Mr. Appliance franchise unit economics
Mr. Appliance franchisees run appliance service businesses that repair and install household and commercial appliances, sell new and used appliances and offer dryer vent cleaning.
Mr. Appliance in the news
- Neighborly® Appoints Brent Korb as Chief Financial Officer · Franchising.com ·
The Mr. Appliance headline above is the publisher's own and links to the publisher. Averan Advisors checked this Mr. Appliance link on 11 October 2026. Franchise news lists news on 88 brands, including Mr. Appliance. Mr. Appliance is in the Home and Commercial Services franchise guide.
Mr. Appliance franchise at a glance
Mr. Appliance's Item 19 reports the 2025 average gross sales per job for each of 289 franchised businesses, grouped in quartiles, with the highest and lowest business averages.
Item 19 of Mr. Appliance’s 2026 FDD, issued 1 April 2026, reports gross sales per job and no sales per business, and across the 289 franchised Mr. Appliance businesses that reported 2025 sales the average job was $291 and the median $284. A Mr. Appliance franchise costs $147,750 to $273,175 to open, before any fee for territory above 150,000 people.
- Mr. Appliance’s top quartile of 73 businesses averaged $365 a job in 2025, and its bottom quartile of 72 averaged $229.
- Mr. Appliance prices its initial franchise fee at $425 for each 1,000 people in the territory, with a minimum of $63,750 for 150,000 people.
- A Mr. Appliance franchise pays a license fee of 5% to 7% of gross sales, with the rate for each week set from the previous week’s gross sales per head of territory population, plus a 2% MAP fee.
- On a 150,000-person territory, the 5% license fee rate applies after a week with $6,600* or more of gross sales.
- A Mr. Appliance franchise must spend $25,000 a year on local marketing in each of its first two years.
- Mr. Appliance had 311 franchised businesses at the end of 2025, against 325 at the start of 2023, and no company-owned businesses.
These figures come from Mr. Appliance's 2026 Franchise Disclosure Document, as the brand reported them, and were read by Averan Advisors. The $6,600 weekly sales figure for the 5% rate on a 150,000-person territory is an Averan calculation: 150,000 people times the $0.044 per-head threshold in Item 6.
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Talk to Averan → Averan Mr. Appliance Conversion Package →- The average job across 289 reporting businesses was $291 in 2025, and the median was $284. Each business’s own average job was worked out first, then averaged across the 289. The highest business averaged $556 a job and the lowest $148.
- The top quartile averaged $365 a job and the bottom quartile $229. The top quartile’s average is 59%* higher than the bottom quartile’s. The second and third quartiles averaged $299 and $271, and together they ran from $258 to $316.
- The license fee rate is 7%, 6% or 5%, set each week from the previous week’s gross sales per head of territory population. Below $0.034 a head the rate is 7%, from $0.034 to $0.044 it is 6%, and at $0.044 or more it is 5%. The population figure stays fixed for the term of the agreement.
- On a 150,000-person territory the 5% rate needs $6,600* of weekly sales, and on a 300,000-person territory $13,200*. Over 52 weeks those come to $343,200* and $686,400*. The two points between 7% and 5% on $343,200 are $6,864*.
- The count of franchised businesses went from 325 to 311 between the start of 2023 and the end of 2025. Terminations went from 14 in 2023 to 8 in 2024 and 2 in 2025. In 2025, 14 businesses opened, 13* left the system and 21 changed owner.
Gross sales per job
How much does a Mr. Appliance franchise make?
| Quartile | Businesses | Average per job | Median per job | Highest business | Lowest business | At or above the quartile average |
|---|---|---|---|---|---|---|
| Top | 73 | $365 | $346 | $556 | $317 | 25 (34%) |
| Second | 72 | $299 | $301 | $316 | $284 | 38 (52%) |
| Third | 72 | $271 | $271 | $284 | $258 | 34 (47%) |
| Bottom | 72 | $229 | $238 | $258 | $148 | 45 (62%) |
| All businesses | 289 | $291 | $284 | $556 | $148 | 125 (43%) |
Source: Item 19. For each business the brand worked out the average gross sales per job from the business’s reports through the brand software, then took the average and median of those business figures. Franchisees are not required to use generally accepted accounting principles when reporting. Each quartile’s at-or-above count is measured against that quartile’s own average. The quartile averages weighted by their counts give $291*.
Item 19 publishes gross sales per job and no other figure. It does not report sales per business, costs, wages or profit. The average job across the 289 reporting businesses was $291 in 2025 and the median was $284.
The top quartile of 73 businesses averaged $365 a job and the bottom quartile of 72 averaged $229. The highest single business averaged $556 a job and the lowest $148. 125 of the 289 businesses, 43%, were at or above the $291 average.
Item 19 covers 289 businesses out of 311 open at the end of 2025. It says it leaves out 14 businesses that opened during 2025, 21 that changed owner during the year and 13 that closed. All 311 businesses were franchised; the brand had no company-owned businesses.
