FRANCHISE·WATCH·DESK

Verified — real FDD extraction

CR3 American Exteriors (Unit)

Other · independent · est. —

CR3 American Exteriors is an exterior remodeling franchise handling roofing, siding, windows, and storm restoration work, often tied to insurance claims. Franchisees run a sales- and project-management business, using crews or subcontractors to complete exterior projects for homeowners.

CR3 American Exteriors (Unit) net unit count grew +54.5% from 20232025 per its FDD Item 20.

New to franchising? Start here

A franchise is a business where you (the franchisee) pay a company (the franchisor) for the right to open and run a location using their brand and system — think a local Anytime Fitness or Taco John's owned by a small-business owner, not the corporation.

Before you can buy in, U.S. law requires the franchisor to give you a Franchise Disclosure Document (FDD) — a long legal filing covering its fees, finances, and history. The numbers on this page come straight from that document:

  • Franchise fee — the one-time cost to buy in.
  • Royalty — the ongoing cut of your sales you pay the franchisor.
  • Item 20 — how many locations opened and closed, the basis for our verdict (from Proven & strong down to Distressed — or Too new to judge).

The verdict

Too new to judge

Distress

0
STABLE

13 franchised units over 3 disclosed years is not a track record — systems this early have realized only a fraction of their eventual failures. Judge the disclosures, not a verdict.

Exit rate · latest year

38.5%

fiscal 2025, per Item 20

Cost to open

$96K–$255K

Item 7 total investment range

SBA loan defaults

No loan record

no SBA 7(a)/504 loans found for this brand

Behind the verdict

the record, factor by factor · Item 20

hi-1.0.0
Net unit growth35%

3-yr trend · Item 20 Table 1

Strong
Exit quality25%

terminations + ceased-ops vs. all exits · Table 3

Weak
Transfer / churn15%

transfers vs. base · Table 3

Strong
Promise-keeping10%

actual vs. projected openings · Table 5

Weak
Transparency15%

Item 19 disclosure + completeness

Strong

Systemwide units

2023–2025

+54.5%
112023172024172025

Survival record

FDD Item 20 · outlet status by year

In fiscal 2025, 5 of 13 franchised outlets left the system — a 38.5% annualized exit rate. Not every exit is a failure — but this is the measurable floor.

Show the outlet tables
Status (FTC)202320242025
Outlets at start51117
Opened895
Transfers000
Terminations000
Non-renewals000
Reacquired by franchisor000
Ceased — other reasons045
Outlets at end111717
Net change+6+60

What it costs — and what it drags

FDD Items 5–7 · fees, investment, royalty

Buying in means a $40K franchise fee (Item 5) and a total investment of $96K–$255K (Item 7). The franchisor publishes an earnings claim (Item 19) — read its methodology closely.

To open (Item 7)

$96K–$255K

all-in investment range

Franchise fee (Item 5)

$40K

upfront, one-time

Royalty (Item 6)

6%

of sales, ongoing

If a unit does this in annual sales…$1M/yr

Your figure — cross-check against this brand's Item 19 and current-owner validation.

Royalty you'd pay / yr

$60K

6% of sales, before profit

Over a 10-yr term

$600K

royalties alone, excl. ad fund

This is not profit. It's the only money the FDD actually pins down — what you put in, and the royalty you owe on every dollar of sales. Your real take-home depends on labor, rent, food cost, and ramp-to-breakeven, none of which any FDD discloses.

Build a real pro-forma for CR3 American Exteriors (Unit) with an independent CPA

Distress signals

news-sourced · bankruptcies, closures, lawsuits

No recent closures, bankruptcies, or major lawsuits found in the news for CR3 American Exteriors (Unit). That's a good sign — but it reflects news coverage, not a guarantee.

Before you sign anythingfree · 30 min · no commission

A broker is paid by the franchisor to place you. An independent CPA is paid by you — and the job is pressure-testing CR3 American Exteriors (Unit)'s numbers, including talking you out of a bad deal.

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CR3 American Exteriors (Unit) franchise questions, answered from the filings

What percentage of CR3 American Exteriors (Unit) franchises closed last year?

In CR3 American Exteriors (Unit)'s latest FDD Item 20 (fiscal 2025), 5 of 13 franchised outlets left the system — an annualized exit rate of 38.5%. That counts terminations, non-renewals, and "ceased operations — other reasons." There is no official failure rate, and not every exit is a failure, but this is the measurable floor.

How much does a CR3 American Exteriors (Unit) franchise cost?

Per CR3 American Exteriors (Unit)'s 2026 FDD, buying in requires an initial franchise fee of $40K (Item 5) and a total initial investment of $96K–$255K (Item 7).

What royalty does CR3 American Exteriors (Unit) charge?

CR3 American Exteriors (Unit) charges an ongoing royalty of 6.0% of gross sales, per Item 6 of its 2026 FDD.

Does CR3 American Exteriors (Unit) disclose earnings (Item 19)?

Yes — CR3 American Exteriors (Unit) makes a financial performance representation in Item 19 of its 2026 FDD, reporting a median unit volume of $1.3M. Read it closely: franchisors choose which units and which metrics to include.

Is CR3 American Exteriors (Unit) a good franchise to buy? Health score, exit rate & costs (2026) · Franchise Watch Desk