Home Clean Heroes Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$112,745 - $441,477
Franchise Fee
$33,333
Total US Locations
18
Business Summary
Home Clean Heroes operates a business that provides high-quality cleaning services for both residential and light commercial customers. These services can be on a one-time or recurring basis, including initial, weekly, bi-weekly, monthly, one-time, and move in/move out cleanings.
Corporate History
Home Clean Heroes Franchising, LLC was established as a Virginia Limited Liability Company on August 16, 2017. While the franchisor itself did not operate a similar business prior to franchising, its affiliate, Home Clean Heroes Local Operations, LLC, began operating a similar cleaning service business in March 2017. Home Clean Heroes Franchising, LLC was specifically created to offer franchises for residential and light commercial cleaning services and started franchising in April 2018. The company is a subsidiary of Buzz Franchise Brands, LLC, which was organized in November 2009.
Financial Overview
Investment Range
$112,745 - $441,477
Franchise Fee (Low)
$33,333
Franchise Fee (High)
$50,000
Royalty %
6%
Marketing %
2%
Equipment Costs (Low)
$9,500
Equipment Costs (High)
$13,500
Working Capital
$40,000
Audited Financials
Yes
Offers Financing
Yes
Audit Opinion
Unqualified opinion
Financial Health Notes
The financial statements for Home Clean Heroes show that the franchisor's financial condition may raise questions about its ability to provide services and support to franchisees.
Financing Details
Home Clean Heroes may, at its discretion, finance a portion of a franchisee's initial investment or operating capital, potentially up to half of the initial fee. The interest rate is typically 12% but can vary, not exceeding 18% or the legal maximum. Repayment usually occurs over 1-3 years through monthly payments, although other terms, like daily credit card receipts, may be required. Franchisees or their principals must personally guarantee the debt, and Home Clean Heroes may require a security interest in the business's assets. Prepayment is allowed without penalty. This financing is not offered in California.
Performance Metrics
Total US Locations
18
Franchised Units
16
Corporate Units
2
Franchising Since
2018
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
Yes
Litigation Summary
Home Clean Heroes has no litigation to disclose. However, Dave Warn, the Vice President of Franchise Development, filed for personal Chapter 13 bankruptcy in April 2014, which was discharged in January 2020. This was a personal bankruptcy, not related to the franchisor's business operations.
Bankruptcy History
Home Clean Heroes discloses that Dave Warn, its Vice President of Franchise Development, filed for Chapter 13 personal bankruptcy in April 2014. The bankruptcy plan was confirmed in August 2014, and the debts were discharged in January 2020. This was a personal financial reorganization, not a bankruptcy of Home Clean Heroes as a company.
Agreement Terms
Initial Term
10 years
Renewal Term
5 years
Renewal Conditions
To renew their franchise agreement, Home Clean Heroes franchisees must provide written notice of their intent to renew 6 to 9 months before the current term ends. They must also modernize their business to meet current system standards, be in good standing with no defaults, and have paid all monetary obligations to Home Clean Heroes and its affiliates. Franchisees are required to sign Home Clean Heroes' then-current franchise agreement, execute a general release of claims against Home Clean Heroes, meet current qualification and training requirements at their own expense, and pay a $5,000 renewal fee.
Training & Support Program
Franchisor Assistance
Home Clean Heroes provides several forms of assistance to its franchisees. Before opening, franchisees receive a 7-day initial training program, which includes both virtual and onsite components in Virginia Beach, Virginia. Home Clean Heroes also offers guidance and advice on selecting vehicles and commercial locations, if required, and provides copies of its Operations and Sales Manuals. Franchisees receive lists of approved suppliers and specifications for various items needed for the business. Ongoing support includes providing advice and written materials on business operations, conducting inspections and evaluations of services, and offering telephone and email support for operational questions during normal business hours. Home Clean Heroes may also require attendance at advanced training, national conventions, or regional meetings, for which franchisees cover their own travel and expenses. A National Call Center is provided to handle customer service requests and leads. Home Clean Heroes also makes planning assistance available for marketing, may offer participation in group purchasing programs, and administers vendor relationships for key systems. Additionally, Home Clean Heroes defends franchisees against third-party claims arising from their use of the trademarks, provided the marks were used in accordance with the agreement.
Initial Training Hours
56
Training Location
Virtually and at Home Clean Heroes' principal place of business in Virginia Beach, Virginia.
Ongoing Support
Home Clean Heroes provides ongoing assistance to franchisees through various channels. This includes providing advice and written materials related to the residential and light commercial cleaning business, as well as managing and operating the franchise. Home Clean Heroes conducts periodic inspections and evaluations of the business and services. Franchisees receive telephone and email support during normal business hours for operational questions. Home Clean Heroes may also offer and require attendance at advanced training, national conventions, and regional meetings, though franchisees are responsible for their own travel and lodging costs. A National Call Center is provided for handling customer service requests. Home Clean Heroes also provides planning assistance for marketing, may offer group purchasing programs, and administers vendor relationships for various products, services, and the integrated business management system.
Franchise Requirements
Ideal Candidate Profile
Home Clean Heroes seeks franchisees who are committed to successfully operating and growing their business, either through direct personal supervision or by hiring an approved Designated Manager with a relevant background. The brand also specifically offers discounts to "Community Heroes" including firefighters, law enforcement, EMTs, 911 operators, teachers, and educational administrative staff, as well as veterans of the U.S. Armed Forces, suggesting a preference for individuals with backgrounds in service or leadership.
Industry Experience Required
No
Management Experience Required
Yes
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Hybrid
Owner Participation
Hands-On
Territory Type
Exclusive
Staff Count
3
Territory Size Requirements
Home Clean Heroes defines its franchise territories by Zip Code(s) and they typically contain up to 40,000 targeted households. These targeted households are usually single-family homes with an annual household income exceeding $100,000. The specific dwelling type and income threshold can vary based on the geographic region and community type, such as suburban or urban areas.
Staffing Notes
Home Clean Heroes franchisees are responsible for hiring and managing their own staff, including cleaning specialists who typically work in two-person teams. Franchisees must ensure employees are licensed and certified as required, undergo necessary screenings, and maintain a neat and professional appearance with good customer relations, adhering to all system standards. Franchisees are solely responsible for all employment aspects, including hiring, firing, compensation, taxes, scheduling, and daily supervision. If the franchisee does not directly supervise, an approved Designated Manager with a relevant background must oversee operations.