Home Services
Servpro Franchise
Property damage restoration and cleanup franchise handling fire, water, mold, and storm damage for residential and commercial customers, sold by 50,000-80,000-population Operating Territory. The Servpro system dates to 1977 under predecessor Servpro Industries; the current franchisor entity was formed in 2019 as part of a securitization transaction and is now an indirect subsidiary of Commodore Parent Holdings, LLC. Competes with PuroClean, already in this dataset, in the disaster-restoration category.
Every franchisor has to file a document called an FDD before they can legally sell you a franchise. Buried in it are the two things a sales rep won't volunteer: what you'll actually spend to open, and whether existing locations are opening or closing. That's what's below, pulled straight from Servpro's own filing.
What it costs to open
From the filing's investment breakdown -- not a "starting at" number a sales rep quoted you.
Franchise fee
$100,000
Total to open
$263,305–$385,570
Ongoing royalty
Not a %-of-revenue fee -- see FDD
What you'd actually spend, over time
The upfront cost is only part of it. Plug in what you expect a location to bring in, and see the real total once royalties over a few years are added on top.
Defaulted to a rough home services industry average, not a figure from Servpro's own FDD -- change it to your own estimate.
Startup investment (royalty not included -- see below)
$263,305 – $385,570
Servpro doesn't charge a straightforward percentage-of-revenue royalty -- its FDD describes a different ongoing-fee structure instead. That cost isn't included in the total above; check the FDD directly for the real terms before using this figure to compare against other franchises.
When would you break even?
Revenue alone doesn't tell you this -- it depends on what's left after rent, labor, and everything else. Servpro's FDD doesn't disclose a reliable profit figure (most franchisors don't), so this starts from a typical home services profit margin (~15%) and applies it to the revenue you entered above -- adjust the percentage to your own realistic estimate.
Defaulted to a general home services industry benchmark, not a figure from Servpro's own filing -- this is a starting point to adjust, not a promise about what franchisees actually make.
At that profit, you'd break even in about
2.9–4.3 years
Weigh that payback period against what you already know: Servpro is opening more locations. A long payback period on a shrinking brand is a very different bet than the same payback period on a growing one.
Is Servpro actually growing?
Franchisors have to report, every year, how many locations opened, closed, or changed hands. Most franchise sites never show you this. Here it is:
Locations opened vs. closed, by year
GrowingFrom Item 20 of Servpro's FDD, the section franchisors use to disclose real openings and closings.
| Year | Franchised units, start | Franchised units, end | Net change |
|---|---|---|---|
| 2023 | 2,114 | 2,202 | +88 |
| 2024 | 2,202 | 2,286 | +84 |
| 2025 | 2,286 | 2,354 | +68 |
Most recent year (2025): gained 68 franchised units, ending the year at 2,354 total.
What you're actually signing up for
The cost and growth numbers above are only part of the picture. These three FDD items are the ones a prospective franchisee tends to weigh most heavily once they're past the sticker price.
Training & ongoing support (Item 11)
All training is mandatory before opening and runs online/on-demand or classroom-based at the Gallatin, TN headquarters, covering the Manuals, Bulletins, and required QuickBooks training. After opening, a designated Franchise Development Integration Consultant runs at least three half-day Business Consultation meetings in the first 6 months, and franchisees must separately complete an Applied Structural Drying certification course within that same window (at their own travel expense).
Territory protection (Item 12)
Servpro states directly that you will NOT receive an exclusive territory. Your Operating Territory (generally 50,000-80,000 population) can be overlapped with other franchisees' territories, and Servpro reserves the right to sell directly online or through other brands it controls inside it. A separate Territorial Policy governs a referral-fee system for work performed in another franchisee's territory or vice versa.
Renewal & termination terms (Item 17)
5-year initial term, renewable for additional 5-year terms if in good standing (a then-current agreement and renewal fee required, which may carry materially different terms). Disputes go through mediation first, then arbitration within 40 miles of the Gallatin, TN headquarters, under Tennessee law and the Federal Arbitration Act. Non-compete after termination is 2 years within a 25-mile radius of the former territory -- extended to a 25-mile radius around any large-loss/catastrophic job site over $100,000 in Gross Volume that the franchisee worked, even outside their own territory.
How Servpro compares to other Home Services franchises
Across the 9 home services franchises we've hand-verified so far, the typical range to open runs $180,833–$354,047, with royalties averaging around 7.5% of gross sales (based on the 6 of them that charge a flat %-of-revenue royalty).
$258,100–$480,500 · 7% royalty
1-800 Water Damage$142,903–$312,398 · 10% royalty
Pool Scouts$96,662–$133,787 · 8% royalty
PuroClean$108,503–$152,618 · non-%-of-revenue royalty
1-800-GOT-JUNK?$182,300–$303,500 · 8% royalty
Re-Bath$275,875–$606,925 · non-%-of-revenue royalty
Two Men and a Truck$146,950–$512,450 · 6% royalty
Mr. Rooter$152,900–$298,675 · 6% royalty
Keep going
- Servpro and College Hunks Hauling Junk are both home services franchises; College Hunks Hauling Junk's total investment starts about $5,205 lower than Servpro's. College Hunks Hauling Junk Franchise
- Servpro and Re-Bath are both home services franchises; Servpro's total investment starts about $12,570 lower than Re-Bath's. Re-Bath Franchise
Where this came from: Servpro only files Net Worth/Experience Exemption notices with California DFPI (dfpi id 467888), so this entry is sourced from Minnesota's CARDS registry instead: MN File No. 9149, Clean FDD issued December 31, 2025, filed with MN 4/16/2026, effective 5/7/2026. hqLocation is corrected from Washington, DC (the FTC-boilerplate address the automated parser picked up) to the real principal business address in Item 1: 801 Industrial Boulevard, Gallatin, TN. franchiseFee is corrected from an auto-drafted $1,250 -- that figure is actually a franchisee-referral-fee credit buried in Item 5's text, not the fee itself; the real minimum Initial Franchise Fee, per Item 5 and Item 7's own Total row, is $100,000 (part of a $212,000 Standard Purchase Price that also includes a mandatory $112,000 Equipment and Products Package). Item 6: royalty is a reverse sliding scale by monthly Gross Volume -- 10% under $13,197/month, stepping down to 5% at $219,947/month and up, plus a tiered Fixed Fee ($45-$115/month) -- so royaltyPercent is set to null rather than a single misleading number, following the 7-Eleven/Kona Ice/Penn Station precedent. A separate Brand Fund Fee is stated as "up to 3%" but currently collected at 2.5% of Gross Volume (0.25% on Reduced Rate Services), capped at $1,550,000 annually -- another auto-drafted "ad fund 3.0%" figure that overstated the actual current rate. Item 7 Total: $263,305-$385,570. Item 20 Table No. 1 confirmed, franchised outlets 2023-2025. You can pull the same filing yourself from the California DFPI's public franchise search. Filed 2026-05-07. None of this is investment advice -- get the franchisor's current FDD and talk to a real attorney or accountant before you sign anything.
If you see a different unit count elsewhere: franchisors only have to refile their FDD annually, so the numbers here can run 6–18 months behind a franchisor's own real-time marketing claims -- which often aren't independently verified, and sometimes count signed-but-not-yet-open locations. A gap isn't necessarily an error on either side; it's two different snapshots in time from two different sources.