Risk Score
Pending analysis
Investment Range
$109,700 - $177,750
Franchise Fee
$55,000
Min Cash Required
$25,000
Total US Locations
73
Business Summary
HOMEstretch Home Services II LLC offers a business that provides a wide range of residential and commercial home services. These services include home clear-outs, handyman services, interior and exterior painting, pressure washing, landscaping, junk removal, cleaning, and carpet/flooring replacements. HOMEstretch franchisees spend a significant amount of time building relationships with referral sources like real estate agents and banks, while often utilizing third-party subcontractors for specialized services.
Corporate History
Homestretch Home Services II LLC was formed as an Ohio limited liability company on August 15, 2022. The company's affiliate, HOMEstretch Services LLC, which operates a similar business and licenses the proprietary marks, was formed earlier on January 16, 2019. Homestretch Home Services II LLC began offering franchises on December 20, 2022.
Financial Overview
Investment Range
$109,700 - $177,750
Franchise Fee (Low)
$55,000
Franchise Fee (High)
$60,000
Minimum Cash Required
$25,000
Royalty %
7.25%
Marketing %
1%
Equipment Costs (Low)
$5,200
Equipment Costs (High)
$32,500
Working Capital
$35,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
Homestretch Home Services II LLC's financial statements show significant losses, with a net loss of over $1.1 million in 2024 and an accumulated deficit of over $1 million as of December 31, 2024. These financial results raise questions about the franchisor's ability to provide services and support to its franchisees, a risk highlighted by the franchisor itself.
Financing Details
Homestretch Home Services II LLC does not offer any direct or indirect financing to its franchisees. The company also does not guarantee any notes, leases, or other financial obligations for franchisees.
Performance Metrics
Total US Locations
73
Franchised Units
67
Corporate Units
6
Franchising Since
2022
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
HOMEstretch Home Services II LLC has no litigation to report in this item.
Bankruptcy History
HOMEstretch Home Services II LLC has no bankruptcy history to report in this item.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
To renew a HOMEstretch franchise agreement, franchisees must provide written notice between three and six months before the current term expires. They must prove they have the right to operate from an approved location for the new term or secure an acceptable substitute. Franchisees are required to update and remodel their business premises, hardware, software, and equipment to meet current HOMEstretch standards. They must not be in breach of their agreements with HOMEstretch or its affiliates/suppliers and must have met all financial obligations. Renewal also requires signing HOMEstretch's then-current franchise agreement (which may have different terms), completing current training requirements, executing a general release, and paying a renewal fee that is 10% of the then-current initial franchise fee.
Training & Support Program
Franchisor Assistance
Homestretch Home Services II LLC provides franchisees with several forms of assistance. Before opening, Homestretch helps define the designated territory, offers general site selection guidelines for the storage space, and provides initial training to required personnel. Franchisees also receive access to the confidential Operations Manual and a list of approved suppliers and necessary equipment. Homestretch approves the business opening once all requirements are met. After opening, Homestretch reviews franchisee advertising, manages the Brand Fund, and offers additional consulting services upon request. They also evaluate alternate suppliers and relocation proposals. Homestretch may provide additional mandatory or optional training and updates to the System and Manuals.
Initial Training Hours
17
Training Location
Cincinnati, Ohio
Ongoing Support
After opening, Homestretch Home Services II LLC reviews any advertising or promotional programs, manages the Brand Fund, and provides additional consulting services upon reasonable request. The company evaluates alternate suppliers and relocation proposals. Homestretch may also schedule additional or refresher training programs, which may be mandatory or optional. They also provide ongoing advice and guidance regarding business operations and System updates, through meetings, printed materials, electronic forums, teleconferences, webinars, or in person. Franchisees are required to attend an Annual Conference which includes a fee and their own travel and living expenses.
Franchise Requirements
Ideal Candidate Profile
Homestretch Home Services II LLC is looking for qualified individuals or entities whose owners or principals are committed to devoting their full-time attention, skill, and best efforts to managing and operating the business. These individuals must take on the roles of, or designate full-time individuals for, a Business Development Manager (responsible for client consultations, quoting, follow-up, and referral relationships) and a Project Manager (responsible for scheduling jobs and ensuring job quality). Ideal candidates should meet educational, managerial, and business standards, possess good moral character, a strong business reputation, a solid credit rating, and have the aptitude, ability, and adequate financial resources to operate the business.
Industry Experience Required
No
Management Experience Required
Yes
Sales Experience Required
Yes
Technical Skills Required
No
Operational Details
Location Type
Hybrid
Owner Participation
Full-Time
Territory Type
Non-Exclusive
Staff Count
2
Territory Size Requirements
Homestretch Home Services II LLC provides franchisees with a Designated Territory that typically includes approximately 150,000 households. The size of these territories can vary based on factors like location and population demographics. The boundaries are defined using various methods such as zip codes, streets, natural or man-made landmarks, or county lines, and are delineated on a map. Publicly available population data, such as from the U.S. Census Bureau or other governmental agencies and commercial sources, is used to determine the population within each territory.
Staffing Notes
Each Homestretch Home Services II LLC franchised business requires dedicated staffing for two key full-time roles: a Business Development Manager and a Project Manager. The Business Development Manager focuses on client consultations, quoting, customer follow-up, and building referral relationships. The Project Manager is responsible for scheduling jobs, ensuring timely completion, and maintaining quality standards. The owner or principals must devote their full-time attention to the business and either assume one of these positions themselves (with the other designated full-time) or ensure two individuals are designated full-time for these roles. At least one individual on staff must have successfully completed the initial training program. If either the Business Development Manager or Project Manager leaves, a replacement must be hired and successfully trained within 30 days, and these managers are not permitted to hold other employment during the franchise agreement term.