Owning your own commercial cleaning franchise might be easier than you think
Commercial cleaning has a great reputation for being a stable industry with high customer retention, large demand for services and a recurring income model that typically creates a profitable business.
Owning your own commercial cleaning franchise might be easier than you think.
Our initial investment, which requires a minimum liquidity of just $15,000, along with a franchise fee of $29,900, is very affordable, especially for the return you’ll get with our superior cleaning systems, our advanced franchise practices and our incredibly supportive Office Pride team. Since we don’t offer in-house financing, candidates need to secure their own is necessary and thanks to an improving bank environment, financing is getting easier.
“We have over a hundred franchise owners in our system, and almost all of them needed some sort of financing in order to get their businesses going,” says Todd Hopkins, our founder and CEO. “There are a lot of ways people can get started, and we’re happy to work with you to explore these. In many cases, finding the funding is easier than you think.”
To get the ball rolling, here are the top five ways you can fund ownership of your own Office Pride:
1. SBA. The Small Business Administration has a number of programs to help people finance their franchises, and this is a great option to consider for people who might not be qualified for a traditional bank loan, according to the SBA website. Although the SBA doesn’t lend money directly to you, it will back the bank’s loan, giving the bank a little more leeway to approve someone who might not otherwise meet their criteria.
2. Local or community banks. The most common business start-up loans come from small, regional and community banks. These banks have much more personal relationships with their customers and may have both better rates and better lending terms. Speak with the bank’s commercial loan officer or branch manager. Banks of all sizes typically have two types of officers: retail staff and commercial staff. Retail officers usually aren’t equipped to handle a commercial loan request, so ask who you should speak with.
For both SBA and local bank loans, come prepared. One way we can help is to work with you to create a bank packet which explains our history, franchise disclosure and how the business operates so you have a basic pro forma and balance sheet. When you get further into conversations with us, we’ll work with you to structure this. For most candidates, this is often the best solution.
3. 401(k) rollover. Did you know that you can tap into 401(k) or IRA accounts to fund a business without facing early-withdrawal penalties? By rolling over your funds into a self-directed IRA, you can avoid withdrawal penalties and use your own assets to finance your business. There are a series of legal steps to follow, such as creating a C corporation and a corporate retirement account, so you’ll need guidance to ensure every “i” is dotted and “t” is crossed. This has become a popular financing option, since it allows you to sidestep banks and, in effect, loan money to yourself without incurring a penalty.
4. Home equity loans. After years of working to pay your mortgage and maintain your home, it’s nice to know you can put your home to work for you. The amount of equity you’ve built in your home or other real estate investment property can be accessed for a line of credit that you can use to finance your franchise. This is one of the least expensive ways to gain funding for your business venture, and also makes it easier for you to manage cash flow, since your payment schedule is usually flexible.
5. Alternate funding sources. Given that Office Pride’s initial investment is so inexpensive compared to other franchise concepts, you can afford to be creative with your financing. Contributions from friends and family, taking advantage of the credit lines you have available on your secured credit cards, could help to fund and start your franchise.
Learn more about becoming an Office Pride franchise owner
Office Pride’s commitment to Christian principles and our 21-plus years of business savvy have helped us build a profitable franchise company with more than 120 franchisees across the country. We are expanding our reach even farther across the U.S. and Canada. In the $78 billion commercial cleaning industry, there’s still plenty of room to grow.
Would you like to learn more about Office Pride franchising opportunities? Take a look at our website’s research pages and then fill out the form at right to download our free franchise report or give us a call at 317-738-9280. We’d love to start a conversation!