Mr. Rooter provides plumbing services including repairs, installations, and maintenance for residential and commercial properties. Known for reliable and efficient service, Mr. Rooter operates in the plumbing and heating systems industry.
Mr. Rooter is a plumbing and drain cleaning franchise in the United States and Canada. Franchisees provide plumbing services to residential, commercial and industrial customers. The president is Matt Kunz.
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The total initial investment for opening one Mr. Rooter® franchise ranges from $152,900 to $298,675. This includes $43,750 that must be paid to the franchisor and its affiliates [p.2]. If a private equity owner (PE Owner) is acquiring development rights for at least two businesses, the initial investment would start from $157,150, which includes the development fee for two Mr. Rooter® businesses plus the minimum cost of opening the first business [p.2 and p.47].
The initial franchise fee is $42,500 for a territory of up to 100,000 population. For additional territory beyond 100,000 in population, an additional $425 per each additional 1,000 population is required (or a pro-rated amount for territories with less than 1,000 additional population). This fee is non-refundable and may qualify for discounts. [p.26, p.44]
The ongoing royalty and marketing fund contributions that franchisees must pay are detailed in [p.442], but specific amounts are not provided in these excerpts. The related party payments for synthetic royalties or license fees, which include amounts from affiliated entities, are mentioned, with figures of $28,115 and $28,241 for the years ended December 31, 2025 and 2024, respectively ([p.204] and [p.228]). This isn't specified in the excerpts for franchise fees.
The initial franchise agreement term is one year, commencing on a specific date and ending on December 31 of that year. It automatically renews for an additional one-year period each subsequent January 1st, unless terminated earlier as specified in the agreement [p.332].
The franchisor can refuse to permit the transfer of ownership of a franchise except for good cause. Good cause includes but is not limited to specific reasons as outlined by the franchisor [p.7(g)]. This isn't specified in the excerpts regarding selling or transferring your franchise beyond these conditions.
The franchisor can terminate the agreement at any time, with or without cause, for any reason whatsoever [p.332]. Additionally, termination is possible if the franchisee is in default of their Franchise Agreement with the franchisor or fails to comply with program terms [p.332].
This isn't specified in the excerpts.
No, you do not receive an exclusive territory. You may face competition from other franchisees, outlets owned by the company, or other channels of distribution or competitive brands that the company controls, operates, or franchises [p.75, p.78]. However, if you comply with your Franchise Agreement, the company will not operate another Mr. Rooter franchise in your territory during the term of your agreement [p.75].
The franchisor provides initial training which can be conducted at their offices in Waco, Texas, via webinar/video conferencing, or another location as determined. This initial training generally takes 15 hours over a 1 to 3 week period [p.73]. Additionally, business training is required, lasting 4 to 5 days and also held at the franchisor's offices or through video conferencing [p.73]. Ongoing support for software systems is provided by ZorWare, available via telephone and internet during their normal business hours [p.335]. The franchisor remains responsible for all required support and services under the Franchise Agreement despite having a management agreement with Manager [p.103].
As of December 31, 2025, there were a total of 262 ShelfGenie franchised outlets in operation. During the Reporting Period, 13 franchised businesses that closed were excluded from Item 19 calculations; one business had closed after being open for less than 12 months [p.92]. The number of outlets that have specifically been terminated or closed is not directly stated, but it can be inferred that at least 13 outlets have ceased operations [p.101].
The franchisor is permitted to provide actual records of an existing outlet if requested by a prospective franchisee [p.93]. However, other than this, the franchisor does not make any financial performance representations and does not authorize its employees or representatives to do so either orally or in writing [p.91, p.93].
You are prohibited from operating a similar business during the term of the franchise, which includes restrictions on what you sell [p.5]. Additionally, you may have to purchase or lease items from the franchisor or a limited group of suppliers they designate; these items might be more expensive than those available elsewhere [p.5].