Best Cleaning Franchises to Start Your Cleaning Business
Understanding whether to pursue a master franchise or unit-level franchise is crucial when entering the cleaning business. Each offers distinct benefits based on the level of involvement and revenue potential desired.
Table of Contents:
Introduction
This guide explains how a cleaning franchise works, with a focus on how they generate revenue and the costs involved in starting one. Cleaning franchises operate differently from other franchise models, with structures that affect how responsibilities and earnings are distributed.
Models of Cleaning Franchises
Master Franchisee
Master franchisees operate as area developers and are responsible for acquiring contracts for commercial cleaning services. They work directly with business owners and property managers to secure cleaning contracts.
Key Responsibilities:
- Securing contracts with businesses.
- Recruiting and assigning contracts to unit-level franchisees.
- Earning revenue by selling contracts to unit franchisees.
Master franchisees, in franchises like Jani-King and Jan-Pro, can generate significant revenue—potentially earning between $150,000 and $200,000 annually. These businesses have the capacity to grow further, with some scaling their operations to achieve revenues of $3 million to $5 million over time.
Unit-Level Franchisee
Unit-level franchisees are typically responsible for fulfilling the cleaning contracts provided by the master franchisee. This model is ideal for smaller operators, such as a husband-and-wife team, who may manage part-time cleaning jobs.
Key Characteristics:
- Limited resources and minimal staff.
- Potential for net earnings of 70-80% of revenue.
- Some unit-level franchisees build larger teams and grow their operations into profitable businesses.
Residential Cleaning Businesses
Residential cleaning franchises, such as Molly Maid, operate on a different model. Franchisees build a team of employees (e.g., 20 W2 employees) responsible for fulfilling cleaning jobs. The franchisee is responsible for managing all aspects of staffing, including hiring, training, and firing employees.
Key Responsibilities:
- Recruiting, training, and managing cleaning staff.
- Securing residential cleaning contracts.
- Working with the franchise system for lead generation.
Conclusion
While commercial cleaning franchises can be profitable, it’s essential to decide whether you are more suited to operating as a master franchisee or a unit-level franchisee. Master franchisees focus on growing a large-scale business, while unit-level franchisees might prefer managing a smaller operation or side business.
