About Tide Cleaners Franchise
Tide Cleaners is a laundry and dry cleaning franchise backed by the trusted household name of The Procter & Gamble Company.
The brand has been franchising since 2009 and brings the reputation of Tide, one of America's most recognized laundry brands, into the retail services space.
Tide Cleaners locations offer professional garment care, wash and fold services, and convenient pickup and delivery options.
Tide Cleaners Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $17,500 - $65,000 depending on outlet type (Plant Store: $50,000; Central Plant Store: $65,000; Drop Store: $30,000; Neighborhood Drop Store: $17,500) | One-time payment upon signing |
| Royalty Fee | 6.5% of weekly Net Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 2% of weekly Net Sales (Advertising and Development Fund Contribution) | National brand fund |
| Total Investment Range | $90,950 – $1,492,400 | Includes build-out, inventory, working capital |
The investment range of $91K–$1.5M reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (6.5% of weekly Net Sales) and marketing fee (2% of weekly Net Sales (Advertising and Development Fund Contribution)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Plant Store - Total Estimated Initial Investment | $703,500 | $1,477,400 |
| Central Plant Store - Total Estimated Initial Investment | $718,500 | $1,492,400 |
| Drop Store - Total Estimated Initial Investment | $145,150 | $565,500 |
| Neighborhood Drop Store - Total Estimated Initial Investment | $90,950 | $274,100 |
| Plant Store Conversion - Total Estimated Initial Investment | $182,800 | $411,700 |
| Central Plant Store Conversion - Total Estimated Initial Investment | $142,000 | $345,000 |
| Drop Store Conversion - Total Estimated Initial Investment | $94,000 | $208,200 |
| Development Rights Agreement (3-5 Outlets) | $30,500 | $51,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | Currently $7,500 |
| Renewal Fee | Currently $7,500 |
| Technology Fee | $316 per month ($3,792 annually) |
| Audit Fee | Costs of inspection or audit (due 15 days after invoice) |
| Local Advertising Expenditures | Up to 2% of weekly Net Sales |
| Additional Training Fee | $500 per day per trainer plus expenses |
| Computer Systems Maintenance, Support, and Licensing | Plant/Central Plant Store: $604-$790/month; Drop Store: $440-$698/month; Neighborhood Drop Store: $396-$498/month |
| Franchisee Convention Fee | $300 for first attendee, $200 per additional attendee |
| GrE License Fee (ongoing) | $2,000 per dry cleaning machine annually (June 30) |
| Insufficient Funds Processing Fee | $100 |
| Insurance (if obtained by franchisor) | Out-of-pocket cost plus reasonable fee (currently $500) |
| Interest on overdue amounts | 1.5% per month |
| Management Fee | $500 per person per day plus costs and expenses |
| Early Termination Damages | Average weekly Royalty and Fund Contribution for prior year multiplied by lesser of 104 weeks or weeks remaining in term |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Approximately four weeks (Monday-Saturday), plus Owner Training Academy (2-3 days) prior to main training; approximately 9 hours self-directed computer-based training, 28 hours live classroom, and 176 hours on-the-job training |
| Classroom Training | 28 hours live classroom plus 9 hours self-directed computer-based training (37 total classroom hours) |
| On-the-Job Training | 176 hours |
| Training Location | Cincinnati, Ohio or other training location designated by franchisor; or at an existing operating Tide Cleaners Outlet |
| Additional Training | Opening assistance: up to 2 representatives on-site for 10 days (Plant Store) or 5 days (Drop Store). Ongoing training via quarterly webcasts/webinars. Annual and/or regional conventions (up to 3 days per year). Additional training fee of $500/day/trainer applies for extra training. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected territory around approved outlet location; typically covers an approximate six-minute drive time from the front door of the Outlet |
| Exclusive Territory | No |
| Territory Size | Approximately six-minute drive time radius from Outlet premises |
| Description | Franchisor will not operate or grant a franchise for another Tide Cleaners Outlet within the Territory while franchisee is in full compliance. However, franchisee does not receive an exclusive territory and may face competition from other franchisees, franchisor-owned outlets, and other channels. Territory excludes all geographic areas comprising a college or university campus with student housing. Franchisor retains broad rights to compete through alternative channels and brands. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years from the date the Outlet opens for business under the Marks |
