How much profit franchise owner makes varies widely by brand, industry, location, and management, but for restoration franchises like Servpro, PuroClean, and 1-800 WATER DAMAGE, profits can be substantial if well-run. For Servpro franchise, which is largest restoration franchise, average franchise revenue is about 1.5 to 2.5 million dollars per year per location, with profit margins 15 to 25 percent after royalties, labor, equipment, and marketing, so owner profit may be 200,000 to 600,000 dollars per year, with top performing franchises making over 1 million profit. For PuroClean franchise, average revenue is around 800,000 to 1.5 million per year, with profit 100,000 to 300,000 after expenses. For smaller franchises like Mosquito Joe, revenue 400,000 to 800,000 with profit 50,000 to 150,000. Profit depends on number of jobs, average job size 3,000 to 8,000 dollars for water damage, ability to get emergency calls and insurance referrals, overhead, and royalties typically 5 to 10 percent. Franchise owner profit is not guaranteed, many new franchises lose money first year due to startup costs of 100,000 to 250,000 for equipment and licensing. Well-established franchises with strong local reputation and 24 hour service make more. So profit ranges from 50,000 for small to over 1 million for large top performers.
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