Bottom line
- Total investment $120K – $589K including a $25K franchise fee.
- Average unit revenue of $874K/year.
- Rated MODERATE with a risk score of 62/100.
- System growing at 150.0% CAGR over 3 years with 47 total units — strong expansion trajectory.
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 Purchase Green unit return on the cash you put in?
Unlevered ROIC · per unit
31%
In Yale's "attractive" band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Purchase Green units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$1.2M
on $6.1M purchase
Total debt
$4.9M
SBA $3.1M + senior + seller note
Overview
About
Purchase Green operates in the environmental/sustainability services sector, likely focused on green business consulting, carbon offset programs, or eco-friendly product distribution. Franchisees manage client acquisition and account management for recurring revenue-based services, with support from franchisor systems and proprietary technology.
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 · 13 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
Material regulatory violations, undisclosed financials (no Item 19), going concern status, and opaque royalty structure create elevated risk despite revenue claims and protected territory.
Score breakdown · what drove the 62 / 100 rating
- 01HIGHGoing Concern status is False — indicates potential financial distress or operational uncertainty at franchisor level
- 02MEDNo Item 19 (Average Net Income) disclosed — impossible to validate $873,670 average revenue claims or assess actual profitability
- 03MINORRegulatory enforcement action (CA DFPI Consent Order) for selling unregistered franchises 2013-2018 — demonstrates compliance/governance issues
- 04MINORRoyalty fee structure Unknown — hidden or variable fee model suggests opaque cost structure for franchisees
- 05MINOR47 total units with 19% YoY growth is modest in mature market — slower expansion may indicate saturation or difficulty scaling
- 06MINORZero franchise fee creates misaligned incentives — franchisor has minimal financial commitment to franchisee success
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
34 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Purchase Green · FDD (2025) PDF