The Handyman Franchise Industry
Handyman franchises provide a range of household and commercial repairs and maintenance services. Commonly these services include, but aren’t limited to:
- Air conditioning and heating service
- Plumbing repair
- Drywall installation and repair
- Electrical installations
- Carpentry services
- Painting services
- Appliance installation and repair
- Flooring installation and repair
- Roofing repairs
- Gutter cleaning
Some franchises may offer a broad range of repair and maintenance services, while other franchises may focus on a specific niche such as plumbing or painting. Projects can range from simple fixes to more complex, long-term jobs.
According to IBISWorld, “the industry’s close ties to the residential construction market has aided in its expansion in recent years. In addition, the demand for handyman service franchises has grown substantially as private spending on home improvements has increased.”
Recently, that consistent growth trend was amplified by the shutdowns for the pandemic—and how much focus it shifted towards the condition of people’s houses. Of the eight main business industries of franchise companies studied by FRANdata in its 2021 Franchise Economic Outlook, only half posted positive growth for the year. And of the four, no other industry's growth rate came close to that of commercial & residential services, which includes handyman services.
Well-known companies in the handyman franchise industry include: Ace Handyman Services, Footprints Floors, Fresh Coat, Handyman Connection, Klappenberger & Son Painting and Handyman, Mr. Appliance, Mr. Handyman, Mr. Sparky, One Hour Heating & Air Conditioning, The Brothers That Just Do Gutters, The Patch Boys, Wow! One Day Painting, and more.
Items to Consider When Buying a Handyman Franchise
Pay special attention to regulations that may be required of your franchise system.
Regulations play a large role in the home services franchise industry. Keep in mind that, while the franchisor will be a huge help, you are ultimately responsible for following all laws, rules and regulations that apply to where your franchise is located.
Franchise system requirements may have slight variances, but most have many similarities to independent or non-franchised businesses in the field. For instance, prospective home services industry franchisees may be required to obtain certain construction or contractor licenses or permits just like everyone else in the industry. Again, license and permit requirements vary depending on the laws, ordinances and regulations present where the franchised business is located.
Lack of Hands-on Experience? Not a Problem.
Prospective franchisees shouldn’t be deterred by a lack of technical expertise. In fact, some franchise systems de-emphasize the technical skills typically associated with franchises in this area when seeking franchisees. In fact, many franchisees in this industry take care of the marketing, sales, and office requirements of the business along with the management of a team of employees or contractors who complete the jobs, rather than taking on the physical work themselves.
For instance, Paul Linenberg ,president of window-covering franchise Gotcha Covered, once told us that they actually “prefer franchisees without any industry experience, and our franchisees come from all walks of life. Other than a strong work ethic and a high level of professionalism, our franchisees should be outgoing and enjoy building relationships with their customers and business partners.”
Research Your Area’s Unique Needs
As Paul also discussed with us, not all regions are equal in terms of service demand. “The industry varies by region, and the demand for our products and services ranges from strong to very strong. In some areas, most of our business comes from new home construction; in other areas, most of our business comes from remodeling.”
Do your research to determine (a) what services your area needs, and (b) who your target market will consist of. In addition, consider the viability of that market going forward.
Initial Investment and Opening Costs for Handyman Franchises
The opening costs for prospective handyman franchisees can depend on many factors, including but not limited to: the business system and execution requirements, particularly if the franchisee has a physical office location outside of the franchisee’s home.
Typically, the initial investment for a handyman franchise ranges from $100,000 to $150,000. The initial investment typically includes expenses such as the initial franchise fee, lodging during training, the purchase of tools and equipment, insurance and licensing, grand opening advertising material and, perhaps, payments towards a company vehicle.
Franchisors offer estimates in their Franchise Disclosure Document (FDD) based upon their experience establishing, and in some cases operating, units. However, prospective franchisees should keep in mind these estimates are just that—an estimate. Prospective franchisees should review the figures presented with a business advisor, taking into consideration their unique circumstances, before making the decision to enter into a franchise agreement.
Top Benefits of Being a Handyman Franchisee
The benefits of owning a franchise can be numerous vs. independent operation. Here are a few of the top benefits for those who decide to own a handyman franchise instead of going at it alone.
Name Recognition: When it comes to finding a service provider, people tend to deal with someone they have a familiarity with. Franchises tend to have established brand names that, in many instances, have been around for years. If you buy a handyman franchise, you will be given the right to associate your business with that franchise company's name, trademarks, and logo.
Advertising: Getting your name out there can be expensive and sometimes it can be hard to know where to spend your advertising and marketing budget. With a franchise, national advertising is typically done by the franchisor. In addition, though local advertising is generally up to you, you’ll have guidelines in place to help guide you.
Training & Support: A popular feature with all franchises is the training provided. While in business, franchisees will have access to the franchisor’s operations manual, computer systems, and other items designed to help you successfully manage your handyman franchise.