Homestretch Home Services

The franchise has grown from 6 units to 167 in 3 years (203% CAGR). What specific recruitment, training, and support strategies have enabled this growth, and how do you ensure consistent quality across such rapid expansion?

Average gross sales of $264,926 and median sales of $207,584 are significantly below industry benchmarks. What percentage of franchisees achieve profitability, and what is the typical path to profitability in months or years?

Seven units closed or ceased operations in 2025 alone. Can you provide detailed information about the reasons for these closures—were they market conditions, franchisee performance issues, operational challenges, or other factors?

Support & Training scores 74/100, below the typical range of 79-90 for home services franchises. What specific training and ongoing support are provided post-opening, and how do you measure training effectiveness?

Royalty rate is 7.25%, above the typical 6.0-7.0% range, and the $600 monthly technology fee is at the maximum of typical ranges. What specific value does the technology fee provide, and is it negotiable?

The franchise fee of $60,000 is above the typical range. What is included in this fee, and does it cover initial inventory, equipment, marketing materials, or other startup costs?

With a total potential term of 30 years (10 initial + 2 renewals of 10 years), what are the 9 renewal conditions mentioned in the franchise agreement, and how difficult is renewal in practice?

The agreement specifies 27 termination causes, above the typical range of 14-21. Can you provide the complete list and clarify which causes are for cause versus convenience?

Bottom quartile franchisees generate $128,000 in gross sales. What is the typical operating expense percentage, and what net profit margin can franchisees realistically expect at different sales levels?

The territory is protected but not exclusive. What does 'protected' mean in practice, and can the franchisor open a competing location within your territory under any circumstances?

Renewal requires franchisees to meet 9 specific conditions. If a franchisee meets operational standards but doesn't renew, do they face the full 2-year/25-mile non-compete, or is it modified?

The agreement requires personal guarantees from all shareholders, members, and managers and their spouses. How common are guarantor defaults, and what is the franchisor's enforcement history?

Item 19 financial performance data is provided, but for how many units and in what timeframe? Are these numbers representative of recent franchisees or longer-tenured ones?

The agreement mandates purchase of 8 product/service categories from approved suppliers only. What are the profit margins on these products, and can you renegotiate supplier relationships after initial term?

You have zero litigation cases, zero terminations, and zero non-renewals reported. Is this because the system is very young, or does it reflect strong franchisee satisfaction? How long have most units been operating?

Transfer fee is $10,000 and renewal fee is $6,000. Are there additional fees (training, legal review, background check) associated with transfers or renewals not listed in the agreement?

With 94 units added in the past year, what percentage of these new franchisees are still operating, and what is the 1-year survival rate for units opened in 2024 versus 2023?

The franchisor controls pricing, operating hours, and mandatory days of operation. What flexibility do franchisees have to adapt their business model to local market conditions?

Can you provide contact information for at least 20 existing franchisees (especially those in the bottom and top quartiles of sales performance) so I can conduct independent reference calls?