Southern SolarFranchise Cost, Revenue & Review 2026
Data from FDD filing
FranchiseVerdict summary · 2026
A Southern Solar franchise requires a total initial investment of $170K – $240K, including a $65K franchise fee. Per the 2022 FDD, average unit revenue was $3.9M[2]. Verdict grade: A. Run a live ROI scan →
Data last verified June 21, 2026 · figures per the 2022 FDD issuance
Overview
- Investment
- $170K – $240K
- 63rd pct Home Services
- Avg gross sales
- $3.9M
- 48th pct Home Services
- Royalty
- N/A
- Units
- 1
- 2nd pct Home Services
- SBA default
- N/A
Quick verdict · Home Services · color = vs category peers
Green = >15% above Home Services avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Each dollar invested generates 19.0x in gross revenue, well above the typical 1.5-2.5x range.
Bottom line
- Total investment $170K – $240K including a $65K franchise fee.
- Average unit revenue of $3.9M/year.
- Verdict A (Top Quintile) with a risk score of 41/100.
- Revenue data based on only 1 reporting unit. Treat as directional, not definitive. Ask franchisees directly for current unit economics.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Southern Solar Franchise Systems, LLC
- CEO title
- Chief Executive Officer
- Glenn Lynch
- Incorporated in
- TX
- HQ
- 5000 Overton Plaza, Suite 200, Fort Worth, Texas 76109
- Auditor
- Whitley Penn LLP
- Audited financials
Overview
About
Southern Solar franchisees design, install, and maintain residential/commercial solar energy systems. Day-to-day operations include site assessments, customer quotations, equipment procurement, installation project management, and post-sale customer service. Franchisees must manage their own sales team, installers, and logistics while paying royalties tied to gross revenue.
- CEO
- Glenn Lynch
- Headquarters
- TX
- Founded
- 2022
- FDD year
- 2022
- States available
- 1
FDD Item 7 · 2022 filing · 14 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Fee | $65K | $95K | |
| Rent Deposits | $2K | $3K | |
| Utility Deposits | $300 | $600 | |
| Leasehold Improvements | $0 | $3K | |
| Insurance Deposits | $3K | $5K | |
| Travel and Living Expenses While in Training | $3K | $5K | |
| Opening Package | $12K | $19K | |
| Vehicles | $4K | $5K | |
| Licenses, Certificates and Permits | $0 | $4K | |
| Additional Signage, Equipment and Supplies | $500 | $2K | |
| Furniture, Fixtures & Equipment | $4K | $8K | |
| Professional Fees | $3K | $5K | |
| Dues and Subscriptions | $0 | $1K | |
| Additional Funds (3 months) | $75K | $85K | |
| Total initial investment | $170K | $240K |
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.
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$486K
12.5% margin
Unlevered ROIC
171%
EBITDA / total invested capital
Payback
7 mo
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $170K – $240K
- Near category avg vs category
- Liquid capital req'd
- $75K – $85K
- Below avg, review vs category
- Franchise fee
- $65K – $95K
- Below avg, review vs category
- Royalty
- (a) 5.5% of Gross Sales for all sales up to $4,000,000; (…
- Ad fund
- 0.5%
- typical 3–5%
- Total fee load
- 6.5%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Marketing / ad fund | 0.5% of gross sales |
| Technology fee | $0 |
| Transfer fee | $20K |
| Renewal fee | $5K |
| Total fee load | 6.5% of rev |
A 6.5% total fee load is unusually lean. More of each revenue dollar stays with the franchisee.
Financial Performance
- Avg gross sales
- $3.9M
- Per unit, per year
- Median gross sales
- N/A
- Item 19 type
- Affiliate
- Sample size
- 1 units
- vs category median 25 · small
- Transparency
- 6 / 5
- vs category median 4 / 5 · above
Compared against 349 Home Services brands
Revenue is 19.0x the investment midpoint. At typical franchise margins, this suggests a payback under 3 years.
vs Home Services averages
How Southern Solar Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 1
- Opened
- 0
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.0%
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 0%
- vs corporate-owned
3-year detail · Item 20
- Transfers (3yr)
- 0
- Projected new
- 3
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 5 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 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Single-unit franchise system with no earnings disclosure and undisclosed growth creates extreme uncertainty about scalability, profitability, and franchisor viability.
Litigation (Item 3)
No litigation is required to be disclosed in this Item.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Whitley Penn LLP
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 41 / 100 rating
- 01MEDOnly 1 disclosed franchisee unit with unknown growth trajectory — inability to demonstrate system expansion or multi-unit success
- 02MINORNo Item 19 financial performance representations (going_concern: false) — franchisor refuses to disclose typical earnings, making ROI validation impossible
- 03MINORRoyalty structure front-loaded at 5.5% on first $4M in revenue — franchisees must achieve $1.04M+ annual sales just to break even on $65K franchise fee + $170-240K startup in year one
- 04MEDExtremely limited franchisee base (n=1) creates survivorship bias — cannot assess failure rates, churn, or real-world performance variability
- 05MINORTiered royalty scaling ($4M-$8M-$12M thresholds) suggests franchisor expects high-growth units but provides no evidence current franchisee is hitting those milestones
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 3 |
| Territory type | Zip codes |
| Protected territory | Yes |
| Territory population | 160,000 |
| 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 | 100 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 30 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | No |
| Jury trial waiver | Yes |
| Governing law | Texas |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation is required to be disclosed in this Item.
Items 10, 11
Training & Operations
- Classroom training
- 44 hrs
- On-the-job training
- 24 hrs
- Training location
- On-site and corporate
- Ongoing training
- Required
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
5 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Southern Solar · FDD (2022) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Southern Solar franchise?
The total investment to open a Southern Solar franchise ranges from $170K – $240K, with an initial franchise fee of $65K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Southern Solar franchise owners earn?
According to Item 19 of the Southern Solar FDD, the average gross sales per unit is $3.9M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Southern Solar's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Southern Solar (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 Southern Solar franchise locations are there?
As of their most recent FDD filing, Southern Solar has 1 total units in the United States, including 0 franchised units and 1 company-owned units.
Is Southern Solar a good franchise to buy?
FranchiseVerdict rates Southern Solar as a A-grade franchise with a risk score of 41 out of 100, 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.
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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.