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Bio-One Franchise ProfileCleaning Franchises > Commercial Cleaning |
What is the Initial Investment for a Bio-One Franchise?
To open a Bio-One franchise, you will need to consider an initial investment that ranges from $110,695 to $164,195. This includes a franchise fee of $55,000. It's crucial to have cash readily available within this range to cover startup costs and ensure a smooth launch of your franchise. Additionally, you should be prepared for ongoing fees, including a royalty fee of 7% and a marketing fee of 2%.
What Are the Financial Performance Expectations for Bio-One?
Bio-One franchises can expect an average annual revenue of approximately $430,169, with a median annual revenue of $307,504. The revenue varies significantly, with the lowest annual revenue reported at $66,746 and the highest at $1,245,691. Understanding these figures can help you gauge the potential profitability of the franchise and set realistic financial goals.
What Are the Breakeven and Payback Periods for Bio-One?
Franchisees can anticipate a breakeven period of around 12 months, which is relatively quick in the franchise industry. The investment payback period is approximately 11 months, indicating that, on average, you could recover your initial investment within the first year of operation. This swift return can be appealing for those looking to maximize their investment potential.
How Many Bio-One Franchises Are Currently Operating?
As of 2022, Bio-One has seen steady growth in the number of franchised units, reaching a total of 127 locations. This growth trajectory—106 units in 2020, 119 in 2021, and 127 in 2022—demonstrates the brand's expanding presence in the market and may reflect increasing demand for its services. Understanding the franchise's growth can help you assess its viability and market position.
Bio-One Franchise Financial Requirements
Below, you’ll find an overview of the initial investment needed to launch the business, along with the ongoing fees required by the franchisor to maintain operations over time.
The minimum total assets (minus liabilities) you must possess.
Net Worth Required:
The estimated period to recoup your total investment.
Investment Payback:
The initial fee paid to join the franchise system.
Franchise Fee:
Ongoing percentage of revenue paid to the franchisor.
Royalty Fee:
Regular contribution toward the franchise’s advertising fund.
Marketing Fee:
The estimated timeframe to recover your initial costs.
Breakeven Time:
The total amount required to launch the franchise.
Initial Investment:
The minimum liquid capital you must have on hand.
Cash Required:
The typical yearly revenue generated per franchise location.
Average Revenue:
The middle value of yearly revenue among franchise locations.
Median Revenue:
The largest reported annual revenue among franchisees.
Highest Revenue:
The smallest reported annual revenue among franchisees.
Lowest Revenue:
A broad sector defining similar types of franchise businesses.
Industry:
A more specific division within the broader industry.
Category:
The key individuals guiding the franchise’s strategy and growth.
Leadership:
The official business address of the franchisor’s headquarters.
Corporate Address:
Available financing options to help start the franchise.
Funding Year:
The main organization that owns the franchise brand.
Parent Company:
Bio-One Franchise Unit Growth Summary
A breakdown of corporate, franchised, and total units, with yearly net changes.
Total Units
Franchised Units
Corporate Units
| Units | 2020 | 2021 | 2022 |
|---|---|---|---|
| Total Units | 106 | 119 | 127 |
| Net Change YoY | 13 | 8 | |
| Franchised Units | 106 | 119 | 127 |
| Net Change YoY | 13 | 8 | |
| Corporate Units | 0 | 0 | 0 |
| Net Change YoY | 0 | 0 |
Initial Investment
The Bio-One franchise offers a low to moderate initial investment range, with costs varying from $110,695 to $164,195. This includes a franchise fee of $55,000, making it accessible for aspiring entrepreneurs looking to enter the biohazard cleanup industry.
Royalty and Marketing Fees
Franchisees are required to pay a royalty fee of 7% on gross sales, along with a 2% marketing fee. These fees contribute to the ongoing support and brand visibility that Bio-One provides, helping franchisees attract and retain customers in a competitive market.
Financial Performance
On average, Bio-One units generate annual revenues of approximately $430,169, with a median revenue of $307,504. The financial performance data indicates a strong potential for profitability, with some units reporting revenues as high as $1,245,691.
Breakeven and Payback Period
Franchisees can expect to reach breakeven within 12 months of operation, with an investment payback period of just 11 months. This quick turnaround can be appealing for those looking to see a return on their investment in a relatively short timeframe.
Franchise Growth
Bio-One has shown consistent growth in franchised units, increasing from 106 in 2020 to 127 in 2022. This upward trend reflects the brand's expanding footprint and the increasing demand for biohazard and trauma scene cleanup services across various regions.
Operational Expenses
Average annual operating expenses for a Bio-One franchise are estimated at $16,100, which includes costs for rent, insurance, OSHA training, and additional funds for operational liquidity. Keeping these expenses manageable is crucial for maintaining profitability in the franchise model.
Frequently Asked Questions
The initial investment for a Bio-One franchise ranges from $110,695 to $164,195, which includes the franchise fee of $55,000.