Mr. Electric franchise unit economics
Mr. Electric franchisees run residential and light commercial electrical service businesses that sell repairs, installations and upgrades from vehicles across territories priced by population.
Mr. Electric in the news
- Neighborly® Appoints Brent Korb as Chief Financial Officer · Franchising.com ·
The Mr. Electric headline above is the publisher's own and links to the publisher. Averan Advisors checked this Mr. Electric link on 11 October 2026. Franchise news lists news on 95 brands, including Mr. Electric. Mr. Electric is in the Mechanical Trades franchise guide.
Mr. Electric franchise at a glance
The 169 businesses reporting for 2025 are grouped by how many people their territory holds.
Mr. Electric franchisees averaged $1,114,087 of sales in 2025, according to Item 19 of Mr. Electric’s 2026 FDD, issued 1 April 2026. The 169 in that group are 72%* of Mr. Electric’s 236 locations. Fees paid to Mr. Electric come to about 8.29%* of sales. A Mr. Electric franchise costs $159,500 to $357,425 to open.
- A Mr. Electric franchise costs $159,500 to $357,425 to open, including a $42,500 initial franchise fee, according to the brand's 2026 FDD.
- Mr. Electric charges a royalty of 6% of sales and a 2% brand fund contribution.
- Mr. Electric franchisees averaged $1,114,087 of sales across the full 52 weeks of calendar 2025.
- Work out Mr. Electric's fees at your own sales with the minimum fee calculator.
These figures come from Mr. Electric's 2026 Franchise Disclosure Document, as the brand reported them, and were read by Averan Advisors.
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Talk to Averan → Move your books and accounting to Averan →- Population rises up to 16.7 times across the four groups while sales rise 5.0 times. $514,894 in a territory of up to 300,000 people against $2,599,071 in one of up to 5,000,000 *, so the biggest territories are the least worked.
- At three of the four groups the typical business pays a minimum license fee against the 6% rate. The minimum runs to $3,000 a week, which is $156,000 a year and equals 6% only at $2,600,000 of sales *, against a median of $2,004,844 in that group.
- Three charges depend on the territory’s population or sales. That is $425 per 1,000 people up front on top of a $42,500 base, a minimum license fee set by population group, and 6% of whatever the territory bills. Revenue per head falls as the territory grows.
- The largest single business sits in the second-largest territory group. $13,345,979 in a territory of up to 1,000,000 people, which is 8.7 times its own group average * and more than twice the top business in the largest group.
- Inside one group the range reaches 61 times. $35,793 to $2,195,756 among the 87 businesses in territories up to 300,000 *, so territory size sets the ceiling and the operator sets everything else.
How much does a Mr. Electric franchise make?
The average Mr. Electric unit reported $1,114,087 of revenue in the 2026 FDD. The brand’s disclosure document discloses revenue and not profit, so what an owner keeps depends on the cost structure set out below. Fees come off the top first, at about 8.3% of sales across royalty, brand fund and the rest of the stack. Revenue is not income. Rent, wages, cost of goods and the franchise fees all come out before an owner is paid. The figures for the highest-selling and lowest-selling businesses are below.
Sales by territory size
Gross sales by territory population, 2025
Most brands group their businesses by sales instead. This one groups by the size of the market each business was sold. That lets an owner read what the territory itself is worth before any question of how well it is run.
| Territory population | Businesses | Average | Median | Highest | Lowest | Reaching the group average | Group sales * |
|---|---|---|---|---|---|---|---|
| 1,000,001 to 5,000,000 | 20 | $2,599,071 | $2,004,844 | $5,543,941 | $402,383 | 8 of 20, 40% | $51,981,420 |
| 500,001 to 1,000,000 | 32 | $1,534,978 | $1,292,838 | $13,345,979 | $266,992 | 14 of 32, 44% | $49,119,296 |
| 300,001 to 500,000 | 30 | $1,412,806 | $1,022,586 | $5,805,693 | $60,247 | 13 of 30, 43% | $42,384,180 |
| 74,000 to 300,000 | 87 | $514,894 | $352,821 | $2,195,756 | $35,793 | 31 of 87, 36% | $44,795,778 |
| All 169 * | 169 | $1,114,087 | n/a | $13,345,979 | $35,793 | n/a | $188,280,674 |
The four group rows are as the brand reported it. The group sales column and the whole bottom row are marked *, weighting each group average by its business count.
