Commercial cleaning businesses are now getting popular as time goes by. From a simple house cleaning, they evolved to perform work at much bigger places such as industrial and institutional places. Some commercial cleaning businesses even offer maintenance service. Franchising one can be a great opportunity to earn a lot of cash. And the best commercial cleaning company you can hire is Jan-Pro. This international cleaning company is ranked #1 in the commercial cleaning franchise in the whole world. If you are planning to franchise this cleaning business, you must first know how much does Jan-Pro franchise cost?
Average Jan-Pro Franchise Startup Fee
Jan-Pro is the most famous cleaning company in the whole wide world and they are known because of their goal, which is to provide professional, high-quality, updated cleaning service at the most reasonable price. This company will provide every cleaning program to satisfy their customers.
Before you can franchise Jan-Pro, the company will require you to qualify their criteria. You will need at least a net worth of around $1,000 up to $14,000 and you are required to have at least $1,000 in cash. Jan-Pro doesn’t require you to have any experience in business or cleaning service. As long as you want to earn money to support yourself and your family, Jan-Pro will let your franchise.
So how much does Jan-Pro franchise cost? Well, the total investment you will need for this business is around $3,600 up to $66,300. And of course, it all depends on many factors. The best way to know what will really cost you is to break down the total cost into its fine parts. Here is the cost breakdown of the overall investment you will need to consider:
- Initial Fee – This is the first expense you will have to make before you can fully open your own Jan-Pro cleaning business. Jan-Pro franchise startup fee is around $3,150 on the lower end and $60,000 on the higher end.
- Training – After paying the initial fee, you will have to complete a training course given by Jan-Pro. Normally, the company will not charge you any expense if there are only 4 people who will join the training. However, if the number of people exceeds 4, they may charge you a reasonable price. You are required to attend and complete successfully the Certification Training Program given by the company. You are also required to attend seminars, sessions, consultations, and any other programs. The company might provide you a personal consultation only if they can accommodate. The seminars and sessions are required because this is the only way where the company can introduce new methods and materials. The cost for training which includes travel, food and lodging expenses can run around $50 up to $300. The training includes classroom, video, and on-site professional consultation.
- Office Equipment – After the training, you are required to have your own office. Making your own office may cost you around $150 up to $550. This includes chairs, desks, computers, and much more.
- Vehicle – A car can also affect the overall cost. If you already have a vehicle that can be used for cleaning services, won’t have to worry about this. However, if you don’t have, this factor may cost you around $500.
- Real Estate – Unlike any other businesses such as restaurants, commercial cleaning business doesn’t require much of real estate. So if you already own an establishment, don’t worry about this factor. If not, then expect to spend around $500 for a small real estate.
- Machine – This is an important factor for your business and this will surely add up to your total Jan-Pro franchise cost. The machines you will purchase will be used in every service you will make. The cost of this depends on what machine you are going to purchase and the number of machines. A floor buffing machine can cost you around $25 on the lower end and $900 on the higher end. On the other hand, a carpet cleaning machine can cost you around $25 on the lower end and $1,500 on the higher end.
- Insurance – This is one unavoidable factor that you will really need to consider. Every commercial cleaning company will be required to have a cleaning insurance. Why? It is because your employees will have to enter into someone’s property. Making them exposed to risks such as damaging any property of your client. This insurance will help you with this kind of situations. You can visit Progressive Commercial to get more information about commercial cleaning insurance. The cost of insurance can run around $15 up to $325.
- Legal and Organization Costs – $50 on the lower end and $680 on the higher end.
- Operational Fund – You will need to finance the fund that will be for the first 3 months of your business’ operation since you are not earning much during that period of time. This will include the salary of your employees and other expenses that will be done for the first 3 months. Expect to spend around $150 on the lower end and $550 on the higher end.
Now that you know how much is the Jan-Pro franchise startup fee, you should also know the extra costs associated with the operation of your business.
The first and foremost ongoing expense that you will have to make is the ongoing royalty fee. As for Jan-Pro, you are required to pay 10% of your gross billings for the preceding month.
You are also required to pay the support fee which is equivalent to 5% of your gross billings for the preceding month and administrative fee which is equivalent to 10% of your special service billings for the preceding month.
You will also have to pay whenever there are complaints and violations regarding your service that can destroy the reputation of Jan-Pro. Expect to pay around $50 for the complaint and violation fee.
You must also contribute to their advertising fund which is equivalent to less than 1% of your gross billings for the preceding month.