About The Junkluggers (RI-Specific) Franchise
The Junkluggers is an eco friendly junk removal franchise committed to keeping as much material out of landfills as possible through donation, recycling, and upcycling.
This Rhode Island specific filing represents the brand's presence in the state.
The Junkluggers has been franchising since 2023 under AB Assetco LLC and differentiates itself through its environmental mission and community impact.
The Junkluggers (RI-Specific) Franchise Cost & Fees
Minimum Investment
$98K
Average Investment
$229K
Maximum Investment
$359K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $50,000 | One-time payment upon signing |
| Royalty Fee | 7% of Gross Revenue from Junk Removal Services; 3-7% of Remix Services Gross Revenue of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | Currently, 2% of Gross Revenue from Junk Removal Services; Currently, 1% of Gross Revenue from Remix Services (may increase to 2%) | National brand fund |
| Total Investment Range | $98,110 – $359,290 | Includes build-out, inventory, working capital |
The investment range of $98K–$359K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (7% of Gross Revenue from Junk Removal Services; 3-7% of Remix Services Gross Revenue) and marketing fee (Currently, 2% of Gross Revenue from Junk Removal Services; Currently, 1% of Gross Revenue from Remix Services (may increase to 2%)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $50,000 | $50,000 |
| Initial Training Fee | $5,000 | $5,000 |
| Service Truck (including signage) | $4,600 | $68,500 |
| Real Estate/Rent | $0 | $23,000 |
| Leasehold Improvements | $0 | $10,000 |
| Supplies, Equipment and Hand Tools | $1,500 | $3,600 |
| Insurance | $2,750 | $53,730 |
| Travel and Living Expenses While Training | $500 | $4,000 |
| Computer System | $400 | $5,200 |
| Pre-Opening & Grand Opening Marketing | $6,000 | $14,000 |
| Permits and Licenses | $110 | $7,225 |
| Professional Fees | $1,500 | $10,635 |
| General & Administrative Costs | $750 | $4,400 |
| Additional Funds – six (6) Months | $25,000 | $100,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | Generally, $10,000 (plus additional fees if third-party referral or franchisor identifies purchaser) |
| Renewal Fee | $5,000 |
| Technology Fee | Junk Removal Services Technology Fee: $350 per month; Remix Services Technology Fee: None currently, but anticipate implementing a fee in 2023 (amount not yet determined) |
| Audit Fee | Our costs and expenses of conducting audit, including travel and lodging (if underreported by >2% or other failures) |
| Ongoing Contribution to Charity | 1% of Remix Services Gross Revenue |
| Brand Fund Materials | Our costs |
| Local Marketing and/or Cooperative | $6,000 for first 3 months, then $4,000 per month (temporarily $2,000 per month, increasing Q3/Q4 2023) |
| Key Account Programs | Will vary under circumstances |
| Call Center Fee | 5% of Gross Revenue (Junk Removal Services, currently not applicable to Remix Services) |
| GPS Tracking Software | Currently, $35 per vehicle |
| Additional Opening Support Fee | A reasonable fee, up to $500 per day, plus expenses |
| Training Fees – Extra Trainees | $1,000 per day per extra trainee, plus costs and expenses |
| Training Fees – Remedial and Optional Training | $500 per trainee |
| Annual Conference Non-attendance Fee | $2,000 |
| Service Deficiency Fee | Our costs |
| Management Fee | Up to $500 per day, plus our costs and overhead |
| Step In Fee | Up to $500 per day, plus our costs and overhead |
| Interest | 12% per annum or maximum rate permitted by law |
| Late Fee | $100 (2nd occurrence), $200 (3rd occurrence), $300 (subsequent) |
| Insufficient Funds Fee | $50 or bank charges, whichever is greater |
| Indemnity for Tax Withholding | Amount of any penalties, interest, and expenses we incur |
| Non-compliance Fee | 1% of Gross Revenue |
| Enforcement Costs | Will vary under circumstances |
| Defense Costs | Our actual costs and expenses |
| Indemnification | Will vary under circumstances |
| Liquidated Damages | Greater of (i) two years of Royalty Fees or (ii) $100,000 |
| De-identification Fee | Our costs |
| Procurement of Insurance | Cost of insurance, plus reasonable fee of up to 25% of total insurance premium cost |
| Vendor Review | Our reasonable costs, plus expenses |
| Change of Ownership Fee | Greater of $500 or our external legal and administrative costs; plus applicable training fee, currently $1,000 per day per individual |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Approximately five days in duration |
| Classroom Training | 32.50 |
| On-the-Job Training | 21.00 |
| Training Location | Seymour, CT or Online |
| Additional Training | After the Franchised Business opens, franchisor will make available additional required and optional Training Programs as deemed necessary and appropriate. Individuals designated must successfully complete required training. Training may be in person, by video, internet, or other means, and may be performed by franchisor, affiliates, or third parties. Content and duration may vary based on trainee's prior experience. Franchisees are responsible for all travel, living expenses, wages, and other costs for trainees. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected |
