FranchiseVerdict
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FV-01666·STRONGExcellent86

Molly Maid

Cleaning - Commercial & JanitorialFranchising since 1984Website
Investment
$138K – $196K
67th pct Commercial & …
Avg revenue
65th pct Commercial & …
Royalty
Units
464
93rd pct Commercial & …
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $138K – $196K including a $15K franchise fee.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated STRONG with a risk score of 52/100. SBA loan default rate of 0.0% across 223 loans (below the industry average).
  • System contracting at -7.4% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).

Item 1 · who you're contracting with

The Franchisor

Legal entity
Molly Maid SPV LLC
Parent company
Neighborly Assetco LLC
Incorporated in
Delaware
HQ
1010 North University Parks Drive, Waco, Texas 76707
Auditor
Ernst & Young LLP
Audited financials
Franchisor revenue
$384K
vs $452K 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 Molly Maid 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: $138K–$196K
Working capital
$
FDD reports $50K–$60K

Unlevered ROIC · per unit

37%

In Yale's "attractive" band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$83K
EBITDA margin
11.0%
Total invested
$222K
Payback
32 mo
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 residential and commercial house cleaning services, managing teams of uniformed cleaners who perform scheduled cleaning appointments in customers' homes. Daily operations include scheduling, customer acquisition/retention, staff hiring and training, quality control, billing, and handling service complaints across a protected territory.

CEO
Michael Anthony Davis
Founded
2020
FDD year
2024
States available
41

Item 7 · what it costs

The Vitals

Total investment
$138K – $196K
All-in to open one unit
Liquid capital
$50K – $60K
Cash you must have on hand
Franchise fee
$15K
Royalty
3 – 6 ½ % of Gross Sales
Ad fund
2.0%
typical 3–5%
Total fee load
38.0%
vs 9–13% typical

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
464
Opened
7
Last reporting year
Closed
24
Turnover rate
5.2%
Company-owned
0
Corporate units in the system
% franchised
100%
vs corporate-owned
Net growth (yr3)
-3.5%
Net unit change last year
3-yr CAGR
-7.4%
Compounded over last 3 years
2022
464-17
Franchised units
2023
481
Franchised units
2024
501
Franchised units

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

Item 20 · 17 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 · 17 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
223
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

52
Risk · 0-100
STRONG52 / 100

Declining franchise system with material litigation history, missing financial disclosures, and unclear unit-level profitability creates meaningful investment risk despite low going concern exposure.

Score breakdown · what drove the 52 / 100 rating

  1. 01MINORSystem declining 3.5% YoY with 464 units suggests market saturation or operational challenges
  2. 02MINORNo Item 19 disclosure (Avg Revenue/Net Income) prevents realistic ROI assessment and suggests weak franchisee performance data
  3. 03HIGHTwo litigation consent judgments (background checks, gift certificates, advertising) indicate compliance weaknesses and consumer protection vulnerabilities
  4. 04MEDRoyalty range of 3-6.5% is high-end for home cleaning and combined with undisclosed income creates uncertainty about true profitability
  5. 05MEDInitial investment of $138K-$196K requires 3-10 years to break even without disclosed average unit volumes

Severity inferred from the FDD text · not a regulatory classification

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

Contract & Territory Detail

Territory
U.S. Zip Codes
Protected territory
Yes
Initial term
10 years
Renewal term
10 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
2
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
No
Jury trial waiver
Yes
Non-compete
2 yrs
Post-termination restriction
Owner-operator
Required
Governing law
Texas

Item 11

Training & Operations

Classroom training
133 hrs
On-the-job training
40 hrs
POS system
CLEO
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

98 numbers

Locked
(303) 745-••••
CO
(916) 782-••••
CA
(954) 433-••••
FL

One-time purchase · CSV download · Validation questions included

FDD download

Molly Maid · FDD (2024) PDF

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