FRANCHISE·WATCH·DESK

Verified — real FDD extraction

GENERATOR SUPERCENTER

Other · independent · est. —

Generator Supercenter sells, installs, and services standby home generators, working with automatic backup power systems. A franchisee operates a showroom with sales staff and installation crews, selling whole-home generator projects and ongoing maintenance plans to homeowners.

GENERATOR SUPERCENTER net unit count grew +6.6% 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

Proven & steady

Distress

0
STABLE

A real track record with an unremarkable region of the ledger: neither the growth nor the exits stand out, for better or worse. The main concern in the record: too many owners are failing outright rather than selling.

Exit rate · latest year

18.0%

fiscal 2025, per Item 20

Cost to open

$505K–$898K

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

Strong
Transparency15%

Item 19 disclosure + completeness

Strong

Systemwide units

2023–2025

+6.6%
612023692024652025

Survival record

FDD Item 20 · outlet status by year

In fiscal 2025, 11 of 61 franchised outlets left the system — a 18.0% annualized exit rate. Not every exit is a failure — but this is the measurable floor.

Show the outlet tables
Status (FTC)202320242025
Outlets at start486169
Opened1397
Transfers204
Terminations0311
Non-renewals000
Reacquired by franchisor023
Ceased — other reasons000
Outlets at end616965
Net change+13+8-4

What it costs — and what it drags

FDD Items 5–7 · fees, investment, royalty

Buying in means a $50K franchise fee (Item 5) and a total investment of $505K–$898K (Item 7). The franchisor publishes an earnings claim (Item 19) — read its methodology closely.

To open (Item 7)

$505K–$898K

all-in investment range

Franchise fee (Item 5)

$50K

upfront, one-time

Royalty (Item 6)

4%

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

$40K

4% of sales, before profit

Over a 10-yr term

$400K

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 GENERATOR SUPERCENTER with an independent CPA

Distress signals

news-sourced · bankruptcies, closures, lawsuits

No recent closures, bankruptcies, or major lawsuits found in the news for GENERATOR SUPERCENTER. 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 GENERATOR SUPERCENTER's numbers, including talking you out of a bad deal.

Talk to an independent CPA before you buy →

GENERATOR SUPERCENTER franchise questions, answered from the filings

What percentage of GENERATOR SUPERCENTER franchises closed last year?

In GENERATOR SUPERCENTER's latest FDD Item 20 (fiscal 2025), 11 of 61 franchised outlets left the system — an annualized exit rate of 18.0%. 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 GENERATOR SUPERCENTER franchise cost?

Per GENERATOR SUPERCENTER's 2026 FDD, buying in requires an initial franchise fee of $50K (Item 5) and a total initial investment of $505K–$898K (Item 7).

What royalty does GENERATOR SUPERCENTER charge?

GENERATOR SUPERCENTER charges an ongoing royalty of 4.0% of gross sales, per Item 6 of its 2026 FDD.

Does GENERATOR SUPERCENTER disclose earnings (Item 19)?

Yes — GENERATOR SUPERCENTER makes a financial performance representation in Item 19 of its 2026 FDD, reporting a median unit volume of $3.6M. Read it closely: franchisors choose which units and which metrics to include.

Is GENERATOR SUPERCENTER a good franchise to buy? Health score, exit rate & costs (2026) · Franchise Watch Desk