|
911 Restoration Franchise ProfileHome Based Franchises > Home Repair Services |
What is the Initial Investment for a 911 Restoration Franchise?
To open a 911 Restoration franchise, the initial investment ranges from $102,100 to $246,900. This includes a franchise fee of $49,000. Potential franchisees should also prepare for a cash requirement between $123,600 and $246,900. It’s important to note that a strong financial position is necessary, as a net worth of $500,000 to $1,500,000 is required to qualify for ownership.
What are the Ongoing Fees Associated with a 911 Restoration Franchise?
Franchisees of 911 Restoration are subject to ongoing fees that include a royalty fee of 10% of gross sales and a marketing fee of 1%. These fees contribute to the overall support provided by the franchisor, including national marketing campaigns and operational assistance. Understanding these costs is crucial for maintaining profitability and ensuring long-term success in the business.
How Profitable is a 911 Restoration Franchise?
The average annual revenue per unit for a 911 Restoration franchise is reported at $1,355,353, with a median annual revenue of $873,330. This indicates a strong potential for profitability, although revenue can vary widely, with the lowest reported at $2,830 and the highest at $6,921,556. Franchisees can expect to reach breakeven within approximately 12 months, with an investment payback period of around 13 months.
What is the Growth Trend for 911 Restoration Franchises?
911 Restoration has shown significant growth in its franchise network, increasing from 205 franchised units in 2021 to 281 in 2023. This expansion reflects a growing demand for restoration services and the brand's effective franchise model. The total number of units has also risen, indicating a robust market presence and opportunities for new franchisees to join a thriving brand.
911 Restoration Franchise Financial Requirements
Below, you’ll find an overview of the initial investment needed to launch the business, along with the ongoing fees required by the franchisor to maintain operations over time.
The minimum total assets (minus liabilities) you must possess.
Net Worth Required:
The estimated period to recoup your total investment.
Investment Payback:
The initial fee paid to join the franchise system.
Franchise Fee:
Ongoing percentage of revenue paid to the franchisor.
Royalty Fee:
Regular contribution toward the franchise’s advertising fund.
Marketing Fee:
The estimated timeframe to recover your initial costs.
Breakeven Time:
The total amount required to launch the franchise.
Initial Investment:
The minimum liquid capital you must have on hand.
Cash Required:
The typical yearly revenue generated per franchise location.
Average Revenue:
The middle value of yearly revenue among franchise locations.
Median Revenue:
The largest reported annual revenue among franchisees.
Highest Revenue:
The smallest reported annual revenue among franchisees.
Lowest Revenue:
A broad sector defining similar types of franchise businesses.
Industry:
A more specific division within the broader industry.
Category:
The key individuals guiding the franchise’s strategy and growth.
Leadership:
The official business address of the franchisor’s headquarters.
Corporate Address:
Available financing options to help start the franchise.
Funding Year:
The main organization that owns the franchise brand.
Parent Company:
911 Restoration Franchise Unit Growth Summary
A breakdown of corporate, franchised, and total units, with yearly net changes.
Total Units
Franchised Units
Corporate Units
| Units | 2021 | 2022 | 2023 |
|---|---|---|---|
| Total Units | 208 | 236 | 287 |
| Net Change YoY | 28 | 51 | |
| Franchised Units | 205 | 230 | 281 |
| Net Change YoY | 25 | 51 | |
| Corporate Units | 3 | 6 | 6 |
| Net Change YoY | 3 | 0 |
Initial Investment
The 911 Restoration franchise offers a range of investment options, with a low initial investment starting at $102,100 and a high of $246,900. This flexibility allows aspiring franchisees to assess their financial capabilities and choose an entry point that suits their budget. The franchise fee is set at $49,000, providing access to a well-recognized brand in the restoration industry.
Financial Performance
Average annual revenue per unit for 911 Restoration is approximately $1,355,353, with a median annual revenue of $873,330. This strong revenue potential indicates the franchise's viability and attractiveness for investors. Notably, the highest annual revenue recorded is $6,921,556, showcasing the possibility for significant earnings for successful franchisees.
Franchise Growth
The 911 Restoration franchise has shown consistent growth, increasing from 205 franchised units in 2021 to 281 units in 2023. This upward trend reflects the brand's expanding presence in the restoration market and the increasing demand for its services. The growth in franchise units indicates a strong business model and support system for new franchisees.
Royalties and Fees
Franchisees are required to pay a royalty fee of 10% on gross sales, along with a marketing fee of 1%. These fees contribute to the ongoing support and marketing efforts provided by the franchisor, ensuring that franchisees can effectively promote their businesses and benefit from the brand's recognition in the marketplace.
Required Financials
To qualify for a 911 Restoration franchise, potential franchisees must have a net worth between $500,000 and $1,500,000, with cash requirements ranging from $123,600 to $246,900. These financial benchmarks help ensure that franchisees have the necessary resources to invest in their business and sustain operations during the initial growth phase.
Breakeven and Payback
The breakeven time for a 911 Restoration franchise is approximately 12 months, with an investment payback period of around 13 months. This relatively quick return on investment is appealing for prospective franchisees, as it indicates a strong potential for profitability and financial stability within the first year of operation.
Frequently Asked Questions
The initial investment for a 911 Restoration franchise ranges from $102,100 to $246,900. This includes the franchise fee of $49,000, along with other startup costs.