Vanguard Cleaning Systems Franchise Cost, Revenue & Review 2026
- Investment
- $6K – $28K
- Disclosed sales
- partial, no system average
- SBA charge-off
- Under 10 loans (1)
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Vanguard Cleaning Systems is a commercial cleaning franchise servicing offices and facilities under contract. Franchisees typically start as owner-operators, performing or managing cleaning work and growing a local client base.
FranchiseVerdict summary · 2026
A Vanguard Cleaning Systems franchise requires a total initial investment of $6K – $28K, including a $5K franchise fee and an ongoing 10.0% royalty[2]. The 2025 FDD on file does not yield a unit-revenue figure we can publish. FranchiseVerdict grade: B (Above 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 scored4 of 4 headline figures on this page cite a page of the filing.
Overview
- Investment
- $6K – $28K
- 2nd pct Cleaning & Ma…
- Avg gross sales
- N/A
- Outlet subsetPartial periodn=1
- Royalty
- 10.0%
- 72nd pct Cleaning & Ma…
- Units
- 53
- 45th 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 $6K – $28K including a $5K franchise fee, 10.0% ongoing royalty.
- RETURNSItem 19 reports Business Plan Fulfillment rather than annual gross sales, so unit revenue is not directly comparable.
- RISKVerdict B (Above average), verdict score 58/100 (higher is better).
- GROWTHFlat: no net change in franchised outlets in the latest year (6 opened, 6 closed) (Item 20).
- DECLINESystem contracting at -5.4% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Rocking D Holding Company d/b/a Vanguard Cleaning Systems of Chicago
- Parent company
- Vanguard Cleaning Systems, Inc.
- FDD Item 1, page 6 of the 2025 FDD
- Predecessor
- required to be disclosed in this Item
- Prior franchisor entity
- CEO title
- President
- Sue Hed
- CEO experience
- 15 yrs
- Years in role or industry
- Incorporated in
- IL
- HQ
- 800 Roosevelt Rd., Suite A318, Glen Ellyn, IL 60137
- Auditor
- Carol R. Bachus
- Audited financials
- Franchisor revenue
- $2.0M
- vs $1.8M prior year
Affiliated brands
- Saint Croix Management
Other brands the franchisor or its parent operates (Item 1).
Overview
About
- CEO
- Sue Hed
- Headquarters
- IL
- Founded
- 2005
- FDD year
- 2025
- States available
- 30
Can you afford it, and what does the money buy?
Entry cost runs 90% below the typical cleaning & maintenance franchise.
Source: FDD 2025 · Items 5–7
Full Item 7 breakdown6 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Fee | $5K | $5K | |
| Business Plan Fee | $0 | $14K | |
| Equipment and Supplies | $0 | $5K | |
| Licenses and Permits; Business Entity formation and name registration | $450 | $2K | |
| Insurance | $630 | $1K | |
| Additional Funds - 3 months | $200 | $600 | |
| Total initial investment | $6K | $28K |
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
- $6K – $28K
- Top 40% of category vs category
- Liquid capital req'd
- $200 – $600
- Top 40% of category vs category
- Franchise fee
- $5K – $5K
- Top 40% of category vs category
- Royalty
- 10.0%
- typical 6–8%
- Ad fund
- No advertising fund or required advertising fees; franchi…
- Total fee load
- 10.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 10.0% of gross sales |
| Training fee | $5K |
| Total fee load | 10.0% of rev |
What do units actually make?
Source: FDD 2025 · Item 19
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
No Item 19 revenue figure for Vanguard Cleaning Systems 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 Vanguard Cleaning Systems 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, ad fund rate, 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
Reported for a subset of outlets rather than the whole system
Covers a partial period, not a full year
Based on a single reporting unit - not a system average
- Item 19 type
- Business Plan Fulfillment
- Sample size
- 1
- vs category median 32 · small
- Reporting year
- 2024
- Fiscal year the figures cover
- Source filing
- FDD 2025
- Disclosed in the 2025 filing, covering 2024
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 10.0% — above the Cleaning & Maintenance median of 8.3%.
Disclosure
Item 19 reports Business Plan Fulfillment rather than annual gross sales, so unit revenue is not directly comparable.
Operator retention
System contracting at -5.4% CAGR over 3 years. Investigate whether closures are franchisor-driven consolidation or franchisee exits.
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 Vanguard Cleaning Systems 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 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 53
- Opened
- 6
- Last reporting year
- Closed
- 6
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 1
- Term expired, not renewed (per Item 20)
- Turnover rate
- 11.3%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- -5.4%
- Net unit change over 3 years
- 3-yr CAGR
- -5.4%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 0
- Not renewed
- 1
- Transferred
- 1
- Reacquired
- 0
- Franchisor bought back
- Signed, not yet open
- 0
- 0.00 per open outlet · Item 20 Table 5
- Projected new
- 5
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 5 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.
