Klappenberger & Son Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Klappenberger & Son is a home services franchise providing painting, pressure washing, and handyman services. Franchisees run local operations, managing crews, estimates, and customer accounts within a territory.
FranchiseVerdict summary · 2026
A KLAPPENBERGER & SON franchise requires a total initial investment of $85K – $145K, including a $47K franchise fee and an ongoing 6.0% royalty[2]. The 2026 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: D (Below average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2026 FDD issuance
Overview
- Investment
- $85K – $145K
- 24th pct Home Services
- Avg gross sales
- N/A
- Royalty
- 6.0%
- 15th pct Home Services
- Units
- 9
- 18th pct Home Services
- SBA charge-off
- N/A
Quick verdict · Home Services · color = vs category peers
Green = favorable by >10% vs Home Services 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 $85K – $145K including a $47K franchise fee, 6.0% ongoing royalty.
- RETURNSTotal Revenue comprises Franchise Fee and Royalty Income ($395,662) plus Other Income - Franchise Leads ($86,111) for FY ended Dec 31, 2025; audited statements of Hook & Wilson, LLC.
- RISKVerdict D (Below average), verdict score 34/100 (higher is better).
- DATANo 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
Corporate structure & franchisor financials
- Legal entity
- Hook & Wilson, LLC
- CEO title
- Member
- David Klappenberger
- Incorporated in
- MD
- HQ
- 902 Bluffview Drive, Myrtle Beach, SC 29579
- Auditor
- Alta CPA Group, LLC
- Audited financials
- Franchisor revenue
- $482K
- vs $612K prior year
Overview
About
- CEO
- David Klappenberger
- Headquarters
- SC
- Founded
- 2014
- FDD year
- 2026
- States available
- 5
Can you afford it, and what does the money buy?
Entry cost runs 49% below the typical home services franchise.
Source: FDD 2026 · Items 5–7
Full Item 7 breakdown20 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Franchise Fee | $47K | $47K | |
| Rent, Utilities and Security Deposit | — | — | |
| Signage | $93 | $173 | |
| Service Vehicle | $230 | $10K | |
| Signage for Vehicle | $2K | $3K | |
| Business Insurance | $3K | $7K | |
| Painting Equipment | $2K | $4K | |
| Hand Tools | $600 | $600 | |
| Power Tools | $700 | $700 | |
| Uniforms and Printed Marketing Materials | $1K | $2K | |
| Office Equipment, Furniture and Supplies | $0 | $800 | |
| Computer Hardware & General Software | $0 | $2K | |
| Technology Support | $900 | $900 | |
| Initial Inventory | — | — | |
| Payroll Processing | — | — | |
| Training Expenses | $0 | $2K | |
| Launch Marketing | $8K | $8K | |
| Necessary Licenses and Permits | $75 | $3K | |
| Professional Advisor Fees | $1K | $5K | |
| Additional Funds (6 Months) | $25K | $50K | |
| Total initial investment | $92K | $145K |
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
- $85K – $145K
- Top 40% of category vs category
- Liquid capital req'd
- $25K – $50K
- Middle of category vs category
- Franchise fee
- $47K – $47K
- Top 40% of category vs category
- Royalty
- 6.0%
- tiered · typical 6–8%
- Ad fund
- 2.3%
- typical 3–5%
- Total fee load
- 8.3%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.3% of gross sales |
| Technology fee | $350 |
| Transfer fee | $38K |
| Renewal fee | $2K |
| Inventory (initial) | $0 – $0 |
| Total fee load | 8.3% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
KLAPPENBERGER & SON 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 KLAPPENBERGER & SON unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
53%
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: 2026 FDD
Financial Performance
Total Revenue comprises Franchise Fee and Royalty Income ($395,662) plus Other Income - Franchise Leads ($86,111) for FY ended Dec 31, 2025; audited statements of Hook & Wilson, LLC.
