Laundry Spot Franchise Cost, Revenue & Review 2026
- Investment
- $1.3M – $2.2M
- Disclosed sales
- partial, no system average
- SBA charge-off
- Not SBA-matched
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
Laundry Spot is a laundromat franchise operating self-service and full-service laundry facilities. Franchisees run the stores, managing equipment upkeep, wash-and-fold service, and operations.
FranchiseVerdict summary · 2026
A Laundry Spot franchise requires a total initial investment of $1.3M – $2.2M, including a $60K franchise fee and an ongoing 5.0% royalty[2]. The 2026 FDD on file does not yield a unit-revenue figure we can publish. FranchiseVerdict grade: C (Average), an editorial assessment, not investment advice. Run a live ROI scan →
Limited operating history: franchising since 2025. A system this young has fewer than three years of Item 20 outlet history and rarely enough SBA loans for a charge-off rate, so its grade rests on less evidence than an established system's. Read its Item 20 tables and talk to its first franchisees before relying on the grade. Other new franchisors
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: low - issued within the last 12 months
Evidence: partial✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✗ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored5 of 6 headline figures on this page cite a page of the filing; the rest are marked “Not cited” beside the figure.
Overview
- Investment
- $1.3M – $2.2M
- 87th pct Cleaning & Ma…
- Avg gross sales
- N/A
- Company-owned only
- Royalty
- 5.0%
- 8th pct Cleaning & Ma…
- Units
- 4
- 12th pct Cleaning & Ma…
- SBA charge-off
- N/A
Quick verdict · Cleaning & Maintenance · color = vs category peers
Green = favorable by >10% vs Cleaning & Maintenance median · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- COSTTotal investment $1.3M – $2.2M including a $60K franchise fee, 5.0% ongoing royalty.
- RETURNSItem 19 reports revenue alongside profit figures rather than annual gross sales, so unit revenue is not directly comparable.
- RISKVerdict C (Average), verdict score 45/100 (higher is better).
- GROWTHFlat: no net change in franchised outlets in the latest year (0 opened, 0 closed) (Item 20).
- DATAItem 19 reports revenue alongside profit figures rather than annual gross sales, so unit revenue is not directly comparable. Ask franchisees directly for full unit-level revenue.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- The Laundry Spot Franchise LLC
- CEO title
- Chief Executive Officer
- Dan Reese
- Incorporated in
- OH
- HQ
- 1875 S. Erie Blvd., Hamilton, OH 45011
- Auditor
- Divine, Blalock, Martin & Sellari, LLC
- Audited financials
Affiliated brands
- Oreo Team
Other brands the franchisor or its parent operates (Item 1).
Overview
About
- CEO
- Dan Reese
- Headquarters
- OH
- Founded
- 2025
- FDD year
- 2026
- States available
- 1
Can you afford it, and what does the money buy?
Entry cost runs 936% above the typical cleaning & maintenance franchise.
Source: FDD 2026 · Items 5–7
Full Item 7 breakdown19 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Feenot refundable | $60K | $60K | |
| Rent - 3 Months | $12K | $24K | |
| Utility and Security Deposits | $6K | $12K | |
| Leasehold Improvements | $400K | $750K | |
| Grand Opening Marketing Program | $10K | $20K | |
| Equipment Package | $700K | $1.1M | |
| Opening Inventory | $15K | $25K | |
| Professional Fees | $2K | $3K | |
| Signage | $10K | $25K | |
| Insurance | $2K | $5K | |
| Business Licenses and Permits | $250 | $2K | |
| Travel for Initial Training | $1K | $3K | |
| Computer System | $6K | $7K | |
| Security System | $15K | $25K | |
| Uniforms | $100 | $250 | |
| Tap and Impact Fees | $0 | $40K | |
| Vehicle and Wrap | $0 | $15K | |
| Office Supplies | $250 | $500 | |
| Additional Funds (3 months) | $30K | $75K | |
| Total initial investment | $1.3M | $2.2M |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $1.3M – $2.2M
- Bottom third — review vs category
- Liquid capital req'd
- $30K – $75K
- Middle of category vs category
- Franchise fee
- $60K – $60K
- Bottom third — review vs category
- Royalty
- 5.0%
- typical 6–8%
- Ad fund
- 1.0%
- typical 3–5%
- Total fee load
- 6.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 5.0% of gross sales |
| Marketing / ad fund | 1.0% of gross sales |
| Technology fee | $750 |
| Transfer fee | $10K |
| Renewal fee | $5K |
| Inventory (initial) | $15K – $25K |
| Total fee load | 6.0% of rev |
What do units actually make?
