Franchising Since: 1992
Headquarters: Alpharetta, Georgia
Estimated Number of Units: 11,265
Franchise Description: The franchisor is Jan-Pro Franchising International, Inc. Jan-Pro is a wholly-owned subsidiary of Empower Brands, LLC. The franchisor offers franchises, typically through a regional developer/master franchisee, to independently own and operate a cleaning and maintenance business that performs commercial, industrial, and institutional cleaning and maintenance services under the service mark “Jan-Pro Cleaning & Disinfecting” and other trademarks, trade names, service marks, slogans and logos it authorizes.
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Territory Granted: Franchisees will not receive an exclusive territory. Franchisees may face competition from other franchisees, from outlets that the franchisor owns, or from other channels of distribution or competitive brands that the franchisor controls. The regional developer/master franchisee will offer unit franchisees an “Initial Plan,” which consists of offering the unit franchisees accounts for customers in the area it oversees.
Obligations and Restrictions: The franchisor requires that franchisees have at least one person actively involved in the management of the franchise, who may be the owner of an entity-franchisee or a manager the franchisee has selected (or who has been selected by the owners of an entity-franchisee). The manager and managerial employees must sign the form of confidentiality and non-competition agreement. Franchisees must offer for sale all approved services and products for which they have been certified and for which they have all the necessary equipment. Franchisees must not deviate from the franchisor’s specifications for the approved services and products with the franchisor’s written consent; and must discontinue offering any services or products that it disapproves of in writing.
Term of Agreement and Renewal: The length of the initial franchise term is 10 years (could be five years with some regional developers). Franchisees may renew their franchise for two additional 10-year periods if they satisfy the conditions in the Franchise Agreement (could be two additional five-year terms with some regional developers).
Financial Assistance: To provide support to past veterans and current veterans being released from active service, Jan-Pro offers all qualifying veterans financing of 50% of the initial franchise fee for all initial plans FP 20 and above. Regional developers may offer financing for a portion of the initial franchise fee for qualified franchisees. Regional developers may also finance a portion of the sales and marketing fee if the franchisee accepts additional accounts from it.
Estimated Initial Investment
Name of Fee | Low | High |
Initial Franchise Fee | $2,520 | $60,000 |
Travel and Living Expenses While Attending Certification Program | $50 | $300 |
Office and Related Expenses | $150 | $550 |
Vehicle | $0 | $500 |
Initial Equipment Package | $950 | $950 |
Real Estate | $0 | $550 |
Electrostatic Sprayer Machine | $750 | $1,500 |
Floor Buffing Machine | $50 | $1,300 |
Carpet Cleaning Machine | $50 | $4,400 |
Insurance | $200 | $620 |
Legal & Organizational Costs | $50 | $2,000 |
Additional Funds for 3 Months | $150 | $550 |
ESTIMATED TOTAL | $4,920 | $78,140 |
Other Fees
Type of Fee | Amount |
Royalty Fee | 13% of gross billings for the previous month. |
Administrative Fee for Special Service | 10% of gross billings for special services for the previous month. |
National Account Support Fee | 1% of gross billings from national accounts for the previous month. |
Renewal Fee | $750 |
Business Transfer Fee | The greater of $1,500 or 8% of the franchisee’s total gross billings for the 12 full calendar months before the transfer. |
Key Return Fee | $500 for each day that the franchisee does not return customer keys or other means of access to the customer’s premises. |
Sales and Marketing Fee | Either 4 or 3.2 times the additional account’s monthly account gross billings. |
Additional Persons Certification Fee | The then-current fee (currently $250 per additional person) for attendance at the certification program. |
Interest | The lesser of: (i) 18% per annum; or (ii) the maximum rate of interest permitted by law. |
Default Collection Costs | The franchisor’s actual costs. |
Indemnification | All amounts the franchisor must pay on the franchisee’s behalf. |
Testing Fee | The reasonable cost of the inspection and the actual cost of the testing, plus the then-current per diem charges for the franchisor’s personnel. |
Liquidated Damages | The total of all royalty fees and support fees for the lost customers for 12 months. |
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