Home Cleaning Centers of America

The franchise has declined from 26 units to 21 units over 3 years with a closure rate of 14.3% in the past year—can you provide detailed reasons for the 3 closures in 2024, including owner circumstances and any operational issues?

System Health scores extremely low at 4/100, well below the typical range of 41.75-73.25—what specific challenges is the franchisor aware of, and what support measures are being implemented to stabilize the network?

Financial Performance scores 40/100, below the typical range—does the franchisor have Item 19 financial performance data available that was not disclosed in the Franchise Disclosure Document, and if so, what are representative unit economics?

Your franchise fee of $12,500 is less than half the typical $30,000-$60,000 range for cleaning franchises—what is included in this fee, and are there material costs for initial inventory, equipment, or marketing not reflected in this number?

You charge 0% ad fund contribution compared to the typical 1.0-2.0% for this category—how does the franchisor fund brand marketing and customer acquisition at the system level?

Your 5.0% royalty is below the typical 6.0-8.13% range—are there any circumstances under which royalty rates could increase, or is the 5.0% rate guaranteed throughout the franchise term?

The contract permits a total potential term of 30 years (three 10-year terms) compared to the typical 10-20 year range—what performance or financial requirements must franchisees meet to qualify for each renewal?

You list only 3 renewal conditions compared to the typical 5.0-8.0—what are the specific conditions for renewal, and are there any implied or supplemental requirements not listed in the formal count?

Non-compete restrictions are only 1 year and 30 miles compared to the typical 2.0 years—what protections prevent former franchisees from immediately competing within the territory after the franchise ends?

The renewal fee is listed as $5,000—does this cover legal and administrative costs only, or are there additional fees for brand updates, equipment upgrades, or system compliance required at renewal?

Transfer rate of 4.8% is slightly above typical—what is the franchisor's policy on approving transfers, and have there been any denied transfer requests in the past 3 years?

With zero terminations by the franchisor despite declining unit count, what performance standards or compliance issues would actually trigger a franchisor-initiated termination?

Can you provide contact information for at least 5 franchisees who have closed units in the past 2 years, so prospective franchisees can understand the circumstances of exits?

The termination causes count is 10, below the typical 14.0-22.0—does this mean the franchisor has fewer grounds to terminate for cause, or are some grounds listed differently in the contract language?

Risk Factors score 59/100, below the typical 61.75-78.0 range—what specific operational or market risks should prospective franchisees understand about this business model?

Are there any pending or threatened litigation cases involving the franchisor that may not yet appear in public records, and has the franchisor settled any disputes with franchisees under confidentiality agreements?

Exclusive territory is offered—how is territory size determined, and what guarantees exist that the franchisor will not place additional branded locations or approved vendors in the same area?

Given the 14.3% closure rate in the past year, what financial reserves or profitability benchmarks should franchisees plan for to survive the early years of operation?