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COIT Franchise

COIT is one of the longest running home and commercial cleaning service franchises in the United States, offering opportunities since 1963. Each location provides professional carpet cleaning, air duct cleaning, upholstery cleaning,…

Total Investment
$52K$172K
Franchise Fee
$24,000 to $40,000
Royalty Rate
7% of Gross Revenues or the minimum royalty ranging from $500 to $1,250 per month, whichever is greater after the first year Gross Sales
Total Units
49
Franchising Since
1963

🌻About COIT Franchise

COIT is one of the longest running home and commercial cleaning service franchises in the United States, offering opportunities since 1963.

Each location provides professional carpet cleaning, air duct cleaning, upholstery cleaning, drapery cleaning, and hard surface floor care to residential and commercial clients.

The brand is recognized for its expertise and reliability across multiple cleaning disciplines.

💰COIT Franchise Cost & Fees

Minimum Investment
$52K
Average Investment
$112K
Maximum Investment
$172K
Fee TypeAmountNotes
Initial Franchise Fee$24,000 to $40,000One-time payment upon signing
Royalty Fee7% of Gross Revenues or the minimum royalty ranging from $500 to $1,250 per month, whichever is greater after the first year of gross salesOngoing; paid monthly
Marketing/Ad FundUp to 2% of Gross Revenues (currently 1.5%) for Branding and Marketing Fund Contribution. Separate contributions for Disaster Restoration, Stone Restore, and Wood Floor Services also up to 2% (currently 1.5%).National brand fund
Total Investment Range$51,859$172,350Includes build-out, inventory, working capital

The investment range of $52K–$172K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (7% of Gross Revenues or the minimum royalty ranging from $500 to $1,250 per month, whichever is greater after the first year) and marketing fee (Up to 2% of Gross Revenues (currently 1.5%) for Branding and Marketing Fund Contribution. Separate contributions for Disaster Restoration, Stone Restore, and Wood Floor Services also up to 2% (currently 1.5%).) are ongoing costs paid as a percentage of gross sales.

📋Investment Breakdown (Item 7)

ItemLowHigh
Initial Franchise Fee$24,000$40,000
Advertising and Promotional Costs$3,000$12,000
Rent$0$2,000
Lease Deposit$0$2,000
Utility Deposits$0$200
Leasehold Improvements$0$0
Equipment, Tools and Supplies$11,500$33,000
Vehicle$800$28,000
Insurance Deposit$0$1,000
Computer System$800$10,000
Accounting Software$199$14,000
Travel/Room/Board for Training$1,000$2,000
Internet Services$60$150
Professional Fees$500$3,000
Additional Funds – three months$10,000$25,000

💵Additional Fees (Item 6)

Fee TypeAmount
Transfer Fee$5,000
Renewal Fee10% of then-current initial franchise fee for new franchisees (Successor Franchise Fee)
Technology FeeTo be established
Audit FeeAll costs of inspection and audit (if audit is done because of failure to submit reports or >2% understatement of revenues)
Royalty Fee on Disaster Restoration Services7% of Gross Revenues (3% for Build-Back/Put-Back and Re-install services or subcontractor services)
Royalty Fee on Goods3.5% of Gross Revenues
Royalty Fee on COIT Stone Restore Services7% of Gross Revenues
Referral Fees for Disaster Restoration Services5% of the Gross Revenues generated by the work referred
Lead FeesTo be established (charged by 3rd party providing leads)
Team Leader On-Site Assistance Fees for Disaster Restoration ServicesThe greater of ($1,000 per day or amount billable to customer) plus travel expenses
Royalty Fee on Wood Floor Services7% of Gross Revenues
Disaster Restoration Services Branding and Marketing Fund ContributionUp to 2% of Gross Revenues (currently 1.5%)
Stone Restore Services Branding and Marketing Fund ContributionUp to 2% of Gross Revenues (currently 1.5%)
Wood Floor Branding and Marketing Fund ContributionUp to 2% of Gross Revenues (currently 1.5%)
Cooperative Advertising PaymentTo be established (pro rata share)
Targeted Data Base MarketingCost +10+10 pricing
COIT Software License & Support Agreement User FeesMonthly base fee of $200 plus a $60 per user fee; reimburse for travel expenses
Extraordinary Software Support FeesCurrently $250 per hour
Administration FeeTo be established (based on processing Special Accounts)
Contact Center Services Fees$8.50 per call received to the Franchise’s Direct Inward Dialing (DID) number and $35 per lead
After Hour Call Answering FeeTo be established
Intranet Use Fee$19.95 per month for single user; $15.95 per month for each additional user per franchise
E-Mail Hosting Fee$8.50 per month per user
Customer Relationship Management (“CRM”) Software Fee$50 per month for each sales team per location
Late Fees$50
InterestHighest legal rate not to exceed 1.5% per month
Electronic Fund Transfer (“ACH”) Rejection Fee$50
InsuranceAmount of premium paid by COIT plus 20%
Additional Training and Meeting Fees$0 to $350 per day of attendance
Disaster Restoration Services TrainingUp to $3,500 per person
COIT Stone Restore TrainingUp to $3,500 per person
Wood Floor TrainingUp to $3,500 per person
Interim Franchise Royalty FeesFranchisor’s then current Royalty Fee plus 2%
Interim Marketing ContributionsFranchise System’s then current rate of the Branding and Marketing Fund Contributions plus 2%
Right of First Refusal Fee10% of then-current initial franchise fee for new franchisees
Cost of EnforcementCost including attorney fees
IndemnificationCost including attorney fees
Sales/Use TaxesVariable