| Exclusive Territory | Yes |
| Territory Size | Approximately 400,000 individuals |
| Description | Defined using postal zip codes in effect at the time the Territory is established, as specified in Appendix A to your Franchise Agreement. Population size may vary based on factors determined by the franchisor. Franchisor retains rights to operate/franchise outside the territory, operate under Marks inside the territory if already doing so or notified, use Marks in other lines of business, establish similar businesses under other marks, sell competitive goods/services through dissimilar channels, acquire/merge with other brands, and convert acquired outlets to Franchised Businesses within the territory. No compensation for these activities. Franchisee may not solicit or advertise outside territory without consent. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | one (1) additional term of ten (10) years |
| Renewal Fee | $5,000 |
| Renewal Conditions | Written notice of desire to renew (6-12 months prior to expiration), no default, good record of customer service and Brand Standards compliance, good terms with franchisor (no litigation), sign then-current successor Franchise Agreement (may have different terms, increased fees, reconfigured territory, higher Minimum Performance Requirements), sign general release, Key Person/designated employees complete additional training, demonstrate right to possession of Approved Location for renewal term, remodel/refurbish/renovate vehicles and premises to current Brand Standards, upgrade computer systems and vehicles. |
| Transfer Fee | Generally, $10,000 (plus additional fees if third-party referral or franchisor identifies purchaser) |
| Transfer Conditions | Franchisee and Owners in compliance with all obligations, proposed transferee meets franchisor qualifications (educational, managerial, business standards, good moral character, business reputation, credit rating, aptitude/ability, no competing business involvement), proposed transferee signs then-current standard Franchise Agreement and related documents (may include new/increased fees), all beneficial interest owners sign Personal Guarantee, successfully complete training, arrangements to modernize/upgrade Franchised Business to current Brand Standards, if transferee is another franchisee, no outstanding default and good record of customer service/compliance, sign general release, price and terms do not harm viability of Franchised Business, financing subordinated to franchisor obligations. |
| Termination for Cause | Failure to have Approved Location within 3 months, failure to complete pre-opening training to satisfaction, failure to open by Opening Deadline, closing for 3+ consecutive days/abandonment, loss of right to possession of Approved Location, refusal to permit inspection of business/records, non-compliance with non-competition restrictions, unapproved transfer of interest, misuse/disclosure of Confidential Information, maintaining false records/underreporting sales/false information, perpetrating fraud/embezzlement/misappropriating funds, withholding employee wages/taxes/benefits, felony conviction/moral turpitude crime, insolvency/bankruptcy/dissolution, appearing on 'blocked' persons list, material breach (non-curable/essence of agreement), failure to achieve minimum score on consecutive assessments, failure to maintain required insurance, failure to resolve customer complaint within 7 days of notice, failure to attend annual convention for 2 consecutive years, failure to conduct background checks, repeated defaults (same default within 1 year), failure to submit reports/data/payments on 3+ separate occasions within 18 months. |
| Non-Compete Period | 2 years after expiration, termination, or approved transfer |
| Non-Compete Details | During the term of the franchise, franchisee and owners may not directly or indirectly own, operate, engage in, invest in, be employed by, or assist any 'Competing Business' (residential/commercial junk removal, second-hand furniture procurement/retail, or similar/substantially similar business, or granting franchises for such businesses). After termination/expiration/transfer, the non-compete applies for 2 years within (i) the Territory, (ii) 40 miles of the Territory, (iii) any zip code where the Franchised Business served customers, (iv) any other existing Franchised Business territory + 10 miles, or (v) any territory serviced by franchisor/affiliates under Marks + 10 miles. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | Franchisee must designate a 'Key Person' who is an Owner, responsible for day-to-day operational performance, has authority to bind the Franchisee, and must successfully complete initial training and work on premises. If the Key Person leaves, a replacement must be nominated within 30 days and approved within 90 days. Owners with 5% or greater interest must sign a Personal Guarantee. Spouse Acknowledgement required for non-owner spouses. Franchisor can run credit/background checks. |
