CD ONE PRICE CLEANERS Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$15,000 - $2,997,650
Min Cash Required
$5,000
Total US Locations
52
Business Summary
CD ONE PRICE CLEANERS® operates retail dry cleaning businesses offering on-premises, discount dry cleaning and laundry services. These businesses include full production "Plant Stores" that contain dry cleaning machines and related equipment, and "Satellite Stores" which do not have such equipment and rely on nearby Plant Stores for production and management support. In some cases, CD ONE PRICE CLEANERS® also provides pickup and delivery services to customers.
Corporate History
Cleaners Depot Franchise, LLC was organized on February 10, 2005, as a Nevada limited liability company. The company began offering franchises for its CD Stores in July 2005. The brand operates with two affiliates: Cleaners Depot Lease Operations, LLC, which subleases some CD Stores to existing franchisees, and Clean on Wheels, LLC, which provides technology and services for the pickup and delivery program.
Financial Overview
Investment Range
$15,000 - $2,997,650
Franchise Fee (High)
$30,000
Minimum Cash Required
$5,000
Royalty %
6.5%
Marketing %
3%
Equipment Costs (Low)
$198,500
Equipment Costs (High)
$2,228,000
Working Capital
$152,500
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
Cleaners Depot Franchise, LLC restated its 2022 financial results to correct errors related to accrued interest expense on installment notes payable. This adjustment decreased the reported members' equity and net income for 2022. Additionally, the company uses a margin trading account for investments, which presents risks such as potential losses exceeding deposits and mandatory sales of securities if stock values decline.
Financing Details
Cleaners Depot Franchise, LLC does not offer any direct or indirect financing to its franchisees. The company also does not guarantee any notes, leases, or other obligations for its franchisees.
Performance Metrics
Total US Locations
52
Franchised Units
52
Corporate Units
0
Avg Square Footage
3,983
Franchising Since
2005
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
CD ONE PRICE CLEANERS® has no litigation to report in Item 3 of the FDD. The document states that no litigation is required to be disclosed in this item.
Bankruptcy History
CD ONE PRICE CLEANERS® has no bankruptcy history to report in Item 4 of the FDD. The document states that no bankruptcy is required to be disclosed in this item.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
CD ONE PRICE CLEANERS® franchisees can renew their franchise for one additional 10-year term if they have materially complied with the Franchise Agreement during the initial term and are in full compliance at the time of renewal. Franchisees must give 6 months' written notice of their intent to renew. As a condition of renewal, the franchisee must either retain possession of their current store and remodel it to meet current CD ONE PRICE CLEANERS® standards (including new equipment), or secure an approved substitute site and develop it as a new CD ONE PRICE CLEANERS® store. Franchisees must also sign the then-current form of franchise agreement and any related documents, which may have materially different terms, and execute general releases of any claims against CD ONE PRICE CLEANERS® and its affiliates (where state law allows).
Training & Support Program
Franchisor Assistance
CD ONE PRICE CLEANERS® provides franchisees with extensive assistance throughout their franchise journey. Before opening, the franchisor helps with site selection and lease acceptance, providing mandatory and suggested specifications for store design, décor, and operating assets. They identify approved suppliers, grant access to a confidential operating manual, and develop an initial grand opening advertising program. The franchisor also provides initial training for the franchisee and designated personnel on store operations and, if applicable, pickup and delivery services. For multi-unit developers, they determine the development schedule and area. During operation, CD ONE PRICE CLEANERS® offers ongoing advice on marketing, management, and operations, and continues to provide access to the updated operating manual and brand standards. Franchisees benefit from the use of confidential information and proprietary marks, along with refresher training courses. The franchisor also maintains and administers a marketing fund and may operate system websites. For those offering pickup and delivery services, dedicated support is provided for that aspect of the business.
Initial Training Hours
204
Training Location
CD Store in Illinois or online training
Ongoing Support
CD ONE PRICE CLEANERS® provides franchisees with continuing advice on marketing, management, and operations, as deemed appropriate by the franchisor. Franchisees have continuous access to the confidential operating manual, which is periodically updated and must be implemented by the franchisee. The franchisor may also offer refresher training courses. Furthermore, CD ONE PRICE CLEANERS® maintains and administers a marketing fund and may manage system websites that include a webpage for each franchisee's store. For those offering pickup and delivery services, ongoing support includes order processing services provided by an affiliate (COW) through an Order Processing System, and customer success management to address customer questions and issues related to these services.
Franchise Requirements
Ideal Candidate Profile
CD ONE PRICE CLEANERS® seeks franchisees who are committed to the business's success. The Designated Principal or on-premises manager must personally dedicate all their business time and effort to the on-premises management of the store. The store must always be under the supervision of a manager who has successfully completed the franchisor's training requirements. For multi-unit developers, the franchisor recommends personal supervision of store development, though it is not strictly required.
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Retail
Owner Participation
Full-Time
Territory Type
Exclusive
Territory Size Requirements
CD ONE PRICE CLEANERS® defines its Protected Territory as either a 0.5-mile or 1-mile radius around the store, depending on whether the site is in an urban or non-urban environment, respectively. There is also a Right of First Offer (ROFO) Territory, which is a 1-mile radius (urban) or 2-mile radius (non-urban) around the store, excluding the Protected Territory. For Pickup and Delivery (PUD) Services, the PUD Territory varies based on population density, demographics, competition, and geographical features, with no minimum size specified. For multi-unit development, the "Area" is identified using county borders, street boundaries, or political subdivisions, with no minimum size, and depends on the number of stores to be developed.
Staffing Notes
CD ONE PRICE CLEANERS® franchisees are solely responsible for all employment decisions, including hiring, firing, compensation, and personnel policies for their store employees. Each CD ONE PRICE CLEANERS® store must always be supervised by a manager who has successfully completed the franchisor's training requirements. For stores offering Pickup and Delivery (PUD) Services, trained personnel must further train drivers and other staff on PUD operations and the Order Processing System. While management staffing models can vary, with some stores using one or two managers and others more, many franchise owners choose to handle some management duties themselves. The specific number of full-time or part-time workers, employee longevity, and cross-training also influence staffing decisions.