From the filings

HQ-led decisions

The C12 Group

Professional services

Software purchasing at The C12 Group flows through a lean franchisor HQ in Texas, with Michael Sharrow listed as the agent for service of process in the 2028 FDD. The system currently mandates Constant Contact for email marketing, with no other named operational tech disclosed. The addressable market is small but concentrated: 65 franchised units across at least Arizona and Alabama, offering a tight, single-brand sales target.

For software vendors selling into US franchise brands.

Live signals

Total units
65
65 franchised
Unit growth YoY
0%
vs prior filing
AUV
$618K
Item 19, 2023
Royalty
17.5%
of gross sales
Ad fund
—
national + local
Initial fee
$13K
per unit
Investment range
$37K–$67K
all-in, Item 7
Procurement
Standards based
from the filing
Item 19
Claims
from the filing

Ongoing fee load

What the operator pays every month

The recurring percentage of gross sales named in this filing. It is a floor, not a total — the filing discloses one of the two headline fees.

17.5%+of gross sales (FY2028)

Ongoing fees: 17.5% of gross sales (FY2028)Royalty 17.5%. Total 17.5% of gross sales, from the fees this filing discloses. Drawn against a 15% reference scale.

15% reference

Royalty 17.5%

Mandated & recommended tech

The systems vendors compete with

Systems named in Item 11 of this filing. None is recorded as mandated here, which is not the same as the filing mandating nothing. Read Item 11 before treating the category as open.

Constant Contact
MarketingItem 11

. You are to follow the C12 Brand Standards Guide. Items which do not qualify include software related to contact or customer relationship management, regular subscriptions (e.g., Constant Contact), f

Franchisor behaviours

What the franchisor requires

7 requirements the franchisor states in this filing, each in its own words; 10 explicit no's; 17 questions the text does not settle, which is not a no.

Accounting

Must the franchisee submit periodic financial statements (monthly, quarterly or annual) to the franchisor?

Yes

Franchise agreement

Franchisee shall submit a monthly Area Chair Activity and Payment Report via the reporting system to Franchisor by the fifth (5th) business day of each month for the preceding month’s activity.

How the franchisor buys

Is the franchisor or an affiliate itself a supplier of required products, services or systems?

Yes

Item 8

You are required to purchase New Member Registration Kits from us whenever you have a new member sign up with your C12 Forum.

How much revenue did the franchisor and its affiliates earn from franchisee purchases in the last fiscal year?

463975

Item 8

During the fiscal year ending December 31, 2023, we received $463,975 from required franchisee purchases of New Member Registrations.

Item 8 gives this proportion in one of two shapes: separate percentages for establishing the business and for operating it, or one figure covering "establishing and operating" together. Where they are separate, answer with the operating percentage; where the passage gives only the combined figure, answer with that. What percentage of the franchisee's purchases must come from designated or approved suppliers?

0

Item 8

No requirement is made for specific purchases and leases by the franchisee and as a result no revenue or material consideration is received by C12 or any individual listed in Item 2.

Franchise management

Can the franchisor change the operations manual and brand standards unilaterally?

Yes

Franchise agreement

Franchisor may modify the System Standards at any time and in Franchisor’s sole discretion, and Franchisee shall take all steps necessary to comply with changes to Franchisor’s System Standards.

Marketing

Is the franchisee prohibited from operating its own website or social media accounts, or required to use pages the franchisor provides?

Yes

Franchise agreement

Unless approved by Franchisor, Franchisee may not use any other website URL or name, except the one Franchisor agrees to upon granting Franchisee the Territory.

Payments

Are royalties and other fees collected by automatic bank debit (ACH or electronic funds transfer) from the franchisee's account?

Yes

Franchise agreement

Franchisee shall pay Franchisor all fees due under this Agreement via ACH or check (or credit card with Franchisee paying the applicable transaction and processing fees), which must be received by Franchisor by the fifth (5th) day of the month.