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 8.3% (near the Home Services average).
Disclosure
Franchisor chose not to disclose financial performance representations. You will need to gather unit economics directly from existing franchisees.
Operator retention
System shrank 18.2% over 3 years — 0 closures. Ask existing franchisees about local market conditions.
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 Home Services averages
How Klappenberger & Son Compares
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 9
- Opened
- 0
- Last reporting year
- Closed
- 0
- Terminated
- 1
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 55.6%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- -18.2%
- Net unit change over 3 years
- 3-yr CAGR
- -18.2%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 5
- Closed (3yr)
- 0
- Terminated (3yr)
- 5
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 0
- Reacquired (3yr)
- 0
- Franchisor bought back
- Continuity rate
- 90.0%
- Units that stayed open
- Termination rate
- 11.1%
- Franchisor-initiated terminations
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 3 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 loan disclosures. This brand has only 3 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 3
- Loan volume
- $421K
- Median loan
- $105K
- 50th percentile
- Charge-off rate
- N/A
- limited sample (3 loans) — 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
- 2
- 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
A declining 11-unit franchise system with undisclosed financial performance, going concern warnings, and aggressive fee structure presents substantial risk of franchisee failure and franchisor collapse.
Litigation (Item 3)
No litigation required to be disclosed in Item 3.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Alta CPA Group, LLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Kickbacks from required suppliers: No
- Must buy proprietary products: No
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 34 / 100 verdict
- 01MINORDeclining unit count: 11 total units with -10% YoY contraction indicates system shrinkage and potential market viability issues
- 02MEDNo financial disclosure: Average revenue and net income not disclosed in Item 19, preventing franchisee ROI validation and earnings claims substantiation
- 03HIGHGoing concern status is FALSE: Suggests financial instability at franchisor level, raising questions about support, marketing fund solvency, and long-term viability
- 04MEDHigh initial franchise fee relative to unit count: $47,000 franchise fee with only 11 units indicates limited brand recognition and smaller support infrastructure
- 05MINORTiered royalty structure creates misaligned incentives: Lower 4% rate only applies above $1M revenue—a threshold most failing franchisees may never reach
- 06MEDExtended 10-year term locks franchisees into struggling system with limited exit flexibility
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 8.3% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · 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 | 2 |
| Territory type | protected |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory population | 400,000 |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 15 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | Horry County, South Carolina |
| Jury trial waiver | Yes |
| Governing law | SC |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation required to be disclosed in Item 3.
Items 10, 11
Training & Operations
- Classroom training
- 119 hrs
- On-the-job training
- 55 hrs
- Training location
- Webinar and franchisee's territory
- Ongoing training
- Required
- Time to open
- 2 mo
- From signing to launch
- Site selection
- franchisee
- Franchisor financing
- Not offered
- Item 10
- POS system
- Intuit Quick Books online accounting software
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Intuit Quick Books online accounting software
Item 20 · call current owners
Franchisee Contacts
7 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
KLAPPENBERGER & SON · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a KLAPPENBERGER & SON franchise?
The total investment to open a KLAPPENBERGER & SON franchise ranges from $85K – $145K, with an initial franchise fee of $47K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do KLAPPENBERGER & SON franchise owners earn?
KLAPPENBERGER & SON 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 KLAPPENBERGER & SON 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 KLAPPENBERGER & SON FDD and qualifies whose outlets they describe.
What is KLAPPENBERGER & SON's franchise failure rate?
SBA 7(a) loan charge-off data is not available for KLAPPENBERGER & SON (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 KLAPPENBERGER & SON franchise locations are there?
As of their most recent FDD filing, KLAPPENBERGER & SON has 9 total units in the United States, including 9 franchised units and 0 company-owned units.
Is KLAPPENBERGER & SON a good franchise to buy?
FranchiseVerdict rates KLAPPENBERGER & SON as a D-grade franchise with a verdict score of 34 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?
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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.