HouseMaster Residence Inspections Franchise Prices, Charges, Revenues, Income (2023 Evaluate)

On this unique Franchise Chatter FDD Speak submit, you’ll study the next:

Part I – Estimated preliminary funding (franchise prices) for a HouseMaster Residence Inspections franchise, based mostly on Merchandise 7 of the corporate’s 2022 FDD

Part II – Preliminary franchise payment, royalty payment, and advertising payment for a HouseMaster Residence Inspections franchise, based mostly on Objects 5 and 6 of the corporate’s 2022 FDD

Part III – Variety of franchised and company-owned HouseMaster Residence Inspections shops at the beginning of the yr and the tip of the yr for 2019, 2020, and 2021, based mostly on Merchandise 20 of the corporate’s 2022 FDD

Part IV – Information updates on the HouseMaster Residence Inspections franchise alternative

Part V – Presentation and evaluation of HouseMaster Residence Inspections’ monetary efficiency representations (common revenues and/or earnings), based mostly on Merchandise 19 of the corporate’s 2022 FDD, together with data on the:

• 2021 common, median, highest, and lowest product sales for the (i) 74 HouseMaster franchisees working a single franchised enterprise; (ii) 27 HouseMaster franchisees working two franchised companies; (iii) 10 HouseMaster franchisees working three franchised companies; (iv) 6 HouseMaster franchisees working 4 franchised companies; and (v) 6 HouseMaster franchisees working 5 to eight franchised companies (collectively, the “Reporting Franchisees”), working a complete of 237 franchised companies

Part VI – Key ratios, comparables, computations, and analyses for the HouseMaster Residence Inspections franchise alternative (unique content material for Platinum subscribers)

Part I – HouseMaster Residence Inspections Franchise Prices

• Preliminary Franchise Charge:  $42,500
• Coaching Bills:  $500 to $3,000
• Licensing Compliance Prices:  $0 to $15,000
• Advertising and marketing Supplies and Provides:  $3,000 to $6,000
• Workplace Tools, Furnishings:  $0 to $2,000
• Laptop System:  $150 to $4,850
• Hire:  $0 to $750
• Pay as you go Bills:  $250 to $750
• Insurance coverage:  $4,000 to $9,000
• Skilled Charges:  $0 to $1,000
• Reunion Journey Bills:  $1,000 to $3,000
• Car and Car Branding:  $2,700 to $5,800
• Grand Opening Promotion Expense:  $1,000 to $3,000
• Extra Funds for 3 Months:  $6,000 to $11,000
• Complete Estimated HouseMaster Residence Inspections Franchise Prices:  $61,100 to $107,650

Part II – HouseMaster Residence Inspections’ Preliminary Franchise Charge, Royalty Charge, and Advertising and marketing Charge

• Preliminary Franchise Charge:  $.57 per owner-occupied dwelling positioned in your territory

• License Charge:  7.5% of first $125,000 in Gross Gross sales per yr, 7% on Gross Gross sales of $125,001-$250,000, 6.5% on Gross Gross sales of $250,001-$500,000, 6% on Gross Gross sales of $500,001-$1,000,000, 5.5% on Gross Gross sales of $1,000,001-$1,500,000, and 5% on Gross Gross sales over $1,500,000, in every case aside from “roll-in” gross sales. You should pay a minimal month-to-month License Charge for every territory.

• Advertising and marketing, Promoting, and Promotions (MAP) Charge:  2.5% of first $125,000 in Gross Gross sales per yr, 2.25% on Gross Gross sales of $125,001-$250,000, and a pair of% on Gross Gross sales over $250,000

• Native Advertising and marketing Teams (LMG):  to not exceed 3% of Gross Gross sales. As of the issuance date of the present Franchise Disclosure Doc, HouseMaster might require {that a} portion of your LMG contribution (at the moment, 2% of your Gross Gross sales) be paid to be used in the direction of the Neighborly advertising and model consciousness initiatives.

Part III – Variety of Franchised and Firm-Owned HouseMaster Residence Inspections Shops

Franchised

2019

• Shops on the Begin of the Yr:  259
• Shops on the Finish of the Yr:  266
• Internet Change:  +7

2020

• Shops on the Begin of the Yr:  266
• Shops on the Finish of the Yr:  271
• Internet Change:  +5

2021

• Shops on the Begin of the Yr:  271
• Shops on the Finish of the Yr:  272
• Internet Change:  +1

Firm-Owned

2019

• Shops on the Begin of the Yr:  6
• Shops on the Finish of the Yr:  6
• Internet Change:  0

2020

• Shops on the Begin of the Yr:  6
• Shops on the Finish of the Yr:  6
• Internet Change:  0

2021

• Shops on the Begin of the Yr:  6
• Shops on the Finish of the Yr:  0
• Internet Change:  -6

Part IV – Information Updates on the HouseMaster Residence Inspections Franchise

Part V – Monetary Efficiency Representations (Common Revenues and/or Income) for the HouseMaster Residence Inspections Franchise (Merchandise 19, 2022 FDD)

• The gross sales figures listed beneath are common and median information derived from historic working outcomes of the HouseMaster franchised companies indicated for the time interval lined.

• HouseMaster obtained these gross sales figures from data offered to it by its franchisees for the interval from January 1, 2021 by December 31, 2021 (the “2021 Reporting Interval”).

• Neither HouseMaster nor its impartial licensed public accountants have audited or verified any of the gross sales figures reported to it. Franchisees will not be required to make use of typically accepted accounting ideas when reporting these figures.

• The entire companies for which gross sales outcomes are reported beneath had been operated by franchisees. The entire franchised companies are similar to the franchised companies provided by the disclosure doc and provided considerably the identical providers to the general public.

