About Merry Maids Franchise
Merry Maids is a leading residential house cleaning franchise providing regular cleaning services to homeowners who lack the time or desire to clean their homes.
The brand focuses on thorough, affordable residential cleaning delivered on a recurring schedule, designed to maintain homes between visits rather than tackle one time deep cleaning or disaster restoration projects.
The franchise fee ranges from $37,500 for a small territory to $51,500 for a full sized territory, and Merry Maids has been franchising since 2021 under ServiceMaster Systems LLC.
Merry Maids Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $37,500 to $51,500 | One-time payment upon signing |
| Royalty Fee | 7% of Gross Sales (up to $500K Gross Sales); 5% of Gross Sales (above $500K Gross Sales) of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 1.3% of Gross Sales per week | National brand fund |
| Total Investment Range | $94,480 – $144,425 | Includes build-out, inventory, working capital |
The investment range of $94K–$144K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (7% of Gross Sales (up to $500K Gross Sales); 5% of Gross Sales (above $500K Gross Sales)) and marketing fee (1.3% of Gross Sales per week) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Fee (Full-Sized Territory) | $41,500 | $51,500 |
| Initial Fee (Mid-Sized Territory) | $41,500 | $41,500 |
| Initial Fee (Small-Sized Territory) | $37,500 | $37,500 |
| Travel and Living Expenses During Training | $600 | $1,500 |
| Real Estate and Improvements | $2,000 | $4,000 |
| Software and Tablet | $900 | $2,100 |
| Office Equipment | $5,250 | $6,850 |
| Opening Inventory Package Expenses | $300 | $600 |
| Insurance | $3,400 | $9,400 |
| Employee Screening | $80 | $160 |
| Telephone Answering Service | $50 | $300 |
| Online Marketing Fund Deposit | $3,000 | $3,000 |
| Miscellaneous Opening Costs | $1,400 | $10,000 |
| Professional Fees | $5,000 | $15,000 |
| Additional Funds (3 months) | $35,000 | $40,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $7,000 for the first Franchised Business, then $3,000 for each additional transferred at the same time. $3,500 for first to child/approved manager, then $1,250 for each subsequent. |
| Renewal Fee | Currently, $2,000 per Franchise Agreement |
| Technology Fee | Currently, $129-159 per month plus $30 per Franchised Business per month (Service Mobility Software); Currently, $35-$45 per seat per month and approximately $12 per seat per month for the mobile license (MM360 User Fees) |
| Audit Fee | Cost of audit (Payable only if an audit shows an understatement of at least 2% of Gross Sales for any month) |
| Initial Training Fee for Additional Persons | $2,800 per person |
| Change Fee | $200 per Franchise Agreement |
| Lead Fee | $10,000 |
| Supplier/Product Review Fee | Cost of our review, which will vary based on the estimated time it will take to evaluate the item |
| Interest on Overdue Payments | 18% annual rate (1.5% monthly) or the maximum permitted by law, whichever is less. |
| Indemnification | Unknown |
| Complaint Management Fee | Up to $500 |
| Processing Fee | $20 per job |
| National Seminar Attendance Fee | The then-current fee, which shall not exceed $1,000 per person. |
| Liquidated Damages | The average monthly amount of Royalties and Ad Fund Contributions that you owed us during the past 12 months times the lesser of remainder of term of Franchise Agreement or 24 months. |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Pre-Operations Initial Training (self-study, varies), 10-day Initial Training Program, and 12 weeks of business coaching. |
| Classroom Training | 64 |
| On-the-Job Training | 10 |
| Training Location | Memphis, Tennessee (Initial Training Program); Online (Pre-Initial Training) |
| Additional Training | Business coaching (regular telephone calls) for the first 12 weeks of operations. Regional instructional training meetings are held periodically. Virtual trainings are also available throughout the year. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected |
| Exclusive Territory | No |
| Territory Size | Full-Sized Territory (40,000+ Qualified Households), Mid-Sized Territory (20,000-39,999 Qualified Households), Small-Sized Territory (up to 20,000 Qualified Households). |
| Description | Territories are delineated by boundary streets, highways, city limits, county lines, and other geographic features, based on population, household income, and geographic size using census data from SRC, LLC. "Qualified Households" are defined as households with an average annual income of $75,000 or higher. The franchisor will not establish or license another Merry Maids business within the franchisee's territory while the Franchise Agreement is in effect, provided minimum average weekly gross sales requirements are met. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 5 years |
| Renewal Term | One additional, consecutive five-year term |
| Renewal Fee | $2,000 per Franchise Agreement |