Source: FDD 2026 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
No Item 19 revenue figure for Laundry Spot is on file. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one Laundry Spot unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for annual revenue, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2026 FDD
Financial Performance
Company-owned outlets only - not franchisee performance
- Item 19 type
- affiliate-owned historical financials (unaudited P&L for 4 Ohio affiliate locations, 2025)
- Sample size
- 4
- vs category median 32 · small
- Range (low → high)
- $484K→$1.0MNot cited — published from our reading of the franchisor's disclosure document; the page it is printed on has not been located.
- Cohort dispersion (min → max)
- Reporting year
- 2025
- Fiscal year the figures cover
- Source filing
- FDD 2026
- Disclosed in the 2026 filing, covering 2025
- Transparency
- 9 / 10
- vs category median 4 / 10 · above
Compared against 191 Cleaning & Maintenance brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 6.0% — below the Cleaning & Maintenance median of 8.3%.
Disclosure
Item 19 reports revenue alongside profit figures rather than annual gross sales, so unit revenue is not directly comparable.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Cleaning & Maintenance medians
How Laundry Spot Compares
Category median of published Cleaning & Maintenance brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 4
- Opened
- 0
- Last reporting year
- Closed
- 0
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- N/A
- Company-owned
- 4
- Corporate units in the system
- % franchised
- 0%
- vs corporate-owned
Last fiscal year · Item 20 exits and transfers
- Terminated
- 0
- Not renewed
- 0
- Transferred
- 0
- Reacquired
- 0
- Franchisor bought back
- Signed, not yet open
- 0
- 0.00 per open outlet · Item 20 Table 5
- Projected new
- 2
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 1 state reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
1
states with franchisees (per FDD Item 12)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Litigation (Item 3)
Subject: officers or affiliates. The franchisor is not a named party in these cases.
No litigation required to be disclosed in Item 3.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Divine, Blalock, Martin & Sellari, LLC
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Newly formed franchisor; financial statements cover inception (October 28, 2025) to December 31, 2025. Total Revenue was $0 (no initial franchise fees, royalty fees, or license fees earned). Member contributions of $20,000 fund total assets/equity.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: No
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
Score breakdown · what drove the 45 / 100 verdict
- 01MINOROnly 4 units systemwide — extremely small franchise system with unknown/likely stagnant growth trajectory
- 02MINORUnclear unit economics — 4 units is insufficient sample size; franchisees may experience vastly different results
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 6.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Protected territory |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 50 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 1 |
| Mandatory arbitration | Yes |
| Arbitration location | Hamilton, Ohio |
| Jury trial waiver | Yes |
| Governing law | OH |
| Litigation count | 0 |
View Item 3 litigation summary
No litigation required to be disclosed in Item 3.
Items 10, 11
Training & Operations
- Classroom training
- 26 hrs
- On-the-job training
- 40 hrs
- Training location
- Hamilton, Ohio or location designated by franchisor (may be virtual)
- Ongoing training
- Required
- Site selection
- franchisor must approve site selected by franchisee
- Franchisor financing
- Not offered
- Item 10
Items 5 & 11
Franchisor Support
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Laundry Spot franchise?
The total investment to open a Laundry Spot franchise ranges from $1.3M – $2.2M, with an initial franchise fee of $60K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Laundry Spot franchise owners earn?
Item 19 of the Laundry Spot FDD discloses outlet figures from $484K to $1.0M but no single average across all outlets. These are gross sales figures, not profit; the Revenue section shows what the filing reports and on what basis. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns Laundry Spot?
Laundry Spot is franchised by The Laundry Spot Franchise LLC. Source: FDD Item 1, 2026 filing.
What is Item 19 in the Laundry Spot FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Laundry Spot FDD and qualifies whose outlets they describe.
What is Laundry Spot's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Laundry Spot (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many Laundry Spot franchise locations are there?
As of their most recent FDD filing, Laundry Spot has 4 total units in the United States.
Is Laundry Spot a good franchise to buy?
FranchiseVerdict rates Laundry Spot as a C-grade franchise with a verdict score of 45 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.