10% vs Cleaning & Maintenance avg · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $108K – $185K including a $45K franchise fee.
- RETURNSThe provided page images (p188-p192) contain only Exhibit G (Lists of Franchisees with Open Outlets and Franchisees That Have Left the System as of December 31, 2024) and Exhibit H (State Specific Addenda, including the California FDD Amendment) for HHO Carbon Clean Systems Multi-State FDD dated January 29, 2025. No audited financial statements, balance sheet, income statement, or Independent Auditor's Report are present in these pages, so no financial figures could be extracted.
- RISKVerdict B (Above average), verdict score 50/100 (higher is better).
- FLAG4 units terminated last reporting year (26.7% of the system). Ask existing franchisees why.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- HHO Franchise, LLC
- CEO title
- Chief Executive Officer
- Jared English
- Founder active
- Yes
- Original founder still leading the business
- Incorporated in
- KY
- HQ
- 3060 John L. Puryear Drive, Paducah, Kentucky 42003
- Auditor
- Metwally CPA PLLC
- Audited financials
- Franchisor revenue
- $219K
- vs $276K prior year
- Management churn noted
- Frequent turnover
- Item 2 disclosed frequent executive changes
Overview
About
- CEO
- Jared English
- Headquarters
- KY
- Founded
- 2020
- FDD year
- 2025
- States available
- 12
Can you afford it, and what does the money buy?
Entry cost runs 53% below the typical cleaning & maintenance franchise.
Source: FDD 2025 · Items 5–7
Full Item 7 breakdown15 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $45K | $45K | |
| Construction and Leasehold Improvements | $0 | $3K | |
| Storage Unit | $0 | $750 | |
| Service Vehicle | $5K | $41K | |
| Service Vehicle Initial Equipment Package | $31K | $45K | |
| Service Vehicle Equipment Installation | $4K | $6K | |
| Service Vehicle Wrap | $3K | $4K | |
| Software and Business Management System | $2K | $3K | |
| Start-Up Marketing | $3K | $6K | |
| Insurance Deposits - Three Months | $3K | $5K | |
| Travel for Initial Training | $2K | $3K | |
| Professional Fees | $1K | $2K | |
| Licenses and Permits | $500 | $1K | |
| Vehicle Maintenance | $500 | $750 | |
| Additional Funds - Three Months | $10K | $21K | |
| Total initial investment | $108K | $185K |
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
- $108K – $185K
- Top 40% of category vs category
- Liquid capital req'd
- $10K – $21K
- Top 40% of category vs category
- Franchise fee
- $45K – $45K
- Top 40% of category vs category
- Royalty
- Greater of 6%-8% of gross sales (tiered by annualized vol…
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty (flat) | Greater of 6% to 8% of Gross Sales or Minimum Monthly Royalty Fee Requirement |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $275 |
| Training fee | $400 |
| Transfer fee | $15K |
| Renewal fee | $10K |
| Total fee load | 8.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
HHO Carbon Clean Systems did not disclose financial performance in FDD Item 19. The ROIC and return models require Item 19 revenue. Without it all inputs are estimates. You can still run the calculator with your own assumptions by entering an expected revenue figure.
Returns model · single-unit ROIC
What would one HHO Carbon Clean Systems unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
51%
Within the 30–60% "attractive franchise" band
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2025 FDD
Financial Performance
The provided page images (p188-p192) contain only Exhibit G (Lists of Franchisees with Open Outlets and Franchisees That Have Left the System as of December 31, 2024) and Exhibit H (State Specific Addenda, including the California FDD Amendment) for HHO Carbon Clean Systems Multi-State FDD dated January 29, 2025. No audited financial statements, balance sheet, income statement, or Independent Auditor's Report are present in these pages, so no financial figures could be extracted.
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 8.0% — below the Cleaning & Maintenance average of 9.7%.
Disclosure
Franchisor chose not to disclose financial performance representations. You will need to gather unit economics directly from existing franchisees.
