The Maids Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$81,720 - $159,700
Franchise Fee
$43,900
Total US Locations
1,620
Business Summary
THE MAIDS® Businesses provide household maintenance and cleaning services. The Maids International, LLC grants the personal right and license to establish and operate a THE MAIDS® household maintenance and home services business, offering efficient household cleaning services for people who lack the time or desire to clean their home on a regular basis. Franchisees operate within a prescribed territory and are responsible for locating customer accounts, and must purchase or lease one vehicle for each maid team. The Maids International, LLC may also require the use of the Mr. Clean® trademark in the operation of the business.
Corporate History
The Maids International, LLC was incorporated in Nebraska on October 9, 1979, as The Maids International, Inc. The company converted to a Nebraska limited liability company on February 27, 2020. Shortly after, on March 4, 2020, The Maids International, LLC was acquired by The Maids Holdings Inc., a subsidiary of Gladstone Management Corp. The Maids International, LLC has been franchising its household maintenance and home services businesses since November 1980.
Financial Overview
Investment Range
$81,720 - $159,700
Franchise Fee (Low)
$43,900
Franchise Fee (High)
$103,900
Royalty %
6.9%
Marketing %
2%
Equipment Costs (Low)
$2,300
Equipment Costs (High)
$8,000
Working Capital
$29,690
Audited Financials
Yes
Offers Financing
Yes
Audit Opinion
Unqualified opinion
Financial Health Notes
A special risk to consider is that the franchisor's financial condition, as shown in its financial statements, raises questions about The Maids International, LLC's ability to provide services and support to franchisees. The company has a negative member's equity, with deficits of -$6,944,107 in 2024 and -$1,519,411 in 2023. It also reported net losses of -$3,924,696 in 2024 and -$4,285,042 in 2023. Additionally, cash decreased from $3,166,836 in 2023 to $1,544,275 in 2024. Although an unqualified audit opinion was issued, the auditors noted that The Maids International, LLC was granted a waiver for a violation of a fixed charges coverage ratio financial covenant as of September 30, 2024 and 2023.
Financing Details
The Maids International, LLC may, at its sole discretion, offer financing to new and existing franchisees for up to 80% of the Initial Territory Fee for purchasing territories. Financing is not available for any other purpose related to establishing or operating a THE MAIDS® franchise. If a franchisee qualifies, they must sign a Promissory Note and Security Agreement. The interest rate for this financing is 2.75% above the current national prime rate, which was 8.00% as of September 30, 2024, resulting in an annual percentage rate of 10.75%. Repayment terms are up to 84 months for new franchisees and up to 60 months for existing franchisees, with payments and interest deferred for 24 months for new franchisees. The Promissory Note can be prepaid at any time without penalty, and both the franchisee and their spouse must personally guarantee it. The Maids International, LLC will retain a security interest in the franchisee's business or other assets.
Performance Metrics
Total US Locations
1,620
Franchised Units
1,472
Corporate Units
148
Franchising Since
1980
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
The Maids International, LLC has no litigation that is required to be disclosed in Item 3 of the FDD, indicating a clean legal record for the franchisor and its management.
Bankruptcy History
The Maids International, LLC has no bankruptcy history that is required to be disclosed in Item 4 of the FDD.
Agreement Terms
Initial Term
10 years
Renewal Conditions
To renew their franchise agreement, THE MAIDS® franchisees must give The Maids International, LLC written notice of their intent to reacquire the franchise between 360 and 540 days before the agreement ends. Franchisees must have complied with all material terms and conditions of their agreement and all of The Maids International, LLC's operating and quality standards. Any deficiencies found during a business review conducted by The Maids International, LLC must be remedied within 90 days. All financial obligations to The Maids International, LLC must be paid and have been met on time throughout the agreement term. Franchisees must agree to sign and comply with The Maids International, LLC's then-current standard franchise agreement, which may have different terms and conditions. Additionally, the franchisee or their manager must successfully complete any retraining program prescribed by The Maids International, LLC at their own expense before the renewal term begins.
Training & Support Program
Franchisor Assistance
THE MAIDS® provides extensive assistance to its franchisees. Before opening, The Maids International, LLC helps define the Designated Market Area, offers a 'SMART Start Set-Up' coaching program (via phone, internet, or at Omaha headquarters) covering basic business procedures, employee training, insurance, automobiles, accounting, computer operations, sales, marketing, and office setup. Franchisees also receive up to 5 days of in-person 'SMART Start Training' in Omaha, a 'Power Training' program with an on-site visit by staff within 90 days of opening, the necessary 'SMART Start Package' of equipment and supplies, and a license for required software. They also provide lists of approved suppliers, advertising and marketing recommendations, and standards for employee attire. During operation, The Maids International, LLC conducts periodic business reviews, legally protects its trademarks and business system, provides access to Online Operations Manuals and approved supplier lists, offers recommendations on basic accounting and business practices, and assists with obtaining required insurance. They also hold a National Convention periodically, publish a newsletter for franchisees, and offer advisory services by telephone or in writing. Optional on-site consulting services are available for a fee, and web-based training may be provided for management staff.
Initial Training Hours
92
Training Location
Via Telephone, Internet, and Omaha, NE
Ongoing Support
After opening, THE MAIDS® franchisees receive ongoing support including periodic business reviews and written reports. The Maids International, LLC protects its trademarks and business system legally, and provides franchisees with access to the Online Operations Manuals and approved supplier lists. Franchisees also receive recommendations regarding basic accounting and business practices, and assistance in obtaining required insurance. The Maids International, LLC conducts a National Convention periodically, publishes and distributes a periodic newsletter, and offers advisory services by telephone or in writing. Additional on-site consulting services are available upon written request for a fee (up to $250 per day plus travel expenses). Web-based training via webinar is offered to management staff at no charge, with optional fee-based courses and self-paced pay-per-use courses also available. Performance consulting is provided by staff via telephone or other communication means to monitor business operations and assist in understanding the business system.
Franchise Requirements
Ideal Candidate Profile
The Maids International looks for individuals or entities that meet its managerial, financial, and business standards. Ideal candidates should possess a good business reputation and credit rating, and demonstrate the aptitude and ability to operate The Maids Business in an economic and businesslike manner, potentially evidenced by prior related business experience. While franchisees are not required to participate in the day-to-day operations, their business must be managed by a person who has successfully completed The Maids International's training program and meets TMI's approval.
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Commercial
Owner Participation
Absentee Allowed
Territory Type
Exclusive
Staff Count
3
Territory Size Requirements
THE MAIDS® franchisees will operate within a Designated Market Area that consists of one or more Franchise Territories. Designated Market Areas typically range in size from approximately 60,000 to 168,000 households. Each individual Franchise Territory is defined as approximately 24,000 households. These Designated Market Areas are defined by hard boundaries such as streets, highways, rivers, or other identifiable physical boundaries.
Staffing Notes
THE MAIDS® recommends that franchisees employ at least three team members before opening their business. These team members are responsible for performing in-home cleaning duties. Franchisees have the option to hire a general manager, typically if they do not plan to be involved in the day-to-day operations. A general manager would oversee business planning, customer and employee retention, and compliance with laws and policies. The Maids International, LLC states that franchisees are solely responsible for recruiting, hiring, training, and managing their employees, including wages, taxes, benefits, safety, and work schedules. At no time are employees of the franchisee considered employees of The Maids International, LLC. Furthermore, The Maids International, LLC requires that there be at least one Manager on duty at all times to supervise employees and business operations, and at least one team leader per team, along with sufficient other trained personnel to ensure efficient customer service.