Bottom line
- Total investment $191K – $338K including a $55K franchise fee, 4.0% ongoing royalty.
- Average unit revenue of $816K/year.
- Rated MODERATE with a risk score of 57/100. SBA loan default rate of 0.0% across 6 loans (below the industry average).
- Emerging franchise — only 2 years of franchising with 20 units. Early-stage systems carry higher risk but may offer better territory availability.
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 JUNKCO+ unit return on the cash you put in?
Unlevered ROIC · per unit
48%
In Yale's "attractive" band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 JUNKCO+ units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$1.6M
on $8.2M purchase
Total debt
$6.5M
SBA $4.1M + senior + seller note
Overview
About
JUNKCO+ franchisees operate junk removal and hauling services, managing customer acquisitions, scheduling pickups, directing labor crews, and operating disposal/recycling logistics. Daily operations involve customer intake, route optimization, crew coordination, and vehicle maintenance across a protected service territory.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 16 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.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Early-stage junk removal franchise with 20 units, material lack of net income disclosure, and escalating royalties creates significant profitability uncertainty and franchisor sustainability risk.
Score breakdown · what drove the 57 / 100 rating
- 01MEDNet income not disclosed in FDD despite $815K average revenue — impossible to assess true profitability or ROI on $190K-$338K investment
- 02MINOROnly 20 units system-wide with unknown growth trajectory — indicates either early-stage concept or stalled expansion; insufficient scale for franchisor support infrastructure
- 03MEDEscalating royalty structure (4% to 5-8%) creates margin compression over time; combined with undisclosed net income, franchisees cannot model cash flow accurately
- 04HIGHGoing Concern = False is ambiguous language; requires clarification on franchisor financial stability and ability to provide ongoing support
- 05MINORHigh franchise fee ($55K) relative to small unit count suggests franchisor may be fee-dependent rather than system-growth focused
- 06MINORProtected territory provided but no detail on territory size, density, or exclusivity enforcement mechanisms
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
16 numbers
One-time purchase · CSV download · Validation questions included
FDD download
JUNKCO+ · FDD (2026) PDF