Complete investment analysis based on official FDD data
Total Investment
$4,250 – $134,480
Franchise Fee
$2,500
Royalty Rate
15.0%
The total initial investment to open a OpenWorks franchise ranges from $4,250 to $134,480, as disclosed in their Franchise Disclosure Document. This includes the one-time franchise fee of $2,500.
Midpoint estimate: $69,365
$2,500
One-time initial fee
The OpenWorks franchise fee is a one-time upfront payment made to the franchisor when you sign the franchise agreement. This fee grants you the right to operate under the OpenWorks brand and is included in the total initial investment range above.
Royalty Fee
15.0%
of gross revenue
Ad/Marketing Fund
2.5%
of gross revenue
Total Ongoing Fee Burden: 17.5% of gross revenue
Combined royalty and advertising fund contributions before any other fees.
| Fee Type | Rate | Type | Notes |
|---|---|---|---|
| Royalties | 15.0 | PCT | Paid to OpenWorks as part of its billing and collection services. Subject to a minimum of $300 monthly royalty fee. Gross Revenue is the total amount paid by all customers for your services within an accounting period with no reduction for taxes or any other purpose. |
| Advertising Fund Fee | 2.5 | PCT | Up to 3% of Gross Revenue, currently 2.5% is collected. Deducted from funds OpenWorks remits to you. |
| Technology and Innovation Fee | 0.5 | PCT | Up to 2% of Gross Revenue, currently 0.5% is collected. OpenWorks reserves the right to increase fees at any time by providing 30 days advanced written notice or by amending the Manual. |
| Marketing Fees | N/A | VARIABLE | Upon contracting for additional account unless financed. OpenWorks reserves the right to increase marketing fees at any time by providing 30 days advanced written notice or by amending the Manual. |
| Background Check Fee | 80.0 | FIXED | Currently up to $80 per background check for each owner. Due prior to signing Franchise Agreement and thereafter upon request. OpenWorks will verify credit and perform background check again if requested by a client. |
| Special Project Fee | N/A | VARIABLE | 0%, 15%, or 30% of Gross Revenue from job. Due upon payment of revenue to Franchisee. Percentage depends on whether you or OpenWorks obtained and/or priced the job. Applies to non-recurring jobs like carpet cleaning. 0% if franchisee obtains and prices; 15% if one party obtains and other prices; 30% if OpenWorks obtains and prices. |
| Initial Training Fee | 250.0 | FIXED | $250 per group upon registration for training. No charge for first group trained before you begin business. |
| Continuing Training Classes | N/A | VARIABLE | $0 to $150 per class or platform due at beginning of class. Classes may be optional or mandatory, at OpenWorks' discretion. |
| Cancellation Charge | 50.0 | FIXED | $50 upon missing appointment. For any training class, inspection or appointment with OpenWorks or a customer, including any cleaning, that you schedule and fail to attend. |
| Renewal Fee | 2500.0 | FIXED | $2,500 upon signing of new Franchise Agreement. Paid to OpenWorks. |
| Account Transfer Fee | 50.0 | FIXED | $50 per Account upon approval of transfer by OpenWorks. Applies to transfer of one or more, but less than substantially all, of your Accounts. |
| Franchise Transfer Fee | N/A | VARIABLE | $1,000 to $2,500 before transfer. $1,000 for transfer of a partial interest to an existing co-owner unless the co-owner will have a controlling interest and has not completed training; $2,500 transfer fee of more than 50% or greater ownership to a new owner. |
| Document Preparation Fee | 250.0 | FIXED | $250 upon request for preparation. Payable only if you request the preparation of customized documents for marketing or other purposes. |
| Unauthorized Marketing Fee | 200.0 | FIXED | $200 upon discovery and request. If you use any unauthorized marketing materials, OpenWorks may impose a fee of $200 per violation, which may continue to be imposed on a monthly basis if the violation continues. |
| Trouble Call Fee | 50.0 | FIXED | $50 per occurrence upon discovery of the need. Compensates OpenWorks for investigating and fixing customer complaint; current charge of $50 is subject to change. |
| Insurance | 3.6 | PCT | Currently 3.6% of Gross Revenue (subject to change upon notice). Payable if you choose to enroll in OpenWorks' insurance program or fail to maintain required insurance and OpenWorks enrolls you in its insurance program. Not available in New York. |
| Workers' Compensation Insurance | N/A | VARIABLE | This fee is payable only if you do not carry your own Workers' Compensation Insurance and you are enrolled in OpenWorks' insurance program. Not available in New York. |
| Supplier Evaluation | N/A | VARIABLE | Estimated to range from $100 to $5,000. Upon demand. If you request evaluation of a new supplier, you must reimburse OpenWorks' expenses for inspections, investigations and testing. |
| Customer Charges | 500.0 | FIXED | Amount customer charges plus $500/day upon demand. Payable only if customer keys and codes are not turned over to OpenWorks immediately when you are removed from or discontinue services to a customer for any reason. |
| Indemnification | N/A | VARIABLE | As incurred. Covers claims and liabilities incurred by OpenWorks relating to your operation of your business. |
| Audit Costs | N/A | VARIABLE | Estimated $100 to $5,000 upon demand. Payable if OpenWorks must obtain an audit due to Franchisee's deficiencies. For example, if you do not report all your Gross Revenue to OpenWorks. |
| Attorneys' Fees | N/A | VARIABLE | As incurred. Attorneys' fees and costs for enforcing your agreements. |
| Interest on Unreimbursed Advances | 12.0 | PCT | 12% per year beginning on the 91st day after an advance is not repaid. Payable on amounts OpenWorks advances to you before your customers pay, if your customers don't pay and you don't reimburse OpenWorks within 90 days. |
| Interest on Late Payments | 21.0 | PCT | Lesser of 21% per year or highest rate allowed by law. Upon demand. |
| Lost Document Fee | 25.0 | FIXED | $25 per replacement copy upon request. Payable if you request a replacement of any damaged, lost or otherwise misplaced document relating to the franchise relationship. |
Category
Cleaning
Franchise Score
out of 100
OpenWorks offers commercial cleaning, janitorial services, and facility maintenance solutions for office buildings and commercial properties. The franchise combines technology and professional service teams to deliver efficient and effective facility cleanliness.
Avg. Annual Closure Rate
24.8%
Elevated risk — above industry average
Net Unit Growth
-312 units
From 2022 to 2024
| Year | Start | Opened | Closed | Transfers | End |
|---|---|---|---|---|---|
| 2022 | 726 | +59 | -123 | — | 654 |
| 2023 | 654 | +65 | -102 | — | 615 |
| 2024 | 615 | +56 | -257 | — | 414 |
Based on the FDD data, here is a data-driven snapshot of the OpenWorks franchise opportunity:
Overall Score
28/100
Higher risk
Est. Payback Period
N/A
Insufficient data
Risk Level
High
24.8% annual closure rate
OpenWorks has a lower score across our evaluation criteria, suggesting higher risk. Thorough research and professional guidance are strongly recommended. For a complete analysis including risk factors, deal-breaker flags, and detailed financial modeling, see the full report.
Get the full OpenWorks franchise intelligence report with risk analysis, deal-breaker alerts, and detailed financial projections.
View Full OpenWorks Report →Investment: $104,300 – $179,750
Royalty: 7.0%
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Investment: $42,037 – $118,768
Royalty: 10.0%
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Investment: $164,961 – $472,556
Royalty: 5.0%
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Investment: $70,000 – $133,000
Royalty: 9.0%
Median Revenue: $1,934,748
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Investment: $130,000 – $421,500
Royalty: 4.0%
Median Revenue: $10,057,333
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