About Lapels Dry Cleaning Franchise
Lapels Dry Cleaning is an environmentally friendly garment care franchise backed by Clean Franchise Brands, LLC that has been offering franchise opportunities since 2018.
The brand operates full service dry cleaning plants, satellite stores, pickup and delivery services, and laundromats, providing customers with a comprehensive range of garment and laundry care solutions including dry cleaning, shirt service, tailoring, shoe repair, and specialty storage.
With franchise fees ranging from $25,000 to $50,000 depending on the business model selected, Lapels offers multiple format options to suit different investment levels and market strategies.
Lapels Dry Cleaning Franchise Cost & Fees
Minimum Investment
$40K
Average Investment
$385K
Maximum Investment
$730K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $25,000 | One-time payment upon signing |
| Royalty Fee | 6% of Gross Revenue of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 2% of Gross Revenue (Regional/National Marketing), minimum of 1% of Gross Revenue (Ongoing Local Marketing) | National brand fund |
| Total Investment Range | $40,050 – $730,122 | Includes build-out, inventory, working capital |
The investment range of $40K–$730K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (6% of Gross Revenue) and marketing fee (2% of Gross Revenue (Regional/National Marketing), minimum of 1% of Gross Revenue (Ongoing Local Marketing)) 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 and Site Support Fee | $7,000 | $7,000 |
| Travel And Living Expenses While Training | $0 | $2,000 |
| Real Estate and Prepaid Rent, Security And Utility Deposits | $0 | $15,000 |
| Leasehold improvements | $0 | $160,000 |
| Start Up Supplies and Equipment Package | $293,851 | $329,062 |
| Green Earth Solvent Licensing Fee | $2,500 | $2,500 |
| Signage and permits | $8,000 | $12,000 |
| Grand Opening and First Year Marketing Fee | $8,900 | $8,900 |
| Insurance | $480 | $960 |
| Miscellaneous opening costs | $300 | $2,700 |
| Additional funds – 3 months | $20,000 | $140,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | 80% of then-current Franchise Fee |
| Renewal Fee | 25% of the then-current Initial Franchise Fee |
| Technology Fee | $60 per month |
| Audit Fee | Actual costs |
| Interest on Late Payments | Highest contract rate |
| Non-reporting Fee | $500 per month |
| Refresher Training | $400/day plus expenses |
| Additional Support & Training Fees | $1,000 - $4,000 |
| Per Diem Fee | $400 per day plus expenses |
| Operations Manual Replacement Charge | Actual Cost plus 15% Processing Fee (Current cost is $50.00) |
| Store Remodel | $2,000 - $10,000 (every 5 years) |
| Termination Fee | Twenty-Four (24) months of Royalties and Ad Fund fees |
| Costs and Attorneys’ Fees | Actual Costs |
| New Supplier Evaluation | $200 plus actual expenses |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 4-6 day time period |
| Classroom Training | 10 hours |
| On-the-Job Training | 123 hours |
| Training Location | Our offices in Hanover, Massachusetts, and at our training facilities located in Waltham, West Roxbury and Wellesley, Massachusetts; in Fort Mill, South Carolina and in Gilbert, Arizona. |
| Additional Training | We may conduct mandatory or optional additional refresher training programs from time to time. We have the right to impose a reasonable fee for tuition and/or attendance for all additional training programs. You must also pay your transportation, lodging, meals and other expenses to attend any mandatory training program. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Limited protected territory |
| Exclusive Territory | Yes |
| Territory Size | A typical territory will cover an area that extends in all directions from your premises, up to three miles in less populated areas and one city block in city areas, with your premises located at the approximate center of the Territory. |
| Description | The Territory will be defined based on the fixed location of the FRANCHISE, once the site is approved. Size and boundaries are determined at our discretion based on factors including geographic area, population density, character of neighborhood, location, number of competing businesses and other factors. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | 10 year periods |
| Renewal Fee | 25% of the then-current Initial Franchise Fee |
| Renewal Conditions | Bring your franchise up to current standards, model and décor, sign a new then-current form franchise agreement and pay the successor franchise fee of 25% of the then-current Initial Franchise Fee. The then-current agreement may contain terms and conditions that are materially different than the Agreement attached to this disclosure document. |
| Transfer Fee | 80% of then-current Franchise Fee |
