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College Hunks Hauling Junk Franchise ProfileMoving & Storage Franchises > Residential Moving |
What Are the Initial Investment Requirements for a College Hunks Hauling Junk Franchise?
To become a franchisee with College Hunks Hauling Junk, you need to prepare for an initial investment ranging from $258,100 to $480,500. This includes a franchise fee of $55,000. Additionally, prospective franchisees must have liquid cash available between $150,000 and $250,000, and a net worth of $250,000 to $500,000. It's essential to assess your financial readiness to ensure you can cover both the startup costs and ongoing operational expenses.
What Are the Financial Performance Metrics for College Hunks Hauling Junk?
College Hunks Hauling Junk franchises have shown strong financial performance, with an average annual revenue per unit of $1,284,036. The median revenue stands at $979,503, while some units report earnings as high as $9,728,266. Franchisees can expect to break even within about 10 months and achieve a return on their investment within a year. These figures highlight the potential profitability of investing in this franchise model.
What Are the Ongoing Fees Associated with College Hunks Hauling Junk?
Franchisees of College Hunks Hauling Junk are required to pay a royalty fee of 7% on their revenue, along with a marketing fee of 2%. These fees contribute to the overall support and marketing efforts that help drive business to franchise locations. Understanding these ongoing costs is crucial for managing your financial expectations and ensuring sustainable profitability.
How Has College Hunks Hauling Junk Grown Over the Years?
The growth trajectory of College Hunks Hauling Junk is impressive, with the number of franchised units increasing from 128 in 2021 to 185 in 2023. This expansion indicates a strong demand for their services and a solid business model that attracts new franchisees. The company currently operates a total of 189 units, combining both franchised and corporate-owned locations, showcasing its successful market presence.
College Hunks Hauling Junk 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:
College Hunks Hauling Junk 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 | 131 | 155 | 189 |
| Net Change YoY | 24 | 34 | |
| Franchised Units | 128 | 151 | 185 |
| Net Change YoY | 23 | 34 | |
| Corporate Units | 3 | 4 | 4 |
| Net Change YoY | 1 | 0 |
Franchise Overview
College Hunks Hauling Junk is a leading provider of junk removal and moving services, known for its commitment to customer satisfaction and community involvement. Established in 2005, the franchise has rapidly expanded, boasting 185 franchised units as of 2023. The brand focuses on eco-friendly practices, including recycling and donating items whenever possible, making it a socially responsible choice for franchisees and customers alike.
Investment Details
Investing in a College Hunks Hauling Junk franchise requires an initial investment ranging from $258,100 to $480,500, which includes a franchise fee of $55,000. Potential franchisees should have a cash reserve of $150,000 to $250,000 and a net worth between $250,000 and $500,000. This financial structure supports new franchisees in establishing their businesses while ensuring they have the necessary capital for growth.
Revenue Potential
The average annual revenue per unit for College Hunks Hauling Junk is approximately $1,284,036, with a median annual revenue of $979,503. This indicates strong earning potential, with some units generating as much as $9,728,266 annually. Such revenue figures highlight the franchise's robust business model and market demand for its services.
Operational Efficiency
Franchisees can expect a breakeven time of around 10 months, with investment payback typically achieved within 12 months. This quick turnaround is indicative of the franchise's effective operational strategies and strong market presence, allowing new owners to recoup their investments swiftly while starting to build profitability.
Ongoing Fees
College Hunks Hauling Junk charges a royalty fee of 7% on gross sales and a 2% marketing fee. These ongoing fees are essential for maintaining brand standards and supporting national marketing efforts, ensuring franchisees benefit from collective advertising while contributing to the overall growth of the brand.
Support and Training
Franchisees receive comprehensive training and support from the College Hunks Hauling Junk corporate team. This includes assistance with marketing, operations, and ongoing business management. The franchise's commitment to its franchisees' success is evident through its robust training programs and resources, empowering owners to thrive in the competitive junk removal and moving industry.
Frequently Asked Questions
The initial investment for a College Hunks Hauling Junk franchise ranges from $258,100 to $480,500, which includes the initial franchise fee of $55,000.