More Space Place Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$150,050 - $249,100
Franchise Fee
$38,900
Total US Locations
28
Business Summary
More Space Place operates a business specializing in space-saving home furnishings, including closet systems, Murphy wall beds, garage organizing cabinetry, home offices, and other home improvement products for various areas of the home. Many of these products are proprietary.
Corporate History
Closets Unlimited of New Jersey, Inc. was incorporated in January 1987. The company started its business in 1989 under the trade name Closet & Storage Concepts, focusing on custom storage spaces. On October 31, 2013, Closets Unlimited of New Jersey, Inc. acquired a significant portion of the assets of More Space Place, Inc., a company formed in 2002 that operated retail outlets and sold More Space Place franchises.
Financial Overview
Investment Range
$150,050 - $249,100
Franchise Fee (Low)
$38,900
Franchise Fee (High)
$59,500
Royalty %
5%
Equipment Costs (Low)
$43,000
Equipment Costs (High)
$97,800
Working Capital
$13,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
According to the New York State Addendum, the financial condition of More Space Place, as shown in its financial statements, raises questions about its ability to provide services and support to franchisees due to a stated working capital deficit. However, the audited financial statements for December 31, 2024, show positive working capital.
Financing Details
More Space Place does not offer any direct or indirect financing to franchisees. It also does not guarantee any notes, leases, or other obligations for franchisees.
Performance Metrics
Total US Locations
28
Franchised Units
27
Corporate Units
1
Avg Square Footage
3,050
Franchising Since
2002
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
More Space Place has no litigation history that is required to be disclosed in this document.
Bankruptcy History
More Space Place has no bankruptcy history to disclose in this document.
Agreement Terms
Initial Term
10 years
Renewal Term
10 years
Renewal Conditions
To renew their franchise agreement, More Space Place franchisees must notify the franchisor between six and twelve months before the current agreement ends. They need to ensure they have the right to lease their premises for another 10 years or secure a new approved location, and complete all required maintenance and refurbishments. Franchisees must not be in default of any agreements with More Space Place or its affiliates, have substantially complied with all terms during the initial period, and have paid all outstanding monetary obligations. Additionally, they must sign the franchisor's then-current form of franchise agreement (which may have different terms, including higher fees and altered territorial rights), execute a general release of claims against More Space Place, and pay a renewal fee equal to 25% of the then-current initial franchise fee, with a minimum of $14,875. If required by law, they must also obtain a contractor's license. The franchisor reserves the right to re-evaluate the territory based on current demographics and standards, which may change its size.
Training & Support Program
Franchisor Assistance
More Space Place provides a range of assistance to its franchisees. Before opening, the franchisor offers guidelines for leasing premises, preliminary plans and layouts, and specifications for fixtures, signs, and equipment, along with lists of approved vendors. They review leasehold improvement plans and provide initial training for up to three people at no tuition cost, though franchisees cover travel and living expenses. Franchisees also gain access to the proprietary digital Operations Manual. After opening, More Space Place conducts occasional programs, seminars, or conventions, which franchisees must attend (covering their own travel, lodging, and a fee). The franchisor purchases and places advertising for the brand and provides promotional materials, for which franchisees pay the cost plus a 20% markup. Additional training is offered as needed, with franchisees responsible for associated costs. Other ongoing support includes merchandising, marketing, and business advice via various communication channels, bulletins, and opportunities to participate in group purchasing programs. The franchisor also conducts inspections of the More Space Place business and its products and services.
Initial Training Hours
156
Training Location
Corporate office in New Jersey, Clearwater manufacturing facility, a corporate retail store in North Palm Beach, FL, and the franchisee's location. Remote calls or webinars may also be utilized.
Ongoing Support
After opening, More Space Place franchisees receive continuing consultation and advice on services, marketing, sales techniques, and personnel development through personal visits, telephone, newsletters, and bulletins. The franchisor occasionally conducts mandatory programs, seminars, or conventions, for which franchisees cover their own expenses and a fee. Additional training programs, which may be optional or mandatory, are also offered. Franchisees also have the opportunity to participate in group purchasing or leasing programs and receive periodic inspections of their business.
Franchise Requirements
Ideal Candidate Profile
More Space Place strongly recommends that its franchisees personally participate in the operation of their franchised business. The business must be run by either the individual franchisee, one of their principal owners (if an entity), or a designated manager. Both the franchisee and the designated manager must successfully complete the training program. Personal attention from the owner or manager is considered critical for the success of the More Space Place franchised business.
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Retail
Owner Participation
Supervisory
Territory Type
Protected
Staff Count
5
Territory Size Requirements
Each More Space Place territory is determined by the franchisor, containing an estimated minimum population of at least 250,000 people. The boundaries are described using geographical features, political subdivisions, streets, highways, distances, or postal zip codes.
Staffing Notes
More Space Place locations typically require an average of 5 employees, which includes the owner. Specific roles include installers (who assemble, deliver, and install products, generally paid hourly), sales designers (who interact with customers, design, and sell products, generally paid on salary plus commission), and administrative employees (office staff, bookkeepers, and office managers, generally paid hourly or salaried). Franchisees are solely responsible for all employment decisions, including hiring, firing, and setting compensation. All employees are required to sign a Confidentiality Agreement.