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 Home Based Cleaning Franchises will show strong growth in 2008

Most cleaning franchises are showing a substantial increase from 2006 to 2007. With the down turn of the housing market and the up swing of the new and remodeled commercial property there remains a need for janitorial services. Here is a small but helpful list of cleaning franchise businesses you can run from your home.

Jani-King

Jani-King (Commercial cleaning) began in 1969 and has been Franchising since 1974. While working the night shift in a Hotel Jim Cavanaugh saw the continued need for janitorial services. 

Entrepreneure.com reports from 2006-2007 Jani-King added 496 new U.S. franchises, 29 Canadian, 31 Foreign, and 3 company owned. With commercial real-estate expecting to grow in 2008 it is predicted that the need for janitorial services will also grow.

Costs:

Startup costs $11k-34k+

Franchise fee: $8.6k-$16.3k+

Ongoing royalty fee: 10%

Term: 20 years, renewable 

Operations:

Can be run from home

No absentee ownership

 

Bonus Building Care 

Ok your going to think this is too personal but its the reality of business. Jim Cavanaugh (from Jani-King) divorced and his ex-wife Arleen Cavanaugh started Bonus Building Care and you guessed it, it is a janitorial service.

This is a prime example of how fruitful the commercial janitorial business is. BBC was started in 1996 and increased its U.S. franchises from 1415 in 2006 to 1774 in 2007 3 of which are owned by the company.

Cost:

Startup: $8k $13k+

Franchise fee: $6.5k

Ongoing royalty fee: 10%

Term: 20 years, renewable

Renew fee:  $2k

Operations:

Can be run from home

Employees needed to run: 1-5

No absentee ownership

 

Jan-Pro Franchising Intl. Inc.

Specializing in commercial cleaning; began in 1991 and has been franchising since 1992. Founded by Jacques Lapointe Jan-Pro increased its U.S. franchise base from 5066 in 2006 to 6409 in 2007. Canadian franchises when from 305 in 2006 to 609 in 2007. 14 foreign franchises were started in 2007.

Costs:

Startup: $3.3k-$49.9k

Franchise fee: $2.8k-$44k

Ongoing royalty fee: 10%

Term: 10 years, renewable

Qualifications:

New worth: $1k-14k+

Cash liquidity: $1k

Business exp.: management skills

Operations:

Can be run from home

Number of employees: 1

No absentee ownership

 

Servpro 

Servpro (residential and commercial cleaning) began in 1967 and started franchising in 1969. Ted Isaacson began providing homes and business with cleaning and restoration services which includes but not limited to disaster protection, air ducts and HVAC systems. 

Servpro grew its nationwide franchise base from 1310 in 2006 to 1368 in 2007.

Costs:

Investment: $97k - $154k

Franchise fee: $38k

Ongoing royalty fee: 3-10%

Term: 5 years, renewable

Renewal fee: $250

Qualifications:

Net worth: $100k

Cash Liquidity: $60k

Business exp: General, Marketing skills

Operations:

Can be run from home

Employees needed: 5-10

No absentee ownership allowed

 

Chem-Dry (carpet, drapery & upholstery cleaning)

Robert Harris founded Chem-Dry in 1977 and started franchising in 1978 using a cleaning solution he created. Chem-Dry has worldwide franchise opportunities. From 2006 2007 the company grew its U.S. base from 2547-2679. 

Costs:

Startup: $25k-$214k

Franchise fee: $13k-$35k

Ongoing royalty fee: #350/mo.

Renewal fee: $750

Qualifications:

Net worth: $75k

Cash liquidity $4k

Operations:

Can be run from home

Absentee ownership is allowed

 

ServiceMaster Clean (began 1947, franchising since 1952) 

It is said that after a chemical accident left Marion Wade partially blind in 1945 he came up with the idea for a commercial and residential heavy cleaning and disaster restoration company.

ServiceMaster Clean is part of a unit of franchises which includes Merry Maids and Terminix.

ServicesMaster saw a rise in us franchises from 2978 in 2006 to 3041 in 2007. Canadian franchises grew from 166 to 172 respectively. 

This company has been around a long time and it is no wonder it has experienced the consistent growth.

Costs:

Investment: $21k - $111k

Franchise fee: $17k-45k

Ongoing royalty fee: 4-10%

Term: 5 years, renewable

Qualifications:

Net worth: $50k-75k

Cash liquidity: $15k-25k

Experience: General business

Operations:

Can be run from home

Number of employees needed: 3

Absentee ownership is not allowed

 

System4 (commercial cleaning) 

Began in 2003 and started franchising right away, based in Brecksville Ohio System4 is a nationwide franchiser with 467 franchisees in 2007 (up from 283 in 2006).

Costs:

Investment $6k - $38k

Franchise fee: $4.4k $32k

Ongoing royalty: 5%

Term: 20 years, renewable

 

Qualifications:

Net worth: $10k

Operations:

Can be run from home

Employees needed: 3

Absentee ownership is allowed

 

Building Stars Inc. 

Building Stars Inc. began in 1994 and started franchising in 2000. Based out of St. Louis Missouri BB Inc saw an increase in franchisees of 217 to 225 from 2006 2007.

Costs:

Investment: $2.2k

Franchise fee: $1.2k

Ongoing royalty fee: 10%

Term: 5 years, renewable

Qualifications:

Cash liquidity: $1k

 

Operations:

Can be run from home

Number of employees needed: 5

Absentee ownership is not allowed

As always, pick your business carefully and plan your moves for growth and longevity. There are plenty of businesses that already turn great profits. In order for you to get a slice of the pie you have to be in the kitchen. Home based cleaning franchises will show strong growth in 2008.

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