ZIPS DRY CLEANERS

ZIPS DRY CLEANERS

ZIPS Dry Cleaners franchises operate garment care businesses offering dry cleaning and laundry services through a proprietary system featuring competitive flat-rate pricing, same-day service, efficient integrated production processes, and standardized layouts in Plant Facilities (with on-site processing) or Drop Facilities (satellite drop-off points). Franchisees develop and operate outlets under the ZIPS brand, adhering to strict operational manuals, training, and specifications to ensure consistency. The business model targets busy consumers seeking convenient, affordable garment care in high-traffic locations like in-line malls or freestanding buildings on major thoroughfares.

52
Locations
$868Kโ€“$1287K
Investment
Since 2006
Franchising
Download FDD
ServicesSavage, MDValue Drycleaners of America, LLCwww.321zips.comDisclaimer

Franchise Costs


Franchise Fee
$40,000
Item 5 of FDD
Initial Investment Range
$867,700 โ€“ $1,287,000
Low: $867,700High: $1,287,000
Item 7 of FDD
Royalty Rate
6.00%
of gross sales
Brand Fund
2.00%
Item 6 of FDD
Fixed Monthly Fees
$550 โ€“ $550
Item 6 of FDD

6% royalty + 2% national marketing fund (up to 4%) + $550/mo ZIPSsoft software fee

Financial Performance


Item 19 Financial Performance

Average Gross Revenue
$949,657.65
Average Net Profit
$331,356.44
Average Gross Profit
$848,066.28

Data Based On: Data for 31 franchised Plant Stores and 12 franchised Drop Stores (total 43 units) operated by franchisees during the period January 1, 2025 to December 31, 2025.

* Weighted average gross revenue, gross profit, and net profit (Income Before General and Administrative Expenses) are calculated from the average values of 31 Plant Stores and 12 Drop Stores. The combined best guess profit low and high are the minimum and maximum of the respective low and high values across both store types. Median gross revenue is not provided as a weighted average since a true median cannot be accurately calculated from aggregated medians.

Extracted Item 19 Section

Avg. Revenue: $949,658

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How ZIPS DRY CLEANERS Compares

Key Insights

  • Higher investment than 99% of Cleaning Services franchises
  • Lower than average SBA loan default rate in Cleaning Services
FranchiseInvestmentFeeRoyaltyLocations
ZIPS DRY CLEANERS
Current
$868K โ€“ $1.3M$40K6.0%52
VCS BUSINESS$14K โ€“ $37K$5K6.0%1,914
THE MAIDS$82K โ€“ $160K$57K6.9%1,517
Chem-Dry$119K โ€“ $265K$36K7.0%1,099
MERRY MAIDS$127K โ€“ $170K$55K7.0%802
OpenWorks$4K โ€“ $134K$25K15.0%615
Cleaning Services Average
75 franchises
$184K โ€“ $376K$46K7.2%โ€“

* Comparison based on latest FDD filings. Investment ranges from Item 7, fees from Item 5. Showing top 5 of 75 Cleaning Services franchises by location count.

SBA Loan History


Historical SBA 7(a) loan data for ZIPS DRY CLEANERS franchisees (2010 โ€“ 2025)

Total Loans
25
Average Loan
$697,892
Total Volume
$17.4M
Default Rate
8.0%

Loans by Year

SBA 7(a) loan activity over time

* Data sourced from SBA 7(a) FOIA loan records. Default rate calculated from charged-off loans.

25 SBA loans on record

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Franchisee Contacts


54 franchisee contacts on file from official FDD filings.

54 Contacts Available

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Due Diligence


Litigation (Item 3)

Franchisee Cases0
No litigation involving franchisees reported

Bankruptcy (Item 4)

Bankruptcy HistoryNo
No bankruptcy history reported

System Health (Item 20)

Franchise system changes reported in the most recent fiscal year

Terminations
2
Non-Renewals
0
Reacquired
0
Ceased Ops
20
Transfers
2
Sold to Franchisees
2
Projected New
3

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Frequently Asked Questions


The total initial investment to open a ZIPS DRY CLEANERS franchise ranges from $867,700 to $1,287,000. This includes a franchise fee of $40,000. Ongoing royalty fees are 6.0% of gross sales.

Download ZIPS DRY CLEANERS FDD

Complete Franchise Disclosure Document โ€” 2026 filing.

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