🎓Training Program (Item 11)

DetailInformation
Total DurationUp to two weeks (Core Services), 5 days (Disaster Restoration), additional week (COIT Stone Restore), additional time (Wood Floor)
Classroom Training101.5
On-the-Job Training60
Training LocationBurlingame, California facility (Core Services), Seattle company-owned location (Disaster Restoration), company-owned or franchised locations or franchisee's location (Stone Restore, Wood Floor)
Additional TrainingAdditional training courses, refresher training for COES software, annual national conventions (mandatory for Designated Principal), and optional COIT College Level I, Level II, and Restoration Summit programs (currently $395 each).

📍Territory Rights (Item 12)

DetailInformation
Territory TypeExclusive (with reserved rights for franchisor)
Exclusive TerritoryYes
Territory SizeTypically at least 100,000 households, generally not larger than 500,000 households.
DescriptionFranchisees receive an exclusive territory, typically a geographical area containing at least 100,000 households, but generally not exceeding 500,000 households. The franchisor reserves rights to redefine territory boundaries if the franchisee fails to meet revenue or advertising requirements, develop other businesses under different trademarks, use other distribution channels (Internet, catalog, telemarketing) within the territory, and provide services to 'Special Accounts'. The franchisor can also provide or authorize others to provide non-Core services (Restoration, Stone Restore, Wood Floor) in the territory if the franchisee is not certified or does not offer them.

📄Renewal, Termination & Transfer (Item 17)

DetailInformation
Initial Term10 years
Renewal Term10-year term
Renewal Fee10% of then-current initial franchise fee
Renewal ConditionsTo renew, the franchisee must be in good standing, have complied with the Franchise Agreement, give 9-12 months' notice, execute the then-current franchise agreement, meet current new franchisee standards, complete refresher training, have premises possession rights, and pay a renewal fee of 10% of the then-current initial franchise fee. The new agreement may have materially different terms.
Transfer Fee$5,000
Transfer ConditionsTransfers require franchisor's prior written consent, which will not be unreasonably withheld. Conditions include satisfying all monetary obligations, transferee meeting franchisor's standards (educational, managerial, financial, moral character), executing the then-current franchise agreement, subordination of transferee's obligations to franchisor, compliance with confidentiality, lessor consent (if applicable), business compliance with operational standards, transferee completing initial training, franchisor's approval of material transfer terms, execution of a non-compete by transferor, and payment of a $5,000 transfer fee plus legal expenses. Transfers to competitors or granting security interests are prohibited.
Termination for CauseFranchisor can terminate with immediate effect for reasons such as failure to start/complete training, failure to open/continuously operate the business, bankruptcy/insolvency, non-compliance with laws, unauthorized transfers, false reporting, material misrepresentation, adverse conduct, unauthorized use of Marks/Confidential Information, failure to attend mandatory conventions/training, ownership of a competitive business, understatement of gross revenues by >5%, repeated breaches, or health/safety hazards. Termination with a one-month cure period applies to payment defaults, failure to meet local advertising minimums, failure to furnish reports, non-compliance with system standards, inadequate telephone service, failure to offer mandatory services, operating outside territory, or other breaches.
Non-Compete Period2 years (post-term); during Initial Term and Interim Term (during-term)
Non-Compete DetailsDuring the term, the franchisee and its principals cannot develop, operate, or have an interest in any competitive business, divert customers, or aid a competitive business, with no geographic limitation. Post-term, for two years after transfer, termination, or expiration, the franchisee and its principals cannot be involved in a competitive business within the former territory or within 60 miles of any point in the territory. This restriction has no geographical limitation if the competitive business uses a trade name, service mark, trademark, logo, concept, format, or operating system similar to or suggestive of the Operating System or the Marks. There is also a two-year post-term non-solicitation covenant for employees and clients of the franchisor or other franchisees. All covenants are acknowledged as reasonable and necessary.

