Jan-Pro Franchise in 2024: Costs, Fee & FDD
Discover why Jan-Pro Cleaning & Disinfecting is a top choice for franchise investors with its low initial investment, strong demand, and comprehensive support. Learn about key financials, growth opportunities, and what sets it apart from competitors.
Table of Contents:
Jan-Pro Cleaning & Disinfecting is a powerhouse in the commercial cleaning and disinfecting industry, founded in 1991 by Jacques Lapointe. With over three decades of experience, Jan-Pro has built a strong reputation as a leader in delivering high-quality cleaning services for businesses. The franchise’s key selling point is its emphasis on innovation and consistency in maintaining clean and safe environments, making it a highly attractive option for entrepreneurs looking to invest in a proven model.
At its core, Jan-Pro offers comprehensive commercial cleaning services to a wide range of industries. This includes office buildings, medical facilities, educational institutions, and retail spaces. They specialize in cleaning, disinfecting, and maintaining indoor spaces to the highest standards, which is particularly important in today’s health-conscious world. Additionally, they offer ancillary services like carpet cleaning, window washing, and floor care. Jan-Pro’s core customer base includes small to large businesses looking for consistent, professional cleaning services to ensure their spaces meet regulatory and safety standards.
In terms of scale, Jan-Pro operates over 10,000 franchises across 41 countries, with a strong presence in the U.S. and Canada. With a daily reach that serves thousands of businesses worldwide, Jan-Pro has built a loyal client base that spans diverse industries. The franchise’s global presence and large number of units make it a well-established name in commercial cleaning, and its consistent growth highlights its resilience and adaptability in a competitive market.
As a franchisee, Jan-Pro offers an extensive support system that includes a comprehensive training program designed to ensure franchisees have the tools and knowledge to succeed. This training covers everything from cleaning protocols to customer service and business management. Additionally, Jan-Pro provides ongoing support, marketing assistance, and access to proprietary cleaning technologies such as their EnviroShield® disinfection system. With a low initial investment and a proven franchise model, Jan-Pro is an appealing option for anyone looking to enter the commercial cleaning space.
Jan Pro Franchise Insights
- Jan-Pro was ranked as the #1 Commercial Cleaning Franchise by Entrepreneur magazine for 14 consecutive years, solidifying its reputation as a top-tier franchise in the industry.
- The franchise offers a Master Franchise model, which allows franchisees to operate their own territories, potentially managing hundreds of unit franchises under them—a rare opportunity for rapid scaling in the commercial cleaning industry.
- Jan-Pro’s advanced scheduling software gives franchisees real-time data on customer satisfaction and service completion, offering a cutting-edge tool to ensure client retention and operational efficiency.
Jan Pro Franchise Key indicators
Growth YOY (%)
6%
vs industry 4%
Total U.S. Franchised Units
10,476
3-Year Failure Rate
30%
vs industry 13%
Sales-to-Investment ratio
3:1
How much does it cost to open a Jan Pro franchise?
Understanding the potential investment size and capital requirements is crucial when considering opening a Jan Pro franchise. These financial commitments, including initial franchise fees, equipment costs, and ongoing operational expenses, impact the feasibility and profitability of the venture. Thoroughly evaluating these factors ensures that potential franchisees are prepared for the financial responsibilities and can make informed decisions about their ability to sustain and grow the business, ultimately contributing to long-term success.
Min & Max Investment
Opening a Jan Pro franchise involves several key costs, which are outlined in Item 7 of the Franchise Disclosure Document (FDD). You can see a breakdown of the costs to open a Jan Pro below from the most recent Item 7 below:
Type of Expenditure
Minimum Investment
Maximum Investment
Initial Franchise Fee
$2,000
$26,455
Travel and Living Expenses While Attending Certification Program
$50
$300
Office and Related Expenses
$150
$550
Vehicle
$0
$500
Initial Equipment Package
$1,100
$2,200
Real Estate
$0
$550
Electrostatic Sprayer Machine
$50
$1,500
Floor Buffing Machine
$50
$1,300
Carpet Cleaning Machine
$25
$4,400
Insurance
$200
$620
Legal & Organizational Costs
$50
$2,000
Additional Funds (3 Months)
$150
$550
Total Estimated Initial Investment
$2,000
$37,920
Item 7 in the Franchise Disclosure Document (FDD) is the “Estimated Initial Investment” section. It outlines the total costs a franchisee can expect to incur when starting a franchise, including the initial franchise fee, equipment, inventory, real estate, and other startup expenses. This section is crucial because it provides potential franchisees with a detailed understanding of the financial commitment required, helping them assess affordability and plan their investment strategy effectively.
