About Generator Supercenter-2024-MD Franchise
Generator Supercenter continues its expansion into new markets with this 2024 registration covering Maryland, Rhode Island, and Virginia.
The brand has been franchising since 2017 under Generator Supercenter, Inc.
and remains focused on becoming the go to provider for residential and commercial standby generator sales, installation, and ongoing maintenance.
Generator Supercenter-2024-MD Franchise Cost & Fees
Minimum Investment
$443K
Average Investment
$648K
Maximum Investment
$853K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $50,000 | One-time payment upon signing |
| Royalty Fee | 4% of Gross Revenues from generator and generator installation sales; 6% of Gross Revenues from maintenance, options, service sales, supplier rebate programs and all other sales, revenue and income of every kind and nature (minimum $2,000 per month) of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Up to 1% of monthly Gross Revenues (currently none) | National brand fund |
| Total Investment Range | $442,950 – $853,250 | Includes build-out, inventory, working capital |
The investment range of $443K–$853K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (4% of Gross Revenues from generator and generator installation sales; 6% of Gross Revenues from maintenance, options, service sales, supplier rebate programs and all other sales, revenue and income of every kind and nature (minimum $2,000 per month)) and marketing fee (Up to 1% of monthly Gross Revenues (currently none)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $50,000 | $50,000 |
| Real Estate / Rent | $11,000 | $25,000 |
| Utilities | $700 | $1,500 |
| Leasehold Improvements | $78,000 | $200,000 |
| Opening Advertising | $8,000 | $25,000 |
| Furniture, Fixtures, and Equipment | $15,000 | $50,000 |
| Computer Systems/Equipment and Software | $4,250 | $8,250 |
| Insurance | $3,000 | $6,000 |
| Vehicles | $54,500 | $89,000 |
| Signage | $9,000 | $20,000 |
| Office Expenses | $2,000 | $2,500 |
| Inventory / Stock | $100,000 | $125,000 |
| Licenses and Permits | $2,000 | $4,000 |
| Dues and Subscriptions | $1,000 | $2,000 |
| Professional Fees (lawyer, accountant, etc.) | $1,500 | $5,000 |
| Travel, lodging and meals for initial training | $3,000 | $6,000 |
| Home generator for Franchisee | $0 | $14,000 |
| Additional funds (for first 3 months) | $100,000 | $220,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | 100% of our then-current Franchise Fee |
| Renewal Fee | 50% of our then-current Franchise Fee |
| Technology Fee | Currently $750 per month |
| Audit Fee | All of our costs and expenses, but not less than $500 |
| Email Address Fee | Currently $14 to $31 per user per month |
| CRM Software Fee | Currently $40 to $105 per user per month |
| Non-Compliance Fee | $250.00 (or $250 per week if ongoing) |
| Customer Complaint Resolution Fee | Our expenses. |
| Inspection Fee | Currently, $300 per day plus our expenses. |
| Insurance | Cost of insurance plus a 25% administrative fee. |
| Collection Costs, Attorneys’ Fees and Interest | Interest at 18% per year or highest lawful rate, plus reasonable attorneys’ fees, arbitration costs, court costs and collection expenses. |
| Bank Charges and Administrative Costs | Our then-current fees. |
| Indemnification | Amount of loss or damages plus costs. |
| Initial and Additional Training | $2,500 per person for additional initial training; $500 per day plus reasonable costs for on-site training. |
| De-Identify Premises | Costs plus reasonable administrative fee. |
| Step-in Rights Fee | 10% of the Franchised Business’ monthly Gross Revenues (subject to a monthly minimum fee of $6,000). |
| Liquidated Damages for Early Termination | An amount equal to the average of the monthly Royalty Fees paid (or payable) over the past 12 months times the lesser of 24 or the number of full calendar months remaining in the term of the Franchise Agreement at the time of termination. |
| Product Testing and Supplier Evaluation | $500 plus our out of pocket expenses (or $5,000 plus our out of pocket expenses for a realtor evaluation). |
| Relocation Fee | Our then-current fee (currently $5,000). |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 5 days |
| Classroom Training | 36 hours |
| On-the-Job Training | 23 hours |
| Training Location | Tomball, Texas and Generac’s Factory Service Training locations |
| Additional Training | Additional initial training is $2,500 per person. On-site training is $500 per day plus reasonable costs (travel, lodging, meals). Mandatory annual refresher training may be required at $500 plus trainee expenses. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected |
| Exclusive Territory | Yes |
| Territory Size | Typically described by specific zip codes or geographical boundaries (streets, towns, counties). Size varies based on population density, demographics, growth trends, affluence, density of residential/business entities, competing businesses, and topographical features. |
| Description | Franchisee receives a Protected Area, described by zip codes or geographical boundaries, where the franchisor will not own, operate, franchise, or license another Generator Supercenter business location, provided the franchisee complies with the agreement and performance requirements. The franchisor reserves rights to distribute products/services through other channels, manage National Accounts, and operate businesses under different trade names within or outside the Protected Area. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | 1 additional 10-year term |
| Renewal Fee | 50% of our then-current Franchise Fee |
| Renewal Conditions | To renew, franchisee must provide written notice 12-18 months prior to expiration, have the right to lease premises for an additional 10 years (or secured substitute premises), completed all required maintenance/refurbishing, not be in default of any agreement, satisfied all monetary obligations, executed the then-current Franchise Agreement, satisfied current training requirements for new franchisees, paid the renewal fee, and executed a general release of claims. |
| Transfer Fee | 100% of our then-current Franchise Fee |
