Linc Service logo

Linc Service Franchise

Audited Financials
Commercial ServicesEst. 2003Canonsburg, PA
www.lincservice.com
Financing Available

Risk Score

Pending analysis

Investment Range

$66,530 - $140,050

Franchise Fee

$65,000

Total US Locations

100

Business Summary

Linc Service franchisees operate businesses focused on the maintenance, repair, and replacement of heating, ventilating, and air conditioning (HVAC) systems, equipment, and controls. Linc Service businesses primarily serve owners and managers of commercial, industrial, institutional, and multi-family residential buildings. The Linc System provides methods and techniques for managing, marketing, operating, recruiting, training employees, accounting, data processing, advertising, promotion, and quality control for these businesses.

Corporate History

ABM Franchising Group, LLC, the franchisor for Linc Service, was initially organized in Delaware on November 3, 2003, as Linc Franchises, LLC. It later changed its name to Linc Network, LLC in December 2004 and then to its current name, ABM Franchising Group, LLC, on November 1, 2012. The company acquired the Linc Service brand and its franchising operations in 2003 from The Linc Corporation, which had been offering Linc Service franchises since 1980. ABM Franchising Group, LLC has continuously offered Linc Service franchises since this acquisition. The franchisor also previously offered TEGG®, GreenHomes America®, and CurrentSAFE® franchises, but later sold the GreenHomes America and CurrentSAFE franchise businesses. Linc Service operates as part of the larger ABM Industries Incorporated.

Financial Overview

Investment Range

$66,530 - $140,050

Franchise Fee (Low)

$65,000

Franchise Fee (High)

$75,000

Royalty %

4.5%

Equipment Costs (High)

$8,000

Audited Financials

Yes

Offers Financing

Yes

Audit Opinion

Unqualified opinion

Financial Health Notes

The financial statements for ABM Industries Incorporated, the parent company of Linc Service, received an unqualified audit opinion for the fiscal years ending October 31, 2024, 2023, and 2022, indicating they present fairly in all material respects. A critical audit matter highlighted by the independent auditors related to the valuation of self-insurance liabilities, which involves significant judgment and actuarial expertise. Additionally, the company recorded an increase of $95.7 million in the fair value of a contingent consideration liability related to the RavenVolt Acquisition in 2024, recognized as an expense. The parent company, ABM Industries Incorporated, provides an absolute and unconditional guarantee to assume Linc Service's duties and obligations to franchisees if Linc Service fails to fulfill them.

Financing Details

Linc Service offers financing solely for a portion of the initial franchise fee. Franchisees have two options: pay a discounted lump sum of $65,000 upfront, or pay $75,000 through an installment plan. The installment plan involves an initial payment of $37,500 upon signing the Franchise Agreement, followed by eleven consecutive monthly payments of $3,409. Linc Service does not provide any other direct or indirect financing, nor does it guarantee any notes, leases, or other financial obligations for franchisees.

Performance Metrics

Total US Locations

100

Franchised Units

78

Corporate Units

32

Franchising Since

2003

Agreement Terms

Initial Term

6 years

Renewal Term

6 years

Renewal Conditions

To renew their Linc Service franchise, franchisees must be in good standing, meaning they are not in default of their expiring Franchise Agreement or any other agreements with Linc Service or its affiliates. Franchisees must sign Linc Service's then-current franchise agreement, which may have terms materially different from their original agreement. They also need to execute a General Release, releasing Linc Service and its affiliates from certain claims. Additionally, franchisees must comply with Linc Service's current qualification and training requirements. Linc Service must also continue to operate as a franchisor offering franchise agreements. If a franchisee delays signing a new agreement after the term expires and Linc Service agrees to waive the expiration, the franchisee must pay a monthly waiver fee in addition to regular royalty fees under the then-current schedule.

Training & Support Program

Franchisor Assistance

Linc Service provides extensive support to its franchisees. Before opening, Linc Service provides a copy of its Confidential Operating Manual and access to its website. It also offers tuition-free initial training for franchisee personnel at its facilities in Pittsburgh, PA, or Atlanta, GA, which includes a minimum of 10 days of classroom training for the General Manager. Ongoing assistance includes access to Linc University, offering blended learning solutions through instructor-led training, eLearning, and self-directed paths designed by experienced professionals. Linc Service may also conduct refresher training and other specialized training sessions. Franchisees can receive performance evaluations for sales and cost controls, access updated operating manual materials, and utilize the proprietary LincWare computer software system (ValueBuilder®, ProposalBuilderTM, PriceBuilder®, SpotBuilderTM, and optional salesforce.com CRM). A new, mandatory technology platform is expected to roll out in mid-2025.

Initial Training Hours

567

Training Location

Pittsburgh, PA, or Atlanta, GA facilities, with some virtual, webinar, online, or on-site training at the franchisee's location also available.

Ongoing Support

Linc Service provides ongoing support through various channels. This includes continuous access to Linc University, offering blended learning solutions through instructor-led training, eLearning, and self-directed learning paths for all job titles. Linc Service also conducts classroom refresher training sessions throughout the year in Pittsburgh, PA, Atlanta, GA, or other locations. Franchisees can also request additional specialized training beyond standard offerings at a cost. Linc Service may periodically provide performance evaluations of the franchisee's business, focusing on sales performance and cost controls, and offers recommendations for improvement. Franchisees receive updated and revised materials for the Confidential Operating Manual and have access to the LincWare computer software (with a new mandatory platform expected in mid-2025). An annual Continuing Education Conference is also organized for franchise owners and employees.

Franchise Requirements

Ideal Candidate Profile

Linc Service primarily seeks qualified individuals and business entities that are already involved in the repair and maintenance of heating, ventilating, and air conditioning (HVAC) systems. However, the franchise may also extend opportunities to qualified individuals and entities that do not currently operate within the HVAC industry.

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

Limited

Territory Size Requirements

Linc Service territories are defined as either "Primary Marketing Areas" or "Shared Marketing Areas." The franchisor considers standard statistical information, such as metropolitan areas, city and county populations (actual and projected), economic impact areas, and terrain conditions, when establishing these territories. These areas are typically delineated by county boundaries and/or boundary streets or highways. Franchisees will be informed whether their territory is a Primary or Shared Marketing Area before signing the agreement and will receive a map or written description. In a Primary Marketing Area, the franchisor will not perform or authorize another Linc Service franchisee to perform services using the Proprietary Marks, with certain exceptions. In a Shared Marketing Area, Linc Service franchisees may face competition from other Linc Service franchisees within their territory. The franchisor reserves the right to develop opportunities with customers that operate in two or more territories ("National Accounts"), offering franchisees the option to participate in their area on negotiated terms.

Staffing Notes

Linc Service franchisees are required to have a General Manager who dedicates their full time to managing and operating the business. This General Manager must complete all required training to Linc Service's satisfaction. The General Manager's appointment is subject to Linc Service's consent. Franchisees are also expected to staff a sufficient number of Linc Service Representatives to perform all service and maintenance work, ensuring professional appearance and safety compliance. Linc Service recommends making a sedan or similar vehicle available to the General Manager and each Field Sales Representative, and a van or pickup truck for each Field Service Representative, with appropriate Linc Service vehicle markings. While Linc Service offers various training programs for roles such as General Management, Sales Leadership, Service Management/Supervision, Project Management, and Dispatcher, it does not specify an overall typical staff count for a franchised location.