About Ace Handyman Services
Liquid Capital: $75,000
Net Worth Requirement: $200,000
Franchise Fees: $70,000
Royalty: 6%
Training and Support: Available
Home Office: Lakewood, CO
CEO: Andy Bell
Investement Range $131,077 - $220,297
Ace Handyman Franchise: Join the Top Handyman Business Opportunity Backed by Ace Hardware
Overview of Ace Handyman Services Franchise
In 2019, Ace Handyman joined the Ace Hardware family, a well-known industry leader in home improvement. Ace Handyman offers leading systems, support, and expertise to aid its franchisees in providing quality services to customers. They are part of an industry estimated at over $400 billion, indicating limitless potential. Since 1998, Ace Handyman Franchise has rapidly grown reaching 379 territories in 2024.
Business Model and Support for Ace Handyman Services Franchise
Why Choose an Ace Handyman Franchise?
- Strong Industry Presence: Part of the home improvement, repair, and renovation industry, valued at over $400 billion.
- Proven Business Model: Operating since 1998 and now under the ownership of Ace Hardware since 2019, ensuring stability and brand strength.
- Support and Growth: Offers significant franchisor support including marketing and operational guidance, with 379 current territories showing strong growth potential.
Ace Handyman Franchise Cost and Financial Requirements
Initial Fees for Ace Handyman Services Franchise
- Standard Franchise: $70,000 for territories up to 70,000 households, with an additional $1.00 per household for territories up to 100,000.
- Mini Franchise: $35,000 for territories up to 35,000 households, with an additional $1.00 per household for territories up to 45,000.
How much is an Ace Handyman Franchise?
Estimated Initial Investment for Ace Handyman Services Franchise Cost
| Type of Expenditure | Low | High |
|---|---|---|
| Initial Franchise Fee | $70,000 | $100,000 |
| Travel and living expense while training | $3,500 | $6,000 |
| Lease Deposit | $1,000 | $3,000 |
| Rent for first 3 months | $3,000 | $4,500 |
| Leasehold Improvements and Signage | $800 | $5,000 |
| Furnishings | $800 | $5,000 |
| Tools and equipment | $0 | $3,500 |
| Truck or Van | $0 | $6,000 |
| Computer Hardware and Office Equipment | $2,250 | $5,000 |
| Software and Internet Fees (3 months) | $1,497 | $1,497 |
| Initial Marketing Spend | $11,000 | $16,000 |
| Utility deposits and fees | $100 | $700 |
| Licenses and permits | $630 | $3,500 |
| Insurance | $4,000 | $5,100 |
| Professional fees | $500 | $6,000 |
| Miscellaneous opening costs | $2,000 | $4,500 |
| Additional Funds (3 months) | $30,000 | $45,000 |
| TOTAL | $131,077 | $220,297 |
Franchise Fees Table
| Fee Type | Details |
|---|---|
| Royalty Fee | 6% of your actual Gross Revenues of the previous month, subject to annual reconciliation based on your Minimum Annual Gross Revenues requirements |
| National Brand Fee | 2% of your actual Gross Revenues, subject to annual reconciliation based on your Minimum Annual Gross Revenues requirements |
| Software and Internet Fees | Currently $499 per month, but may be changed by us upon 30 days’ notice |
| Minimum Individual Marketing Expenditure | For a Mini AHS Business, the minimum expenditures are $15,000 from your third full month through the end of first year of operations, $20,000 in your second year of operations, and $25,000 for each subsequent year |
| Meeting and Convention Fees | -0- If you do not attend: $1,500 per meeting If you attend but do not stay at the designated hotel or do not stay for the entire meeting or convention: $750 per meeting |
| Transfer Fee | $10,000. There is no Transfer Fee for a transfer to a business entity wholly owned by franchisee, and the Transfer Fee is reduced to $3,500 for transfers to a family member |
| Audit Fee | Cost of audit |
| Returned Electronic Funds Transfer Fee | $100 |
| Successor Franchise (Renewal) Fee | $5,500 |
| Supplier Approval | Currently none. However, we reserve the right to charge a fee in the future |
| Additional training | Our then current rate. The current rate as of the date of this Disclosure Document is $55 per hour per person plus out-of-pocket expenses |
| Interest and late fees on late payments and/or reports | Not to exceed 18% per annum on all amounts owed. Also, $75 per occurrence per late report or fee |
| Costs and Attorneys’ Fees | Will vary under circumstances |
| Indemnification | Will vary under circumstances |
- Standard Franchise: Estimated between $131,077 and $220,297.
- Mini Franchise: Estimated between $96,077 and $165,297.
- Includes lease deposits, equipment purchases, initial marketing, training expenses, software fees, and professional services.
Training Provided: The initial training program for new franchisees of Ace Handyman Services (AHS) is comprehensive, aiming to equip franchisees with the knowledge and skills needed for successful operations. The program begins with a 10-12 week onboarding study period, which covers crucial pre-opening tasks such as business establishment, licensing, and setting up key vendors and office space. Following the onboarding, franchisees participate in a 20-29 hour initial business training program. This training, typically conducted over three business days, takes place at AHS’s Support Center in Denver, Colorado, or virtually via video conference. The curriculum includes a variety of subjects like the history and mission of AHS, franchisor-franchisee relations, startup and daily operations, customer service, employee hiring and retention, technology tools, and marketing.
On-site training is another critical component, provided within the first 90 days of operations. This training, conducted at the franchisee’s business location, spans 18-24 hours over two to three business days. It covers practical aspects such as office organization, use of technology tools, daily operations best practices, and role-playing critical tasks to ensure smooth business operations.
Additional training is also available if needed, based on the franchisee’s performance and requirements. This includes seminars, conventions, and continuous development programs. These sessions aim to keep franchisees updated on the latest best practices and industry developments. Attendance at certain mandatory seminars and conventions is required, with non-attendance resulting in penalties.
Overall, the training program is designed to ensure that franchisees are well-prepared to manage their business effectively, providing them with ongoing support and education to adapt to changing market conditions .
Ongoing Operational Costs for Ace Handyman Franchise
Regular Fees for Ace Handyman Services Franchise
- Royalty Fee: 6% of monthly gross revenues, adjusted annually based on revenue thresholds.
- National Brand Fee: 2% of monthly gross revenues.
- Software and Internet Fees: $499 per month.
Who is Ideal for an Ace Handyman Services Franchise?
Ace Handyman Franchising seeks motivated entrepreneurs who are passionate about starting and growing their own business in the home improvement sector. Ideal candidates should:
- Follow Proven Models: Willing to adhere to the proven business model while being enthusiastic about entrepreneurship.
- Decision-Makers: Capable of making informed decisions and driving results, demonstrating a strong commitment to operational excellence.
- Team Leaders: Excited to lead a team of employees, showing strong leadership and the ability to inspire and motivate.
- Challenge Seekers: Ready to tackle challenges head-on, with a mindset geared towards continuous improvement and problem-solving.
- Customer-Centric: Focused on providing outstanding customer service and ensuring an exceptional customer journey.
Searching for more information? Download the 2024 Ace Handyman FDD below.
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This web page does not constitute a franchise offering or an offer to sell a franchise. A franchise offering can be made by the franchise only in a state if first registered, excluded, exempted or otherwise qualified to offer franchises in that state, and only if provided with an appropriate franchise disclosure document.
