HOMEstretch franchise unit economics
HOMEstretch franchisees run home preparation businesses that sell clear-outs, handyman work, painting, pressure washing, landscaping, junk removal, cleaning and flooring to homeowners getting ready to sell.
HOMEstretch franchise at a glance
HOMEstretch’s Item 19 reports 2025 gross revenue for 20 franchised locations open all year, quotes and close rates for 64 reporting locations, and what two affiliate-owned locations kept after estimated franchise fees.
HOMEstretch reports that its 20 franchised locations open for all of 2025 averaged $385,818 of gross revenue that year, with a median of $340,840, according to Item 19 of HOMEstretch’s 2026 FDD, issued 25 February 2026. The 20 in that group are 29%* of HOMEstretch’s 69 franchised locations. Fees paid to HOMEstretch come to about 10.12%* of sales.
- HOMEstretch locations holding one territory averaged $387,369* in 2025, and locations holding two or more averaged $385,153* while holding 42 territories between 14 of them.
- A HOMEstretch franchise pays a 7.25% royalty with a monthly minimum that rises with months open and with the number of contiguous territories held.
- A HOMEstretch franchise costs $104,000 to $216,850 to open in one territory, including the $60,000 initial franchise fee.
- HOMEstretch’s 64 reporting franchised locations sent 3,748 quotes in 2025 and converted 1,632 of them, a 43.5% close rate.
- HOMEstretch franchised territories rose from 67 to 164 during 2025, and they were held by 69 franchised locations at year end.
- HOMEstretch’s larger affiliate-owned location kept 15.37%* of $3,377,242 of revenue after estimated franchise fees in 2025, and the smaller kept 6.99%* of $394,406.
- Much of HOMEstretch’s work comes through referral sources such as real estate agents, and some of it is done by subcontractors.
These figures come from HOMEstretch's 2026 Franchise Disclosure Document, as the brand reported them, and were read by Averan Advisors. The single-territory and multi-territory averages ($387,369, $385,153), the 10.12% fee load and the affiliate shares (15.37%, 6.99%) are Averan calculations from Item 6 and the Item 19 tables.
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Talk to Averan → Averan HOMEstretch Conversion Package →- The 20 locations open for all of 2025 averaged $385,818 of gross revenue. Their median was $340,840. The highest, Columbia, billed $806,510 and the lowest, Northern Tampa, billed $102,601. Seven of the 20 reached the average*; Item 19 prints nine.
- Single-territory locations and multi-territory locations averaged within 0.6%* of each other. Six locations with one territory averaged $387,369*. Fourteen with two, three or five territories averaged $385,153*, which is $128,384* a territory against $387,369*.
- The minimum monthly royalty rises with the number of contiguous territories. From month 37 it is $2,000 a month for one territory and $4,560 for three. At three territories that is $54,720* a year, against $27,924* from 7.25% of $385,153.
- The 20 full-year locations completed 855* jobs at an average of $9,025* a job. That is 43* jobs a location in the year. Across all 64 reporting locations the average ticket was $8,602 and the median $5,451.
- The two affiliate-owned locations kept 15.37%* and 6.99%* of revenue after estimated franchise fees. The larger billed $3,377,242 and the smaller $394,406. The smaller had the higher gross margin, 48.34%* against 37.99%*, and the higher rent and manager wages as a share of revenue.
Revenue per location
How much does a HOMEstretch franchise make?
| Measure | 2025 gross revenue |
|---|---|
| Average | $385,818 |
| Median | $340,840 |
| Highest (Columbia, one territory) | $806,510 |
| Lowest (Northern Tampa, two territories) | $102,601 |
| Average of the top five* | $723,659* |
| Average of the bottom five* | $124,516* |
| Locations at or above the average | 7 of 20* (Item 19 prints 9, 45.0%) |
Source: Item 19, Part I (an image table, read from the rendered page). The 20 locations opened between February 5 and December 1, 2024. The top-five and bottom-five averages and the count at or above the average are Averan’s, from the 20 location rows. Revenue is gross revenue as reported, unaudited by the franchisor.
The 20 franchised locations open for all of 2025 averaged $385,818 of gross revenue. The median was $340,840, which is 88.3%* of the average. Between them they hold 48* territories, so the average a territory is $160,758*.
Item 19 prints that 9 of the 20, or 45.0%, reached the average; the location rows show 7. Seven rows are at or above $385,818: Columbia, Raleigh-Durham, St. Louis, North Denver-Boulder, Charlotte, SW Nashville and Greater Philadelphia. This page uses the count from the rows.
Item 19 reports 64 franchised locations in 151 territories, plus the two affiliate-owned locations. It excluded five franchised locations in 13 territories that operated for less than 45 days in 2025. The 44* locations that opened in 2025 are reported month by month from opening. Their average revenue was $11,461 in the first month (44* locations), $23,845 in the third, $26,972 in the ninth (17* locations) and $26,959 in the twelfth (5* locations). Those averages include months with no revenue.
