Vanguard Cleaning SystemsFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
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 does not disclose unit-level revenue (no Item 19). Verdict grade: F. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2025 FDD issuance
Overview
- Investment
- $6K – $28K
- 0th pct Cleaning & Ma…
- Avg gross sales
- N/A
- 56th pct Cleaning & Ma…
- Royalty
- 10.0%
- 50th pct Cleaning & Ma…
- Units
- 2,011
- 83rd pct Cleaning & Ma…
- SBA default
- 100.0%
- system-wide median varies by category
Quick verdict · Cleaning & Maintenance · color = vs category peers
Green = >15% above Cleaning & Maintenance avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Franchised units fell from 2302 to 2011 over 3 years. Investigate why operators are leaving.
Large franchise systems benefit from brand recognition, supply chain leverage, and proven operations.
Bottom line
- Total investment $6K – $28K including a $5K franchise fee, 10.0% ongoing royalty.
- Item 19 discloses "Business Plan Fulfillment" rather than annual gross sales, so unit revenue is not directly comparable.
- Verdict F (Bottom Quintile) with a risk score of 94/100.
- System contracting at -12.6% 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
- Rocking D Holding Company d/b/a Vanguard Cleaning Systems of Chicago
- Ultimate parent
- Vanguard Cleaning Systems, Inc.
- 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
- $1.8M
- vs $2.0M prior year
Affiliated brands
- Saint Croix Management
Other brands the franchisor or its parent operates (Item 1).
Overview
About
Franchisees operate residential and commercial cleaning services, typically managing their own schedules and client base while paying 10% royalties to corporate. The low entry fee suggests a labor-intensive, owner-operator model where franchisees likely perform hands-on cleaning work themselves or manage small teams. Success depends heavily on local market saturation, client acquisition, and labor cost management.
- CEO
- Sue Hed
- Headquarters
- IL
- Founded
- 2005
- FDD year
- 2025
- States available
- 30
FDD Item 7 · 2025 filing · 6 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
- Better than avg vs category
- Liquid capital req'd
- $200 – $600
- Better than avg vs category
- Franchise fee
- $4K – $5K
- Better than avg vs category
- Royalty
- 10.0%
- Gross Revenues · typical 6–8%
- Ad fund
- -n/d
- 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 |
Financial Performance
This brand's FDD disclosed "Business Plan Fulfillment" in Item 19 rather than annual gross sales. This metric cannot be directly compared across brands, so we omit it from rankings.
vs Cleaning & Maintenance averages
How Vanguard Cleaning Systems Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 2,011
- Opened
- 91
- Last reporting year
- Closed
- 184
- Terminated
- 6
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 3
- Term expired, not renewed (per Item 20)
- Turnover rate
- 9.2%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (yr3)
- -8.6%
- Net unit change last year
- 3-yr CAGR
- -12.6%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 2
- Closed (3yr)
- 5
- Terminated (3yr)
- 3
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 18
- Reacquired (3yr)
- 0
- Franchisor bought back
- Projected new
- 3
- 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).
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
- 100.0%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 0.0%
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 1
- Defaults
- 1
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Vanguard Cleaning Systems's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 1 lenders with concentration factor
- Per-state charge-off rates across 1 states
- Startup risk premium and job creation velocity
- 1-year lending trend
- SBA 504 real estate/equipment data
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Vanguard Cleaning Systems presents high risk due to ongoing multi-state employee misclassification litigation, shrinking franchise network, lack of financial transparency, and unprotected territories—suggesting systemic operational and legal vulnerabilities.
Litigation (Item 3)
1 case reference(s): 2 pending, 0 settled.
Largest disclosed settlement: $106,171
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 94 / 100 rating
- 01MEDSignificant unit decline of 8.6% year-over-year (2,011 units) indicating system contraction and potential franchisee dissatisfaction
- 02MINORThree separate misclassification lawsuits across multiple states (Illinois, California, Massachusetts) with one settled for $559,450, suggesting systemic classification issues
- 03MEDNo average revenue or net income disclosure (missing Item 19) making it impossible to validate return on $6,280-$27,995 investment
- 04MINORUnprotected territory creates direct competition risk between franchisees and no exclusivity guarantee
- 05HIGHPending class action litigation in California (Mazariegos) and ongoing Illinois administrative appeal represent material ongoing legal exposure
- 06HIGHGoing Concern status is False, indicating potential financial viability concerns at corporate level
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 5 years |
|---|---|
| Renewal term | 5 years |
| Allowed renewalsℹ | 3 |
| Territory type | Counties |
| Protected territory | No |
| 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
1 case reference(s): 2 pending, 0 settled.
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
- 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
FDD download
Vanguard Cleaning Systems · FDD (2025) PDF
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?
Vanguard Cleaning Systems does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
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 2,011 total units in the United States, including 2,302 franchised units and 0 company-owned units. 91 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 F-grade franchise with a risk score of 94 out of 100, based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. 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.
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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.