If you’re considering acquiring a cleaning franchise in the United States, one of the first decisions you need to make is whether you prefer a residential or commercial cleaning franchise . Typically, franchises specialize in one or the other service, and the business models are completely different.
Were you interested in any of the franchises we covered in the video? Contact us to analyze which one best suits your investor profile. Do you want to know more about the industry? Read.
Types of Commercial Cleaning Franchises
Master Franchises: An Expansive Approach
Master franchises are an option where you acquire a large territory, such as an entire city. For example, you can become the master franchisee of San Antonio. Your main responsibility is to expand the brand in your territory by selling unit franchises. This model involves selling cleaning contracts to individual franchisees, providing them with the support needed to start their businesses.
Contractor Scheme: Service Outsourcing
In this scheme, you act as an intermediary between customers and cleaning teams. You acquire cleaning contracts and then outsource to specialized companies to carry out the work. While margins may be lower, this model can be cost-effective if you manage contracts and subcontracting effectively.
Direct Employees: Risk Management
Hiring direct employees to perform cleaning may seem appealing, but it comes with financial risks. If a cleaning contract ends, you’ll still have to bear payroll costs. For this reason, many commercial cleaning franchises prefer subcontracting schemes or unit franchises.
Advantages of Investing in a Commercial Cleaning Franchise
When it comes to investing in a cleaning franchise in the United States, the commercial option offers a number of advantages that are worth considering:
1. Constant demand
Companies and commercial businesses require cleaning services on a regular basis to keep their premises in optimal condition. This ensures a steady demand for commercial cleaning services, which can translate into a stable source of income for franchisees.
2. Long-term contracts
Often, commercial cleaning contracts are long-term, which provides greater predictability in terms of revenue. These contracts can last from one to several years, allowing franchisees to plan and manage their operations more effectively.
3. Growth potential
Commercial cleaning offers ample potential for growth, especially in urban areas and business centers. As you acquire more contracts and expand your customer base, you can increase your revenue and expand your business significantly.
4. Diversification of services
In addition to the standard cleaning of offices and commercial premises, many commercial cleaning franchises offer additional services, such as carpet cleaning, window cleaning, floor maintenance, among others. This allows you to diversify revenue streams and meet the varied needs of your customers.
5. Support and backing of the franchise
When you join a commercial cleaning franchise, you gain access to ongoing support and support from the franchising company. This can include training, marketing, cutting-edge technology, and operational support, allowing you to start and grow your business more easily.
Here are three commercial cleaning franchises that you could consider in your portfolio:
Commercial Cleaning Franchises in the United States
Stratus Building Solutions Franchise
Stratus Building Solutions is a franchise business in the commercial cleaning sector with a proven executive business model. As a regional master franchisee, you will have the exclusive rights in a defined territory to grant unit franchises and obtain commercial cleaning contracts.
The business has more than 35,000 customers with approximately 70 regional master offices and more than 2,900 unit franchisees.
With an investment ranging from $110,000 to $350,000, a required liquid capital of $100,000, and a master franchise fee of $75,000 to $219,000, Stratus Building Solutions offers an opportunity for executives with a strong background in sales and marketing to run a profitable business.
Franchise Systems4
System4 is a leading facilities service management organization that offers a wide range of solutions in commercial cleaning and maintenance.
From apartment complex cleaning to yard maintenance and parking lot care, System4 provides comprehensive services tailored to each client’s specific needs.
With an initial investment ranging from $157,000 to $377,000, this franchise represents a unique opportunity for entrepreneurs looking to build a million-dollar business with recurring revenue and minimal staff.
Steamatic Franchise
With over 70 years of experience in the construction, restoration and cleaning industry, Steamatic has positioned itself as a market leader and a recognized name in homes, capturing a strong customer base since 1948.
It offers an investment opportunity with a range ranging from $220,074 to $414,845, and requires a minimum net worth of $250,001 to $500,000.
The franchise fee is $50,000 and the royalty ranges from 1% to 8% of the monthly gross revenue, depending on the nature of the services provided and the total gross revenue.
The start-up time can range from 1 to 3 months, allowing for a quick entry into operation and potential to start generating revenue in a short time.
*Data as of the date of publication of the last FDD of the franchises
*Values expressed in US dollars
There are several commercial cleaning franchise options in the United States, each with its own business models and growth opportunities. But which one is good for you? Let’s find out.
At Interlink FBC we have a portfolio of more than 750 franchises from 35 different industries. Contact us to start the search and analysis of your next profitable investment in the United States.