The 64 reporting locations sent 3,748 quotes in 2025 and converted 1,632, a 43.5% close rate. That is an average of 59 quotes and 26 conversions a location. Close rates ran from 69.4% at Raleigh-Durham (86 of 124) to 11.1% at Atlanta Metro (1 of 9). The 20 full-year locations converted 855 of 1,776* quotes, 48.1%*.
The network average ticket was $8,602 on 1,633 approved jobs, and the median ticket was $5,451. Tickets ranged from $70 to $108,099. The 20 full-year locations completed 855* jobs, 43* a location, at $9,025* a job.
Affiliate profit and loss
Two affiliate-owned locations, 2025
| Line | Location I | Share* | Location II | Share* |
|---|---|---|---|---|
| Gross revenue | $3,377,242 | 100% | $394,406 | 100% |
| Labor (crews and subcontractors) | $1,097,411 | 32.49%* | $113,000 | 28.65%* |
| Materials | $996,823 | 29.52%* | $90,757 | 23.01%* |
| Total cost of goods sold | $2,094,234 | 62.01%* | $203,756 | 51.66%* |
| Gross profit | $1,283,008 | 37.99%* | $190,649 | 48.34%* |
| Manager wages | $251,097 | 7.43%* | $55,201 | 14.00%* |
| Rent | $30,000 | 0.89%* | $27,204 | 6.90%* |
| Total SG&A | $427,296 | 12.65%* | $114,326 | 28.99%* |
| Net operating income | $855,712 | 25.34%* | $76,323 | 19.35%* |
| Estimated franchise fees | $336,481* | 9.96%* | $48,738* | 12.36%* |
| Net income after estimated fees | $519,231 | 15.37%* | $27,585 | 6.99%* |
Source: Item 19, Parts V and VI (image tables, read from the rendered pages). Estimated franchise fees are the brand’s estimates of royalty, technology fee, brand fund and local advertising at the current franchise terms; Averan added the four lines. In Location I the SG&A lines add to $427,295*, $1 under the printed total; in Location II they add to $114,327*, $1 over it, and labor plus materials is $203,757* against a printed $203,756.
These are the only profit figures in Item 19, and they come from affiliate-owned locations, not franchised ones. Location I operates in two territories covering about 371,000 households. Location II began 2025 with two territories and sold one to a franchisee in June 2025. The brand states it does not expect the affiliate-owned outlets to differ in any important way from future franchised outlets.
Location I kept $519,231 on $3,377,242 of revenue after estimated fees, 15.37%*. Labor was 32.49%* of revenue and materials 29.52%*. It owned five vehicles in 2025.
Location II kept $27,585 on $394,406, 6.99%*. Its gross margin was 48.34%*, higher than Location I’s 37.99%*. Manager wages were 14.00%* of its revenue against 7.43%* at Location I, and rent 6.90%* against 0.89%*.
Estimated fees were 12.36%* of revenue at Location II and 9.96%* at Location I. The technology fee ($7,200 at each) is a fixed amount, and Location II’s local advertising is the $750 monthly minimum ($9,000) where 1.5% of its revenue would be $5,916*.
By territory count
Revenue by number of territories, 2025
| Territories held | Locations | Territories | Total revenue* | Average a location* | Average a territory* |
|---|---|---|---|---|---|
| One | 6 | 6 | $2,324,213* | $387,369* | $387,369* |
| Two | 4 | 8 | $1,061,114* | $265,279* | $132,639* |
| Three | 8 | 24 | $3,291,598* | $411,450* | $137,150* |
| Five | 2 | 10 | $1,039,435* | $519,718* | $103,944* |
| Two or more | 14 | 42 | $5,392,147* | $385,153* | $128,384* |
| All 20 | 20 | 48* | $7,716,360* | $385,818 | $160,758* |
Source: Item 19, Part I, which prints each location’s territory count and 2025 revenue. The groups, totals and averages are Averan’s. The “Two or more” row combines the two, three and five territory rows. Item 19 does not say whether a location’s territories are contiguous.
The six single-territory locations averaged $387,369*, and the 14 multi-territory locations averaged $385,153*. The two figures are 0.6%* apart. The multi-territory group holds 42 territories, three* a location on average, so its revenue a territory is $128,384*, 66.9%* below the single-territory figure.
By exact territory count, average revenue a location was $265,279* at two, $411,450* at three and $519,718* at five. The groups hold four, eight and two locations, so one location moves each average. Average revenue a territory ran from $103,944* to $137,150* in the multi-territory groups.
