Jan Pro Jan Pro Cleaning Systems
Jan-Pro Cleaning Systems offers regional development of janitorial and building maintenance franchises under the "JANPRO Cleaning & Disinfecting" brand, focusing on professional cleaning services. Known for comprehensive support and franchising in the cleaning and sanitation industry.
Jan Pro Jan Pro Cleaning Systems franchise FAQ
How much does it cost to open one — the total initial investment?
The total initial investment necessary to begin operation of a Jan-Pro Franchise Development regional developer franchised business ranges between $130,000 and $421,500. This includes the required payment of between $50,000 and $250,000 to the franchisor or its affiliates as specified in [p.1].
What is the initial franchise fee?
The initial franchise fee ranges from a minimum of $50,000 to $250,000 but may be more or less depending on the population in your Territory. This fee is nonrefundable and must be paid when you sign the Franchise Agreement [p.21, p.77].
What are the ongoing royalty and advertising fees?
The ongoing royalty fee is a monthly, nonrefundable fee of 10% of Gross Billings from each Account during the Term [p.289]. Additionally, there is an ongoing Contract Services Royalty Fee of 4% of Gross Monthly Revenue by the tenth day of each month [p.77]. There is also an Advertising Contribution required, though the specific percentage or amount is not detailed in these excerpts.
How long is the initial franchise agreement, and can I renew it?
The initial franchise agreement's initial term is not specified in detail regarding its length, but if the initial term or a renewal term expires, you may elect to sign a Renewal Franchise Agreement. You must satisfy certain conditions to obtain a Renewal Term, which will be for a ten-year period if granted [p.76].
Can I sell or transfer my franchise, and what does that require?
You can sell or transfer ownership of your franchise, but the franchisor must be notified for good cause. Additionally, selling or transferring a significant number of customer accounts requires consent from the franchisor [p.5]. For such transfers to proceed without consent, they must be to another in-good-standing franchisee and follow specific procedures [p.305, p.247].
On what grounds can the franchisor terminate the agreement?
The franchisor can terminate the agreement on various grounds including failure by the franchisee to comply with lawful provisions of the franchise agreement [p.5], certain defaults as specified in the Virginia Retail Franchising Act [p.205], and changes that constitute reasonable cause under applicable laws [p.3]. Additionally, for franchises governed by Minnesota law, termination can occur due to voluntary abandonment, conviction of an offense related to the business, or failure to cure a default that materially impairs the franchisor's goodwill after receiving notice [p.194].
What financial requirements — net worth and liquid capital — do I need to qualify?
This isn't specified in the excerpts.
Do I get an exclusive or protected territory?
Yes, you are granted a protected territory as specified in [p.75]. However, this protection is conditional and subject to compliance with the terms of the agreement; failure to meet performance standards may result in reduced territorial rights [p.4].
What training and ongoing support does the franchisor provide?
The franchisor provides technical systems and training through Neeraj Gupta, who has over 35 years of experience in product development and innovation. According to [p.39], Neeraj oversees technical systems and training programs. However, specific details about ongoing support are not detailed in the provided excerpts.
How many franchised outlets are there, and how many have closed or been terminated?
The FDD excerpts do not specify the number of closed or terminated outlets for any of the franchises. Therefore, this isn't specified in the excerpts.
Does the franchisor share any financial performance or earnings information?
The franchisor can provide financial performance information if there is a reasonable basis for it and if it is included in the disclosure document [p.49]. Additionally, if you are purchasing an existing outlet, the franchisor may provide actual records of that outlet [p.57]. However, other than this, no financial performance representations are made, and employees or representatives are not authorized to make such representations [p.57].
What am I restricted to selling, and where must I buy supplies?
You are not restricted to selling specific products but must operate within the franchisor's system. You must purchase or lease certain equipment, chemicals, supplies, inventory, advertising materials, and other products and services used to operate the Regional Developer Franchise only from manufacturers and suppliers approved in writing by the franchisor [p.30]. This includes a list of approved and designated suppliers for supplies and equipment that you must use [p.3].