Earnings Claims of Top Franchises Revealed

Earnings Claims of Top Franchises Revealed

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FDD Talk: Our Latest Views on Maid Simple’s Average Number of Homes Cleaned Per Day, Cleaning Times, and Prices (2014 FDD)

by Franchise Chatter on January 22, 2015

in Franchise Earnings, Maid Franchise

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Highlights of Maid Simple’s Item 19 Financial Performance Representations (2014 FDD)

Update: Maid Simple’s business model has already changed. The information contained in Item 19 of their 2014 FDD no longer applies to their current business model.

  • The franchisor is Maid Brigade, Inc. In addition to traditional Maid Brigade franchises, the franchisor now grants Maid Simple House Cleaning franchises for the operation of a light household cleaning business.
  • Maid Brigade began offering Maid Simple House Cleaning franchises in 2011 as a way to appeal to a different market of potential franchisees, and to better assist its franchisees in marketing and administering their businesses.
  • Your opening costs will be about one-fourth the cost of a traditional Maid Brigade franchise and you get a number of services not currently offered to Maid Brigade franchisees.
  • In addition to providing you with your initial equipment and cleaning supplies, Maid Brigade will market your business in such a way as to bring you 30 customers during your first year of operation.
  • Maid Brigade will pay for and obtain your business insurance package and it will help you set up your payroll through a third-party payroll service.
  • Because Maid Brigade administers and collects all payment from your customers, it will pay all credit card fees.
  • Through its call center, Maid Brigade will book all of your customer visits and will give first time callers an estimate for your charges. Maid Brigade will host your web pages on its website.
  • As a Maid Simple House Cleaning franchisee, you will:
  • (a) Receive a license to operate a business under the trade names, trademarks, service marks, logotypes, and commercial symbols that Maid Brigade designates, including the service mark “Maid Simple House Cleaning;”
  • (b) Gain access to customers through Maid Brigade’s internet alliances and partnerships;
  • (c) Obtain Maid Brigade’s assistance in matters like marketing, management, human resources, products, financial planning, and services;
  • (d) Gain access to the full array of proprietary products and services Maid Brigade offers, including its confidential business information, business format, methods, specifications, and expertise.
  • The house cleaning services you will offer include dusting, mopping, vacuuming, and tidying or any other services Maid Brigade deems necessary.
  • Although you will offer the services to the general public, your primary market will be middle to upper-income families in which both spouses work.
  • To help you build a customer base, Maid Brigade has entered into alliances with internet referral sources. You will also build your customer base through the use of internet advertising, including advertising Maid Brigade offers through the Maid Simple House Cleaning public website, maidsimplehousecleaning.com, and through traditional methods of advertising that may include newspaper advertisements, direct mail, door hangers, grassroots efforts, and references from existing customers.
  • Maid Brigade encourages you to enter into strategic alliances with apartment managers, realtors, employers, and other service-oriented businesses in the territory that can give you referrals.
  • You will operate the Franchised Business from your home. You will offer light daytime house cleaning services for homes. Maid Brigade will provide you with an opening inventory of equipment and supplies.
  • Your customers will pay Maid Simple for your services by credit card, and Maid Simple will remit to you the gross revenue, less the royalty fees.
  • You will also incur costs for gas and miscellaneous ongoing cleaning supplies and products.
  • Maid Simple based these figures on the company’s many years of experience in the home cleaning business with its Maid Brigade system.

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