American Leak Detection

Founded: 1974 Franchising since: 1984
When Richard and Lorrie Rennick founded American Leak Detection in Palm Springs, California, in 1974, they limited business to detecting pool, spa and slab leaks in the Southern California area. Since that time, the company has expanded beyond its desert roots-American Leak Detection now operates locations across the United States and around the world. Today, in addition to the pool, spa and slab work, American Leak Detection franchisees perform sewer- and utility-line locating; oil, gas and natural gas leak detection; crack injection; and various other related services.

888 Research Dr., #100 Palm Springs, California 92262

Phone: (800)755-6697/ (760)320-9991 Franchisee Association American Leak Detection Advisory Council (ALDAC)

Franchisor has 34 employee(s); 1 employee(s) in franchise department.

Franchise Growth

Year	U.S. Franchises	Canadian Franchises	Foreign Franchises	Company Owned
2009	304	6	28	4
2008	299	7	28	11
2007	297	8	29	8
2006	298	8	37	6
2005	243	8	70	6

Where Seeking Franchisees
In the U.S. Alaska, Alabama, Arkansas, Arizona, California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Iowa, Idaho, Illinois, Indiana, Kansas, Kentucky, Louisiana, Massachusetts, Maryland, Maine, Michigan, Minnesota, Missouri, Mississippi, Montana, Nebraska, North carolina, North dakota, New hampshire, New jersey, New mexico, Nevada, New york, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode island, South carolina, South dakota, Tennessee, Texas, Utah, Virginia, Vermont, Washington, Wisconsin, West virginia, Wyoming
Worldwide

Exclusive territories available.
Territory size: 350,000 population, 5,000 in-ground swimming pools

Special Programs
American Leak Detection supports Guide Dogs of the Desert, a program in Palm Springs that provides training to guide dogs and their human companions.

Total investment: $83.3K-233.5K Franchise fee: $29.5K-80K

Ongoing royalty fee: 6-10% Term of agreement: 10 years, renewable

Type of Financing Available

	In-House	Third Party
Franchise Fee	No	Yes
Startup Costs	No	Yes
Equipment	No	Yes
Inventory	No	No
Accounts Receivable	No	No
Payroll	No	No

Qualifications
Net worth requirement: $200K
Cash liquidity requirement: $70K
Business Experience:

• General business experience
• Marketing skills

Operations

• Franchise can be run from home
• 7% of all franchisees own more than one unit
• Number of employees needed to run franchised unit: 2 - 3
• Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators)

Training

• Available at headquarters: 6-12 weeks
• At franchisee's location: 1 week
• Annual convention : 4 days

Ongoing Support

• Newsletter
• Meetings
• Toll-free phone line
• Internet
• Security/safety procedures
• Field operations/evaluations

Marketing Support

• Ad slicks
• Regional advertising

Other marketing support

• Regional advertising matching funds program

Franchise 500® rank:
#171 (2009); #181 (2008); #115 (2007); #192 (2006); #149 (2005);

Ranked #1 in category in:
2009; 2008; 2007; 2006; 2005;

Fastest-Growing Franchises:
#72 (2007);

Top Home Based Franchises:
#41 (2009); #39 (2008); #32 (2007); #52 (2006); #31 (2005);

America's Top Global Franchises:
#133 (2009); #170 (2008); #102 (2007); #138 (2006); #163 (2005);