1-800-JUNKPRO, LLC Franchise
Audited FinancialsRisk Score
Investment Range
$62,500 - $623,500
Franchise Fee
$5,000
Min Cash Required
$30,000
Total US Locations
12
Business Summary
1-800-JUNKPRO operates businesses that provide dumpster rental services and/or full-service junk removal for both homes and businesses. For dumpster rentals, 1-800-JUNKPRO delivers a dumpster, the customer fills it, and then the franchisee picks it up and disposes of the contents. Full-service junk removal involves 1-800-JUNKPRO removing unwanted items from anywhere on a customer's property, including bulky items not typically picked up by municipal waste services. This can also include minor demolition for removing larger items. 1-800-JUNKPRO specifically avoids handling liquids, gases, flammable waste, or hazardous waste.
Corporate History
1-800-JUNKPRO, LLC was formed in Delaware on March 27, 2012. The company began offering franchises in October 2012, which is its sole business activity. An affiliate, Better Hauling Company (BHC), has been operating a similar junk removal business under the 1-800-JUNKPRO trade name since December 1999, specifically using the 1-800-JUNKPRO name since October 2010. BHC has never offered franchises. Another affiliate, Asset Leasing Company, LLC (ALC), began operating in 2022 and provides optional equipment leasing to franchisees.
Financial Overview
Investment Range
$62,500 - $623,500
Franchise Fee (Low)
$5,000
Franchise Fee (High)
$50,000
Minimum Cash Required
$30,000
Royalty %
7%
Marketing %
1%
Equipment Costs (Low)
$6,500
Equipment Costs (High)
$421,000
Working Capital
$55,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
1-800-JUNKPRO's financial statements have received an unqualified opinion from independent auditors, indicating that they are presented fairly in all material respects. The company reported healthy financial growth in 2023, with total revenues increasing to $936,332 from $787,260 in 2022 (after a slight dip from $826,673 in 2021). Net income also saw a significant increase in 2023, reaching $221,047, up from $161,326 in 2022. Cash balances, total assets, and members' equity also showed positive growth in the most recent year. The auditors did not identify any conditions that would raise substantial doubt about 1-800-JUNKPRO's ability to continue as a going concern. A key aspect of 1-800-JUNKPRO's financial structure is that 100% of its 2023 revenue came from its eleven franchisees, which represents a significant concentration.
Financing Details
1-800-JUNKPRO does not offer direct financing for its franchisees. However, its affiliate, Asset Leasing Company, LLC (ALC), provides optional true leases for service vehicles and dumpsters for qualified franchisees. These are not considered finance leases or traditional financing arrangements.
Performance Metrics
Total US Locations
12
Franchised Units
11
Corporate Units
1
Franchising Since
2012
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
1-800-JUNKPRO has no litigation history to report.
Bankruptcy History
1-800-JUNKPRO has no bankruptcy history to report.
Agreement Terms
Initial Term
10 years
Renewal Term
5 years
Renewal Conditions
To renew their 1-800-JUNKPRO franchise, franchisees must notify the franchisor between 180 and 240 days before their initial term expires. They must be in full compliance with their current Franchise Agreement and all related agreements, not be in default, and have met all financial obligations throughout the initial term. Franchisees are required to satisfy the franchisor's then-current system standards and training requirements, including demonstrating their ability to perform all services. They must also sign a mutual general release of claims and pay a renewal fee of $5,000. For Small Market franchises renewing as Standard Market franchises, proof of an approved commercial office lease is required. The franchisor reserves the right to re-evaluate and modify the franchisee's territory based on demographics to ensure it aligns with the original territory's target demographics upon renewal.
Training & Support Program
Franchisor Assistance
Before a 1-800-JUNKPRO franchise opens, the franchisor provides specifications for service vehicles and signage, grants access to the Operations Manual, and conducts an initial training program for the franchisee and one additional person at its headquarters in Valley Center, Kansas, or virtually. The franchisor also identifies the territory and provides electronic artwork and templates for documents and advertising. After opening, 1-800-JUNKPRO provides ongoing guidance and assistance through intranet/email communications and periodic telephone calls, and conducts routine business inspections. The franchisor operates a centralized Contact Center for all 1-800-JUNKPRO businesses to manage leads and appointments. It also offers suggested pricing structures, maintains a Brand Development Fund for system-wide advertising, conducts initial local marketing campaigns, and coordinates periodic mandatory or optional refresher training programs and an annual convention for franchisees.
Initial Training Hours
66
Training Location
Combination of Valley Center, Kansas headquarters and franchisee's location
Ongoing Support
After opening, 1-800-JUNKPRO franchisees receive ongoing guidance and assistance through intranet and email communications, along with periodic telephone calls. The franchisor conducts regular inspections of the business operations and provides suggested pricing structures. It also operates a centralized Contact Center that manages leads, appointments, and customer follow-up calls for all franchisees. 1-800-JUNKPRO maintains a Brand Development Fund for system-wide advertising efforts. Franchisees are required to attend mandatory refresher training programs, which can last up to five days and may be held virtually, at the franchisee's location, another franchise, or at headquarters. An annual convention, typically lasting one to three days, is also mandatory for one owner or executive manager per franchise. Additional on-site assistance or training can be requested by franchisees for a fee.
Franchise Requirements
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Hybrid
Owner Participation
Full-Time
Territory Type
Exclusive
Territory Size Requirements
1-800-JUNKPRO territories are defined by population and consist of 'Zones' and 'partial Zones'. Each standard Zone is anticipated to have a population of approximately 250,000 people. A Standard Market territory is comprised of at least two Zones, with a combined population of around 500,000 people. Small Market franchises cover territories with populations between 5,000 and 499,999. The size and boundaries of a territory, including any additional Zones or partial Zones, are based on the most recently published data from the U.S. Census Bureau or other sources the franchisor chooses to use.
Staffing Notes
1-800-JUNKPRO requires that each franchised business be under the direct supervision of a full-time General Manager who must be approved and trained by the franchisor. If the franchisee is an individual, they typically fill this role. Franchisees are prohibited from actively participating in other businesses during the franchise's operating hours without written approval. The franchisor reserves the right to review the training provided to employees and may require managers or replacement managers to attend its training program at the franchisee's expense, with all managers needing to pass this training and be approved before starting. Typical staffing for a dumpster truck operation is one Truck Captain (driver), while a junk removal truck operation requires a Truck Captain (driver) and a second team member (helper).