Risk Score
Pending analysis
Investment Range
$259,618 - $621,461
Franchise Fee
$44,500
Total US Locations
166
Business Summary
Zoom Drain is a specialized drain and sewer service company that aims to keep life and business operating smoothly. Zoom Drain offers a full range of services for residential, commercial, and industrial customers, including drain cleaning and sewer inspections, maintenance, repair, and replacement work. The business also provides drain pumping, grease trap, and septic services. Teams at Zoom Drain deliver reliable and high-quality solutions using advanced tools and techniques.
Corporate History
Zoom Drain was originally established in 1995 by James N. Criniti, who is currently the Manager and Chief Executive Officer of Zoom Drain Franchise, LLC. The predecessor company, Zoom Franchise Company, LLC, was formed in Pennsylvania in 2013 and began offering franchises in January 2014. On February 12, 2021, ZD Holdco, LLC, the current parent company, acquired the assets and liabilities of Zoom Franchise Company, LLC and contributed them to Zoom Drain Franchise, LLC, which was formed in Delaware on January 11, 2021. Zoom Drain Franchise, LLC itself began offering franchises as of November 15, 2021.
Financial Overview
Investment Range
$259,618 - $621,461
Franchise Fee (Low)
$44,500
Franchise Fee (High)
$299,500
Royalty %
6%
Marketing %
2%
Equipment Costs (Low)
$12,600
Equipment Costs (High)
$190,120
Working Capital
$50,632
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
Zoom Drain Franchise, LLC has received an unqualified audit opinion for its financial statements as of December 31, 2024, and 2023, indicating that the statements present the company's financial position fairly. The auditor's report does not include any going concern qualification, which suggests confidence in Zoom Drain's ability to continue operations. The company reported a net income of $1,351,024 in 2024, a significant increase from $116,507 in 2023. Cash and cash equivalents also saw a healthy increase, reaching $1,206,668 in 2024 from $577,491 in 2023. Member's equity also increased to $3,471,439 in 2024. Overall, Zoom Drain demonstrates a financially healthy and stable position.
Financing Details
Zoom Drain Franchise, LLC does not offer any direct or indirect financing to its franchisees. The franchisor also does not guarantee any notes, leases, or other obligations for franchisees.
Performance Metrics
Total US Locations
166
Franchised Units
161
Corporate Units
5
Avg Square Footage
1,000
Franchising Since
2014
Legal & Compliance Analysis
Recent Litigation
Yes
Bankruptcy
No
Litigation Count
1
Litigation Summary
Zoom Drain Franchise, LLC itself does not have any litigation that is required to be disclosed. However, its affiliate, Restoration 1 Franchise Holdings, LLC, was involved in a settlement order on July 16, 2024, with the Virginia State Corporation Commission. This settlement was based on an allegation that Restoration 1 Franchise Holdings, LLC offered and sold a franchise in Virginia after its registration had expired. The affiliate did not admit or deny the allegations but agreed to pay $1,000 for investigation costs, attend franchise sales compliance training, and agreed not to violate the Virginia Retail Franchise Act in the future. No other litigation is required to be disclosed for Zoom Drain Franchise, LLC or its affiliates.
Bankruptcy History
Zoom Drain Franchise, LLC has no bankruptcy history to report.
Agreement Terms
Initial Term
10 years
Renewal Term
5 years
Renewal Conditions
To renew their franchise agreement, Zoom Drain franchisees must provide written notice at least 180 days before their current term expires. They must have substantially complied with all terms of their franchise agreement, upgrade or replace any equipment or vehicles to meet current standards, and pay a $10,000 renewal fee per transaction. Additionally, franchisees and their owners are required to sign a general release of claims and execute Zoom Drain's then-current form of franchise agreement and any related agreements, which may have different terms from their previous agreement.
Training & Support Program
Franchisor Assistance
Before opening, Zoom Drain provides franchisees with a designated territory, helps with site approval, and provides a list of approved suppliers. Franchisees and up to three additional people receive a 6-phase initial training program, which includes virtual sessions, in-person training at Zoom Drain's headquarters in Plymouth Meeting, PA, and on-site training at the franchisee's location during the grand opening week. Zoom Drain also provides access to its confidential operations manuals. During operation, Zoom Drain may offer additional guidance and assistance, which may incur a reasonable fee. The franchisor may suggest or establish prices for services. Zoom Drain also manages a brand development fund, to which franchisees contribute, for system-wide advertising and marketing. There is a mandatory local advertising requirement. Franchisees are required to use Zoom Drain's designated computer systems and software, and must attend mandatory monthly virtual conferences and an annual national conference (for the Principal Owner and Day-to-Day Operations Manager). A Franchise Advisory Council also provides non-binding advice to the franchisor.
Initial Training Hours
132
Training Location
A combination of virtual training, in-person training at Zoom Drain's headquarters in Plymouth Meeting, PA, and on-site training at the franchisee's business location.
Ongoing Support
After opening, Zoom Drain provides continuing advisory assistance, for which it may charge a reasonable fee. The franchisor may also suggest or establish pricing for services. Franchisees have access to the confidential operations manuals, which are updated periodically. Zoom Drain operates a brand development fund that franchisees contribute to, used for various advertising, marketing, and promotional activities to benefit the brand. Franchisees also have a local advertising requirement, for which Zoom Drain may provide materials or require funds to be spent through designated suppliers. Although currently optional, participation in a centralized call center may become mandatory if a franchisee's close rate falls below a set requirement. Zoom Drain also hosts mandatory monthly virtual conferences and an annual national conference for the Principal Owner and Day-to-Day Operations Manager. Franchisees are required to use specific computer systems and software, such as ServiceTitan and QuickBooks Online, with Zoom Drain having unrestricted access to the data generated.
Franchise Requirements
Ideal Candidate Profile
Zoom Drain seeks enterprising individuals who are committed to actively participating in the day-to-day management and operation of their franchised business. The Principal Owner is required to use their best efforts and be personally responsible for the business, although a qualified manager can be hired with Zoom Drain's approval, provided the Principal Owner remains actively involved in operations and management. Candidates should be capable of building businesses and should align with Zoom Drain's core values of Grit, Responsibility, Optimism, and Willingness.
Industry Experience Required
No
Management Experience Required
Yes
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Hybrid
Owner Participation
Hands-On
Territory Type
Protected
Staff Count
3
Territory Size Requirements
Zoom Drain territories are typically defined by contiguous zip codes and are designed to comprise approximately 300,000 individuals, based on the most recent U.S. Census data available. Franchisees can purchase territories with populations greater than 300,000, which incurs an additional fee per person for the larger population. Franchisees may acquire up to three contiguous protected territories under a single Franchise Agreement, or four or more contiguous territories requiring an additional Franchise Agreement.
Staffing Notes
Zoom Drain initially assumes an owner-operated franchised business with 2 to 3 employees. If additional full-time employees are hired, expenses will increase. The Principal Owner is required to be personally responsible for the day-to-day management of the business. While a qualified manager without an ownership interest may be hired with Zoom Drain's approval, the Principal Owner must remain actively involved in operations and management. Any designated managers and supervisory personnel are required to sign confidentiality and non-competition agreements.