Mister Sparky Franchising SPE LLC is the legal U.S. franchisor. The 2026 Franchise Disclosure Document was issued April 26, 2026; this review uses Items 5–8, 10–12, 15–17 and 19–22, the Franchise Agreement and its Brand Appendix, and the FDD’s start-up estimate for one approximately 200,000-person Territory. Item 7 specifically estimates a brand-new Franchised Business, while the FDD also contemplates conversion of an existing electrical-services business.
Item 19 reports historical financial-performance information through December 31, 2025; Item 20 reports outlet activity through the same date. Public-source checks were completed August 9, 2026 against the official Mister Sparky franchise site, current franchise FAQ, official Authority Brands resources and FTC franchise guidance.
What numbers frame the Mister Sparky trade-offs?
The disclosed economics combine a six-figure start-up range with percentage-based and minimum recurring obligations, while the system and Item 19 datasets are measured by Territories rather than simply by franchisee count.
Item 10 permits Mister Sparky Franchising SPE LLC, in its discretion, to finance up to 75% of the Franchise Fee and Additional Population Fee over as many as 36 months at 12% annual interest for eligible initial transactions. That can reduce cash due at signing, but the Promissory Note is secured by franchise assets, owner guarantees may apply, and a note default can interact with Franchise Agreement default rights.
Which Mister Sparky features can work as advantages—and where is the constraint?
Seven mechanisms matter more than a simple pro-versus-con count: training, cash-flow obligations, Territory rights, supplier and technology control, owner-role structure, Item 19 evidence, and contract flexibility.
Success Academy and BOOT training
Verified fact: Item 11 requires Initial Training plus 35 classroom hours of BOOT in Phoenix for the Key Person and designated Owners before opening.
Royalty and required marketing spend
Verified fact: Item 6 sets Royalty at 6% of Gross Revenue or a $1,500 monthly Minimum Royalty, plus current Brand Fund contributions and 6% Local Marketing.
Protected Territory with performance conditions
Verified fact: A typically 200,000-person Territory receives same-system outlet protection while compliant; annual Gross Revenue must reach $300,000 beginning on the third opening anniversary.
BuyMax purchasing and ServiceTitan dependence
Verified fact: Item 8 estimates approved suppliers at 50%–60% of establishment purchases and about 40% of operating purchases; ServiceTitan is the exclusive approved ServiceTitan Platform supplier.
Key Person structure and personal guarantees
Verified fact: Item 15 permits a non-owner Key Person who must work on premises, complete training and bind the Franchisee; Owners with 5% or more personally guarantee obligations.
Item 19 gives detail, not an earnings promise
Verified fact: Item 19 Tables 1–2 cover 60 full-year 2025 franchisees and 185 Territories, with quartiles, averages, medians, ranges and reported Gross Revenue totals.
Ten-year term with controlled renewal and exit
Verified fact: Item 17 sets a 10-year term and one conditional 10-year renewal; transfers need approval, with a two-year post-term noncompetition covenant subject to state law.
For a buyer who values standardized systems, the same requirements that create consistency also concentrate dependency. Mister Sparky can prescribe Brand Standards, vendors, technology, customer programs and approved channels; the franchisee still carries local staffing, licensing, cybersecurity, customer-service and operating execution. The relevant question is not whether control exists, but whether the buyer wants this allocation of control and responsibility.
What does Item 20 show about the outlet network?
Year-end operating Territories increased from 170 in 2023 to 255 in 2025, driven by franchised Territories; the same Item 20 data also record transfers and departures that require separate interpretation.
Mister Sparky year-end operating Territories, 2023–2025
Each Franchise Agreement Territory counts as an outlet; one franchisee may operate multiple Territories.
Interpretation: the network expanded in Territory count, but growth is not proof of unit-level success. In 2025 Item 20 separately reports 52 openings, 7 terminations, 2 non-renewals, 2 other cessations and 45 transfers; transfer counts alone do not establish franchisee satisfaction.
How much dispersion does Mister Sparky’s Item 19 reveal?
The 2025 Territory quartiles show a wide spread in average Gross Revenue, so the evidence is more useful as a distribution than as a single headline average.
2025 average Gross Revenue per Territory by Item 19 quartile
Table 1 groups 60 full-year franchisees by average Gross Revenue per Territory across 185 Territories.
Interpretation: the difference between quartile averages is substantial, and the top quartile also contains many older Territories. Item 19 does not disclose owner profit here; Gross Revenue precedes many operating expenses, royalties, marketing and compensation.
Tables 1–2 exclude 20 franchisees representing 48 Territories that opened in 2025, 9 franchisees representing 12 Territories that ceased during 2025, and 5 franchisees representing 11 Territories that lacked fiscal-2024 revenue reporting. Those groups overlap the system snapshot differently, so they should not be forced into an “included versus excluded” donut. The limitation is selection and comparability, not evidence that excluded outlets performed poorly.
Where does the system standardize, and where does the operator still carry execution?
Mister Sparky centralizes several system choices while leaving the franchisee responsible for local execution. Buyers who want standardized infrastructure may value that split; buyers who prioritize vendor, data or operating autonomy may experience more friction.
What should a buyer verify before signing?
The highest-value questions are contract- and Territory-specific, because the Data Sheet, Brand Appendix, state addenda and current vendor requirements can determine how the general 2026 FDD terms apply to one buyer.
Which buyer profile is more aligned with these trade-offs?
The strongest structural advantage is the defined Authority Brands operating infrastructure reinforced by AB Assetco’s Item 21 performance guarantee; the most material burden is the combination of recurring minimums, prescribed systems, performance-conditioned Territory rights and controlled exit terms.
More aligned
A buyer is more aligned if the plan assumes an on-premises Key Person, disciplined Local Marketing, required ServiceTitan and BuyMax relationships, and a long operating horizon under Brand Standards. That profile can use Success Academy, system purchasing, Item 19 benchmarks and Authority Brands support without treating those resources as substitutes for local execution.
More likely to experience friction
Friction is more likely for a buyer seeking broad supplier choice, unrestricted channels, limited franchisor data access, a hands-off management structure or a short, flexible exit. Before signing, the highest-priority verification is the exact Territory package—Data Sheet, Brand Appendix, reserved channels and Minimum Performance terms—because those provisions directly shape local operating freedom and termination exposure.
Decision relevance is qualitative and buyer-specific. Item 19 Gross Revenue is historical revenue evidence, not a projection of profit, owner compensation or future performance.