The filing answers no to 10 questions
  • Does the franchisor have direct or independent electronic access to the franchisee's financial, sales or customer records?Item 11
  • Does the franchisor or an affiliate receive rebates, commissions or other revenue from designated or approved suppliers?Item 8
  • Must the franchisor approve the franchisee's site or location before opening?Item 11
  • Is a minimum grand opening advertising spend required?Item 11
  • Is the franchisee required to spend a minimum amount on local advertising or marketing, as a percentage of sales or a fixed amount?Item 11
  • Must the franchisee participate in a regional advertising cooperative when one exists?Item 11
  • Must the franchisee buy products from a designated distributor?Item 8
  • Must equipment be purchased from designated or approved suppliers?Item 8
  • Does the franchisor have independent access to the data in the franchisee's POS or computer system?Item 11
  • Is attendance at an annual convention or conference mandatory for the franchisee?Item 11

The vendor opportunity at The C12 Group

The C12 Group operates a compact franchise system of 65 units, all franchised, with no company-owned locations disclosed in the 2028 FDD. Average unit volume sits at $617,989, and the royalty rate is 17.5%. For software vendors, this is a small but focused target: a single-brand network with centralized purchasing signals and a mandated marketing tool already in place. The operator footprint is thin—three mapped operators across roughly three located units, with no multi-unit operators on file. Top states are Arizona (2 units) and Alabama (1 unit). Year-over-year unit growth is not disclosed, so the system appears stable rather than expanding rapidly.

Who controls software purchasing

The 2028 FDD lists Michael Sharrow as the Agent for Service of Process, based in Texas. No other C-suite titles—CIO, CTO, VP of IT—appear in Item 1. In systems this size, the named executive or a small leadership team typically controls vendor selection. If you sell software, your initial outreach should target Sharrow or the HQ office directly. There is no parent company on file; The C12 Group appears independently owned, which means decisions are not filtered through a larger corporate hierarchy.

Mandated and current tech stack

The only mandated technology disclosed in the 2028 FDD is Constant Contact, provided by Constant Contact, Inc. This is an email marketing platform, suggesting the franchisor enforces brand-level communication standards. No POS, CRM, scheduling, or operational system is named as required. That gap represents an opportunity: if you sell tools that integrate with or complement Constant Contact—or fill operational voids—you may find an open landscape. However, because Item 11 does not list other vendors, you should verify the current stack directly with the franchisor before assuming a greenfield.

Procurement, renewals, and timing

Item 8 of the 2028 FDD does not include a procurement extract, so the formal purchasing model—whether designated supplier, approved supplier, or open—is not publicly disclosed. The franchise agreement runs for one year, with unlimited twelve-month renewals available. To renew, franchisees must sign a Franchise Compliance Administrative Update letter annually, agreeing to any business model changes made during the prior year. This creates a predictable annual window when the franchisor can introduce new software requirements or re-evaluate existing vendors. Align your pitch with that yearly compliance cycle.

How to read the The C12 Group FDD

The 2028 FDD is filed with state franchise regulators and embedded below for your review. Focus on Item 1 for executive contacts, Item 11 for mandated systems, and Item 17 for renewal terms that shape purchasing timelines. The document confirms 65 franchised units, a $617,989 AUV, and a 17.5% royalty—metrics that define the total addressable market for your software. For a ranked target list of franchise systems matched to your product, FranCloud can help you prioritize where to sell next.

Questions vendors ask

The C12 Group, answered from the filing

The 2028 FDD names Michael Sharrow as Agent for Service of Process, signaling a centralized HQ in Texas. No CIO or CTO is listed; purchasing authority likely sits with Sharrow or a small executive team.
The only mandated system disclosed in the 2028 FDD is Constant Contact for email marketing. No POS, CRM, or operational platform is named as required.
The 2028 FDD reports 65 total units, all franchised. No company-owned units are disclosed. The operator footprint is small, with 3 mapped operators across roughly 3 locations.
Item 8 of the 2028 FDD does not include a procurement extract, so the model—designated supplier, approved supplier, or open—is not publicly disclosed.
Franchise agreements run for one year and can be renewed for unlimited twelve-month terms. Compliance updates are signed annually, creating a predictable yearly review cycle for new software.
The 2028 FDD is filed with state franchise regulators. You can review it directly in the embedded PDF viewer below.
Source

Read the filing itself

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The C12 Group2028 FDDView only

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The brands you can actually sell into, from the filings.

Operator footprint

Who runs the locations

123 operators run 123 mapped locations. 0 of them are multi-unit. Aggregate counts from the filing; no names.

Operators by units owned

Single-unit123

Top states by locations

FL15
TX9
AZ7
CA6
VA6

Related Professional services brands

Primary franchise filings · updated June 2026. Every figure is source-traceable and QA-checked.