Would you be interested in foraying into an industry that has grown by 6.6% in the last 10 years, with a revenue growth of 14% in 2021? If yes, then you are on the right path to discovering one of the industry leaders in the commercial cleaning sector, the Jani-King franchise.
It is definitely true that as long as we have office buildings, hotels, retail areas, and more, janitorial services will always be in demand, making a franchise business like Jani-King a recession-proof entity.
- Brand: Jani-King
- Founded: 1968
- Key People: Jim Cavanaugh
- Industry: Cleaning and Janitorial services
- No. of outlets: 9000+
- Area served: worldwide
- Franchise Fee: $ 16,750 to $ 33,000
- Royalty Fee: 10%
- Model: franchise
- Estimated Initial Investment: $ 20,354 to $ 51,840
Table of Contents
Overview of Jani-King Franchise
Jani King claims to be the world’s largest and fastest-growing commercial cleaning franchise company. The concept was started by the founder, Jim Cavanaugh, in 1968.
For the initial few years, the founder and his team were primarily working at night. But, later, he figured out this unique concept that can be replicated throughout the country and can widen their top-notch service lists across multiple categories.
Today, Jani King has indeed carved out a niche in the sector, which has grown from a night-only operational team to over 9000 franchises spread across 120 regional offices in 14 countries.
Their service lists are certainly impressive and extensive, catering to customers from across the industry, including automobiles, healthcare, retail spaces, educational institutes, sports grounds, and more.
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Key facts about the Jani-King
| Sr No. | Type | Private |
|---|---|---|
| 1 | Trade Name | Jani-King |
| 2 | Industry | Cleaning services |
| 3 | Founded | 1968 |
| 4 | Founders Or Parent Company | Jim Cavanaugh |
| 5 | Corporate Headquarters | United States |
| 6 | Number of locations | Over 9000+ |
| 7 | Area served | Worldwide |
| 8 | Model | Franchise |
| 9 | Menu offering | Janitorial and cleaning services |
| 10 | Revenue | $859 million in 2021 |
| 11 | Website | https://www.janiking.com/ |
What’s the cleaning industry’s growth prospect and Jani-King’s position in it?
The cleaning industry has been on the market for several decades. Numerous experts from the sector have also considered this sector a recession-proof business because, as long as we have offices, retail areas, buildings, and apartments, we will need them. So, the demand is unquestionably gigantic.
According to the report available on the official website, the IBISWorld Market Research report suggests that the commercial cleaning industry is valued at $78 billion and has registered impressive year-on-year growth.
What makes the Jani-King franchise better as compared to its competitors?
- Five decades of experience:
- While there are multiple cleaning franchises in the United States, Jani-King’s five decades of experience certainly set them apart from the crowd.
- Low entry barrier:
- To become a Jani-King cleaning partner, you’ll only need a few thousand as an initial investment, and you’re all set to delve into the industry.
- Higher profit margin:
- Based on the data available, a Jani-King Cleaning franchise owner can expect a profit margin of nearly 50%, and with its initial investment and expected profit margin, you can certainly recoup your invested capital within a few years.
- Competitive pricing and financing support:
- To cater its services to several clients and organizations, Jani-King has kept its services pocket-friendly, and it also offers financial support to its franchisees.
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How much does a Jani-King franchise cost?
As discussed earlier, Jani King has kept their franchise cost as low as possible, making their franchise option accessible and affordable to everyone. As a result, you’ll find over 9,000 Jani-King partners across the globe, and the number is unequivocally growing.
The estimated initial franchise cost to partner with Jani-King may result between $16,750 and $33,000. There are a few more costs involved, please check out the below sections.