| Renewal Conditions | To be eligible for renewal, the franchisee must: (i) notify intent to renew 6-9 months prior to term end; (ii) be in good standing and substantially complied with agreements; (iii) meet or exceed Minimum Average Weekly Gross Sales Requirement and not have failed 3+ times in 9 consecutive periods; (iv) not be in default and not have received 4+ default notices; (v) meet then-current franchisee requirements; (vi) pay then-current transfer fee; (vii) execute a general release; and (viii) execute the then-current form of Franchise Agreement. |
| Transfer Fee | $7,000 for the first Franchised Business, then $3,000 for each additional transferred at the same time. $3,500 for first to child/approved manager, then $1,250 for each subsequent. |
| Transfer Conditions | Franchisor approval is required for all transfers. Conditions include: new franchisee must qualify and complete training; all obligations to franchisor must be assumed; all debts to franchisor must be paid; franchisee not in default; new franchisee signs current agreement for full term; transfer fee paid; general release executed by franchisee and owners; new owner(s) meet franchisor's standards. Franchisor reserves the right of first refusal. |
| Termination for Cause | Franchisor can terminate immediately for reasons including: assignment for benefit of creditors, failure to pay amounts owed, failure to submit reports, bankruptcy, willful violation of laws or agreement, felony conviction, egregious conduct, misrepresentation of Gross Sales, failure to meet Minimum Average Weekly Gross Sales Requirement, failure to adhere to material specifications, breach of confidentiality/non-compete, abandonment of business, or receiving four or more default notices. For other breaches, a 30-day cure period (10 days for Marks or money payment) is provided. |
| Non-Compete Period | During the term of the franchise and for one (1) year after termination or expiration. |
| Non-Compete Details | During the term, franchisee and its owners cannot directly or indirectly engage in a competitive business, market/sell maid cleaning services, or divert business/customers. Post-termination, for one year within the Territory and 25 miles of its outermost boundaries, franchisee and its owners cannot directly or indirectly engage in a competitive business, market/sell residential/light commercial cleaning services, solicit customers, or deal in similar products/materials. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | No |
| Participation Details | The franchisor recommends, but does not require, that the franchisee personally supervise the business. If the franchisee does not personally supervise, or if the franchisee is a corporation, partnership, or limited liability company, a manager who has successfully completed the training program must be employed for direct, on-premises supervision. The manager does not need an ownership interest. |
| Required Suppliers | You are obligated to purchase the cleaning products, equipment and supplies that are included in the Opening Inventory Package from us or our affiliates. After that, you may purchase your cleaning products, equipment and supplies from us or our affiliates or from an approved vendor who meets our specifications. You are required to purchase local digital marketing and other local marketing/advertising through Franchisor-approved vendors that are listed in the Operations Manual. |
| Supply Restrictions | Franchisees must purchase or lease certain items (cleaning products, equipment, computer software, supplies) according to specifications in the Operations Manual. A list of approved cleaning products, equipment, and supplies, and approved vendors is provided in the Operations Manual and may be revised. Franchisor is an approved supplier for these items but not the only one. Local digital marketing and other local marketing/advertising must be purchased through Franchisor-approved vendors. |
| Franchisor Revenue from Suppliers | In the year ending on December 31, 2021, SM Systems derived $2,278,836 in revenue from its direct sale and its vendors’ sales of supplies to Franchised Businesses. This revenue ranges from 1% to 17% of the total revenue they receive from sales to you. Merry Maids SPE LLC did not receive any revenue from required purchases by its franchisees in 2021. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | The franchisor and its affiliates do not offer direct or indirect financing. They may refer franchisees to preferred third-party lenders for Initial Franchise Fees and growth initiatives, but have no arrangements with these lenders and receive no benefits from such referrals. The franchisor participates in the SBA’s Franchise Directory. |
Merry Maids Franchise Earnings — Item 19
Past financial performance does not guarantee future results. Individual results will vary.
Merry Maids Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Merry Maids System Growth
Merry Maids currently operates 996 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 |
|---|---|---|---|
| 2019 | 5 | 9 | 1005 |
| 2020 | 5 | 10 | 1000 |
| 2021 | 2 | 6 | 996 |
Transfers: 41 | Closures: 25
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Audited by Deloitte & Touche LLP for year ending December 31.
Merry Maids Franchise — FAQ
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