FDD ITEM 20 · FISCAL 2013–2015
HomeTeam Inspection Service Item 20: outlets, exits & growth
In its latest FDD Item 20 (fiscal 2015, from the 2016 FDD · 9+ years old), HomeTeam Inspection Service reported 134 franchised outlets at year end. 12 of 140 franchised outlets open at the start of the year left the system (exit rate 8.6%, fiscal 2015), while 6 new outlets opened. Systemwide units moved -11.3% over 2013–2015.
| Status (FTC) | 2013 | 2014 | 2015 |
|---|---|---|---|
| Outlets at start | 159 | 151 | 140 |
| Opened | 1 | 5 | 6 |
| Transfers | 2 | 0 | 1 |
| Terminations | 2 | 2 | 6 |
| Non-renewals | 6 | 13 | 6 |
| Reacquired by franchisor | 2 | 0 | 0 |
| Ceased — other reasons | 0 | 0 | 0 |
| Outlets at end | 151 | 140 | 134 |
| Net change | -8 | -11 | -6 |
6 terminations + 6 non-renewals + 0 ceased (other) = 12 exits ÷ 140 at start = 8.6%
These are the three FTC Item 20 statuses in which a franchised outlet left the system — including voluntary non-renewals and outlets that ceased for other reasons, which can include sales or absorption into another franchise. Transfers (1) are resales, not exits; reacquisitions by the franchisor (0) are tracked separately. There is no official “failure rate”, and not every exit is a closure or a failure; Item 20 does not say why any outlet left. On a small starting base, a single exit moves this rate sharply.
| State | Franchised | Company-owned |
|---|---|---|
| FL | 25 | 0 |
| TX | 9 | 0 |
| IL | 8 | 0 |
| OH | 8 | 0 |
| CA | 6 | 0 |
| MI | 6 | 0 |
| NY | 6 | 0 |
| KY | 5 | 0 |
| MD | 5 | 0 |
| NC | 5 | 0 |
| PA | 5 | 0 |
| CO | 4 | 0 |
| IN | 4 | 0 |
| TN | 4 | 0 |
| KS | 3 | 0 |
| OR | 3 | 0 |
| ID | 2 | 0 |
| NJ | 2 | 0 |
| NM | 2 | 0 |
| NV | 2 | 0 |
| SC | 2 | 0 |
| WA | 2 | 0 |
| AK | 1 | 0 |
| AL | 1 | 0 |
| AR | 1 | 0 |
| CT | 1 | 0 |
| GA | 1 | 0 |
| MN | 1 | 0 |
| MO | 1 | 0 |
| NE | 1 | 0 |
| NH | 1 | 0 |
| OK | 1 | 0 |
| SD | 1 | 0 |
| UT | 1 | 0 |
| HI | 0 | 0 |
| MA | 0 | 0 |
| ME | 0 | 0 |
| MT | 0 | 0 |
| ND | 0 | 0 |
| WI | 0 | 0 |
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