Corporate Cleaning Group Franchise Review (2026): Costs, Fees, Revenue Potential

• Category: Health & Wellness
• Initial Investment: $94,240 to $141,700
• Franchise Fee: $59,500
• Royalty: 5.5%
• Marketing / Ad Fee: 1.5% ad fund plus $1,200 per month local marketing fee
• Key additional recurring fees: technology fees, bookkeeping service starting at month 4, annual conference fee, possible cooperative advertising contributions
• Number of locations: 47 total outlets at year-end 2024, including 45 franchised and 2 company-owned
• Best Fit: owner-operator or owner actively supervising a designated manager

---

The disclosure estimates initial investment at $94,240 to $141,700, which places this in a relatively low startup band for a franchise requiring an operating business rather than a retail buildout. The midpoint is about $117,970.

Major cost drivers include:

• Initial franchise fee: $59,500
• Additional funds: $20,000 to $50,000
• Boost Marketing Program fee: $7,500 per territory
• Other startup needs implied by the disclosure, including equipment, technology, and operating setup costs

The largest single upfront cost appears to be the franchise fee, followed by working capital. This is not a minimal-cost home-based model, but it also does not appear to require a large real estate buildout based on the figures disclosed.

---

Key recurring fees disclosed include:

• Royalty fee: 5.5%
• Ad fund fee: 1.5%
• Local marketing fee: $1,200 per month
• Technology fees: currently include charges such as Team Software at $8.37 per month per employee, Learning Zen at $35 per month, Sage Intacct at $90 per month, and certain annual Microsoft-related charges
• Bookkeeping services: currently $350 per month beginning in the 4th month of operation
• Annual conference fee: currently $1,000 for the first attendee and $500 for each additional attendee

There is also a minimum royalty schedule shown in the disclosure for certain periods:

• Months 0–6: $0
• Months 7–12: $550
• Months 13–24: $1,000

Overall, the percentage-based fee load appears moderate, but the fixed monthly charges add to the burden, especially for lower-revenue operators.

---

Yes, the FDD includes Item 19 financial performance data, but it is important to separate revenue from profit.

The disclosure states that the Item 19 figures are based on self-reported franchisee data and are not audited. As of December 31, 2024, there were 36 franchised outlets in the system, 28 reported financial results, and 19 franchised outlets qualified for inclusion based on having operated at least 12 months. The tables also include 2 company-owned outlets. That means exclusions are meaningful.

All included qualifying franchised outlets (19 units)

Gross Revenue

• Average: $974,819
• Median: $404,288
• Range: $14,111 to $3,594,930
• % at or above average: 37%

Cost of Revenue

• Average: $511,588
• Median: $273,784
• Range: $12,011 to $1,777,620

Gross Margin

• Average: $463,232
• Median: $142,225
• Range: $2,100 to $1,882,689

Gross Profit %

• Average: 44%
• Median: 47%
• Range: 15% to 58%

Higher-revenue subset shown in Item 19 (8 franchised outlets listed in the table)

For the subset with revenue from $592,216 to $3,594,930:

Gross Revenue

• Average: $1,852,054
• Median: $1,434,589
• Range: $592,216 to $3,594,930
• % at or above average: 38%

Cost of Revenue

• Average: $964,686
• Median: $860,729
• Range: $312,394 to $1,777,620

Gross Margin

• Average: $887,368
• Median: $579,296
• Range: $279,822 to $1,882,689

Gross Profit %

• Average: 47%
• Median: 47%
• Range: 38% to 55%

Lower-revenue subset shown in Item 19 (11 franchised outlets listed in the table)

For the subset with revenue from $14,111 to $1,758,375:

Gross Revenue

• Average: $1,475,694
• Median: $1,081,332
• Range: $279,235 to $3,594,930

The disclosure does not clearly establish how this summary aligns with the listed lower-revenue units, so this subset should be read cautiously.

Company-owned outlets (2 units)

• Lenexa, KS Gross Revenue: $3,638,051; Gross Profit %: 43%
• Livonia, MI Gross Revenue: $5,202,287; Gross Profit %: 43%

Interpretation

The spread is wide. The average gross revenue of $974,819 is much higher than the median of $404,288, which suggests the results are skewed upward by a smaller number of larger operators. The range from $14,111 to $3,594,930 among qualifying franchised outlets is substantial.

The disclosed gross margin and gross profit percentage are not the same as net income. They do not include all operating expenses, owner compensation, royalties, marketing fees, overhead, insurance, taxes, debt service, or other costs. As a result, Item 19 does not establish franchisee profitability.

---

• Primary model: B2B service business
• Revenue pattern: recurring service revenue appears central, since cleaning contracts typically involve ongoing service delivery under the franchise system described in the FDD
• Operational characteristics: labor-intensive service model, direct service costs are significant, technology tools are required, bookkeeping through an approved vendor is required, and owner supervision is required unless an approved manager is in place

This appears to be an operating business built around managing service delivery, staffing, and client accounts rather than a passive ownership model.

---

Advantages

• Startup investment is moderate at $94,240 to $141,700.
• Item 19 includes actual unit-level revenue, cost of revenue, and gross margin figures rather than revenue alone.
• The system grew from 34 total outlets in 2023 to 47 in 2024.
• Percentage-based recurring fees are not especially high on their own, with a 5.5% royalty and 1.5% ad fund.

Considerations

• Owner participation is required unless the franchisor approves a trained and background-checked manager.
• Revenue results vary materially, with franchised unit gross revenue ranging from $14,111 to $3,594,930 in the included sample.
• Only 19 of 36 franchised outlets qualified for the main Item 19 table, so a large portion of the system is not represented there.
• The business appears labor-heavy, and cost of revenue is a major expense line.
• Fixed monthly charges such as local marketing, technology, and bookkeeping can weigh more heavily on smaller operators.

---

This franchise may fit someone who wants to run a service business directly, is comfortable supervising day-to-day operations, and can manage labor, service quality, and recurring client relationships.

It likely does not fit someone seeking passive ownership, a simple manager-run model from day one, or a business with highly predictable unit economics across locations.

---

• The disclosure indicates the franchisor may terminate without cause.
• Territory exclusivity is not clearly established in the disclosure provided.
• Litigation is mentioned in the FDD.
• The franchise agreement term is 10 years, so this is a long-duration commitment.
• Disputes are governed by Michigan law, and litigation takes place in Michigan, subject to applicable state law.

---

Corporate Cleaning Group presents a lower initial investment than many operating businesses, but it is still a hands-on service model with meaningful labor execution risk. The main tradeoff is straightforward: lower entry cost and recurring commercial service revenue potential versus wide performance dispersion, required owner involvement, and limited proof that revenue converts into profit.

---