Most commercial cleaning franchises have a similar operational model that can work well given the right location and owner background, but can also be a time and money waster.
The basic structure of most commercial cleaning franchises is something like this.
You have a Master Franchise owner who has purchased the rights or the license to a given territory. Generally that territroy will be “X” number of businesses or population size. The total investment for this master or area developer franchise will range between $100,000 to over $500,000 depending on territory size and a number of other factors.
The Master cleaning franchise owner will then prospect in their territory to secure cleaning accounts. All franchises have their own special sauce when it comes to the sales and marketing process to help the franchise owner land accounts.
Now while the franchise owner is landing the cleaning accounts they will also sell franchises and contracts to people who will actually perform the cleaning functions. Generally a smaller cleaning franchise will cost between $1000- $15,000 dollars. So the Master franchisee lands the account and sells the accounts to their franchisees who will then conduct the cleaning. Of course the master will also take an ongoing cut of all the revenue.
So a Master cleaning franchise can be a very lucrative business. You sell these individual franchises for several thousand dollars, and you also take a cut of all your franchisees royalty. YOu will of course be responsible for account management, customer retention, billing and administration for the account.
Now for the cleaners who buy the smaller individual cleaning franchises for a few thousand – is this a good deal? Well it can be. Here is the bad news, you will always be paying a share of your money to your master franchisee, you will also be at their mercy for generating business for you. If you have an experienced and ethical master franchisee you can do well, if not you will likely be unhapy.
Now if you get a good master franchisee the good news is they will take care of landing your cleaning accounts, they take care of all the billing and handle phone calls, they convey a professional image because they have the well known franchise logo, and they will co-ordinate everything you just have to clean. If you started on your own you have none of these benefits.
You will generally also have access to business insurance and other perks that are often difficult to obtain as an independednt just starting out.
So is a cleaning franchise a good investment? For the Master Franchisee, yes it can be with the right brand and as long as you have good people management and sales skills. For the cleaning franchisee yes also, but make sure you are dealing with a reputable master franchise owner (Google them and check references) and fully understand the terms and conditions of your contract. Starting out in the cleaning business can be challenging and a franchise can help you get started.
We at Franchise.city have a favorite start up cleaning franchise, the investment for the business is $6,995 your total investment around $10,000 including all your startup expenses like computer, insurance and advertising.
The company provides light commercial as well as residential cleaning and have a great support system in place providing everything you need to get started in your own successful cleaning franchise business.
If you would like to learn more click the link below this video or visit us at franchise.city. If you are already on our page fill out the form e to learn more
Franchise.city works with over 600 franchises including most of the commercial and residential cleaning brands and can help you compare each one to find out the best for your situation. Franchise.city is a better way to buy a franchise.