Benjamin Franklin Plumbing Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$84,570 - $286,702
Franchise Fee
$5,000
Total US Locations
363
Business Summary
BENJAMIN FRANKLIN PLUMBING franchises offer a comprehensive range of residential and light commercial plumbing services. These services include maintenance, repair, remodeling, and replacement of plumbing systems, water conditioning, and drain and septic tank services like digging, cleaning, re-piping, and drain cleaning. BENJAMIN FRANKLIN PLUMBING specifically excludes industrial and new construction services.
Corporate History
Benjamin Franklin Franchising SPE LLC, the current franchisor for BENJAMIN FRANKLIN PLUMBING, was organized in Delaware on March 24, 2021. It took over as franchisor for the BENJAMIN FRANKLIN PLUMBING system on May 14, 2021, as part of a larger Securitization Transaction. The brand itself has a longer history, with its predecessor, Benjamin Franklin Franchising, LLC, offering franchises from September 2001 until May 2021. The ultimate majority owner of BENJAMIN FRANKLIN PLUMBING is Funds advised by Apax Partners, LLP, a private equity firm.
Financial Overview
Investment Range
$84,570 - $286,702
Franchise Fee (Low)
$5,000
Franchise Fee (High)
$76,700
Royalty %
6%
Marketing %
1.5%
Equipment Costs (Low)
$4,635
Equipment Costs (High)
$147,290
Working Capital
$75,000
Audited Financials
Yes
Offers Financing
Yes
Audit Opinion
Unqualified opinion
Financial Health Notes
BENJAMIN FRANKLIN PLUMBING's direct parent company, AB Assetco LLC, which guarantees the franchisor's obligations, reported a net loss of $14,362,000 in 2024, a decrease from net incomes of $8,180,000 in 2023 and $36,565,000 in 2022. AB Assetco's cash and cash equivalents also significantly decreased from $2,063,000 in 2023 to $51,000 in 2024. The ultimate parent, Authority Brands Inc., has also reported consolidated net losses for the past three years. Despite these losses, the independent auditors have provided an unqualified opinion on the consolidated financial statements for both AB Assetco LLC and Authority Brands Inc., indicating that the financial statements are presented fairly in all material respects according to GAAP. There is no explicit 'going concern' qualification from the auditors for either entity. AB Assetco LLC provides an absolute and unconditional guarantee for BENJAMIN FRANKLIN PLUMBING's duties and obligations to its franchisees.
Financing Details
BENJAMIN FRANKLIN PLUMBING may, at its discretion, allow franchisees to finance up to 75% of the initial franchise fee. This financed amount can be repaid over up to 36 monthly installments at a 12% annual interest rate. For those converting an existing plumbing business into a BENJAMIN FRANKLIN PLUMBING franchise, the franchisor offers a special Conversion Incentive Program. Under this program, franchisees pay a $5,000 down payment, and the remaining franchise fee can be deferred for five years. This deferred amount may be up to 100% forgiven, depending on how much the franchised business's gross revenue increases in its fifth year compared to the year before conversion. If not fully forgiven, the remaining balance is paid in 48 monthly installments at a 12% annual interest rate. BENJAMIN FRANKLIN PLUMBING does not offer other direct or indirect financing and does not guarantee franchisee obligations.
Performance Metrics
Total US Locations
363
Franchised Units
353
Corporate Units
10
Avg Square Footage
2,500
Franchising Since
2001
Legal & Compliance Analysis
Recent Litigation
Yes
Bankruptcy
No
Litigation Count
6
Litigation Summary
BENJAMIN FRANKLIN PLUMBING has disclosed six litigation cases, two of which were filed in 2024 and are currently ongoing. The pending cases involve BENJAMIN FRANKLIN PLUMBING along with its affiliates, Mister Sparky and One Hour Air Conditioning, suing former franchisees for issues such as breach of contract. The other four cases, now concluded, were filed between 2014 and 2020 by the franchisor or its predecessor. These resolved cases included actions against former franchisees for enforcing settlement agreements, trademark infringement, and non-competition clauses, all of which were eventually settled or dismissed.
Bankruptcy History
BENJAMIN FRANKLIN PLUMBING states that no bankruptcy information is required to be disclosed in Item 4 of its FDD. This means that neither BENJAMIN FRANKLIN PLUMBING nor its key executives have a history of reportable bankruptcy filings.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
To renew their BENJAMIN FRANKLIN PLUMBING franchise, franchisees must provide written notice of their desire to renew between six and twelve months before the agreement expires. They must be in full compliance with the franchise agreement and other agreements, have a good record of customer service, and be in good standing with BENJAMIN FRANKLIN PLUMBING, including no litigation. Franchisees must also agree to sign the then-current franchise agreement, pay a renewal fee, sign a general release of claims, meet current training requirements, demonstrate the right to remain at their approved location, and remodel or upgrade their vehicles and premises to meet current brand standards, as well as update computer systems and vehicles.
Training & Support Program
Franchisor Assistance
BENJAMIN FRANKLIN PLUMBING provides extensive support to its franchisees. Before opening, it offers an initial training program (partially online and partly in Phoenix, Arizona), assists with ordering equipment and technology, provides access to its Operations Manual and Franchisee Portal, helps set up with a designated call center and required software packages, and aids in developing a pre-opening and grand opening marketing plan. After opening, ongoing support includes additional training, maintenance of Brand Standards, continued management of the Franchisee Portal, vendor approvals, Brand Standards assessments, management of the Brand Fund, review of advertising materials, management of social media accounts, monitoring of customer warranty programs, and managing relationships with Key Accounts. The franchisor also offers site selection counseling as a current policy.
Initial Training Hours
36
Training Location
Initial training is conducted online, and Branded Operations Orientation Training (BOOT) is held in Phoenix, Arizona.
Ongoing Support
After opening, BENJAMIN FRANKLIN PLUMBING provides ongoing support including making additional required and optional training programs available. The franchisor continuously develops and maintains Brand Standards, manages the Franchisee Portal for communications and resources, and notifies franchisees about approved vendors and specifications for products and services. BENJAMIN FRANKLIN PLUMBING also manages a Brand Standards assessment program to ensure compliance, administers the Brand Fund, and reviews franchisees' proposed advertising and promotional materials. It manages social media accounts promoting the brand and monitors and manages the customer warranty and satisfaction guarantee programs. Additionally, BENJAMIN FRANKLIN PLUMBING manages contracts and relationships with Key Accounts.
Franchise Requirements
Ideal Candidate Profile
BENJAMIN FRANKLIN PLUMBING seeks individuals and business entities that meet its qualifications and are willing to make the necessary investment and effort to own and operate a plumbing business. Franchisees must designate a Key Person who will be responsible for the daily operations and must work on-site at the business office. This Key Person is not required to be an owner. Additionally, owners may need to hold specific plumbing licenses depending on state and local regulations.
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
commercial
Owner Participation
supervisory
Territory Type
Protected
Staff Count
3
Territory Size Requirements
BENJAMIN FRANKLIN PLUMBING territories are typically defined by total population blocks of approximately 100,000 individuals, using postal zip codes available at the time the territory is established. The size can vary based on these factors.
Staffing Notes
BENJAMIN FRANKLIN PLUMBING requires franchisees to maintain adequate staffing to meet Brand Standards. The estimated initial operating costs include salaries for approximately two employees in addition to the Key Person (who may or may not be the owner). Franchisees are solely responsible for all employment decisions and must clearly inform workers that they are employed by the franchisee, not the franchisor. Requirements include conducting initial and periodic drug testing and background checks for employees. The designated Key Person is responsible for day-to-day operational performance and must work on-site at the business office.