City Wide Facility Solutions

Item 7 outlines an initial investment of $226,784 to $393,084, including a $70,000 franchise fee, covering territory acquisition, training in Lenexa, KS headquarters, and startup marketing. Ongoing fees stack up: 5% royalty, 1% ad fund, plus $1,500 monthly accounting, $3,500 business development, roughly $1,864 technology, and $120/user IT (est. $360-$720 for 3-6 users)—potentially 10%+ of revenue in total outflows. No Item 19 disclosure means no official AUV or profit figures, forcing buyers to probe Item 20's system health: 98 locations (up 3% from 95 in 2023), just 1 projected new unit, and 5 transfers amid one litigation over contract renewal. This B2B model's subcontractor leverage could yield high margins if client retention clicks, but lean expansion hints at market saturation risks.

SBA records reveal 34 loans averaging $212,018, suggesting accessible financing for qualified operators, though average size implies mid-tier startups. Growth from 2001 origins shows resilience, serving diverse commercial verticals without direct labor headaches. Buyers eyeing $300K+ commitments must weigh the fees' bite against territory potential—strong for urban density, tougher in sparse areas—making vendor network strength and local demand validation critical before signing.