| Transfer Conditions | Payable when we approve the transfer, or at your closing for the sale, as applicable. All transfers require our approval. Prior written approval. |
| Termination for Cause | Material, uncured breaches of the Franchise Agreement |
| Non-Compete Period | 24 months |
| Non-Compete Details | 24 months within an area consisting of your Territory plus 3 miles and a like area around any other Lapels® store |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | You or your managing partner or shareholder, or a manager designated by you and approved by us and trained by us, must, at all times, faithfully, honestly and diligently perform and exert your best efforts in performing your obligations under the franchise agreement. Each of your owners must jointly and severally be bound by the terms of the franchise agreement and personally guarantee performance. We expect that you or your full-time manager will provide on-site supervision of the franchise. If you are a multiple storeowner and do not provide full-time on-site supervision, we expect your manager(s) to be fully trained by you or by one of our certified trainers to the same level that you were trained, except for handling of business confidential information, such as check payment processing, etc. Your manager(s) or driver(s) must agree to the same level of confidentiality, non-competition and similar restrictions regarding our operating procedures as described in our Operations Manual. There is no amount of business equity that the "on premises" supervisor must have in the franchise. |
| Required Suppliers | We have identified various suppliers, distributors and manufacturers of equipment, supplies and services that your Lapels Business must use or provide which meet our standards and requirements. You must purchase all equipment, supplies and services from our designated suppliers and contractors or in accordance with our specifications. |
| Supply Restrictions | You must purchase the Start Up Supplies and Equipment Package from us. We are the only approved supplier of this package. The Start Up Supplies and Equipment Package includes the point-of-sale system (“POS System”). Currently, the only approved POS software supplier is SPOT, with whom we will be the primary licensee of the software and will sublicense the right to use the software to you. |
| Franchisor Revenue from Suppliers | For the year ending December 31, 2022, our revenue from the sale of equipment and products to franchisees was $60,387, or 4% of our total revenues of $1,370,680. During our fiscal year ending December 31, 2022, no supplier made any payment to us for franchisee-required purchases. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee your note, lease or obligation. |
Lapels Dry Cleaning Franchise Earnings — Item 19
Revenue Range
$483K – $1.7M
Sample Size
83 units
Past financial performance does not guarantee future results. Individual results will vary.
Lapels Dry Cleaning Litigation & Risk Flags
Clean Litigation RecordLapels Dry Cleaning 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.
Lapels Dry Cleaning System Growth
Total Units
83
Franchised
83
Company-Owned
0
Lapels Dry Cleaning currently operates 83 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 | 6 | 10 | 85 |
| 2021 | 4 | 8 | 81 |
| 2022 | 6 | 4 | 83 |
Transfers: 3 | Closures: 4
State Registrations
Registered in 19 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, UT, VA, WA, WI, CT, KY, NE, TX
Franchisor Financials (Item 21)
Revenue
$1.4M
Net Income
$32K
Total Assets
$3.4M
Audited by Hancock Askew & Co LLP for year ending December 31.
Lapels Dry Cleaning Franchise — FAQ
The total investment to open a Lapels Dry Cleaning franchise ranges from $40,050 to $730,122, per their Franchise Disclosure Document. This includes the initial franchise fee of $25,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Lapels Dry Cleaning charges a royalty fee of 6% of Gross Revenue of gross sales, plus a 2% of Gross Revenue (Regional/National Marketing), minimum of 1% of Gross Revenue (Ongoing Local Marketing) contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Lapels Dry Cleaning 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 Lapels Dry Cleaning to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, Lapels Dry Cleaning franchise owners report . This is based on a sample of 83 units. Past performance does not guarantee future results.
Lapels Dry Cleaning has been franchising since 2018. The FDD shows an investment range of $40,050-$730,122, a 6% of 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 $25,000 and the total investment ranges from $40,050 to $730,122 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 Lapels Dry Cleaning and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Lapels Dry Cleaning or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com