FranchiseVerdict
Environment Control Building Maintenance Company logo
FV-00862·CAUTIONExcellent86

Environment Control Building Maintenance Company

Cleaning - Commercial & JanitorialFranchising since 1970Website
Investment
$116K – $116K
57th pct Commercial & …
Avg revenue
65th pct Commercial & …
Royalty
50.0% (?)
Likely extraction error
Units
55
51st pct Commercial & …
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $116K – $116K including a $30K franchise fee, 50.0% ongoing royalty.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated CAUTION with a risk score of 72/100. SBA loan default rate of 0.0% across 5 loans (below the industry average).

Item 1 · who you're contracting with

The Franchisor

Legal entity
Environment Control Building Maintenance Company
Incorporated in
California
HQ
6485 North Mineral Drive, Coeur d’Alene, Idaho 83815-8788
Auditor
Magnuson, McHugh, Dougherty CPAs
Audited financials
Franchisor revenue
$12.4M
vs $11.6M prior year

Yale framework · single-unit ROIC

Returns Analysis

Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.

The model · Yale framework

What would one Environment Control Building Maintenance Company unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: restoration
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $116K–$116K
Working capital
$
FDD reports $10K–$10K

Unlevered ROIC · per unit

-203%

Negative

0%30–60% Yale band80%

Store EBITDA · annual
$-255K
EBITDA margin
-34.0%
Total invested
$126K
Payback
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Overview

About

Franchisees operate commercial building maintenance and environmental control services, handling HVAC, cleaning, facility management, and climate control for commercial properties. Day-to-day operations involve scheduling maintenance crews, managing client relationships, ensuring compliance with building codes, and coordinating service calls across their protected territory.

CEO
Daryl D. Kraft
Founded
1970
FDD year
2025
States available
19

Item 7 · what it costs

The Vitals

Total investment
$116K – $116K
All-in to open one unit
Liquid capital
$10K – $10K
Cash you must have on hand
Franchise fee
$30K
Royalty
50.0%
Percentage of Net Profits · typical 6–8%
Ad fund
n/d
Payback period
0.7 yrs
From v3 / Item 19

Item 19

Financial Performance

This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.

Item 20 · unit dynamics

The Growth Chart

Total units
55
Opened
1
Last reporting year
Closed
0
Turnover rate
0.0%
Company-owned
0
Corporate units in the system
% franchised
100%
vs corporate-owned
Multi-unit owners
1.0%
Net growth (yr3)
+1.9%
Net unit change last year
3-yr CAGR
+1.9%
Compounded over last 3 years
2023
55+1
Franchised units
2024
54
Franchised units
2025
54
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 25 states with active franchisees

The Territory Map

Derived from franchisee contact records. Shows states with at least one current operator — not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 25 states
Not registered

States derived from franchisee phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.

Government records

SBA Loan Data

Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.

Total loans
5
Loan volume
Avg loan
Default rate
0.0%
vs <3% typical · system-wide
5-yr default

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

72
Risk · 0-100
CAUTION72 / 100

This franchise exhibits high-risk characteristics including franchisor going concern warnings, stagnant unit growth, predatory royalty rates, and critical disclosure gaps that prevent proper financial validation.

Score breakdown · what drove the 72 / 100 rating

  1. 01HIGHGoing concern warning indicates potential franchisor financial distress or operational viability questions
  2. 02MINORMinimal unit growth (1.9% YoY) across 55 units suggests stagnant or struggling system expansion
  3. 03MINORExtremely aggressive royalty structure (50% of first $12k quarterly profits) creates unsustainable payment burden on franchisees
  4. 04MINORAverage net income of $170k appears inconsistent with typical building maintenance margins and lacks supporting revenue disclosure
  5. 05MINORUnknown franchise term length prevents assessment of long-term commitment and renewal risk
  6. 06MINORDisclosure gap: no average revenue provided despite high profitability claims raises transparency concerns
  7. 07MINORHigh initial investment ($115.5k) paired with minimal system growth suggests poor unit economics or recruiting challenges

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Geographic Territory
Protected territory
Yes
Renewal term
10 years
Franchisor can compete
Yes
Hire a manager?
Not allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
5 yrs
Post-termination restriction
Owner-operator
Required
Governing law
State where franchise is located

Item 11

Training & Operations

Classroom training
80 hrs
On-the-job training
90 hrs
POS system
UKG and Intacct
Operating tech stack

Item 20

Franchisee Contacts

Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.

Franchisee contacts

29 numbers

Locked
(208) 772-••••
Jeff LaBenne Environment Control
ID
(515) 242-••••
IA
(213) 576-••••
CA

One-time purchase · CSV download · Validation questions included

FDD download

Environment Control Building Maintenance Company · FDD (2025) PDF

Single-page checkout · instant download · CSV export of contacts available separately above