• As of December 31, 2021, there have been 272 HouseMaster franchised companies in operation in the US. This Merchandise 19 consists of information from 237 companies (operated by a complete of 123 franchisees) which had been all in operation and reporting gross sales for the whole 2021 Reporting Interval (the “2021 Reporting Companies”).

• The knowledge excludes information from 14 franchised companies (operated by a complete of seven franchisees) that opened throughout the yr 2021 and subsequently weren’t in operation for the whole 2021 Reporting Interval. As well as, this Merchandise 19 excludes information from 10 franchised companies as a result of they didn’t report information to HouseMaster for the whole 2021 Reporting Interval.

• Additionally excluded from this Merchandise 19 is information reported by 11 franchised companies (operated by a complete of seven franchisees) that had been granted unique territory rights (known as both a Restricted Space Franchise Territory or a Reciprocal Alternative Franchise Territory). HouseMaster not grants any unique territory rights.

• 13 franchised companies closed in 2021 and subsequently their information can also be excluded from this Merchandise 19. Of the 13 companies that closed throughout the yr 2021, zero companies closed after being open for lower than 12 months.

• As a result of HouseMaster franchisees have traditionally reported information to HouseMaster aggregated by franchisee (somewhat than by a franchised enterprise) and a variety of HouseMaster franchisees function a number of HouseMaster franchised companies, HouseMaster has separated the information reported on this Merchandise 19 by the variety of franchised companies that the franchisees personal – i.e., individually displaying common and median information for franchisees that personal one franchised enterprise/unit, franchisees that personal two franchised companies/items, franchisees that personal three franchised companies/items, franchisees that personal 4 franchised companies/items, and franchisees that personal 5 to eight franchised companies.

• No changes, together with changes for geographic location, have been made to those reported gross sales. This report doesn’t embrace details about earlier intervals or any future intervals.

• Additionally, as a result of these are Gross Gross sales outcomes solely, no prices or bills are taken into consideration.

• Some shops have earned this quantity. Your particular person outcomes might differ. There isn’t a assurance you’ll earn as a lot.

• “Gross Gross sales” means the whole revenues and receipts from no matter supply (whether or not within the type of money, credit score, settlement to pay, barter, commerce, or different consideration) that come up, immediately or not directly, from the operation of – or in reference to – a HouseMaster Enterprise whether or not below any of the Marks or in any other case.

• Gross Gross sales exclude gross sales taxes collected from clients and paid to the suitable taxing authority and another bona fide refunds, rebates, or reductions that HouseMaster authorizes in writing.

• Gross Gross sales additionally exclude gross sales from any Excluded Companies (as outlined in a mutually executed Excluded Companies Addendum).

Common and Median Gross Gross sales for Franchised Companies for the Interval January 1, 2021 to December 31, 2021 (2021 Reporting Interval)

• This desk exhibits individually the typical and median annual Gross Gross sales information for the 2021 Reporting Interval for (i) 74 franchisees working a single franchised enterprise; (ii) 27 franchisees working two franchised companies; (iii) 10 franchisees working three franchised companies; (iv) 6 franchisees working 4 franchised companies; and (v) 6 franchisees working 5 to eight franchised companies (collectively, the “Reporting Franchisees”), working a complete of 237 franchised companies.

Single-Unit Franchisees Group

• Variety of Reporting Franchisees:  74
• Common Gross Gross sales:  $180,497
• Quantity and Proportion of Franchisees That Achieved at Least the Common:  27 / 22%
• Precise Highest Gross Gross sales:  $818,912
• Precise Lowest Gross Gross sales:  $14,327
• Median Gross Gross sales:  $145,841

2-Unit Franchisees Group

• Variety of Reporting Franchisees:  27
• Common Gross Gross sales:  $288,469
• Quantity and Proportion of Franchisees That Achieved at Least the Common:  14 / 52%
• Precise Highest Gross Gross sales:  $840,023
• Precise Lowest Gross Gross sales:  $54,441
• Median Gross Gross sales:  $188,288

3-Unit Franchisees Group

• Variety of Reporting Franchisees:  10
• Common Gross Gross sales:  $703,571
• Quantity and Proportion of Franchisees That Achieved at Least the Common:  04 / 40%
• Precise Highest Gross Gross sales:  $2,242,439
• Precise Lowest Gross Gross sales:  $174,790
• Median Gross Gross sales:  $548,540

4-Unit Franchisees Group

• Variety of Reporting Franchisees:  6
• Common Gross Gross sales:  $707,077
• Quantity and Proportion of Franchisees That Achieved at Least the Common:  03 / 50%
• Precise Highest Gross Gross sales:  $1,049,309
• Precise Lowest Gross Gross sales:  $111,750
• Median Gross Gross sales:  $928,000

5 to 8-Unit Franchisees Group

• Variety of Reporting Franchisees:  6
• Common Gross Gross sales:  $618,523
• Quantity and Proportion of Franchisees That Achieved at Least the Common:  01 / 17%
• Precise Highest Gross Gross sales:  $1,818,775
• Precise Lowest Gross Gross sales:  $220,754
• Median Gross Gross sales:  $430,600

All

• Variety of Reporting Franchisees:  123
• Common Gross Gross sales:  $293,779
• Quantity and Proportion of Franchisees That Achieved at Least the Common:  47 / 38%
• Precise Highest Gross Gross sales:  $2,242,439
• Precise Lowest Gross Gross sales:  $14,327
• Median Gross Gross sales:  $187,953

Part VI – HouseMaster Residence Inspections Franchise Ratios, Comparables, Computations, and Analyses (Unique Content material for Platinum Subscribers) ⬇️