The highest and lowest locations hold one and two territories. Columbia billed $806,510 on one territory and Northern Tampa $102,601 on two, a ratio of 7.9* to 1. SW Nashville billed $585,310 on one territory, and Greater Philadelphia $413,669 on five.
The minimum monthly royalty is set by the number of contiguous territories and by months open. From month 37 it is $2,000 a month for one territory, $3,300 for two, $4,560 for three and $6,600 for five. For a three-territory contiguous location billing $385,153, the minimum would be $54,720* a year against $27,924* at 7.25%; for one territory billing $387,369 the royalty would be $28,084* at 7.25%. The 20 locations had all opened in 2024, so in 2025 they were in months 2 to 23 of operation, before the month-37 minimums.
Brand charges
Brand charges
| Charge | Rate in the FDD | A year at $385,818* |
|---|---|---|
| Royalty | 7.25% of gross revenue, or the minimum monthly royalty if higher | $27,972* |
| Brand fund | 1% of gross revenue (may rise to 3%) | $3,858* |
| Local advertising requirement | Greater of $750 a month or 1.5% of gross revenue (may rise to 3%) | $9,000* |
| Technology fee | $600 a month for up to three users, $185 a month per extra user (may rise up to 10% a year) | $7,200* |
| Paid to the brand (royalty, brand fund, technology fee) | $39,030* (10.12%* of revenue) |
Source: Item 6. Local advertising is spent by the franchisee, not paid to the brand. Contiguous territories carry one local advertising requirement and one technology fee; territories that are not contiguous each carry their own. Other charges: renewal at 10% of the then-current initial franchise fee, transfer $10,000 (or $1,500 for some ownership changes), annual conference $1,000 a person, late payments at up to 18% interest plus $100 a week.
Royalty, brand fund and the technology fee come to 10.12%* of revenue at the $385,818 average, and the franchisee spends a further $9,000* on local advertising. At that average 7.25% is $27,972* a year, or $2,331* a month, which is above the one-territory minimum in every year.
The minimum monthly royalty is zero for the first 12 months, then steps up at months 13, 25 and 37. For one territory it is $1,400, $1,680 and $2,000 a month; for three contiguous territories $2,740, $3,960 and $4,560; for six or more $3,480, $6,300 and $7,200. From month 37 the one-territory minimum is $24,000* a year, which equals 7.25% of $331,034* of revenue.
The brand may raise the brand fund and local advertising to 3% each. All fees are collected by electronic transfer, and all revenue must be deposited in the designated account within two days of receipt. If a monthly revenue report is late, the brand may draft fees based on the most recent report.
Cost to open
Cost to open
| Line | Low | High |
|---|---|---|
| Initial franchise fee | $60,000 | $60,000 |
| Vehicle and vehicle wrap | $2,500 | $60,000 |
| Additional funds, 3 months | $25,000 | $45,000 |
| Initial marketing requirement | $5,000 | $15,000 |
| Equipment | $2,000 | $7,500 |
| Office equipment, computers and supplies | $2,000 | $5,000 |
| Professional fees | $3,000 | $5,000 |
| Business insurance | $600 | $3,600 |
| Training expenses | $850 | $3,500 |
| Rent (storage unit) | $250 | $3,000 |
| Marketing collateral and company attire | $2,000 | $2,500 |
| Other lines (licenses, vehicle insurance, deposits, furniture, leasehold improvements) | $800* | $6,750* |
| Total | $104,000 | $216,850 |
Source: Item 7, Chart A. The “Other lines” row is Averan’s sum of five smaller lines; both columns add to the printed totals. Additional funds cover at least three months, assume an owner-operated business and include no owner’s draw or salary.
Opening one territory is estimated at $104,000 to $216,850, of which $60,000 is the initial franchise fee. Honorably discharged veterans receive $5,000 off the fee for the first territory.
The vehicle line accounts for 51.0%* of the $112,850* between the low and high totals. The low end assumes a financed used pick-up truck and the high end a vehicle bought outright. The business runs from a home or commercial office with a storage unit, which must be leased within 90 days of opening.
Several territories bought at once carry a multi-territory fee. It is $110,000 for two, $135,000 for three, $240,000 for six and $395,000 for ten, plus $35,000 for each above ten. The FDD puts the total investment at $179,000 to $291,850 for three territories, $284,000 to $396,850 for six and $439,000 to $551,850 for ten, covering the fee and opening the first territory only. A territory typically has about 150,000 households.
Locations
Locations, 2023 to 2025
| Year | Start | Opened | Terminated | Non-renewed | Reacquired | Ceased, other reasons | End | Company and affiliate-owned, end |
|---|---|---|---|---|---|---|---|---|
| 2023 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 6 |
| 2024 | 0 | 69 | 0 | 0 | 0 | 2 | 67 | 6 |
| 2025 | 67 | 102 | 0 | 0 | 0 | 5 | 164 | 3 |
Source: Item 20, Tables 1, 3 and 4. Total territories at the end of each year: 6, 73 and 167. Two franchised territories in North Carolina transferred to a new owner in 2025.
