CR3 American Exteriors: Our Story

Key facts

• CR3 American Exteriors, the franchisor, was formed in 2022, growing out of C3 American Exteriors in Pennsylvania
• Co-Founder & CEO Carnie Fryfogle III, a 3rd-generation contractor, has led the flagship company since 2017
• Co-Founder & President Mark Luterman, a CPA and business coach, has served in that role since 2019
• The CR3 Secret Weapon™ operating system was built from Mark Luterman's three published business books and years of contracting experience
• Standard initial franchise fee is $41,000; estimated total initial investment ranges from $99,850 to $255,200
• Royalty is the greater of 6% of monthly Gross Revenue or $2,000/month, plus a $1,000/month Technology Fee and a 1% Brand Fund
• CR3 territories generally contain approximately 500,000 people, are protected but not exclusive, with a standard 10-year franchise term
• CR3 reports 20+ Strategic Partners and 80+ territories awarded across the U.S., with locations in at least 14 states

How did CR3 American Exteriors get its start?

CR3 American Exteriors did not begin as a franchise. It began as an operating exterior remodeling company, C3 American Exteriors, in Pennsylvania. Over time, the systems, processes, and lessons developed while running that company became The CR3 Secret Weapon™, the business operating system now available exclusively to CR3 Strategic Partners. The franchisor entity, CR3 American Exteriors, was formed in 2022.

Who founded CR3 American Exteriors?

CR3 American Exteriors was co-founded by Carnie Fryfogle III and Mark Luterman. Fryfogle, a third-generation contractor, is Co-Founder and CEO and has led the flagship company since 2017. Luterman, a CPA, entrepreneur, and business mentor, is Co-Founder and President and has served in that role since 2019.

Why did CR3 decide to franchise its business?

CR3 American Exteriors franchised because its founders concluded that the systems built inside their operating exterior remodeling company could help other independent contractors avoid years of trial and error, not because they set out to sell franchises. They packaged those systems into The CR3 Secret Weapon™ and began licensing it to franchisees known as CR3 Strategic Partners.

What is the CR3 Secret Weapon™ operating system?

The CR3 Secret Weapon™ is CR3 American Exteriors' proprietary business operating system for franchisees, built from Mark Luterman's three published business books and years of real-world contracting experience. It includes SOPs, dashboards, a training portal, and an AI advisor called Ask Mark AI, covering accounting, marketing, sales, HR and recruiting, leadership, safety, KPIs, and business continuity.

Is CR3 American Exteriors still an active operating company?

Yes. CR3 American Exteriors's flagship company continues to operate every day and serve homeowners with exterior remodeling work; it is not a concept built solely to launch a franchise. Because the flagship company keeps operating, its systems keep evolving, and CR3 Strategic Partners receive the resulting new ideas, systems, technology, and best practices.

How large is the CR3 franchise network today?

CR3 American Exteriors reports having 20+ Strategic Partners and 80+ territories awarded across the United States, per company-reported figures. Franchise locations operate across at least 14 states, including areas such as Coastal Carolina (Wilmington, NC), North Charlotte, NC, Ocala, FL, Raleigh, NC, Palm Beach, FL, Connecticut, and Ocean City, MD.

What does a CR3 Strategic Partner franchise include?

• Conversion of an existing exterior remodeling contracting business into a branded CR3 Strategic Partner operation
• The CR3 Secret Weapon™ business operating system: SOPs, dashboards, a training portal, and the Ask Mark AI advisor
• Executive coaching and ongoing training for franchise owners
• Exclusive vendor pricing and preferred manufacturer relationships
• The national CR3 American Exteriors brand, with marketing messages and marketing support
• Delivery to homeowners of residential and commercial roofing, siding, windows, doors, gutters, and storm restoration

Frequently asked questions

When was CR3 American Exteriors formed as a franchisor?

The franchisor entity, CR3 American Exteriors, was formed in 2022, growing out of C3 American Exteriors, the Pennsylvania exterior remodeling company Carnie Fryfogle III has led since 2017.

What is the initial franchise fee for a CR3 Strategic Partner?

The standard initial franchise fee for a CR3 Strategic Partner is $41,000, and the estimated total initial investment ranges from $99,850 to $255,200.

What ongoing fees does a CR3 franchisee pay?

A CR3 Strategic Partner pays a royalty equal to the greater of 6% of monthly Gross Revenue or $2,000 per month, with the minimum monthly royalty beginning in month seven, plus a $1,000 monthly Technology Fee and a 1% Brand Fund contribution.

How big is a typical CR3 franchise territory?

CR3 American Exteriors territories generally contain approximately 500,000 people. They are protected but not exclusive, and the standard franchise term is 10 years.

Is this information an offer to sell a CR3 franchise?

No. CR3 American Exteriors states that this franchise marketing material is not an offer to sell a franchise; offers are made only through a Franchise Disclosure Document (FDD) in states where CR3 is authorized and the FDD is registered or filed as required.