| Renewal Term | One successor franchise term of 10 years |
| Renewal Fee | Currently $7,500 |
| Renewal Conditions | Franchisee and owners must have substantially complied with the Franchise Agreement; franchisee in compliance on notification date and start of successor term; remodel Outlet or secure substitute approved premises; franchisor offering new franchise opportunities; franchisor determines no business model change has occurred; sign then-current franchise agreement and general release; pay renewal fee |
| Transfer Fee | Currently $7,500 |
| Transfer Conditions | No transfer without franchisor's prior written consent; new franchisee must qualify and meet franchisor standards; all amounts paid current; no default in 60-day period before transfer; new franchisee not in competitive business; training completed; lease transferred; then-current franchise agreement signed; transfer fee paid; release signed |
| Termination for Cause | Franchisor may terminate for curable defaults (72 hours for health/safety/sanitation violations; 10 days for monetary defaults and failure to maintain insurance; 5 days for Plant Store closure if Drop Store; 30 days for operational and other defaults) and non-curable defaults (misrepresentation, failure to open timely, failure to complete training, abandonment, unapproved transfers, conviction of felony, dishonest conduct, unauthorized use of confidential information, failure to pay taxes, understating Net Sales, repeated defaults, and others) |
| Non-Compete Period | 2 years after expiration or termination of franchise |
| Non-Compete Details | During franchise term: no ownership interest in or performing services for any competitive business anywhere. Post-term: no direct or indirect ownership interest in or performing services for competing business for 2 years at Outlet's premises, within 25 miles of premises, or within 25 miles of any other Tide Cleaners outlet then operating or under construction. Competitive business means any business deriving more than 5% of its revenue from selling dry cleaning, laundry, or related/derivative products or services. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | For Plant Stores and Drop Stores, the franchisee (or Managing Owner if a legal entity) must act as general manager with responsibility for direct, on-premises supervision of the Outlet and must devote full time and efforts to management and supervision. Exception: if franchisee operates multiple Tide Cleaners Outlets, franchisor may allow an approved general manager to operate the Outlet under direct on-premises supervision. |
| Required Suppliers | Franchisees must acquire project management services, certain Proprietary Products and Proprietary Processes, Computer System components, Plant Dry Cleaner Equipment and Drop Equipment (including lockers or kiosks), and other specified Operating Assets (including uniforms, signage, and proprietary furnishings) only from designated outside suppliers. Drop Store franchisees must acquire an approved van from designated suppliers. |
| Supply Restrictions | Franchisees must use Proprietary Products, Proprietary Processes, and other items specified by the franchisor and may only purchase from designated and approved suppliers. Approximately 50% to 75% of overall purchases and leases will be from approved or designated suppliers. |
| Franchisor Revenue from Suppliers | During fiscal year ended June 30, 2021, franchisor received $88,488 from supplier transactions, which is 1.6% of total revenue of $5,698,712. Franchisor expects future payments from designated suppliers based on franchisee purchases. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | Neither the franchisor nor any agent or affiliate offers direct or indirect financing, guarantees any note, lease or obligation, or has any practice or intent to sell, assign, or discount to a third party all or part of any financing arrangement. |
Tide Cleaners Franchise Earnings — Item 19
Past financial performance does not guarantee future results. Individual results will vary.
Tide Cleaners 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.
Tide Cleaners System Growth
Tide Cleaners currently operates 201 franchised locations and 13 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2019 | 68 | 0 | 125 |
| 2020 | 33 | 0 | 158 |
| 2021 | 45 | 2 | 201 |
Transfers: 3 | Closures: 2
State Registrations
Registered in 21 states: Arizona, Arkansas, Colorado, Florida, Georgia, Illinois, Indiana, Kansas, Missouri, Michigan, Minnesota, Nebraska, Nevada, New Jersey, North Carolina, Ohio, Oklahoma, Pennsylvania, South Carolina, Texas, Utah
Franchisor Financials (Item 21)
Tide Cleaners Franchise — FAQ
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