AdvantaClean Franchise Costs, Fees & FDD

Year Business Began: 1994

Franchising Since: 2006

Headquarters: Coppell, Texas

Estimated Number of Units: 85

Franchise Description: AdvantaClean Systems, LLC is the franchisor. The franchisor’s immediate parent is Home Franchise Concepts, LLC (HFC). The ultimate parent company is JM Family Enterprises, Inc. AdvantaClean franchises specialize in offering and selling restoration and remediation services that make residential and commercial buildings clean, safe, healthy and energy efficient at various locations within a defined protected territory.
Training Overview: Franchisees or their manager must complete the initial training program to the franchisor’s satisfaction before they begin operating the franchised business. Training and certifications consist of two phases: (1) third party industry certifications; and (2) academy training. Certain third party industry certification classes and completion of associated tests are a prerequisite to attending academy training (detailed in FDD). Academy training lasts for 10-12 days and is conducted both virtually and in person at the HFC Experience Center in Coppell, Texas. The classroom and hands-on training conducted in the HFC Experience Center currently lasts for 52 hours spread over 7 days. In addition to the pre-opening training, franchisees are required to complete the AMRT certification course offered through the IICRC and the NADCA – ASCS certification within 6 months of opening or prior to performing commercial air duct cleaning and/or commercial mold remediation projects, whichever is the earlier. The franchisor may require franchisees or their designated personnel to attend additional training courses, seminars, conferences or other programs that the franchisor considers relevant or appropriate to the successful operation of the system.

Territory Granted: Franchisees must operate their franchised business from a location that the franchisor approves, which must be a leased commercial office/warehouse. The approved location will need approximately 1,000 to 1,500 square feet of secure storage for the office and equipment and inventory. During the term of the Franchise Agreement, the franchisor will grant franchisees a protected territory. The size of the protected territory may vary from other system franchisees based on the location and demographics surrounding the premises. Typically, a protected territory will consist of a minimum of 200,000 households, depending upon geography, demographics, and other factors. The demographics, geography, and other factors the franchisor uses in defining the territory are based upon information provided to the franchisor by third-party sources that it selects in its sole discretion. While franchisees will not receive any exclusive rights to provide the approved products and services within the territory, the territory will be protected in that the franchisor will not sell another AdvantaClean franchise that provides the same/competing services within the territory.

Obligations and Restrictions: Franchisees (or their principals) must devote his or her personal full-time attention, skill and best efforts to the management and operation of the AdvantaClean business and to promote and increase the demand for the products and services within the protected territory. Franchisees (or their principals) agree not to own, maintain, engage in, be employed by or have any interest in any other business other than the AdvantaClean business. Franchisees agree that they may not, without the franchisor’s prior written consent, engage in any commercial activity that: (i) is not performed for the sole and direct benefit of the AdvantaClean business; (ii) may benefit or promote any other business; and (iii) may be injurious to the AdvantaClean business or the goodwill associated with the proprietary marks and system. Upon written request, the franchisor may permit franchisees to employ a manager to manage the day‐to‐day operations of the AdvantaClean business. Franchisees must offer for sale all products and services which the franchisor prescribes and only those products and services which it prescribes. Franchisees may not offer any other products or services for sale without having received the franchisor’s prior written authorization. Franchisees must at all times maintain sufficient levels of inventory as specified in the franchisor’s operations portal, to adequately satisfy consumer demand. Franchisees must offer, use and sell all private label products which the franchisor may now or in the future designate for sale by system franchisees.

Term of Agreement and Renewal: The length of the initial franchise term is 10 years. Two consecutive five-year renewal terms are available, if requirements are met.

Financial Assistance: If franchisees meet the franchisor’s credit standards, it will, at the franchisee’s request, provide financing for the initial franchise fee and part of the initial territory fee. To obtain financing, franchisees must sign a secured promissory note and general security agreement. The franchisor does not guarantee any notes, leases or obligations. The franchisor discounts the initial territory fee by 15% for new franchisees who are currently-serving or honorably discharged veterans of the United States armed forces and their spouses.

Estimated Initial Investment

Name of Fee	Low	High
Initial Franchise Fee	$5,000	$5,000
Initial Territory Fee	$40,000	$40,000
Travel and Living Expenses While Training (per person)	$1,000	$1,500
In-Person Training for Additional Personnel ($150 per person, per day)	$0	$1,500
Supplies, Equipment & Inventory Package	$39,900	$39,900
Vehicle	$0	$49,000
Real Estate Rent and Security Deposits	$1,000	$5,000
Technology Systems Package	$0	$3,000
Office Equipment, Furniture and Supplies	$400	$1,000
Credit Card Processing Technology	$30	$500
Auto Insurance	$1,800	$3,500
Commercial General Liability, Contractor’s Environmental Liability, Professional Liability, Contractor’s Equipment, Employment Practices, Workers’ Compensation, Property Insurance	$3,000	$4,000
Contractor’s License and Bonds	$0	$1,500
Licenses and Certifications	$1,000	$3,000
Professional Fees	$750	$2,000
Initial Marketing	$8,000	$12,000
Additional Funds – Before Opening and First 3 months	$15,000	$25,000
ESTIMATED TOTAL	$116,880	$197,400

Other Fees

Type of Fee	Amount
Royalty	The greater of: (a) 8% - 5% of bank deposits for the immediately preceding month (2% for reconstruction and subcontracted work) or (b) $500 per month for the first year and $1,000 per month thereafter.
National Advertising Fund Payment	Franchisees must pay the greater of 1% of gross revenue for the immediately preceding month or $500.
Technology Fee	Currently, $600 per month for the first territory, $250 per month for second and subsequent contiguous territories. Additional non-contiguous territories then-current fee for a first territory.
Additional Email Account Fees	Principals each receive a free basic email account. Additional email accounts requested by the franchisee are charged at $25 per additional account per year.
Training for Additional Personnel	First two attendees are free. The franchisor may charge up to $150 per day per person for additional attendees it approves. Franchisees are responsible for costs of travel, accommodation and some meals for additional attendees.
Additional Territory Fee	An amount equal to the then-current initial territory fee if franchisees buy an additional territory in the future.
National Account Fees	The franchisor negotiates each program individually with the national account.
Encroachment Payment	100% of your gross sales in another franchisee’s territory.
Fees on Transfer	If selling to a new franchisee, $24,950 or 6% of sale price up to a maximum of $50,000. If selling to an existing franchisee, $5,000 transfer fee per territory.
Transfer Lead Referral Fee	The then-applicable lead referral fee, currently $15,000 plus the amount of any broker fees that the franchisor must pay a third party (not an employee of the franchisor).
Renewal Fee	$5,000
Insufficient or Late Payment Fee	Currently $300.
Convention Fee	Currently $750 plus travel, accommodation and some meals. Fee will vary depending on venue and location but will not exceed $2,000 annually.
Optional Meetings and Trainings	As determined by the franchisor, but generally $100-$1,500 depending on venue and mode of delivery plus travel, accommodation and some meals.
Additional Training Requested by Franchisee	Currently $500 per day, plus travel and expenses.
Audit	Cost of inspection or audit.
Insurance	Franchisees must reimburse the franchisor’s costs.
Costs and Attorneys’ Fees	Varies.
Indemnification	Varies.

The above information has been compiled from the FDD of AdvantaClean. Year of FDD: 2025.
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