Business Overview

15% increase in revenues 2021 over 2020 – even during COVID! 2022 is showing even stronger growth! Very successful, award-winning air duct and carpet cleaning franchise is available for acquisition. Perfect addon for HVAC company to increase customer base and offer additional cross selling services to all customers. Offering professional upholstery, tile and grout, air duct, and carpet cleaning, this individual franchise is the 2nd largest in the nation for this company and the 2nd largest cleaning operation in Houston based on consumer research. They employ only professional, trained and background checked technicians who use one of the most powerful and effective cleaning systems on the market today. This business has developed a solid reputation and a strong customer base over many years providing good quality at a good price. Customer base is primarily residential homeowners with some small commercial cleaning accounts. Air duct cleaning has grown to over 54% of sales. Seller implemented 1st price increase since 2015 in August 2021. Business was doing $692K/year when owner took over in 2003 and he has grown to over $3 mil in sales pre-Covid. If not for current hiring challenges they would have been over $3mil again in 2021. 11 carpet cleaning and 5 air duct trucks are included in sale. Seller paid $170K for franchise agreement in 2003 based on Houston’s number of Single-Family Dwelling Units. Today, with Houston’s growth, this would be worth $276K. Franchise transfer fee is $6000. Seller has entire 5+ county Houston market with expansion opportunities. SBA financing available. Please refer to CBB Listing #8256

Financial

  • Asking Price: $675,000
  • Cash Flow: $316,538
  • Gross Revenue: $2,902,685
  • EBITDA: N/A
  • FF&E: $444,220
  • Inventory: $12,000
  • Inventory Included: Yes
  • Established: 1998

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:11,343
  • Lot Size:N/A
  • Total Number of Employees:24
  • Furniture, Fixtures and Equipment:N/A
About The Facility:

11,343sf facility in industrial / business park

Is Support & Training Included:

Seller will train.

Purpose For Selling:

Retirement.

Opportunities and Growth:

Develop "area rug" cleaning operation. More aggressive entry into water extraction and remediation services. Hire commercial person.

Established Franchise:

This Business Is An Established Franchise

Additional Info

The business was founded in 1998, making the business 24 years old.
The deal shall include inventory valued at $12,000, which is included in the requested price.

The business has 24ft; 6pt employees and resides in a building with approx. square footage of 11,343 sq ft.
The property is leased by the business for $7,303 per Month

Why is the Current Owner Selling The Business?

There are all kinds of reasons why individuals resolve to sell operating businesses. Nevertheless, the real factor vs the one they tell you might be 2 entirely different things. For instance, they might claim "I have way too many various commitments" or "I am retiring". For numerous sellers, these factors stand. But also, for some, these might simply be excuses to try to conceal the reality of transforming demographics, increased competitors, recent decrease in revenues, or a variety of various other factors. This is why it is extremely important that you not count completely on a vendor's word, however instead, make use of the seller's response along with your overall due diligence. This will paint an extra realistic image of the business's present scenario.

Existing Debts and Future Obligations

If the existing business is in debt, which numerous businesses are, then you will certainly have reason to consider this when valuating/preparing your offer. Numerous businesses finance loans with the purpose of covering things like supplies, payroll, accounts payable, so on and so forth. Keep in mind that in some cases this can indicate that earnings margins are too thin. Lots of organisations come under a revolving door of taking loans as a way to pay back various other loans. Along with debts, there may likewise be future commitments to take into consideration. There may be an outstanding lease on tools or the building where the business resides. The business may have existing contracts with suppliers that have to be fulfilled or might lead to charges if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Exactly how do companies in the area bring in brand-new consumers? Many times, operating businesses have repeat customers, which form the core of their day-to-day earnings. Certain factors such as brand-new competitors growing up around the location, roadway construction, and also personnel turnover can impact repeat consumers and adversely affect future profits. One important point to take into consideration is the placement of the business. Is it in a very trafficked shopping mall, or is it hidden from the main road? Certainly, the more individuals that see the business often, the higher the chance to construct a returning consumer base. A final thought is the general area demographics. Is the business placed in a largely inhabited city, or is it located on the outskirts of town? How might the local average family earnings effect future earnings potential?