A territory of up to 5,000,000 people bills 5.05 times one of up to 300,000. $2,599,071 against $514,894 *, on a market up to 16.7 times the size, so revenue per head of population falls by roughly two thirds across the range.
The median sits well below the average in every group. The middle business in each group sells 68.5%, 72.4%, 84.2% and 77.1% of the average *. Between 36% and 44% of businesses reach their own group average, so the published Mr. Electric average sits above the middle result at every territory size.
The smallest group holds 51.5% of the businesses and 23.8% of the sales. That is 87 of 169 businesses carrying $44,795,778 of $188,280,674 *, a system sold mostly in small territories.
The lowest Mr. Electric business rises with territory size. The low in each group is $35,793, $60,247, $266,992 and $402,383, from the smallest territories to the largest *.
Top performers
What separates the top Mr. Electric performers
Mr. Electric splits its locations into groups instead of publishing one average. The top group averaged $2,599,071 a year. The lowest averaged $514,894. Both run the same brand, on the same agreement, paying the same fees.
Decided before you open
- Site and trade area.The top band sells 5.0× the bottom band. Catchment, daytime population and neighboring businesses affect where a location falls.
- Territory.This model sells from a territory quoted at 300,000 people, with no storefront. Population density sets how much driving sits between jobs.
- Opening cost range.Opening costs $159,500 to $357,425, a 2.2× range inside one brand.
- Fees and the minimum.Fees run about 8.3% of sales. A minimum fee also applies, so lower-selling locations pay a higher effective rate. Work out the sales level where the percentage overtakes the minimum.
Live operating levers
- Sales depend on installations.The sale happens in the customer’s home, so the owner works on how many appointments are booked, how many close, and what the average install is worth.
Context you underwrite around
- Locations included.These figures cover 169 of 236 locations. Locations open less than the full year, brand-owned, or not meeting the reporting criteria are excluded.
- What the filing does not include.Mr. Electric’s Item 19 gives no profit or cost data for franchised locations. Ask the franchisor or current owners for cost and profit figures.
Discounts available
- Mr. Electric charges a special $20,000 fee for a qualifying rural territory of 40,000 to 100,000 people.
- Mr. Electric takes 10% to 50% off the fee for owners rolling in an existing similar business with at least $250,000 in annual sales.
- Mr. Electric takes 5% to 20% off the fee for franchisees of at least two years buying additional territory, plus another 5% if paid in full within 90 days.
- Mr. Electric takes 10% off the fee for franchisees of an affiliated brand of at least two years.
- Mr. Electric takes 10% to 25% off the fee for recommended employees of its own or affiliated franchisees with at least two years' service (HIRE Discount).
- Mr. Electric takes 20% off the $42,500 minimum fee for honorably discharged U.S. or Canadian veterans (VetFran).
From Item 5 of the Mr. Electric 2026 FDD. The costs on this page use the full initial franchise fee for one unit, before any discount.
The minimum underneath
License fee and weekly minimum
The license fee is 6% of gross sales. Underneath it sits a minimum that rises with territory population and with how long the business has been open. For most of this system the minimum is the number that actually applies.
| Territory population | Months 9 to 24, a week | Months 25 to 48, a week | Month 49 onward, a week | A year at the mature rate * | Sales at which 6% catches up * |
|---|---|---|---|---|---|
| Under 100,000 | $25 | $50 | $50 | $2,600 | $43,333 |
| 100,001 to 200,000 | $50 | $100 | $300 | $15,600 | $260,000 |
| 200,001 to 350,000 | $75 | $300 | $600 | $31,200 | $520,000 |
| 350,001 to 600,000 | $75 | $500 | $1,000 | $52,000 | $866,667 |
| 600,001 to 1,000,000 | $75 | $700 | $2,000 | $104,000 | $1,733,333 |
| 1,000,001 and above | $75 | $1,200 | $3,000 | $156,000 | $2,600,000 |
The weekly figures and the population groups are as the brand reported it. The annual column and the crossover column are marked *, multiplying the mature weekly rate by 52 and dividing by the 6% license rate.