License fee bands
License fee rate by territory size
| Territory population | Initial franchise fee | 6% rate from, weekly | 5% rate from, weekly | 5% rate from, 52 weeks |
|---|---|---|---|---|
| 150,000, the minimum | $63,750 | $5,100* | $6,600* | $343,200* |
| 250,000 | $106,250* | $8,500 | $11,000 | $572,000* |
| 300,000, the usual maximum | $127,500* | $10,200* | $13,200* | $686,400* |
Source: Item 5 and the Item 6 fees chart. The $0.034 and $0.044 per-head thresholds, the $425 per 1,000 people price and the 250,000-person weekly figures are printed. Figures marked with an asterisk are Averan’s: population times the threshold, population times $425 per 1,000, and the weekly figure times 52.
The license fee rate for each week is set from the previous week’s gross sales divided by the territory population. Below $0.034 a head the rate is 7%, from $0.034 to $0.044 it is 6%, and at $0.044 or more it is 5%. The population used stays the same for the term of the agreement, even if the territory’s population grows.
The sales needed for each rate rise in step with territory population. A 300,000-person territory needs twice the weekly sales of a 150,000-person territory to reach the same rate: $13,200* against $6,600* for 5%.
On $343,200* of annual sales, a 7% rate costs $6,864* more than a 5% rate. The rate is set week by week, so a week below the threshold is charged at the higher rate whatever the annual total.
Jobs and the 5% rate
Jobs a week at each quartile’s average job
| Average job | 150,000-person territory ($6,600* a week) | 300,000-person territory ($13,200* a week) |
|---|---|---|
| $365, top quartile | 18.1* | 36.2* |
| $291, all 289 businesses | 22.7* | 45.4* |
| $229, bottom quartile | 28.8* | 57.6* |
Averan calculation: the weekly sales for the 5% rate divided by the Item 19 average job. Item 19 does not report jobs per business, so these are arithmetic on the printed figures, not reported job counts.
At the bottom quartile’s $229 average job, the 5% rate on a 150,000-person territory needs 28.8* jobs a week. At the top quartile’s $365 it needs 18.1*, and at the $291 all-business average 22.7*.
The middle two quartiles sit within $58* of each other. The second quartile ran from $284 to $316 a job and the third from $258 to $284, against $317 to $556 in the top quartile and $148 to $258 in the bottom quartile.
Item 19 does not say how many jobs a business completed or what a business billed in a year. The jobs figures on this page are Averan arithmetic from the average job and the Item 6 thresholds.
Brand charges
Brand charges
| Charge | Amount | When paid |
|---|---|---|
| License fee | 5% to 7% of gross sales, rate set each week from the prior week’s gross sales per head | Weekly, each Monday |
| Minimum license fee, territory of 100,001 to 350,000 people | $100 a week from week 40, $150 from week 79, $200 from week 209 | Weekly, in place of the license fee when higher |
| MAP fee (marketing, advertising and promotion) | 2% of gross sales | Weekly, each Monday |
| Local marketing group | Up to 2% of gross sales, where the brand designates a group | As the group sets |
| Initial marketing spend | $25,000 a year in each of the first 24 months of operation | Spent locally |
| Minimum local marketing spending, if the brand requires it | The greater of $25,000 or 8% of the prior year’s gross sales | Yearly, spent locally |
| Software System | $375.95 a month for office access, plus $85 for each mobile technician | Monthly |
| Call center program | $349.99–$449.99 a month, plus $8 to $15 for each booked appointment after the first 120 days | Monthly |
| Annual convention (Reunion) | Up to $1,000 a person, plus travel | Yearly |
| Transfer fee | The greater of $7,500 or 5% of the sale price | On transfer |
| Renewal fee | $5,000 | On renewal |
| License fee and MAP fee together | 7% to 9%* of gross sales |
Source: Item 6 and its fees chart. The total row is Averan’s: the 5% or 7% license fee rate plus the 2% MAP fee. Item 19 does not publish sales per business, so the fixed monthly charges cannot be shown as a share of average sales. Roll-in franchisees, who convert an existing business, pay lower rates in their first 78 weeks.
The license fee and the MAP fee together come to 7% to 9%* of gross sales. The license fee is 5%, 6% or 7% depending on the prior week’s sales per head, and the MAP fee is 2%. A local marketing group, where the brand designates one, can take up to 2% more, and that contribution counts toward the local marketing spend.
The minimum license fee for a new franchise with 100,001 to 350,000 people is $100 a week from week 40, $150 from week 79 and $200 from week 209. Over a year $200 a week is $10,400*. The higher minimums in the fees chart, up to $1,400 a week, apply to territories above 350,000 people and are not available to new franchisees.
Fixed charges include the Software System at $375.95 a month and the call center program at $349.99–$449.99 a month. Over 12 months those are $4,511* and $4,200 to $5,400*, before $85 a month per mobile technician and $8 to $15 per booked appointment.
Local marketing is $25,000 a year in each of the first two years. After that, the brand may require the greater of $25,000 or 8% of the prior year’s gross sales each year, on top of the MAP fee.