Operations & Supply (Items 8 & 15)

DetailInformation
Owner-Operator RequiredYes
Participation DetailsThe individual with the controlling ownership interest in the franchisee entity must supervise the operation of the franchised business. A full-time manager, who successfully completes initial training, is required, but need not have an ownership interest. All shareholders, partners, members, and other equity owners must personally guarantee all franchisee obligations.
Required SuppliersCOIT is an approved supplier for carpet, window covering and upholstery cleaning supplies and equipment, uniforms, vehicle decals, and other materials bearing the Marks. Franchisee is required to purchase and use all COIT private label products and equipment.
Supply RestrictionsFranchisor may require franchisees to purchase from approved or designated third-party suppliers, or from the franchisor/affiliates, for specific types, brands, and quality of equipment, products, and services. Specifications for items are provided in Operating Manuals and are subject to change. Franchisor can approve, revoke, or deny approval of items or suppliers.
Franchisor Revenue from Suppliers$584,000 in revenue, representing just under 1.6% of total revenue of $36,402,843 in calendar year 2021. Franchisor receives a cash rebate of 5% from one approved supplier of cleaning chemicals based on franchisee purchases.

🏦Financing (Item 10)

DetailInformation
Financing AvailableYes
DescriptionFranchisor offers to finance up to 75% or $30,000 (whichever is less) of the initial franchise fee for a Core Services franchise. Repayment periods range from 36 to 60 months, with an interest rate of 12% per year on the unpaid balance. A personal guaranty is required as security. There is no prepayment penalty. In case of default, the interest rate increases to 18% per year, and the franchisor can demand immediate payment of the entire unpaid balance and terminate the franchise.

📊COIT Franchise Earnings — Item 19

Average Revenue
$1.3M
Median Revenue
$562K
Revenue Range
$59K$8.0M
Sample Size
34 units

Past financial performance does not guarantee future results. Individual results will vary.

COIT Litigation & Risk Flags

Clean Litigation RecordCOIT 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.

📈COIT System Growth

Total Units
49
Franchised
40
Company-Owned
9

COIT currently operates 40 franchised locations and 9 company-owned units. Unit count data is sourced from Item 20 of the FDD.

📅Unit History (Item 20)

YearOpenedClosedTotal
20191238
20203338
20214240

Transfers: 3 | Closures: 2

💲Franchisor Financials (Item 21)

Revenue
$36.4M

COIT Franchise — FAQ

The total investment to open a COIT franchise ranges from $51,859 to $172,350, per their Franchise Disclosure Document. This includes the initial franchise fee of $24,000 to $40,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
COIT charges a royalty fee of 7% of Gross Revenues or the minimum royalty ranging from $500 to $1,250 per month, whichever is greater after the first year of gross sales, plus a Up to 2% of Gross Revenues (currently 1.5%) for Branding and Marketing Fund Contribution. Separate contributions for Disaster Restoration, Stone Restore, and Wood Floor Services also up to 2% (currently 1.5%). contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the COIT 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 COIT to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, COIT franchise owners report average revenue of $1.3M and median revenue of $562K. This is based on a sample of 34 units. Past performance does not guarantee future results.
COIT has been franchising since 1963. The FDD shows an investment range of $51,859-$172,350, a 7% of Gross Revenues or the minimum royalty ranging from $500 to $1,250 per month, whichever is greater after the first year 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 $24,000 to $40,000 and the total investment ranges from $51,859 to $172,350 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.

Interested in COIT?

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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 COIT and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with COIT or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com
COIT
Total Investment
$52K$172K
💰 Costs & Fees
Franchise Fee$24,000 to $40,000
Royalty7% of Gross Revenues or the minimum royalty ranging from $500 to $1,250 per month, whichever is greater after the first year
Marketing FeeUp to 2% of Gross Revenues (currently 1.5%) for Branding and Marketing Fund Contribution. Separate contributions for Disaster Restoration, Stone Restore, and Wood Floor Services also up to 2% (currently 1.5%).
FinancingAvailable
🏢 System Overview
Total Units49
Franchising Since1963
Earnings Claim (Item 19)Yes
📄 Contract Terms
Initial Term10 years
Renewal Term10-year term
TerritoryExclusive (with reserved rights for franchisor)
Owner-OperatorRequired
⚖️ Legal & Risk
Pending LitigationClean
Bankruptcy HistoryNone
Download the Full COIT FDD
2024 · Public Registry Document
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