OpenWorks Franchise Cost, Revenue & Review 2026
- Investment
- $4K – $134K
- Disclosed sales
- not disclosed
- SBA charge-off
- Not SBA-matched
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
OpenWorks is a commercial cleaning and facility-services franchise servicing offices, retail, and facilities under recurring contracts. Franchisees manage cleaning crews, client accounts, and scheduling in a local market.
FranchiseVerdict summary · 2026
A OpenWorks franchise requires a total initial investment of $4K – $134K, including a $3K – $72K franchise fee and an ongoing 15.0% royalty[2]. This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. FranchiseVerdict grade: D (Below average), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: medium - issued 12 to 24 months ago; a newer filing is likely on file
Evidence: strong✓ 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 5 headline figures on this page cite a page of the filing.
Overview
- Investment
- $4K – $134K
- 0th pct Automotive
- Avg gross sales
- N/A
- Royalty
- 15.0%
- 48th pct Automotive
- Units
- 414
- 45th pct Automotive
- SBA charge-off
- N/A
Quick verdict · Automotive · color = vs category peers
Green = favorable by >10% vs Automotive 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 $4K – $134K including a $3K franchise fee, 15.0% ongoing royalty.
- RETURNSThis franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
- RISKVerdict D (Below average), verdict score 36/100 (higher is better).
- GROWTHNegative: net -201 franchised outlets in the latest year (56 opened, 257 closed) (Item 20).
- LEGAL10 litigation matters disclosed in Item 3, higher than typical. Review the summary for patterns (franchisor-initiated vs. franchisee-initiated).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- O.P.E.N. America, Inc.
- Predecessor
- O.P.E.N. Cleaning Systems
- Prior franchisor entity
- CEO title
- Chief Executive Officer, President, Treasurer and Director
- Eric Roudi
- Incorporated in
- AZ
- HQ
- 2355 East Camelback Road, Suite 600, Phoenix, Arizona 85016
- Auditor
- Eide Bailly LLP
- Audited financials
- Franchisor revenue
- $92.0M
- vs $94.3M prior year
Overview
About
- CEO
- Eric Roudi
- Headquarters
- AZ
- Founded
- 1987
- FDD year
- 2025
- States available
- 24
Can you afford it, and what does the money buy?
Entry cost runs 81% below the typical automotive franchise.
Source: FDD 2025 · Items 5–7
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $3K | $3K |
| Working capital (3–6 mo) | $0 | $35K |
| Equipment, build-out, other | $2K | $97K |
| Total initial investment | $4K | $134K |
Source: OpenWorks 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $4K – $134K
- Top 40% of category vs category
- Liquid capital req'd
- $0 – $35K
- Top 40% of category vs category
- Franchise fee
- $3K – $72K
- Top 40% of category vs category
- Royalty
- 15.0%
- typical 6–8%
- Ad fund
- 2.5%
- typical 3–5%
- Total fee load
- 20.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 15.0% of gross sales |
| Marketing / ad fund | 2.5% of gross sales |
| Technology fee | $2 |
| Transfer fee | $1K |
| Renewal fee | $3K |
| Total fee load | 20.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
OpenWorks makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. 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 OpenWorks 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: 2025 FDD
Financial Performance
No financial performance representation
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
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 20.0% — above the Automotive median of 8.0%.
Disclosure
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Operator retention
System expanding at 13.4% CAGR over 3 years across 414 units — operators are staying and new ones are joining.
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 Automotive medians
How OpenWorks Compares
Category median of published Automotive 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 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 414
- Opened
- 56
- Last reporting year
- Closed
- 257
- Terminated
- 257
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 62.1%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- -31.3%
- Net unit change over 3 years
- 3-yr CAGR
- +13.4%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 257
- Not renewed
- 0
- Transferred
- 2
- Reacquired
- 0
- Franchisor bought back
- Signed, not yet open
- 0
- 0.00 per open outlet · Item 20 Table 5
- Projected new
- 101
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 23 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).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
Where the owners are · Item 20 owner list
556 current owners across 23 states.
- WA 124
- TX 98
- CA 72
- IL 57
- MN 32
- FL 28
- PA 27
- GA 26
- CO 17
- NC 14
- NJ 10
- OR 9
- +11 more states
Counts only, from the list the franchisor prints in Item 20; 44 entries carry no state. Names and phone numbers are for your own due diligence and are not shown here.
A system losing more than 10% of its units year-over-year is a red flag. Check whether closures are concentrated in specific regions.
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: the franchisor is a named party (defendant).
Multiple breach of contract suits by former franchisees alleging failure to provide promised account volumes. Cases filed in AZ, MO, CO, TX, WA, CA. Several settled with payments ranging from $4,000 to $185,000.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Eide Bailly LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
FY2021 total operating revenue of $99,040,704 comprised service revenues of $92,264,367 and franchise fees of $6,776,337; audited by Eide Bailly LLP (S Corporation).
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: No
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 36 / 100 verdict
- 01MINORNo average revenue or net income disclosure (Item 19) prevents realistic ROI assessment and suggests poor unit economics
- 02MED15% royalty on gross revenue is exceptionally high and creates cash flow pressure, especially without disclosed profitability data
- 03HIGHMultiple litigation cases including breach of contract, labor law violations (minimum wage, overtime, meal periods), and fraud/misrepresentation claims signal operational and compliance problems
- 04MINORUnprotected territory creates direct competition risk from other franchisees in the same area
- 05MINORHigh franchise fee ($72,000) combined with declining unit count suggests franchisees are not recouping investments
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 20.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2025 · 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 | 2 |
| Territory type | No territory protection |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Territory radius | 60 mi |
| Online sales rightsℹ | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 0.5 years |
| Non-compete (miles)ℹ | 75 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 15 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Curable defaultsℹ | 2 |
| Mandatory arbitration | Yes |
| Arbitration location | Phoenix, Arizona |
| Jury trial waiver | Yes |
| Governing law | AZ |
| Litigation count | 10 |
View Item 3 litigation summary
Multiple breach of contract suits by former franchisees alleging failure to provide promised account volumes. Cases filed in AZ, MO, CO, TX, WA, CA. Several settled with payments ranging from $4,000 to $185,000.
Items 10, 11
Training & Operations
- Classroom training
- 27 hrs
- On-the-job training
- 19 hrs
- Training location
- Virtual classroom and on-the-job training at regional locations
- Ongoing training
- Required
- Site selection
- Franchisee (home-based business; no location approval required)
- Franchisor financing
- Offered
- Item 10
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
600 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a OpenWorks franchise?
The total investment to open a OpenWorks franchise ranges from $4K – $134K, with an initial franchise fee of $3K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do OpenWorks franchise owners earn?
OpenWorks makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns OpenWorks?
OpenWorks is franchised by O.P.E.N. America, Inc.. The FDD names no parent company. Source: FDD Item 1, 2025 filing.
What is Item 19 in the OpenWorks 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 OpenWorks FDD and qualifies whose outlets they describe.
What is OpenWorks's franchise failure rate?
SBA 7(a) loan charge-off data is not available for OpenWorks (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 OpenWorks franchise locations are there?
As of their most recent FDD filing, OpenWorks has 414 total units in the United States, including 414 franchised units and 0 company-owned units. 56 new units were opened in the latest reporting year.
Is OpenWorks a good franchise to buy?
FranchiseVerdict rates OpenWorks as a D-grade franchise with a verdict score of 36 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.