Cost to open
Cost to open
| Item | Low | High |
|---|---|---|
| Initial franchise fee | $63,750 | $63,750 plus $425 per 1,000 people above 150,000 |
| Vehicle | $10,000 | $50,000 |
| Equipment, supplies and inventory | $7,000 | $20,000 |
| Insurance | $15,000 | $20,000 |
| Advertising, marketing and promotion | $25,000 | $45,000 |
| Training travel, lodging and food | $5,000 | $8,000 |
| Deposits, permits and licenses | $0 | $2,000 |
| Professional fees | $0 | $5,000 |
| Technician training | $2,000 | $4,000 |
| Premises rent, four months | $0 | $5,000 |
| Additional funds, three months | $20,000 | $50,000 |
| Total | $147,750 | $273,175 |
Source: Item 7. The totals are as printed. The high-end lines listed add to $272,750*, which is $425* below the printed high total; Item 7 does not explain the difference. The total excludes any fee for territory above 150,000 people.
A Mr. Appliance franchise costs $147,750 to $273,175 to open. That includes the $63,750 minimum initial franchise fee. The cover page says $65,000 of the total is paid to the brand and its affiliate, which matches the fee plus the $1,250 software enrollment fee.
The initial fee is $425 for each 1,000 people. A 300,000-person territory would carry a fee of $127,500*. In 2025 the average initial fee paid was about $62,944, and fees ranged from $20,000 to $96,809 after population and discounts. The $20,000 fee is a rural price for existing franchisees adding a territory of 40,000 to 100,000 people.
The business can run from home. Item 7 puts a rented office at 500 square feet and $9,000 to $15,000 a year, and the high estimate includes $5,000 for four months of rent.
Franchisees typically open within 45 days after the second phase of training, which generally takes place 1 to 3 months after signing. The agreement requires opening within 6 months.
Locations
Locations, 2023 to 2025
| Year | At start | Opened | Terminated | Not renewed | Reacquired | Ceased, other | At end | Transfers |
|---|---|---|---|---|---|---|---|---|
| 2023 | 325 | 20 | 14 | 1 | 0 | 5 | 325 | 21 |
| 2024 | 325 | 9 | 8 | 1 | 0 | 15 | 310 | 19 |
| 2025 | 310 | 14 | 2 | 2 | 0 | 9 | 311 | 21 |
Source: Item 20, Tables 1, 2 and 3. The brand had no company-owned outlets in any of the three years. At the end of 2025, 8 franchise agreements were signed for outlets not yet open, and the brand projected 15 franchised openings in 2026.
Mr. Appliance had 311 franchised businesses at the end of 2025. The count was 325 at the start of 2023 and at the end of 2023, 310 at the end of 2024 and 311 at the end of 2025.
Terminations were 14 in 2023, 8 in 2024 and 2 in 2025. Openings were 20, 9 and 14. Businesses that ceased for other reasons were 5, 15 and 9; Item 20 counts transfers of a territory to an existing franchisee in that column.
21 businesses changed owner in 2025, after 21 in 2023 and 19 in 2024. A buyer of an existing business pays the brand a transfer fee of the greater of $7,500 or 5% of the sale price.
Questions we get asked
Questions owners ask
How much does a Mr. Appliance franchise make?
The 2026 FDD does not report sales or profit per business. Item 19 reports gross sales per job: across 289 franchised businesses that reported 2025 sales, the average job was $291 and the median $284. Quartile averages were $365, $299, $271 and $229.
How much does it cost to open a Mr. Appliance franchise?
Item 7 puts the total at $147,750 to $273,175. That includes the $63,750 minimum initial franchise fee for a 150,000-person territory, $25,000 to $45,000 of opening advertising and $20,000 to $50,000 of additional funds for three months. Territory above 150,000 people costs $425 per 1,000 more.
What royalty does Mr. Appliance charge?
The license fee is 5% to 7% of gross sales. The rate for each week is set from the previous week’s gross sales divided by territory population: 7% below $0.034 a head, 6% from $0.034 to $0.044, and 5% at $0.044 or more. A weekly minimum license fee of $100 to $200 applies to a new franchise from week 40.
What other fees does a Mr. Appliance franchise pay?
A 2% MAP fee, up to 2% to a local marketing group where one is designated, $375.95 a month for the Software System plus $85 per mobile technician, and $349.99–$449.99 a month for the call center program plus a fee per booked appointment. Local marketing spend is $25,000 a year in each of the first two years.
What weekly sales give the 5% license fee rate?
On a 150,000-person territory, $6,600* in a week. On a 250,000-person territory the FDD prints $11,000, and on a 300,000-person territory it is $13,200*.
How many Mr. Appliance franchises are there?
311 franchised businesses in the United States at the end of 2025, all franchised. In 2025, 14 opened, 2 were terminated, 2 were not renewed and 9 ceased for other reasons. 8 more had signed agreements but had not opened.
Questions worth putting to Mr. Appliance
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 Mr. Appliance 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 Mr. Appliance 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 Mr. Appliance owner
We review your unit economics and cash forecast and build your monthly reporting around the figures on this page.
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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 Mr. Appliance SPV 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. Mr. Appliance 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: Mr. Appliance SPV LLC, 2026 Franchise Disclosure Document, issued 1 April 2026.