At the largest territory group the minimum equals 6% almost exactly at the group average. $156,000 a year against 6% of $2,599,071, which is $155,944 *, so a business at that average pays the percentage and everything below it pays the minimum.
The median business in that group pays an effective 7.78%. That is $156,000 against $2,004,844 of sales *, 1.78 points above the quoted rate, worth $35,709 a year.
The median business in the 500,001 to 1,000,000 group pays an effective 8.04%. Its median of $1,292,838 sits well under the $1,733,333 crossover, so $104,000 of minimum is an effective 8.04% *, against 8.84% at the median of the smallest territory group *.
What the fees come to in total
| Territory group | Median sales | License fee | Marketing fund at 2% | Local marketing at 2% | License fee and marketing fund | Share of sales * |
|---|---|---|---|---|---|---|
| 1,000,001 to 5,000,000 | $2,004,844 | $156,000 | $40,097 | $40,097 | $196,097 | 9.78% |
| 500,001 to 1,000,000 | $1,292,838 | $104,000 | $25,857 | $25,857 | $129,857 | 10.04% |
| 300,001 to 500,000 | $1,022,586 | $61,355 | $20,452 | $20,452 | $81,807 | 8.00% |
| 74,000 to 300,000 | $352,821 | $31,200 | $7,056 | $7,056 | $38,256 | 10.84% |
The rates and the median sales figures are as the brand reported it. Every dollar amount and the share column are marked *. The license fee and marketing fund column adds the first two components. Local marketing is spent by the owner, and software of $270 a month paid to the brand is not included.
The lowest load falls on the group whose sales clear the minimum. That group pays a flat 8.00% to the brand in the 300,001 to 500,000 band, against 9.78%, 10.04% and 10.84% everywhere else *. It is the only Mr. Electric group whose median business is large enough for the percentage to govern.
The smallest territories pay the largest share of sales to the brand. The brand takes 10.84% of a $352,821 median *, and the 87 businesses in that group are more than half the reporting system.
Opening a territory
Cost to open and territory pricing
| Line | Low | High | Share of the low column * |
|---|---|---|---|
| Additional funds, three months | $50,000 | $100,000 | 31.35% |
| Initial franchise fee | $42,500 | $42,500 plus $425 per 1,000 people above the minimum | 26.65% |
| Advertising, marketing and promotion | $40,000 | $80,000 | 25.08% |
| Training, travel, lodging and food | $8,000 | $16,000 | 5.02% |
| Deposits, permits and licenses | $6,000 | $12,000 | 3.76% |
| Insurance | $5,000 | $7,500 | 3.13% |
| Equipment, supplies and inventory | $4,500 | $8,000 | 2.82% |
| Vehicle | $3,500 | $80,000 | 2.19% |
| Professional fees | $0 | $5,000 | 0.00% |
| Real estate | $0 | $6,000 | 0.00% |
| Total | $159,500 | $357,425 | 100% |
Amounts are as the brand reported it and the share column is marked *.
The territory costs more per head than it returns per head at the top of the range. A 300,000-person territory prices at $127,500 *, which is 24.8% of what the average business in that group bills in a year. The entry price tracks population while the revenue tracks it far less closely.
Three lines are 83.1% of the low column, and one of them is working capital. Additional funds, the fee and advertising, at $132,500 of $159,500 *, so the build is mostly cash to trade on.
The vehicle line runs from $3,500 to $80,000. That is a 22.9 times range *, the widest single line here, the difference between a used van and a new fitted fleet vehicle.
The network of locations
Units opened and closed, 2023 to 2025
| Year | At start | At end | Net change | Growth * | Company-owned |
|---|---|---|---|---|---|
| 2023 | 180 | 189 | +9 | +5.0% | 0 |
| 2024 | 189 | 211 | +22 | +11.6% | 0 |
| 2025 | 211 | 236 | +25 | +11.8% | 0 |
Every column apart from growth is as the brand reported it.
The system added 56 businesses in three years and lost 15 in the last one. 180 to 236 *, growth of 31.1% against a closure count that reached 6.4% of the year-end total in 2025 alone.
Sixty-seven of the 236 franchised businesses sit outside the published figures. 17 reporting unreliably, 10 reporting combined and 15 that closed, plus those open under a year *, so the 169 in the tables are 71.6% of the system.
