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Description
Investment Icon

What is the Initial Investment for an Aire-Master Franchise?

To open an Aire-Master franchise, you can expect an initial investment ranging from $45,934 to $171,400. This includes a franchise fee of $30,000. Additionally, you should have cash available between $34,000 and $104,000 to cover startup costs. Understanding these financial commitments is crucial as you prepare to embark on your franchise journey.

Fees Icon

What are the Ongoing Fees for Aire-Master Franchisees?

Aire-Master franchisees are required to pay a royalty fee of 5% on their gross sales, along with a marketing fee of 1%. These ongoing fees are essential for maintaining brand support and driving customer engagement. It's important to factor these costs into your financial projections to ensure your franchise remains profitable.

Revenue Icon

What Can You Expect in Terms of Revenue from an Aire-Master Franchise?

Aire-Master franchises have shown promising revenue potential, with an average annual revenue of approximately $332,287 per unit. The median annual revenue stands at $221,088, while some franchisees report revenues as high as $2,180,096. This variability highlights the importance of location and operational efficiency in maximizing your franchise's financial performance.

Breakeven Icon

What is the Breakeven Period for Aire-Master Franchisees?

Franchisees can anticipate a breakeven period of around 24 months, which aligns with the investment payback timeframe. This relatively quick return on investment can be appealing for aspiring entrepreneurs, as it suggests that with effective management and marketing, your Aire-Master franchise could become profitable within a reasonable period.

Aire-Master 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.

Net Worth Required icon The minimum total assets (minus liabilities) you must possess.

i Net Worth Required:

$100,000 - $500,000
Investment Payback icon The estimated period to recoup your total investment.

i Investment Payback:

24 Months
Franchise Fee icon The initial fee paid to join the franchise system.

i Franchise Fee:

$30,000
Royalty Fee icon Ongoing percentage of revenue paid to the franchisor.

i Royalty Fee:

5%
Marketing Fee icon Regular contribution toward the franchise’s advertising fund.

i Marketing Fee:

1.00%
Breakeven Time icon The estimated timeframe to recover your initial costs.

i Breakeven Time:

24 Months
Initial Investment icon The total amount required to launch the franchise.

i Initial Investment:

$45,934 - $171,400
Cash Required icon The minimum liquid capital you must have on hand.

i Cash Required:

$34,000 - $104,000
Average Revenue icon The typical yearly revenue generated per franchise location.

i Average Revenue:

$332,287
Median Revenue icon The middle value of yearly revenue among franchise locations.

i Median Revenue:

$221,088
Highest Revenue icon The largest reported annual revenue among franchisees.

i Highest Revenue:

$2,180,096
Lowest Revenue icon The smallest reported annual revenue among franchisees.

i Lowest Revenue:

$20,091
Industry icon A broad sector defining similar types of franchise businesses.

i Industry:

Cleaning Franchises
Category icon A more specific division within the broader industry.

i Category:

Commercial Cleaning
Leadership icon The key individuals guiding the franchise’s strategy and growth.

i Leadership:

Douglas McCauley
Corporate Address icon The official business address of the franchisor’s headquarters.

i Corporate Address:

P.O. Box 2310, Route CC and Highway 160, Nixa, Missouri 65714
Funding Year icon Available financing options to help start the franchise.

i Funding Year:

1976
Parent Company icon The main organization that owns the franchise brand.

i Parent Company:

Aire-Master of America Inc.

Aire-Master Franchise Unit Growth Summary

A breakdown of corporate, franchised, and total units, with yearly net changes.

The overall number of operating franchise locations.

Total Units i

122
The number of locations owned by independent franchisees.

Franchised Units i

115
The number of locations owned and run by the franchisor.

Corporate Units i

7
Units 2021 2022 2023
Total Units 116 123 122
Net Change YoY 7 -1
Franchised Units 109 116 115
Net Change YoY 7 -1
Corporate Units 7 7 7
Net Change YoY 0 0
Investment About

Investment Overview

The Aire-Master franchise offers a range of initial investment costs, with a low end of $45,934 and a high end of $171,400. The initial franchise fee is set at $30,000, while ongoing royalty fees are 5% of gross sales, alongside a 1% marketing fee. Franchisees should prepare for a cash requirement ranging from $34,000 to $104,000, and a net worth requirement between $100,000 and $500,000.

Potential About

Revenue Potential

Franchisees can expect an average annual revenue of approximately $332,287 per unit, with a median revenue of $221,088. The revenue range is significant, with the lowest annual revenue reported at $20,091 and the highest at $2,180,096. This wide variance highlights the potential for strong financial performance depending on various operational factors.

Metrics About

Breakeven and Payback

Aire-Master franchises typically reach breakeven within 24 months, making the investment relatively quick to recover. This aligns with the investment payback period, which is also estimated at 24 months. Such timelines are crucial for prospective franchisees to understand as they plan their financial strategies.

Fees About

Franchise Growth

The Aire-Master franchise has shown steady growth in the number of franchised units, increasing from 109 in 2021 to 116 in 2022, before slightly declining to 115 in 2023. The consistent presence of 7 corporate units provides a stable operational foundation for the brand, ensuring that franchisees benefit from a well-established support system.

Breakeven About

Operating Expenses

Average annual running expenses for an Aire-Master franchise total approximately $31,950. Key expense categories include management and administrative salaries ($24,000), rent and utilities ($2,400), and marketing and advertising ($250). Understanding these costs is vital for franchisees to accurately forecast their financial performance and profitability.

Units About

Franchise Support

Aire-Master provides comprehensive support to its franchisees, including training, marketing assistance, and operational guidance. This support is essential for both new and experienced franchisees to navigate the complexities of running a franchise, ensuring they have the resources needed to succeed and grow within the brand.

Frequently Asked Questions

The initial investment for an Aire-Master franchise ranges from $45,934 to $171,400, which includes a franchise fee of $30,000.