About Innovative Offerings Franchise
Vanguard Cleaning Systems of Upstate New York is a commercial janitorial services franchise operating under the Vanguard Cleaning Systems brand.
Franchisees operate independent businesses (VCS Businesses) providing commercial janitorial services to business and professional offices, as well as commercial, industrial, medical, and educational facilities.
Day-to-day operations include managing cleaning staff, servicing customer accounts at their commercial locations, maintaining equipment and supplies, and ensuring quality standards are met for each account.
Innovative Offerings Franchise Cost & Fees
Minimum Investment
$5K
Average Investment
$6K
Maximum Investment
$7K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $5,000 | One-time payment upon signing |
| Royalty Fee | 10% of monthly gross revenues of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | $0 - No required advertising fees | National brand fund |
| Total Investment Range | $5,400 – $7,200 | Includes build-out, inventory, working capital |
The investment range of $5K–$7K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (10% of monthly gross revenues) and marketing fee ($0 - No required advertising fees) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $5,000 | $5,000 |
| Equipment and Supplies | $0 | $1,300 |
| Insurance | $200 | $600 |
| Real Property | $0 | $0 |
| Additional Funds - 3 months | $200 | $300 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Business Support Fee | 5% of monthly gross revenues |
| Marketing Fee | Generally 4x first month's gross Service Billings (Multiple Pricing) or 30%/70% split of Service Billings (Shared Revenue) |
| Special Services | 10-15% of Service Billings depending on role in getting business |
| Substitute Services Reimbursement | Expenses incurred for arranging substitute third party Account servicing |
| Indemnity | Varies with claim and related costs |
| Insurance | Premium costs plus administrative fee, estimated not to exceed 5-7% of gross revenues |
| Cost of Collection and/or Enforcement | Cost of legal proceedings and reasonable attorneys' fees |
| Interest | 1.5% per month or highest rate allowable under applicable law |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Up to 15 days |
| Classroom Training | 8-14 hours |
| On-the-Job Training | 6-12 hours |
| Training Location | 300 Main Street, Suite 16, East Rochester, NY 14445 and various commercial locations |
| Additional Training | Optional web-based modules available at regional offices at no charge; supplementary informational materials on products and VCS Business operations |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive |
| Exclusive Territory | No |
| Territory Size | Designated Standard Metropolitan Statistical Area or city/cities/county/counties |
| Description | You will not receive an exclusive territory. The Area is usually a designated Standard Metropolitan Statistical Area as derived from U.S. Census Bureau statistics, but could be defined as a city or cities or a county or counties. The Area is not exclusive and the Region may grant other VCS Business franchises in the Area. You may operate your VCS Business and solicit Vanguard Cleaning Systems Accounts within your Area. You may not offer or provide services under the Marks outside of your Area without prior consent. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 5 years |
| Renewal Term | Three additional 5-year successor terms (for new franchisees); franchisees may have a 10-year successor term based on expired franchise agreement |
| Renewal Conditions | Must not be in default; give written notice 90-180 days before agreement expires; pay amounts owed; sign a general release of claims; sign term extension addendum or new form of Franchise Agreement which may include materially different terms |
| Transfer Conditions | Advance written consent of Area Franchisor required; must be in compliance with all agreements; assignee must meet qualification requirements; payment of all amounts due; execution of consent to transfer and general release |
| Termination for Cause | Section 19 provides some grounds for immediate termination (bankruptcy, unauthorized transfer, misrepresentation, failure to pay debts within 15 days); other defaults require prior notice and opportunity to cure within 30 days |
| Non-Compete Period | Not Applicable |
| Non-Compete Details | No post-term non-competition covenant. During the term, franchisee may provide janitorial services to non-Vanguard accounts but may not use Vanguard's marks or materials and may not compete against the Area Franchisor or other Vanguard businesses for their accounts. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | Your Designated Owner must manage and operate the VCS Business and supervise the performance of services by your employees. Each VCS Business must be conducted as a limited liability company or a corporation. You are responsible for having a minimum of 1 employee and for maintaining sufficient personnel to staff your VCS Business. |
| Required Suppliers | No required suppliers as of the issuance date; franchisor can require certain products, equipment, and suppliers in the future to protect brand standards. VCS Account billing and collection services must go through the franchisor. |
| Supply Restrictions | Franchisor can require franchisees to purchase and use certain products and equipment and use certain suppliers to maintain uniform quality and Brand Standards. Optional group insurance program available through Vanguard. |
| Franchisor Revenue from Suppliers | In 2022 fiscal year, revenue from franchisees for group insurance coverage totaled $38,325 (2.2% of total revenue of $1,758,407) |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | Yes |
| Description | The Region may offer to finance a portion of the Marketing Fee for Additional Business Transfers. Payments are typically made in equal monthly installments bearing 12% simple interest, beginning the first month following the month service begins on the new Account. Franchisee signs a promissory note. No other direct or indirect financing is offered for items in the estimated initial investment. |
Innovative Offerings Franchise Earnings — Item 19
Innovative Offerings does not make an Item 19 financial performance representation in their FDD. This means they do not disclose revenue, profit, or earnings data for franchised locations. Before investing, ask the franchisor directly for franchisee contact information so you can speak with existing owners about their actual financial performance.
Innovative Offerings does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Innovative Offerings Litigation & Risk Flags
1 Pending Action ListedReview the full FDD for details on pending litigation.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Innovative Offerings System Growth
Total Units
22
Franchised
22
Company-Owned
0
Innovative Offerings currently operates 22 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2020 | 0 | 7 | 27 |
| 2021 | 0 | 4 | 23 |
| 2022 | 0 | 1 | 22 |
Transfers: 0 | Closures: 1
State Registrations
Registered in 1 states: NY
Franchisor Financials (Item 21)
Revenue
$1.8M
Innovative Offerings Franchise — FAQ
The total investment to open a Innovative Offerings franchise ranges from $5,400 to $7,200, per their Franchise Disclosure Document. This includes the initial franchise fee of $5,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Innovative Offerings charges a royalty fee of 10% of monthly gross revenues of gross sales, plus a $0 - No required advertising fees contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Innovative Offerings Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Innovative Offerings to ensure you have the most up-to-date version.
Innovative Offerings does not provide an Item 19 financial performance representation in their FDD, which means they do not disclose franchisee revenue or earnings data. Prospective investors should contact existing franchisees directly (listed in Item 20 of the FDD) to gather real-world financial performance information.
Innovative Offerings has been franchising since 2008. The FDD shows an investment range of $5,400-$7,200, a 10% of monthly gross revenues royalty, and no Item 19 earnings disclosure. There are 1 pending litigation action(s). Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $5,000 and the total investment ranges from $5,400 to $7,200 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Innovative Offerings and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Innovative Offerings or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com