| Transfer Conditions | Approval is conditioned on: satisfaction of all monetary obligations to franchisor/affiliates/suppliers; cure of all existing defaults; execution of a general release; agreement to complete required repairs/remodeling; proposed transferee meeting franchisor's educational, managerial, business, moral character, business reputation, credit rating, aptitude, and financial resource standards; transferee executing then-current Franchise Agreement; payment of transfer fee (unless to family member or key employee); and transferee/manager completing initial training. |
| Termination for Cause | Franchisor may terminate for cause with opportunity to cure (7 days for Proprietary Marks, 15 days for monetary defaults, 30 days for other breaches). Termination without opportunity to cure may occur for criminal acts, felony conviction, fraud, misrepresentation, bankruptcy, insolvency, liens, repeated breaches (3+ notices in 12 months), material breach of other agreements, intentional underreporting, abandonment, failure to open business, public health/safety threat, restrictive covenant violation, unauthorized use of confidential information, failure to maintain insurance, or unauthorized transfer. |
| Non-Compete Period | 2 years |
| Non-Compete Details | During the franchise term, franchisee, equity owners, and immediate family cannot have interest in or be employed by a Competing Business (offering generators/related services, or granting franchises for such) or solicit business from franchisee's customers for competitive purposes. After termination/expiration/transfer, for 2 years, they cannot engage in a Competing Business within 10 miles of any Generator Supercenter location, solicit former clients, or have interest in a company granting competing franchises/licenses. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | No |
| Participation Details | The franchisor recommends that the franchisee (or Operating Principal, if an entity) personally participate in the day-to-day operation. The Operating Principal must be an equity owner of at least 10% and have authority to bind the franchisee in operational decisions. If the owner/Operating Principal does not participate daily, a franchisor-approved General Manager is required for direct on-premises supervision. The franchisee remains responsible for operations. |
| Required Suppliers | Franchisees must purchase all products and services, including technology, software, furniture, fixtures, displays, computers, equipment, inventory (generators, parts, related equipment), and products containing Proprietary Marks, exclusively in accordance with franchisor standards and specifications. A designated generator performance monitoring system must be used. The franchisor reserves the right to designate itself, its parent, or affiliates as the only approved supplier for required items. |
| Supply Restrictions | Approximately 70% to 90% of the cost to establish the Franchised Business and 75% to 90% of ongoing operating expenses are for required purchases from designated suppliers. |
| Franchisor Revenue from Suppliers | In 2023, the franchisor's total revenues were $11,052,770. Approximately $2,861,142 (25.89%) of total revenues were received from approved suppliers based on their sales or leases to franchisees. Additionally, $188,186 (1.7%) of total revenues came from direct sales of generators and related products to franchisees. The parent company and affiliates derived $50,851 in revenues from such sales to franchisees. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee your notes, leases or other obligations. |
Generator Supercenter-2024-MD Franchise Earnings — Item 19
Average Revenue
$4.2M
Median Revenue
$3.8M
Revenue Range
$880K – $16.3M
Sample Size
42 units
Past financial performance does not guarantee future results. Individual results will vary.
Generator Supercenter-2024-MD Litigation & Risk Flags
Clean Litigation RecordGenerator Supercenter-2024-MD has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Generator Supercenter-2024-MD System Growth
Total Units
62
Franchised
57
Company-Owned
5
Generator Supercenter-2024-MD currently operates 57 franchised locations and 5 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2021 | 10 | 0 | 31 |
| 2022 | 17 | 0 | 48 |
| 2023 | 14 | 0 | 62 |
Transfers: 2 | Closures: 0
Public Figures (Item 18)
The following public figures are associated with this franchise: Sam Bennett
State Registrations
Registered in 8 states: CA, IN, MI, MN, NY, ND, SD, WI
Franchisor Financials (Item 21)
Revenue
$11.1M
Net Income
$6.5M
Total Assets
$8.4M
Audited by Carr, Riggs & Ingram, LLC for year ending December 31.
Generator Supercenter-2024-MD Franchise — FAQ
The total investment to open a Generator Supercenter-2024-MD franchise ranges from $442,950 to $853,250, per their Franchise Disclosure Document. This includes the initial franchise fee of $50,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Generator Supercenter-2024-MD charges a royalty fee of 4% of Gross Revenues from generator and generator installation sales; 6% of Gross Revenues from maintenance, options, service sales, supplier rebate programs and all other sales, revenue and income of every kind and nature (minimum $2,000 per month) of gross sales, plus a Up to 1% of monthly Gross Revenues (currently none) contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Generator Supercenter-2024-MD Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Generator Supercenter-2024-MD to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, Generator Supercenter-2024-MD franchise owners report average revenue of $4.2M and median revenue of $3.8M. This is based on a sample of 42 units. Past performance does not guarantee future results.
Generator Supercenter-2024-MD has been franchising since 2017. The FDD shows an investment range of $442,950-$853,250, a 4% of Gross Revenues from generator and generator installation sales; 6% of Gross Revenues from maintenance, options, service sales, supplier rebate programs and all other sales, revenue and income of every kind and nature (minimum $2,000 per month) royalty, and includes an Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $50,000 and the total investment ranges from $442,950 to $853,250 depending on location size and market. A minimum of $100,000 in liquid capital is required. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Generator Supercenter-2024-MD and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Generator Supercenter-2024-MD or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com