WaveMAX logo

WaveMAX Franchise

Audited Financials
Cleaning & JanitorialEst. 2016Jacksonville, FL
www.wavemaxlaundry.com

Risk Score

Pending analysis

Investment Range

$356,455 - $1,604,700

Franchise Fee

$18,953

Total US Locations

57

Business Summary

WaveMAX Laundry operates laundromat businesses that are retail outlets. These locations provide equipment for customers to wash and dry their own laundry. Additionally, WaveMAX Laundry offers wash-dry-fold services and, with approval, franchisees can add mobile pickup and delivery laundry services.

Corporate History

WaveMAX Laundry, the franchise, was formed in Florida on April 4, 2016. Its affiliate, AU Hydro LLC, has been operating a laundromat business similar to the franchised units since 2012, providing a foundational background for the brand. WaveMAX Laundry began offering unit franchises in October 2016 and also offered Area Representative franchises from 2016 to 2020.

Financial Overview

Investment Range

$356,455 - $1,604,700

Franchise Fee (Low)

$18,953

Franchise Fee (High)

$54,950

Royalty %

6%

Equipment Costs (Low)

$231,400

Equipment Costs (High)

$1,383,500

Working Capital

$50,000

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Unqualified opinion

Financial Health Notes

WaveMAX Laundry's financial condition has raised concerns, as indicated by a negative Members' Equity (Deficit) of ($1,395,775) as of December 31, 2024. This financial standing leads some states, including Illinois, Maryland, North Dakota, and Washington, to require the franchisor to post a surety bond as a financial assurance. The estimated initial investment for a franchisee can significantly exceed the franchisor's equity, suggesting a higher risk for this investment compared to a franchisor with positive equity.

Financing Details

WaveMAX Laundry does not offer any direct or indirect financing to its franchisees. Additionally, the franchisor does not guarantee any notes, leases, or other financial obligations for its franchisees.

Performance Metrics

Total US Locations

57

Franchised Units

56

Corporate Units

1

Avg Square Footage

2,750

Franchising Since

2016

Agreement Terms

Initial Term

10 years

Renewal Conditions

To renew with WaveMAX Laundry, franchisees must be in full compliance with their current Franchise Agreement and not have any unremedied Material Defaults. They must provide written notice of their intent to renew between 6 to 9 months before their current term expires. Franchisees will need to sign WaveMAX Laundry's then-current franchise agreement, which may have materially different terms. A non-refundable renewal fee of $5,000 is required, and they must execute a general release of claims against WaveMAX Laundry and its affiliates concerning the expired term. All financial obligations to WaveMAX Laundry must be in good standing.

Training & Support Program

Franchisor Assistance

WaveMAX Laundry provides franchisees with a range of assistance throughout their franchise journey. Before opening, WaveMAX Laundry offers initial on-boarding training, provides access to its copyrighted Operations Manual, and offers site selection assistance. It also supplies marketing materials and promotional support for the store's grand opening. Once operational, WaveMAX Laundry continuously updates its Operations Manual and provides recommended pricing suggestions. Franchisees receive general advice, assistance, and field support, access to the proprietary Program, and their locations are included on the WaveMAX Laundry website. The franchisor also coordinates periodic training programs, works to protect the brand's integrity, and may hold annual franchisee meetings. Additionally, WaveMAX Laundry inspects franchised businesses to ensure compliance with its standards.

Initial Training Hours

19.5

Training Location

Jacksonville, Florida

Ongoing Support

WaveMAX Laundry offers ongoing support by making periodic changes and updates to its Operations Manual and providing recommended pricing suggestions. The franchisor maintains a WaveMAX website that includes franchisee locations and grants access to its proprietary Program. Franchisees receive general advice, assistance, and field support, and may participate in coordinated periodic training programs. WaveMAX Laundry also works to protect its brand integrity and may conduct annual franchisee meetings. Franchised businesses are subject to inspections, potentially through "mystery shopper" programs, to ensure compliance with standards. Retraining may be required if a franchisee is not operating in full accordance with the Franchise Agreement, at a cost of $300 per person per day.

Franchise Requirements

Industry Experience Required

No

Management Experience Required

Yes

Sales Experience Required

No

Technical Skills Required

No

Operational Details

Location Type

hybrid

Owner Participation

Full-Time

Territory Type

Non-Exclusive

Staff Count

4

Territory Size Requirements

WaveMAX Laundry typically defines its franchise territories as an area within a 2-mile radius of the franchisee's approved location. However, this may vary in densely populated areas or those with geographical barriers. The franchisor performs an analysis for each territory, considering factors like average household income, density of rental properties, and multi-family housing.

Staffing Notes

WaveMAX Laundry locations are expected to have approximately 3 to 4 employees. The franchisor requires the business to be under the direct supervision of at least one full-time General Manager, who must be approved by WaveMAX Laundry and successfully complete the initial training program. The General Manager is responsible for ensuring efficient, competent, sober, and courteous staff, maintaining sufficient trained employees, and ensuring uniforms are worn according to specifications. If a territory includes more than 5 locations, an additional General Manager is required for every 5 locations or fraction thereof. All General Managers must work full-time and reside within 20 miles of the territory, although this residence requirement may be waived under certain conditions.