Lightspeed Restoration Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$154,230 - $334,000
Franchise Fee
$4,250
Min Cash Required
$25,000
Total US Locations
27
Business Summary
LIGHTSPEED RESTORATION™ franchisees offer 24/7 water and fire damage restoration and indoor air quality services to residential and commercial customers. The business provides emergency mitigation, cleaning, and restoration, as well as services related to air duct cleaning, mold remediation, moisture control, and attic/basement/crawlspace improvements. Franchisees operate the business from a commercial office/warehouse location.
Corporate History
LIGHTSPEED RESTORATION™ was formed as a Delaware limited liability company in December 2022. It began offering LIGHTSPEED RESTORATION™ franchises, which specialize in water and fire damage restoration and indoor air quality services, in June 2023. LIGHTSPEED RESTORATION™ is a subsidiary of Home Franchise Concepts, LLC, and ultimately JM Family Enterprises, Inc. It has several affiliates, including Budget Blinds, Organized Spaces, Concrete Craft, AdvantaClean Systems, Kitchen Tune-Up, Two Maids Franchising, and Aussie Pet Mobile, which operate in different lines of business. AdvantaClean Systems offers some similar air quality services, but LIGHTSPEED RESTORATION™ is distinguished by its 24/7 emergency restoration focus.
Financial Overview
Investment Range
$154,230 - $334,000
Franchise Fee (Low)
$4,250
Franchise Fee (High)
$5,000
Minimum Cash Required
$25,000
Royalty %
8%
Marketing %
2%
Equipment Costs (Low)
$58,430
Equipment Costs (High)
$150,500
Working Capital
$37,500
Audited Financials
Yes
Offers Financing
Yes
Audit Opinion
Going concern qualification
Financial Health Notes
LIGHTSPEED RESTORATION™ has incurred significant net losses in 2024 ($1,564,388) and 2023 ($1,485,444), and its financial condition raises questions about its ability to provide services and support. The company's management has evaluated conditions that raise substantial doubt about its ability to continue as a going concern. However, LIGHTSPEED RESTORATION™ has secured a commitment from its Parent company to provide financial support until at least February 15, 2026, which management believes will allow it to meet its cash flow obligations.
Financing Details
LIGHTSPEED RESTORATION™ offers direct financing for a portion of the Initial Territory Fee and Additional Territory Fee, provided franchisees meet credit standards. For the Initial Territory Fee, up to $22,000 can be financed over 60 months at 10% interest, with monthly payments of $469.05. For each Additional Territory Fee purchased simultaneously, up to $17,000 can be financed over 60 months at 10% interest, with monthly payments of $362.45. There are no prepayment penalties. If a franchisee defaults, LIGHTSPEED RESTORATION™ has the right to terminate the franchise, and the franchisee is liable for the unpaid balance, attorney fees, and costs. LIGHTSPEED RESTORATION™ does not receive payments from third parties for financing referrals, nor does it guarantee any notes, leases, or obligations.
Performance Metrics
Total US Locations
27
Franchised Units
27
Corporate Units
0
Avg Square Footage
1,750
Franchising Since
2023
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Count
1
Litigation Summary
LIGHTSPEED RESTORATION™ discloses one administrative proceeding against its affiliate, Aussie Pet Mobile, Inc., in 2006. This proceeding, which occurred under previous ownership, involved a Consent Order with the Maryland Securities Division concerning disclosure violations. Aussie Pet Mobile, Inc. was required to cease certain actions, make representations, and rescind franchise agreements with a former franchisee who did not receive proper disclosure. There is no other litigation required to be disclosed for LIGHTSPEED RESTORATION™.
Bankruptcy History
LIGHTSPEED RESTORATION™ reports that it has no bankruptcy history to disclose.
Agreement Terms
Initial Term
10 years
Renewal Term
5 years
Renewal Conditions
To renew their franchise agreement, LIGHTSPEED RESTORATION™ franchisees must pay a renewal fee and sign the then-current form of franchise agreement. They must not be in default of their existing agreement and must make any necessary upgrades to their LIGHTSPEED RESTORATION™ business to meet current standards. The new franchise agreement may contain terms and conditions that are materially different from the original agreement.
Training & Support Program
Franchisor Assistance
LIGHTSPEED RESTORATION™ provides comprehensive assistance to its franchisees, both before and after opening. Pre-opening support includes defining the protected territory, granting rights to use the LIGHTSPEED RESTORATION™ trademarks, and providing initial training. Franchisees also receive a list of approved products, services, and suppliers, access to the confidential operations manual, proprietary staff training information, and assistance with coordinating an initial lead generation program. A launch visit is also conducted shortly after opening. After opening, LIGHTSPEED RESTORATION™ continues to support franchisees by protecting its trademarks, offering training on new products and methods, and making representatives available for consultation. The franchisor maintains a website that identifies franchisees, operates a toll-free number for customer routing, and manages a CRM System that includes Telematics/GPS and a Call Center. Additionally, LIGHTSPEED RESTORATION™ administers the National Advertising Fund for advertising and public relations efforts.
Initial Training Hours
160
Training Location
Coppell, TX and virtually, with additional third-party online certification courses
Ongoing Support
LIGHTSPEED RESTORATION™ provides ongoing support to its franchisees after they open. This includes policing the LIGHTSPEED RESTORATION™ trademarks and providing training as new products, services, and methods are developed. Representatives are available during normal business hours for consultation and guidance. The franchisor maintains a system-wide website that lists franchisees and operates a toll-free number to route customer calls. LIGHTSPEED RESTORATION™ also administers its CRM System, including Telematics/GPS and a Call Center, and manages the National Advertising Fund for advertising efforts. Franchisees or their designated personnel may also be required to attend additional training courses, seminars, or conferences, though regional meetings are currently optional.
Franchise Requirements
Ideal Candidate Profile
LIGHTSPEED RESTORATION™ does not require its franchisees to have specific prior industry experience. However, candidates or their designated managers must be able to obtain any necessary contractor's licenses and specialty certifications required by state or federal agencies to operate the LIGHTSPEED RESTORATION™ business. Franchisees (or their designated principals) are expected to devote their full-time attention, skills, and best efforts to the management and operation of the business. If a manager is hired, they must be approved by LIGHTSPEED RESTORATION™ and successfully complete initial training.
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Commercial
Owner Participation
Full-Time
Territory Type
Protected
Territory Size Requirements
LIGHTSPEED RESTORATION™ franchisees are granted a Protected Territory that typically has a minimum population of 200,000 people. The exact size and boundaries of the territory are determined based on geography, demographics, and other relevant factors.
Staffing Notes
LIGHTSPEED RESTORATION™ requires its franchisees to employ a sufficient number of qualified and competent personnel to operate the business efficiently and provide courteous service. All employees must adhere to LIGHTSPEED RESTORATION™'s dress code and appearance standards. The business must always have at least one individual on staff who has successfully completed the initial training program. LIGHTSPEED RESTORATION™ and its franchisees are not considered joint employers, and franchisees have sole authority over their employees' essential terms and conditions of employment, including hiring, firing, compensation, and scheduling.