Required Capital
For Jan-Pro Cleaning & Disinfecting or similar franchises in the commercial cleaning industry, the required capital, liquid assets, and net worth can vary depending on location and specific franchise terms. Based on industry standards for comparable franchises, here are some general estimates:
- Initial Investment The total investment required to open a Jan-Pro franchise ranges from approximately $2,000 to $38,000, covering franchise fees, training, equipment, and marketing expenses. This makes it one of the more accessible franchise opportunities in terms of startup costs. Assuming that you will finance your franchise investment, you should plan to have 20% of the total investment amount in the form of equity (cash) for the investment.
- Liquid Assets Franchisees typically need around $10,000 to $20,000 in liquid capital, depending on the region and market conditions.
- Net Worth A net worth of at least $50,000 to $100,000 is commonly required, showing financial stability to sustain the business, particularly in the early stages.
These figures are estimates based on similar franchises in the industry. Always confirm exact financial requirements with the franchisor during your due diligence process.
How much does a Jan Pro franchise owner make?
Calculating the salary of a Jan Pro franchise owner involves analyzing gross sales to determine total revenue, assessing operational efficiency to understand profit margins, and accounting for franchisor fees and additional expenses such as rent, utilities, and payroll. Effective management of these factors can significantly impact the profitability and financial success of a Jan Pro franchise owner. This comprehensive financial analysis helps estimate net profits, from which the owner’s salary can be derived. A clear understanding of these factors ensures accurate salary projections and financial planning for sustainable business operations.
Jan Pro Revenue & Gross Sales
Based on the most recent analysis, Jan-Pro franchisees achieved a median gross sales of $62,000, highlighting steady demand for commercial cleaning services. This financial performance reflects the growing emphasis on cleanliness and sanitation in various industries, positioning the franchise as a solid revenue-generating opportunity in the cleaning sector.
Which key factors impact the average revenue performance of Jan Pro franchisees?
The performance of Jan-Pro franchisees’ median gross sales this past year can likely be attributed to several key factors. First, heightened awareness around cleanliness and sanitation, especially in the wake of the COVID-19 pandemic, has driven increased demand for commercial cleaning services across a range of industries. Businesses, schools, healthcare facilities, and offices have prioritized regular deep cleaning and disinfecting protocols, boosting sales for franchises like Jan-Pro. Additionally, Jan-Pro’s innovative use of proprietary cleaning technology, such as the EnviroShield® disinfection system, has helped differentiate the brand from competitors, attracting more clients. Finally, the franchise’s strong support system and ongoing training for franchisees may have contributed to improved operational efficiency, allowing franchisees to take on more clients and drive revenue growth compared to the prior year.
Jan Pro Franchise Operational Costs
When opening a Jan-Pro Cleaning & Disinfecting franchise, the key ongoing operational costs you’ll need to consider revolve primarily around the day-to-day operations and services you provide. These include:
- Employee Wages Depending on the size of the contracts, you’ll need staff to handle cleaning services. This includes wages, benefits, and payroll taxes.
- Cleaning Supplies and Equipment You’ll need to maintain an inventory of cleaning products, tools, and machines such as vacuums, mops, and disinfectants.
- Insurance General liability and worker’s compensation insurance are essential to protect the business and employees.
- Transportation If you’re managing multiple sites, fuel, vehicle maintenance, and potential lease costs for company vehicles should be factored in.
- Technology and Software Consider expenses for scheduling software, invoicing systems, and customer management tools to keep the business efficient.
- Uniforms and Branding Providing employees with uniforms and maintaining brand standards for appearance will be an ongoing cost.
