Two Men and a Truck Franchise Costs, Fees & FDD

Year Business Began: 1985

Franchising Since: 1989

Headquarters: Atlanta, Georgia

Estimated Number of Units: 385

Franchise Description: The franchisor is Two Men and a Truck SPE LLC. The franchisor is a direct subsidiary of ServiceMaster Systems LLC. A Two Men and a Truck franchise provides moving services and related services including packing and the sale of boxes and packing materials. The franchisor currently offers two types of franchised businesses: (1) a metro market franchise and (2) a mod market franchise.
Training Overview: Franchisees and/or the designated franchise representative (typically a general manager or manager) must attend the training program at Stick Men University at the franchisor’s support center in Lansing, Michigan before opening the franchise. The initial training class, called Gearing Up, is 32 to 40 hours of classes that focus on the day-to-day operations of the business. The franchisor may, in its sole discretion, require or permit franchisees to attend a virtual option for these classes. If franchisees acquire a mod market franchise, they may also be required to complete three to five days of on-site training at a franchise location specified by the franchisor. All training must be successfully completed prior to opening the franchise, which must occur within four months of signing the Franchise Agreement. The franchisor can require franchisees and/or a representative designated by the franchisee and approved by the franchisor (typically a general manager or manager) to attend additional training, sales programs, or meetings that the franchisor specifies. A representative of franchisee must attend the Two Men and a Truck Annual Conference at least once every two years unless the franchisor approves attendance at an alternative training program or other event.

Territory Granted: Purchasing a franchise enables franchisees to have a protected territory (referred to as the “marketing area”) in which to locate their franchise and to perform certain types of direct marketing that other franchisees are not ordinarily permitted to do within the territory. Franchisees will not receive an exclusive territory. However, the franchisor will not locate its own units or grant to any other person or entity the right to locate any unit, within the marketing area using the system licensed by the Franchise Agreement. The marketing area for a metro market franchise will generally include a population of approximately 420,000 to 600,000. However, this may vary significantly in densely populated metropolitan areas (e.g., New York and Los Angeles). The marketing area for a mod market franchise will generally include a population that ranges from approximately 100,000 to 250,000.

Obligations and Restrictions: Franchisees (or a representative approved in writing by the franchisor if the franchisee is a corporation, limited liability company or another legal entity) must personally supervise the day-to-day operation of the franchise and personally exercise their best efforts to market the products and services of the franchise. Franchisees must sell all products and provide all services that the franchisor specifies for sale for franchised businesses. Franchisees must sell all products and provide all services in the manner specified by the franchisor and in accordance with its policies and procedures. Franchisees must meet minimum performance requirements.

Term of Agreement and Renewal: The length of the initial franchise term is five years. Renewal is for one additional five-year term, if requirements are met.

Financial Assistance: The franchisor does not offer direct or indirect financing for the franchise. The franchisor does not guaranty any of a franchisee’s notes, leases, or other obligations. At request, the franchisor may provide information and advice to assist franchisees in seeking financing. Franchisees may be eligible for certain discounts to the initial franchise fee if one or more individuals that will own 51% or more of the interests in the franchised business (or in the entity that owns the franchised businesses): (a) meet the franchisor’s qualifications for purchasing a franchised business, (b) have full operational control of the franchised business, and (c) meet the qualifications for the discount type.

Estimated Initial Investment

Name of Fee	Low	High
Initial Franchise Fee	$30,000	$165,000
Lease Security Deposit	$1,000	$24,000
Leasehold Improvements	$3,000	$4,000
Miscellaneous Startup Expenses	$5,000	$25,000
Insurance	$5,000	$10,750
Licensing Requirements	$500	$20,000
Legal and Accounting Fees	$2,500	$7,500
Trucks	$1,600	$49,500
Office/Mobile Technology Costs	$10,000	$24,000
Initial Marketing Expenses	$5,000	$40,000
Storage Service Expenses	$0	$30,000
Pre-Opening Training Costs	$2,500	$6,000
Additional Funds – 3 Months	$26,000	$100,700
ESTIMATED TOTAL	$92,100	$506,450