Apart from the initial franchise fee, you’ll need some capital for equipment, supplies, real estate, establishment fees, and more. Therefore, if you include the initial franchise fee and other costs, the total investment cost for Jani-King may total $20,354 to $51,840.
| Type of Fee | Amount |
|---|---|
| Initial Franchise Fee | $ 16,750 to $ 33,000 |
| Real Estate | $ 0 to $ 5,000 |
| Supplies | NR |
| Equipment | $ 1,849 to $ 2,500 |
| Licenses, tax registrations and permits | $ 100 to $ 1,000 |
| Business Entity, Establishment Fees | $ 100 to $ 1,000 |
| Additional Funds (for initial 120 day period) | $ 800 to $ 8,500 |
| TOTAL | $ 20,354 to $ 51,840 |
What are the ongoing costs for the Jani-King franchise?
| Type of taxes levied | Amount |
|---|---|
| Royalty Fee | 10% of monthly Gross Revenue |
| Accounting Fee | 3.0% of monthly Gross Revenue |
| Advertising Fee | 1.5% of monthly Gross Revenues |
| Technology Licensing Fee | 2.5% of monthly Gross Revenues |
| Business Protection Plan (Optional) | 5-8% of monthly Gross Revenue plus the cost of Administration Fee of $10/month or $20/month |
| Jani-King Worker’s Compensation Insurance Broker Program (Optional) | 1-5%, depending on the Gross Revenue and the number of employees |
What is the Jani-King business model?
There are three business model offered at Jani King:
- Unit franchise
- Domestic franchise
- International franchisor
Unit franchise:
In this model, the individual franchise partners are nurtured and supported with the necessary training and equipment to open their own local regional office and get started in the cleaning industry.
Domestic franchise:
You or and your partners will have exclusive agreement for 20 years to operate the cleaning services in the designated territory. You can also have privilege to buy and sell the existing Jani-King location in the United States.
International franchisor:
These franchisees will acquire the necessary rights to operate and leverage the Jani-King brand image and loyal customer base in their respective countries.
Today, Jani-King has established master franchisors in countries such as Australia, Canada, New Zealand, Mexico, and more.
How much profit does a Jani-King franchise owner make?
The financial report for the Jani-King isn’t disclosed for pubic, as it’s a privately-owned company. However, as per the report available across the multiple platform, Jani-King has been offering impressive profit margin of 50% to its franchise owners.
On an average, a Jani-King cleaning franchise partner generate a revenue of nearly $100K, and if you calculate the profit margin of 50%, it totals around $50,000.
Therefore, based on this investment, a franchisee can eventually expect to recoup their initial capital within two years of their operation. Please note that the figures are bound to change and we recommend you to connect with the franchise representative to gain the clear insight on the profitability.
Jani-King franchise failure and success rate
Based on the data, it is evident that the despite its popularity, the net franchise count for Jani King has been declining, where in 2018, the company itself closed its three outlets, franchise closed around 179 outlets.
The overall store count is declining at the rate of approximately 3%.
The data suggest that Jani-King is facing an outlet failure rate of 3%, and in just the last three years, there were nearly 278 outlets closed, and certainly, the company will/should take the necessary measures to mitigate the issue.
How do you become a Jani King franchisee?
To become a Jani King franchise, you’ll not need any prior experience and with the company’s immense support system, you can get the desired result in the field.
Here are the steps you can follow to be a Jani-King Cleaning franchise owner:
- Visit the Jani King’s official website and click on Get stated tag.
- You’ll need to fill out your personal details, including, name, email id, phone number, etc.
- Or, for the international franchise, contact
Mike Biggs
Sr. VP & Global Market Development
Email: mbiggs@janiking.com
WhatsApp: (214) 926-4791
Conclusion
The cleaning industry in the United States carries a robust growth prospects and demands for top-notch disinfecting and cleaning services will continue to skyrocket.
If you are passionate about the industry and ready to partner with a leading brand, Jani-King is just next to your door. But do remember, merely owning this franchise doesn’t guarantee success, you need to work hard and leverage the brand’s strategy, and BE Ready to compete with your nearest JANI KING CLEANING FRANCHISE OWNER.
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FAQ
How much does it cost to buy a Jani King cleaning franchise?
The initial investment is pretty affordable, it could range between $ 20,354 and $ 51,840, and you can expect a quick ROI.
Who is the competitor for Jani-King?
First of all, you’ll be competing to your nearest Jani-King cleaning partner. Other than that, you will face competition from Jan Pro and Janitize.
Is Jani-King a franchise?
Yes, Jani-King is a leading cleaning and disinfecting services franchise company that has been in the industry for over five decade.