These are specific operational costs tailored to a Jan-Pro franchise without including franchise-related fees.
Jan Pro Franchise Fees
When opening a Jan-Pro Cleaning & Disinfecting franchise, there are several ongoing fees to consider that will impact your monthly operational costs. These fees ensure that franchisees receive continued support and maintain access to the brand’s proprietary systems and resources.
- Royalty Fee 10% of your Gross Billings for the previous month, due monthly on the final business day. This fee is based on the total revenue generated from services provided under the Jan-Pro brand.
- Support Services Fee 5% of your Gross Billings for the previous month, due monthly. This fee covers the ongoing support you receive from the franchisor, such as training, operational guidance, and brand-related resources.
- Additional Fees There might be other fees related to marketing, technology, or equipment upgrades, depending on the specific needs of your franchise location.
Jan Pro Franchise Earnings
When evaluating potential earnings as a Jan-Pro Cleaning & Disinfecting franchisee, the median gross sales reported is $62,000, which provides a solid benchmark for what franchisees might expect in terms of revenue. However, it’s important to note that actual earnings can vary based on factors like market demand, location, and your ability to secure and retain clients. The median gross sales figure represents the middle range, meaning some franchisees may achieve higher or lower revenues depending on their operations.
For owner-operators, earnings are typically lower due to the hands-on nature of managing daily cleaning tasks, with reported earnings averaging $9,000. This reflects the reality that while owner-operators have lower overhead costs (since they do much of the work themselves), their earning potential may be capped by the number of clients they can personally handle. Expansion or hiring a team could significantly impact these numbers and boost overall profitability.
How to Open a Jan Pro Franchise
Becoming a Jan-Pro Cleaning & Disinfecting franchisee involves several key steps, starting from your initial inquiry to launching your operations. Here’s an overview of the process:
- Initial Inquiry You or your franchise specialist submits an initial inquiry basic information about your interest and background. You should also conduct thorough research on the franchise, including seeing all of the information available on the Vetted Biz franchise intelligence platform, including access to the most recent Franchise Disclosure Document (FDD).
- Discovery Day You may be invited to a “Discovery Day,” where you’ll meet key members of the Jan-Pro corporate team and learn more about the day-to-day operations, support systems, and growth opportunities.
- Application and Approval After attending Discovery Day, you will submit a formal franchise application. The Jan-Pro team will review your application, financials, and background to ensure you meet the requirements. Once approved, you’ll sign the franchise agreement.
- Training Jan-Pro offers comprehensive training to prepare you for operating your franchise. This includes hands-on training in cleaning procedures, business operations, customer acquisition, and utilizing proprietary technology.
- Setup and Pre-Opening Before launching, you will set up your business by securing necessary equipment, hiring staff, and preparing marketing efforts. Jan-Pro will assist you with operational setup and provide guidance on launching your services.
- Launch and Start of Operations Once everything is in place, you’ll officially open your Jan-Pro franchise and begin providing cleaning services to clients. Jan-Pro continues to offer ongoing support to ensure a smooth start and long-term success.
This structured process ensures that franchisees are well-prepared for success before they officially launch their Jan-Pro business.
Pros & Cons
Pros
Low Initial Investment: With an initial investment range of $2,000 to $38,000, Jan-Pro offers a relatively affordable entry point compared to many other franchise opportunities, making it accessible to a wide range of investors.
Strong Demand: The commercial cleaning industry, particularly in the wake of COVID-19, has seen increased demand, providing stable and potentially growing revenue opportunities.
Comprehensive Support and Training: Jan-Pro provides excellent training and ongoing support, ensuring that franchisees have the tools to operate effectively from day one.
Cons
Lower Earnings for Owner-Operators: For those planning to be hands-on owner-operators, the earnings are often lower, averaging around $8,831 annually, limiting potential income without expansion.
Highly Competitive Market: The commercial cleaning industry is highly competitive, with numerous local and national competitors. Success may require aggressive marketing and client acquisition efforts.
Labor Management Challenges: Managing cleaning staff can be challenging, as turnover rates in the cleaning industry tend to be high, potentially increasing hiring and training costs.
