How Much Does a Green Home Solutions Franchise Owner Make?

Item 19 officially discloses Gross Revenue and an Operating Profit percentage, not an annual owner salary or cash distribution. For 2025, the FDD reports a 32.4% average margin and a 29.9% median margin from 33 franchisees. It defines the profit measure as Gross Profit minus Operating Expenses, Royalties and Brand Marketing Fund, and Marketing Expenses.

The definition matters. The FDD’s Cost of Labor includes employee and contractor wages, commissions, benefits, payroll taxes, and workers’ compensation, but excludes compensation paid to the principal owner. The disclosed measure also excludes interest, amortization, depreciation, and taxes. Financing principal, personal income taxes, owner distributions, retained earnings, and capital expenditures are not separately measured.

Which outlets and owners are represented?

The revenue population covers 42 entities operating 183 Protected Territories continuously for all of 2025. At year-end, the system had 211 franchised territories and no company-owned outlets. Twenty-three territories were still opening, and five lacked 12 months of revenue because of voluntary temporary closures. This means the revenue population omits new and temporarily closed territories.

The ownership structure is unusually important: only six reporting entities operated one Protected Territory. The remaining 36 operated between two and 16 territories. Entity results therefore reflect different portfolio sizes, staffing structures, and opportunities to spread overhead. The disclosure does not provide the margin by territory count, owner-operated status, manager-run status, geography, or business age.

Source: 2026 Green Home Solutions FDD, Item 19, pp. 47–50; Item 20, pp. 50–55.

The model multiplies three official entity-level Gross Revenue medians by the official 29.9% median Operating Profit margin. The conservative, base, and upside labels are analytical scenario names, not probabilities or promises. They preserve the FDD’s bottom-10%, overall, and top-10% entity cohorts without calling any outcome “expected.”

• Estimated pre-tax owner benefit means cash-generating profit before personal income taxes and financing principal; the official metric also excludes interest, amortization, and depreciation.
• The revenue medians come from the 42-entity reporting population, while the 29.9% margin comes from the separate 33-franchisee financial population. The FDD does not prove that these are identical cohorts.
• No after-tax estimate is made. Entity structure, state and local taxes, deductions, owner payroll treatment, and personal circumstances can materially change take-home pay.
• No debt-service amount is deducted. Item 10 states that the franchisor does not offer or guarantee financing, so buyer loan terms cannot be assumed.

The official average expense table leaves $32.40 of Operating Profit from each $100 of Gross Revenue. This is an average composition for the 33 reporting franchisees, not the median used in the owner-benefit scenarios. The average components reconcile exactly; the separately reported component medians do not and therefore should not be combined into a waterfall.

How do recurring franchise fees affect the model?

The official 32.4% average Operating Profit already deducts the reporting group’s actual Royalties and Brand Fund average of 9.5% and Marketing Expenses average of 7.2%. Those costs must not be subtracted again. Item 6 and Item 11 still matter because they show contractual obligations that can affect a specific owner differently from the historical average.

Source: 2026 Green Home Solutions FDD, Item 6, pp. 8–17; Item 11, pp. 29–31. Initial investment and opening advertising are not treated as recurring annual operating expenses.

An active owner may retain both business residual profit and the economic value of management work; a manager-run owner must fund that labor. Item 15 says the owner or principal is not obligated—although recommended—to participate directly, but the business must always have a full-time designated Manager. The Manager may be the owner or a non-owner and must complete required certification.

Because Item 19 excludes principal-owner compensation from Cost of Labor, the derived figures are best called owner-operator benefit when the owner fills the Manager role. They are not necessarily passive business profit. The current official Green Home Solutions franchise website also says the opportunity may not fit buyers seeking passive income or a hands-off or absentee investment.

The largest variables are entity revenue, territory count, owner labor, and the comparability of the two financial samples. The $60,000–$476,000 range is wide because the FDD’s entity revenue cohorts are wide. It is also incomplete because the disclosure does not cross-tabulate the margin by revenue band, territory count, manager model, market, business age, or service mix.

The main evidence limitations

• Cohort mismatch: revenue medians use 42 full-year entities, while the margin table uses 33 franchisees. The FDD does not provide a matched revenue-and-profit distribution for the same entities.
• Multi-territory concentration: 36 of 42 reporting entities owned more than one Protected Territory. Entity revenue cannot be treated as a one-unit result or multiplied linearly for a portfolio.
• Owner-role opacity: the FDD does not state how many reporting businesses were owner-managed versus managed by a paid non-owner.
• Survivorship and maturity: 23 opening territories and five temporary closures were excluded from full-year revenue reporting. New owners may experience a ramp period not represented by the full-year cohort.
• Fixed-fee placement: The financial table does not isolate the Technology Fee, Website Management Fee, charitable contribution, or all other fixed recurring obligations within its expense categories.
• Cash-flow gaps: Operating Profit excludes interest, depreciation, amortization, and taxes, while capital expenditures and debt principal are not separately stated.

Item 20 adds context but not a profitability verdict. Franchised Protected Territories increased from 197 at the end of 2024 to 211 at the end of 2025. During 2025, 23 opened, eight were terminated, one ceased operations for another reason, and seven transferred to new owners. These counts show system movement; they do not reveal the earnings of opening, transferred, or terminated businesses.

What should a buyer verify before relying on the range?

• Request the written substantiation supporting Item 19 and confirm whether the 33 financial respondents are a subset of the 42 full-year Gross Revenue entities.
• Ask for entity-level Gross Revenue, Operating Profit, territory count, years in operation, and owner-management status for comparable franchisees—without accepting unauthenticated oral projections.
• Separate the owner’s market-rate labor compensation from residual business profit in every franchisee interview and lender model.
• Confirm where the Technology Fee, Website Management Fee, insurance, vehicles, training, and required local advertising appear in the standard chart of accounts.
• Interview single-territory, multi-territory, owner-operated, manager-run, recent, mature, transferred, and former franchisees listed in Item 20 and its exhibits.
• Model debt principal and interest separately using the buyer’s actual loan amount, rate, term, and closing costs; do not infer financing from Item 7’s initial investment range.

The FTC Franchise Rule in 16 CFR Part 436 requires a reasonable basis, written substantiation, population details, and an actual-results warning for Item 19 financial performance representations. The FTC Franchise Rule Compliance Guide provides additional context for evaluating disclosures.

The strongest defensible range is approximately $60,000 to $476,000 in annual pre-tax owner benefit per reporting-style franchisee entity, with a central reference near $150,000. It is a derived scenario based on official 2025 Green Home Solutions Gross Revenue medians and the official 29.9% median Operating Profit margin—not a franchisor-reported owner salary. A median-revenue single Protected Territory produces a much lower derived reference of about $46,000.

The most important earnings driver is entity-level revenue, which is closely connected to territory count, sales execution, service mix, technician productivity, and local marketing. The largest unresolved uncertainty is how the disclosed margin differs across owner-operated and manager-run businesses and across one-territory versus multi-territory entities.

A buyer should verify the matched revenue-and-profit cohort in Item 19 substantiation, confirm the standard chart-of-accounts treatment of recurring fees, and use franchisee interviews to separate owner labor value from residual business profit. Debt service and personal taxes must then be layered onto the buyer’s own facts rather than the FDD scenario.