All Posts Tagged: AdvantaClean
It’s never simply fall, winter, spring, or summer. It’s also flood, tornado, fire, and hurricane season. As a result, the year-round demand for home and commercial restoration services has created a multi-billion dollar industry. Get wind of these five leading franchises investors can buy into.
ServPro repairs damage from water and fire, removes mold and biohazards and also provides cleaning services. Since 2010, ServPro has been ranked among the top 10 companies in Entrepreneur magazine’s Franchise 500 and was most recently named #7. The initial franchise fee is $44,000 and the total investment cost falls between $138,550 and $187, 200. The ongoing royalty fee varies between 3 and 10 percent and the term of franchise agreement is five years and renewable. A $100,000 net worth and $85,000 of liquid cash are required of franchisees. Absentee ownership is not allowed as ServPro’s franchising vision is to “help entrepreneurs succeed.”
ServiceMaster provides commercial and residential disaster restoration as well as general floor care and cleaning. The company, ranked #35 on Entrepreneur magazine’s Franchise 500 list for 2014, currently has over 3,000 units in the United States and is looking to expand worldwide. With initial franchise fees between $23,900 and $67,000 and ongoing royalty fees between 5 and 10 percent, the total investment ranges from $49,585 and $180,580. After five years, the franchise agreement is renewable. As a prerequisite, franchisees must have a net worth between $50,000 and $75,000 as well as at least $20,000 in available liquid cash. ServiceMaster does not permit absentee ownership.
Rainbow International offers home and commercial restoration and cleaning from damage due to fire, water, smoke, and more. This restoration franchise is unique from most in that it can be run from home, although absentee ownership is not allowed. The initial fee for a Rainbow International franchise is $28,000, with a total investment expense between $156,175 and $256,100. The financial requirements for a franchisee are a net worth of $250,000 and $50,000 of liquid capital. There is an ongoing royalty fee ranging between 3 and 7 percent. The renewable term of franchise agreement lasts 10 years and veterans receive 25 percent off the franchise fee.
AdvantaClean is another restoration franchise providing service for indoor air quality such as water removal, mold remediation, air duct and dryer vent cleaning. AdvantaClean brands itself as a “recession-resistant and low cost” home-based company. A $45,000 franchise fee is required of franchisees with a $200,000 net worth and $75,000 in liquid capital. The total investment tops out between $204,300 and $218,300, with an ongoing royalty fee of 10 percent. One term of franchise agreement is 10 years and renewable. As a participant in the IFA VetFran program to support our nation’s armed forces, AdvantaClean also offers $2,500 off the initial fee for qualifying veterans.
Paul Davis Restoration, Inc. offers cleanup, remodeling, and property damage services. A leader in the industry in North America, Paul Davis has consistently been named among the Franchise Business Review’s Franchisee Satisfaction Award winners. Along with a longstanding professional reputation, this company offers franchisees exclusive territory rights, certification opportunities, and first-in-market products and services. The initial investment fee is $75,000 and the minimum total investment is $200,000. Paul Davis charges a 4 percent ongoing royalty fee and a renewable, five-year term of franchise agreement. Franchisees must have a net worth of $350,000 and at least $180,000 of available liquid cash to invest in a “company worth knowing.”
By Erin Cizek