Available to sell in · Item 12
- California
- Hawaii
- Illinois
- Indiana
- Maryland
- Michigan
- Minnesota
- New York
- North Dakota
- Rhode Island
- South Dakota
- Virginia
- Washington
- Wisconsin
States where the franchisor is registered to sell new franchises (FDD registration filings).
Where the owners are · Item 20 owner list
125 current owners across 5 states; 6 former (terminated, transferred or not renewed) listed separately.
- IL 51
- MI 47
- WI 25
- CA 1
- IN 1
Counts only, from the list the franchisor prints in Item 20. Names and phone numbers are for your own due diligence and are not shown here.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 1 7(a) loan on file; statistical reliability is limited below 10 loans.
- Total loans
- 1
- Loan volume
- $50K
- Median loan
- $50K
- 50th percentile
- Charge-off rate
- Under 10 loans (1)
- Insufficient SBA coverage: 1 loan, rate hidden below 10
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- Under 10 loans (1)
- 5-yr charge-off
- Under 10 loans (1)
- Loans approved 2021+
- Active lenders
- 1
- Defaults
- N/A
Explore lender portfolios on Bank Reports or regional data on State Reports.
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
Profitable ($723,369 net income on $2.0M revenue, net worth $892,949) but carries 3 employment-classification matters including a pending California class/PAGA misclassification action and a long-running IDES wage assessment (since 2014). The misclassification litigation is a material, systemic risk for a janitorial franchisor. Item 19 avg gross sales ($3,825) appears anomalously low.
Litigation (Item 3)
Subject: the franchisor is a named party (defendant).
Pending IDES administrative wage/employment misclassification assessment against the Area Franchisor since 2014 (unresolved appeal). Pending California class action/PAGA action against Vanguard and several Area Franchisors alleging franchisee misclassification as employees (filed 2020, ongoing). Concluded Massachusetts/Connecticut class action against Vanguard alleging misclassification, settled in 2019 for approximately $559,450 plus $275,550 in legal fees to plaintiffs' counsel.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Carol R. Bachus
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
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: Yes
Score breakdown · what drove the 58 / 100 verdict
- 01MINORPending CA class action/PAGA on franchisee misclassification
- 02MINORIDES wage/misclassification assessment unresolved since 2014
- 03HIGH3 total litigation matters, classification-focused (systemic risk)
- 04MINORPositive financials but misclassification exposure is material
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 10.0% 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 | 5 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 3 |
| Territory type | No territory protection |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Territory sizeℹ | Counties |
| Franchisor can compete | Yes |
| Hire a manager? | Not allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 1 |
| Curable defaultsℹ | 1 |
| Mandatory arbitration | Yes |
| Arbitration location | within 45 miles of franchisee business location |
| Jury trial waiver | Yes |
| Governing law | Illinois |
| Litigation count | 3 |
View Item 3 litigation summary
Pending IDES administrative wage/employment misclassification assessment against the Area Franchisor since 2014 (unresolved appeal). Pending California class action/PAGA action against Vanguard and several Area Franchisors alleging franchisee misclassification as employees (filed 2020, ongoing). Concluded Massachusetts/Connecticut class action against Vanguard alleging misclassification, settled in 2019 for approximately $559,450 plus $275,550 in legal fees to plaintiffs' counsel.
Items 10, 11
Training & Operations
- Classroom training
- 12 hrs
- On-the-job training
- 5 hrs
- Training location
- Business offices in Northern or Southern California and designated locations
- Ongoing training
- Optional
- Field support
- 9 hrs/yr
- On-site visits per year
- Time to open
- 2 mo
- From signing to launch
- Franchisor financing
- Offered
- Item 10
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
131 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 Vanguard Cleaning Systems franchise?
The total investment to open a Vanguard Cleaning Systems franchise ranges from $6K – $28K, with an initial franchise fee of $5K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Vanguard Cleaning Systems franchise owners earn?
Item 19 of the Vanguard Cleaning Systems FDD discloses figures for part of the system 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 Vanguard Cleaning Systems?
Vanguard Cleaning Systems is franchised by Rocking D Holding Company d/b/a Vanguard Cleaning Systems of Chicago. Its parent company is Vanguard Cleaning Systems, Inc.. Source: FDD Item 1, 2025 filing.
What is Item 19 in the Vanguard Cleaning Systems 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 Vanguard Cleaning Systems FDD and qualifies whose outlets they describe.
What is Vanguard Cleaning Systems's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Vanguard Cleaning Systems (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 Vanguard Cleaning Systems franchise locations are there?
As of their most recent FDD filing, Vanguard Cleaning Systems has 53 total units in the United States, including 53 franchised units and 0 company-owned units. 6 new units were opened in the latest reporting year.
Is Vanguard Cleaning Systems a good franchise to buy?
FranchiseVerdict rates Vanguard Cleaning Systems as a B-grade franchise with a verdict score of 58 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.