 
Other Fees

Type of Fee	Amount
Royalty Fee	6% of all gross sales. Minimum royalty fees apply.
Contributions to Advertising Fund	1% of all gross sales.
Local Digital Advertising Fees	100% of the digital advertising spend billed to the franchisor by all managed ad platforms, plus an administrative fee of 15% of the media spend.
Cooperative Advertising	Up to 1% of annual gross sales (or up to $1,500 per month for a new franchise in its first 12 months of operation), unless the franchisee and all other participants agree to a higher rate. Currently, fees range from approximately $100 to $400 per month.
Minimum Local Marketing Spend Deficiency	The difference between the required minimum local marketing spend and the franchisee’s actual spending on eligible marketing, plus late fees and interest.
Technology and Support Fee	Metro Market Franchises: Currently, 1% of gross sales with a minimum payment of $1,200 per month. Mod Market Franchises: Currently, 2% of gross sales with no minimum.
Fees for Sales Support Services	See FDD.
Records and Bookkeeping Fees	Currently, $95 per hour.
Risk Management and Safety Services Fees	Currently, $1,800 to $4,800 per year.
Registration Fees for Meetings or Additional Training Programs	Currently, $75 to $1,200 per attendee (which may be increased up to $1,500 per attendee) for meeting or training program registration fees.
Additional Assistance Fees	Currently, $75 to $1,200 per day per franchisor representative (which may be increased up to a maximum of $1,500 per day per representative) plus travel and living expenses of the franchisor’s representatives.
Fees for Administering National Accounts	Currently, fixed fees of $20 to $100 for each service or 3% to 5% of the revenue from the national account.
Fees for Administering National Programs - Value Flex	Currently, $120 to $1,000 per move based on the value of materials being moved and an administrative fee of $250 to $600 per move.
Vendor Product Testing Fee	Actual out-of-pocket cost plus $125 per hour for evaluation.
Products and Services	The actual costs of any products and services that the franchisor provides or procures, plus a mark-up or administrative fee that will not exceed 20% of the actual costs of such products or services.
Payments relating to Participation in Captive Insurance Program	Annual fee based on the franchisee’s allocable portion of the letter of credit the franchisor provides for participants.
Late Fees and Interest	Varies.
Audit	$5,000 plus the cost of audit, the amount of the underpayment, and interest on the underpayment.
Inspection Fee	$500 per representative per day, plus the franchisor’s actual costs and expenses, which include travel and living expenses for its representatives.
Indemnification	Will vary under circumstances.
Insurance Procurement Fee	Up to 150% of any costs and expenses that the franchisor and its affiliates incur to obtain and maintain insurance, if the franchisee fails to obtain or maintain the required insurance.
Customer Complaint Management Fee	Up to $1,000 plus any costs and expenses that the franchisor and its affiliates incur to attempt to resolve such complaint.
Performance After Default	Up to 120% of any costs and expenses that the franchisor and its affiliates incur to perform such obligation.
Enforcement Expenses	The franchisor and its affiliates’ costs and expenses.
Attorneys’ Fees and Costs	Will vary under circumstances.
Tax Reimbursement Fees	Will vary under circumstances.
Renewal Fee	25% of the franchise fee charged to new franchisees at the time of renewal (the fee is 50% if franchisees do not timely renew).
Fee for Adding a Person as a Franchisee or as a Principal of the Franchisee	20% of the franchise fee charged to new franchisees at time of addition, plus the franchisor and its affiliates’ costs and expenses incurred related to the addition (including attorneys’ fees).
Transfer/ Marketing Area Division Fee	40% of the franchise fee charged to new franchisees at the time of transfer, plus the franchisor and its affiliates’ costs and expenses incurred related to the transfer (including attorneys’ fees).
Temporary Management Fee	Reasonable fee not to exceed 5% of gross sales.
Non-Compliance Fee	$5 to $4,000 per violation per day.
Liquidated Damages	Present value of the royalty fee that franchisees would have paid for the remainder of the term of the Franchise Agreement.
Holdback Amount for Customer Claims	An amount determined by the franchisor based on the franchisee’s customer damage history for previous two years and any known current damage issues.
Appraiser’s Fee	50% of appraiser’s fee for the first appraiser; 100% of appraiser’s fee for the second and third appraiser.

The above information has been compiled from the FDD of Two Men and a Truck. Year of FDD: 2025.
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