| Required Suppliers | Franchisor requires franchisees to use its Call Center for Junk Removal Services, its Technology Support Services (Vonigo Software), and to purchase Branded Products (stationery, forms, marketing pieces, signage, uniforms, patches, private labeled materials) from the franchisor or approved suppliers. Franchisor may also require purchases from BuyMax for other miscellaneous non-branded products and designated service providers for Payment Processing. For Trucks, Equipment and Machinery, and Vehicle GPS Tracking System, franchisees must purchase from designated/approved third parties. Remix Services Point of Sale System will require a designated third-party vendor in Q2/Q3 2023. Electronic Money Programs and Loyalty Programs will have designated vendors if implemented. |
| Supply Restrictions | Franchisor has the right to require all equipment, technology, inventory, supplies, vehicles, signs, furnishings, fixtures, décor items, retail merchandise, payment systems, and other products and services to (a) meet specifications, (b) be purchased only from approved vendors, and/or (c) be purchased only from a single source (which may include franchisor or affiliates). Franchisor and its affiliates earn profit, rebates, administrative fees, commissions, licensing fees, or other benefits from unaffiliated vendors and distributors for sales to franchisees. Franchisor retains these payments. Franchisees must participate in vendor purchase programs. For items not from designated sources, franchisees must follow specifications and/or obtain approval of vendors. Insurance policies must meet franchisor specifications regarding coverage, carriers, additional insureds, deductibles, exclusions, and subrogation waivers. |
| Franchisor Revenue from Suppliers | For the fiscal year ended December 31, 2022, our predecessor had revenue of $3,431,753 from providing products and services to JUNKLUGGERS franchisees, which was 47% of our predecessor’s total revenue for the fiscal year. Franchisor and its affiliates earn a profit on products and services sold directly to franchisees and receive rebates, administrative fees, commissions, licensing fees, or other benefits from unaffiliated vendors and distributors for sales to franchisees. Franchisor retains these payments. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | Yes |
| Description | Franchisor may permit financing of up to 75% of the Franchise Fee and any Additional Population Fee, payable in up to 36 monthly installments at 12% per annum interest. A Promissory Note, Guaranty, and Security Agreement (Exhibit B) are required, granting the franchisor a security interest in the Franchised Business assets. Payments are made via Automated Clearing House (ACH) or electronic funds transfer. Franchisor does not offer direct or indirect financing for transactions involving brokers or third-party referral sources, nor does it guarantee franchisee's Promissory Note, lease, or other obligations. |
The Junkluggers (RI-Specific) Franchise Earnings — Item 19
Average Revenue
$586K
Median Revenue
$456K
Revenue Range
$91K – $4.6M
Sample Size
87 units
Past financial performance does not guarantee future results. Individual results will vary.
The Junkluggers (RI-Specific) Litigation & Risk Flags
Clean Litigation RecordThe Junkluggers (RI-Specific) has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
The Junkluggers (RI-Specific) System Growth
Total Units
117
Franchised
113
Company-Owned
4
The Junkluggers (RI-Specific) currently operates 113 franchised locations and 4 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2020 | 18 | 1 | 41 |
| 2021 | 56 | 1 | 96 |
| 2022 | 32 | 7 | 117 |
Transfers: 4 | Closures: 7
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Revenue
$190.8M
Net Income
$36.6M
Total Assets
$780.1M
Audited by PricewaterhouseCoopers LLP for year ending December 31.
The Junkluggers (RI-Specific) Franchise — FAQ
The total investment to open a The Junkluggers (RI-Specific) franchise ranges from $98,110 to $359,290, per their Franchise Disclosure Document. This includes the initial franchise fee of $50,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
The Junkluggers (RI-Specific) charges a royalty fee of 7% of Gross Revenue from Junk Removal Services; 3-7% of Remix Services Gross Revenue of gross sales, plus a Currently, 2% of Gross Revenue from Junk Removal Services; Currently, 1% of Gross Revenue from Remix Services (may increase to 2%) contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the The Junkluggers (RI-Specific) 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 The Junkluggers (RI-Specific) to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, The Junkluggers (RI-Specific) franchise owners report average revenue of $586K and median revenue of $456K. This is based on a sample of 87 units. Past performance does not guarantee future results.
The Junkluggers (RI-Specific) has been franchising since 2023. The FDD shows an investment range of $98,110-$359,290, a 7% of Gross Revenue from Junk Removal Services; 3-7% of Remix Services Gross Revenue royalty, and includes an Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $50,000 and the total investment ranges from $98,110 to $359,290 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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