Questions we get asked
Questions owners ask.
How much does a Mr. Electric franchise make?
Mr. Electric franchisees averaged $1,114,087 of sales in 2025, according to Item 19 of Mr. Electric’s 2026 FDD, issued 1 April 2026. The 169 in that group are 72%* of Mr. Electric’s 236 locations. Fees paid to Mr. Electric come to about 8.29%* of sales. A Mr. Electric franchise costs $159,500 to $357,425 to open.
What does a Mr. Electric business bill?
Mr. Electric sales rise with territory population. The 169 reporting Mr. Electric businesses average $1,114,087 on our own weighting. By territory population the averages are $514,894 up to 300,000 people, $1,412,806 for 300,001 to 500,000, $1,534,978 for 500,001 to 1,000,000 and $2,599,071 for 1,000,001 to 5,000,000.
Does a bigger territory earn more at Mr. Electric?
Larger territories bring more in total and much less per person. Population rises up to 16.7 times from the smallest group to the largest while average sales rise 5.05 times. So revenue per head of population falls by roughly two thirds. The single largest business in the system sits in the second-largest group.
What fees does Mr. Electric charge?
Mr. Electric charges a 6% license fee swept weekly, a 2% marketing fund, and local marketing groups taking up to 3% and currently 2%. Underneath the license fee sits a minimum rising with territory population to $3,000 a week. At three of the four territory groups the typical business pays that minimum. That lifts the license fee and marketing fund together to between 9.78% and 10.84% of sales.
What does a Mr. Electric territory cost?
A Mr. Electric territory costs $42,500 for up to 100,000 people, plus $425 for each additional 1,000. A 300,000-person territory, which is generally the maximum, prices at $127,500. Fees actually paid in the previous year averaged $59,449 and ran $21,886 to $102,981, and a qualifying rural territory prices at $20,000.
How much does a Mr. Electric franchise cost to open?
$159,500 to $357,425, of which $50,000 to $100,000 is three months of additional funds and $40,000 to $80,000 is opening advertising. The physical side is light: a vehicle at $3,500 to $80,000 and equipment, supplies and inventory at $4,500 to $8,000.
How wide is the difference between businesses at Mr. Electric?
Mr. Electric sales differ widely between businesses, including inside every territory group. The 87 businesses in territories up to 300,000 run from $35,793 to $2,195,756, a 61 times range. Across the whole reporting group the range is $35,793 to $13,345,979. Territory size sets the ceiling; everything under it is operating.
- The filing gives no profit figure. The filing reports sales and not earnings, so what an owner keeps is not disclosed.
- The filing breaks out no cost lines. Wages, rent and cost of goods are not broken out, so margin cannot be rebuilt from the document.
Questions worth putting to Mr. Electric
These are questions the Mr. Electric filing leaves open. An owner or a buyer can put them to Mr. Electric directly.
- What do locations at the median spend on wages and rent as a share of sales? The filing reports sales only.
- Which factors does Mr. Electric see in its highest-selling locations, such as trade area, years open and size?
- 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. Electric 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. Checks whether you are ready to open another one. It is free and it runs in your browser.
Launch the diagnostic →What is your effective license rate this month?
We review your unit economics and cash forecast and build your reporting around revenue per head of territory, the license minimum against the 6% rate. The crossover point your own sales are sitting either side of.
Talk to Averanthe franchise library, all 447 brands · how franchise unit economics work · running the books across several locations · what Averan does for franchise owners
Mr. Electric reads against the rest of the mechanical trades group: Aire Serv · Benjamin Franklin Plumbing · Mister Sparky · Mr. Rooter · One Hour Heating & Air Conditioning · Plumbing Paramedics. The mechanical trades guide compares all of them on the same figures.
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.
- My payroll percentage keeps climbing. Is that a payroll problem?It shows how to tell whether payroll is rising or revenue is falling.
- What should I be looking at every week?It lists the handful of numbers that move before the P&L does.
- Do I need a bookkeeper, a controller, or a CFO?It explains what each role owns and when the next hire pays for itself.
Where these figures come from.
Every figure here comes from Mr. Electric 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. Electric® is a registered 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. Electric SPV LLC, 2026 Franchise Disclosure Document, issued 1 April 2026.