15 frequently asked questions answered with data from the 2025 Franchise Disclosure Document.
The total initial investment to open a Clothes Bin franchise ranges from $162K to $217K (2025 FDD). This includes the franchise fee, equipment, build-out, inventory, and working capital needed before opening.
View full investment analysisThe initial franchise fee for Clothes Bin is $50K (2025 FDD). This one-time fee is paid to the franchisor when signing the franchise agreement and covers the right to use the brand, systems, and initial training.
View full investment analysisData sourced from the Clothes Bin 2025 Franchise Disclosure Document (FDD). Always review the most current FDD and consult with a franchise attorney before making investment decisions.
No, Clothes Bin does not require franchisees to have dedicated real estate (2025 FDD). This can significantly reduce startup costs and ongoing overhead.
View full investment analysisThe total ongoing fee rate for a Clothes Bin franchise is approximately 1.5% of gross sales (2025 FDD). This includes the royalty fee, a 1.5% marketing/advertising fund contribution, a $433/month technology fee, and other recurring charges.
View full fees analysisClothes Bin has been involved in 0 litigation cases over the past 3 years (2025 FDD). There are no class action lawsuits pending.
View full litigation analysisNo, the Clothes Bin franchisor has no bankruptcy filings in their disclosure history (2025 FDD).
View full litigation analysisClothes Bin offers exclusive territory rights to its franchisees (2025 FDD). The franchise agreement includes encroachment protection, preventing the franchisor from placing another unit in your territory. Franchisees retain online sales rights for their territory.
View full territory analysisClothes Bin currently operates 74 locations (2025 FDD) (70 franchised, 4 company-owned). The system grew by 72.1% over the past year. The 3-year compound annual growth rate is 27.1%.
View full growth analysisThe 1-year franchisee turnover rate for Clothes Bin is 5.4% (2025 FDD). This includes closures, terminations, non-renewals, and transfers. A lower turnover rate generally indicates higher franchisee satisfaction and system stability.
View full growth analysisAccording to the Clothes Bin FDD Item 19 financial performance representation (2025 FDD), the median gross sales per unit is $242K (average: $359K).
View full financials analysisThe initial franchise agreement term for Clothes Bin is 5 years (2025 FDD). Franchisees can renew 2 times for 5-year periods. The total potential term is 15 years.
View full contract analysisClothes Bin's post-termination non-compete clause restricts former franchisees from operating a competing business for 3 years within 25 miles of the former location (2025 FDD).
View full legal analysisYes, Clothes Bin's franchise agreement requires mandatory arbitration for dispute resolution (2025 FDD). The agreement includes a jury trial waiver.
View full legal analysisClothes Bin provides 8 hours of initial training (2025 FDD). The cost of training is covered by the franchisor (travel and lodging are typically the franchisee's responsibility). Ongoing field support is provided on a as-needed basis.
View full support analysisYes, Clothes Bin provides site selection assistance to help franchisees find the right location (2025 FDD). The franchisor also provides technology support and systems.
View full support analysis