FranchiseVerdict
The Carpet Chemist logo
FV-02610·MODERATEExcellent91FDD 2022

The Carpet Chemist

Cleaning - Commercial & JanitorialFranchising since 2021Website
Investment
$82K – $121K
31st pct Commercial & …
Avg revenue
$283K
6th pct Commercial & …
Royalty
Units
1
1st pct Commercial & …
SBA default

Bottom line

  • Total investment $82K – $121K including a $30K franchise fee.
  • Average unit revenue of $283K/year (median $283K). Estimated payback in 0.4 years.
  • Rated MODERATE with a risk score of 67/100.

Item 1 · who you're contracting with

The Franchisor

Legal entity
The Carpet Chemist Franchising, LLC
Incorporated in
Kentucky
HQ
560 Gordon Lane, Shelbyville, Kentucky 40065
Auditor
Metwally CPA PLLC
Audited financials
Franchisor revenue
$0
Most recent fiscal year

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 The Carpet Chemist unit return on the cash you put in?

Revenue · per unit, per year
$
FDD Item 19 reports $283,000
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: restoration
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $82K–$121K
Working capital
$
FDD reports $23K–$36K

Unlevered ROIC · per unit

24%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$31K
EBITDA margin
11.0%
Total invested
$131K
Payback
50 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Levered LBO scenario · Yale Crease Capital framing

What would 25 The Carpet Chemist units return on equity?

Edit assumptions

Equity IRR · 5-yr

49.9%

7.57× MOIC

Year-1 DSCR

1.88×

EBITDA ÷ debt service

Equity required

$226K

on $1.1M purchase

Total debt

$906K

SBA $0.6M + senior + seller note

Overview

About

The Carpet Chemist appears to be a carpet and upholstery cleaning service franchise. Franchisees likely manage customer acquisition, direct field cleaning operations, schedule appointments, and oversee application of proprietary cleaning chemistry. Daily work involves operating as a mobile service business with technician coordination and customer service delivery.

CEO
Brandon Cerrito
Founded
2020
FDD year
2022
States available
1

Item 7 · what it costs

The Vitals

Total investment
$82K – $121K
All-in to open one unit
Liquid capital
$23K – $36K
Cash you must have on hand
Franchise fee
$30K
Royalty
Greater of 8% of Gross Sales or Minimum Monthly Royalty R…
Ad fund
2.0%
typical 3–5%
Total fee load
10.0%
vs 9–13% typical
Payback period
0.4 yrs
From v3 / Item 19

Item 19

Financial Performance

Avg gross sales
$283K
Per unit, per year
Median gross sales
$283K
Item 19 type
Company Owned
Sample size
1 units
vs category median 32 · small
Range (low → high)
$283K$283K
Cohort dispersion
Transparency
9 / 5
vs category median 4 / 5 · above
Revenue rank6th
vs Cleaning - Commercial & Janitorial peers
Investment cost rank31th
Lower investment ranks lower (better)
Royalty rate rank66th
Lower royalty = lower percentile (better)
Unit count rank1th
vs Cleaning - Commercial & Janitorial peers
Risk score rank81th
Lower risk = lower percentile (better)

Item 20 · unit dynamics

The Growth Chart

Total units
1
Opened
0
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
1
Corporate units in the system
% franchised
0%
vs corporate-owned
2020
0±0
Franchised units
2021
0
Franchised units
2022
0
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 12 · 1 state 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.

1

states with franchisees (per FDD Item 12)

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

67
Risk · 0-100
MODERATE67 / 100

Single-unit system with unvalidated financial claims and vague royalty terms presents significant replication and growth uncertainty risk.

Score breakdown · what drove the 67 / 100 rating

  1. 01MINOROnly 1 operating unit despite 10-year franchise term indicates system has failed to scale or expand
  2. 02HIGHNo Item 19 Financial Performance Representation ('Going Concern: False') means franchisor cannot/will not validate the $283k revenue and $242k net income claims with historical data
  3. 03MEDTiered royalty structure (8% or minimum monthly requirement) is ambiguous — minimum amount not disclosed, creating uncertainty around actual cost burden
  4. 04MINORHigh investment-to-revenue ratio ($82-121k initial cost vs. $283k average revenue) requires significant ramp-up and assumes the single unit's performance is replicable
  5. 05MINORFranchise fee ($30k) plus royalties represent 18-20%+ of first-year revenue if new franchisee achieves average performance, leaving thin margins

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Population-based
Protected territory
Yes
Initial term
10 years
Renewal term
10 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
Kentucky

Item 11

Training & Operations

Classroom training
48 hrs
On-the-job training
32 hrs
POS system
Housecall Pro
Operating tech stack

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.

No franchisee contacts available for The Carpet Chemist. This brand's FDD Item 20 did not include a contactable franchisee list.

FDD download

The Carpet Chemist · FDD (2022) PDF

Single-page checkout · instant download · CSV export of contacts available separately above