Operator retention
System expanding at 40.0% CAGR over 3 years across 15 units — operators are staying and new ones are joining.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Cleaning & Maintenance averages
How HHO Carbon Clean Systems Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 15
- Opened
- 3
- Last reporting year
- Closed
- 0
- Terminated
- 4
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 28.6%
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 93%
- vs corporate-owned
- Net growth (3-yr)
- -6.7%
- Net unit change over 3 years
- 3-yr CAGR
- +40.0%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 3
- Closed (3yr)
- 0
- Terminated (3yr)
- 4
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
- Projected new
- 4
- Franchisor's next-year forecast
- Termination rate
- 26.7%
- Franchisor-initiated terminations
- Ceased ops
- 26.7%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 12 states reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
12
states with franchisees (per FDD Item 12)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 1 7(a) loan on file; statistical reliability is limited below 10 loans.
- Total loans
- 1
- Loan volume
- $150K
- Median loan
- $150K
- average
- Charge-off rate
- N/A
- limited sample (1 loan) — rate not shown below 10
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 1
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Declining unit count, missing financial performance data, and high fee structure create significant uncertainty around franchisee profitability and system viability.
Litigation (Item 3)
No litigation required to be disclosed
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Metwally CPA PLLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 50 / 100 verdict
- 01MINORUnit count declining 6.7% YoY (15 units total) suggests system contraction and weak franchisee recruitment/retention
- 02MEDNo average revenue or net income disclosed in FDD Item 19 — impossible to validate ROI claims or unit economics
- 03MINORHigh initial investment ($108k-$185k) paired with declining unit count increases franchisee failure risk
- 04MINORMinimum monthly royalty fee requirement (amount unspecified) could strain cash flow, especially for new units
- 05MEDRoyalty structure of 6-8% plus minimum fee is aggressive for a specialized B2B service with limited market penetration
- 06MEDOnly 15 franchised units indicates immature/niche system with limited brand recognition and marketing leverage
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 8.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2025 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory population | 250,000 |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 25 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 10 days |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | Yes |
| Arbitration location | McCracken County, Kentucky |
| Jury trial waiver | Yes |
| Governing law | KY |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation required to be disclosed
Items 10, 11
Training & Operations
- Classroom training
- 22 hrs
- On-the-job training
- 19 hrs
- Training location
- Paducah, Kentucky
- Ongoing training
- Required
- Time to open
- 1 mo
- From signing to launch
- Site selection
- Franchisee selects; franchisor approves if commercial office chosen (home-based permitted)
- Franchisor financing
- Offered
- Item 10
- POS system
- FranFast CRM and Business Management System
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: FranFast CRM and Business Management System
Item 20 · call current owners
Franchisee Contacts
18 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
HHO Carbon Clean Systems · FDD (2025) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a HHO Carbon Clean Systems franchise?
The total investment to open a HHO Carbon Clean Systems franchise ranges from $108K – $185K, with an initial franchise fee of $45K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do HHO Carbon Clean Systems franchise owners earn?
HHO Carbon Clean Systems 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 Item 19 in the HHO Carbon Clean Systems FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the HHO Carbon Clean Systems FDD and qualifies whose outlets they describe.
What is HHO Carbon Clean Systems's franchise failure rate?
SBA 7(a) loan charge-off data is not available for HHO Carbon Clean Systems (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 HHO Carbon Clean Systems franchise locations are there?
As of their most recent FDD filing, HHO Carbon Clean Systems has 15 total units in the United States, including 14 franchised units and 1 company-owned units. 3 new units were opened in the latest reporting year.
Is HHO Carbon Clean Systems a good franchise to buy?
FranchiseVerdict rates HHO Carbon Clean Systems as a B-grade franchise with a verdict score of 50 out of 100 (higher is better), 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.
For franchisors
Are you the franchisor?
If you represent HHO Carbon Clean Systems, you can request corrections or provide updated information.
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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.