Franchised territories rose from 67 to 164 in 2025. At December 31, 2025 the 164 territories were held by 69 franchised locations, 2.38* territories a location. Item 20 reports no terminations, non-renewals or reacquisitions in 2023 to 2025.
Seven franchised territories ceased operations for other reasons: two in 2024 and five in 2025. Two of the 2025 cases are North Carolina territories assigned to a franchisee in October 2025, which had temporarily ceased operations and planned to resume in early 2026.
Company and affiliate-owned territories went from 6 to 3 in 2025. Table 4 records three as closed, two in Indiana and one in Ohio. Item 19 separately states that Affiliate-Owned Location II sold one of its territories to a franchisee in June 2025.
Ten franchise agreements were signed for territories not yet open at the end of 2025. The brand projects 26 new franchised territories in the next fiscal year, including eight in Florida and six in Utah.
Questions we get asked
Questions owners ask
How much does a HOMEstretch franchise make?
Item 19 reports that the 20 franchised locations open for all of 2025 averaged $385,818 of gross revenue, with a median of $340,840. The highest billed $806,510 and the lowest $102,601. These are revenue figures; the only profit figures are for two affiliate-owned locations.
How much does it cost to open a HOMEstretch franchise?
Item 7 estimates $104,000 to $216,850 for one territory. That includes the $60,000 initial franchise fee, $2,500 to $60,000 for a vehicle and wrap, and $25,000 to $45,000 of additional funds for three months.
What fees does HOMEstretch charge?
A 7.25% royalty with a minimum monthly royalty that depends on months open and contiguous territories, a 1% brand fund, local advertising of the greater of $750 a month or 1.5% of revenue, and a $600 monthly technology fee. At the $385,818 average the royalty, brand fund and technology fee come to 10.12%* of revenue; local advertising is spent by the franchisee on top.
Does a location with more territories bill more?
In 2025 the six single-territory locations averaged $387,369* and the 14 multi-territory locations averaged $385,153* across 42 territories. By exact count, two-territory locations averaged $265,279*, three-territory $411,450* and five-territory $519,718*. The groups are small.
What did the affiliate-owned locations keep?
Location I kept $519,231 on $3,377,242 of revenue after estimated franchise fees, 15.37%*. Location II kept $27,585 on $394,406, 6.99%*. The brand estimated the fees at its current franchise terms.
How many HOMEstretch locations are there?
At the end of 2025 there were 164 franchised territories held by 69 franchised locations, plus three affiliate-owned territories in two locations. Ten more franchise agreements were signed for territories not yet open.
Questions worth putting to HOMEstretch
These are questions the filing leaves open. An owner or a buyer can put them to the franchisor directly.
- Is the revenue in Item 19 gross sales or collected revenue, and how many locations sit below the average?
- Which factors does HOMEstretch see in its highest-selling locations, such as territory, years open and staffing?
- How long does a new location take to reach the average you publish, and what does the build-up look like month by month?
- At what level of sales do the minimum charges stop applying and the percentage take over?
- How many HOMEstretch locations closed, were sold, or changed hands last year, and why?
Run your own numbers.
The Franchise Numbers Check runs the same checks on your own numbers. It scores where you stand and compares you with Item 19 of your brand’s FDD. It works out what one location earns and spends, and builds a 13-week cash forecast. It also checks whether you are ready to open another one. It is free and it runs in your browser.
Launch the diagnostic →Reporting for a HOMEstretch owner
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Questions owners ask next
The figures above raise these, and each one is answered on its own page.
- At what level of sales does a minimum fee stop costing me more than the percentage?It works out the sales level where a minimum fee stops applying.
- How much cash do I fund before a new location covers its own costs?It builds a 13-week forecast for the months before break-even.
- What does this location earn on the money I put into it?It works out the payback period and cash-on-cash return for one unit.
- How much of Item 19 can I rely on?It explains what an Item 19 financial performance representation tells you and what it leaves out.
Where these figures come from
Every figure here comes from Homestretch Home Services II LLC’s 2026 FDD and is unaudited by us. We are unaffiliated with the brand. Calculations of our own are labeled where they appear. The figures describe past performance at other businesses and are not a projection of yours. This page is an educational summary. It is not an offer to sell a franchise, and it is not financial, legal or tax advice. HOMEstretch is a trademark of its owner. How Averan reads a Franchise Disclosure Document.
These figures come from the brand's disclosure. They are not a forecast, an offer to sell a franchise or advice. Source: Homestretch Home Services II LLC, 2026 Franchise Disclosure Document, issued 25 February 2026.