Signing out of account, Standby...
- 2022 Franchise 500 Rank
N/R Not ranked last year
- Initial investment
$40K - $72K
- Units as of 2020
Here’s what you need to know if you’re interested in opening a CAP Solutions franchise.
CAP Solutions started in 2008 as a mobile detailing business. It didn’t take long before the franchise added commercial cleaning services due to customer demand. Since beginning to franchise in 2015, CAP Solutions has offered detailing management services for automotive dealerships and commercial services throughout the United States.
CAP Solutions focuses on helping people venture into businesses and become successful by offering them financial assistance.
CAP Solutions is headquartered in Milford, Connecticut. There are several franchises throughout the United States. New franchisees in the United States may be expected to buy multiple franchise units.
Why You Might Want to Start a CAP Solutions Franchise
CAP Solutions has a growing network of lenders, which gives it access to the Small Business Administration. With this, CAP Solutions can provide conventional equipment loans for both upcoming and existing businesses to help them cover their financial needs. If you believe in transparency, innovation, reliability, and are passionate about assisting other businesses grow, becoming a CAP Solutions franchisee may be a good move for you.
Opening a CAP Solutions franchise could offer a more predictable outcome than investing in a completely new brand that may struggle to thrive in an already crowded and competitive industry.
What Might Make a CAP Solutions Franchise a Good Choice?
The main pillars of CAP Solutions are security and reliability. CAP Solutions believes in being straightforward. It prides itself on refusing to compromise on standards—it aims to keep the bar high at all times. Apart from the additional external regulations, CAP Solutions believes it protects its customers’ data in the best way possible.
To be part of the CAP Solutions team, you should make sure you’re financially ready for an initial investment made up of a franchise fee and other startup costs. In addition, you should prepare yourself for ongoing fees that will include advertising, royalty, and potential renewal fees. Franchisees will also need to meet the company’s set net worth and liquid capital requirements.
How to Open a CAP Solutions Franchise
The process of opening a CAP Solutions franchise may be fairly straightforward. A typical franchise agreement runs for 10 years. Franchisees may be allowed to renew their agreement if they meet the CAP Solutions requirements.
However, before making any financial commitment or signing an agreement, make sure this is the right opportunity for you. As part of your due diligence, speak to existing franchisees and ask questions about the CAP Solutions franchising team.
If awarded a CAP Solutions franchise, franchisees may receive support from the CAP Solutions franchise brand throughout the franchising process. This may include support with brand awareness, marketing, research, and construction. They also could receive hands-on training and continued support after their franchise location has opened. CAP Solutions believes that an exceptional customer experience starts with you.
It may be a good idea to speak with a financial advisor or attorney to ensure that you have the necessary financial resources to own and operate a CAP Solutions franchise.
About CAP Solutions
- Franchising Since
- 2015 (7 years)
- # of employees at HQ
- Where seeking
This company is seeking new franchisees throughout the US.
- # of Units
- 4 (as of 2020)
Information for Franchisees
Here’s what you need to know if you’re interested in opening a CAP Solutions franchise.
Financial Requirements & Ongoing Fees
Here’s what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.
- Initial Franchise Fee
Definition: The initial fee paid to a franchisor to join their system
What you need to know: Found in Item 5 of the FDD, this may be a flat fee, or may vary based on territory size, experience, or other factors.The franchise fee is an up-front (one-time) cost that a new franchisee pays to the franchisor. This fee is usually due at the signing of the franchise agreement and covers the right to use the franchisor's trademarks, name, and related business systems.
- Initial Investment
- $39,900 - $72,200
Definition: The total amount necessary to begin operation of the franchise
What you need to know: The initial investment includes the franchise fee, along with other startup expenses such as real estate, equipment, supplies, business licenses, and working capital. This is outlined in a chart in Item 7 of the FDD, showing a range of possible costs from low to high.
- Net Worth Requirement
- $10,000 - $100,000
Definition: The minimum net worth you must have in order to qualify to become a franchisee of this company
What you need to know: Net worth is the value of a person's assets minus liabilities. Assets include cash, stocks, retirement accounts, and real estate. Liabilities include items like mortgages, car payments, and credit card debt.
- Cash Requirement
- $5,000 - $50,000
Definition: The minimum liquid capital you must have available in order to qualify to become a franchisee of this company.
- Royalty Fee
Definition: A ongoing fee paid to the franchisor on a regular basis.
What you need to know: Most franchisors require franchisees to pay an ongoing royalty fee, which is detailed in Item 6 of the FDD. This fee is typically a percentage of weekly or monthly gross sales, but may also be a flat weekly, monthly, or annual fee.
- Ad Royalty Fee
Definition: An going fee paid to the franchisor on a regular basis to support advertising or marketing efforts.
What you need to know: This may also be called advertising fee, marketing fee, brand fund fee, and more, but the basic purpose is the same-- to support promotion of the brand systemwide. As with the royalty fee, it is detailed in Item 6 of the FDD, and can be a percentage of weekly or monthly gross sales or a weekly, monthly, or annual fee.
- Term of Agreement
- 10 years
Definition: The length of time your franchise agreement will last.
What you need to know: Franchise terms are typically anywhere from 5 to 20 years in length, but are sometimes instead dependent on factors such as the term of your lease. Once your term is up, you may have the option to renew your agreement, typically for a smaller fee than the original franchise fee.
- Is franchise term renewable?
Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.
- In-House Financing
- CAP Solutions offers in-house financing to cover the following: franchise fee
Training & Support Offered
Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.
- On-The-Job Training
- 30 hours
- Classroom Training
- 20 hours
- Ongoing Support
Purchasing Co-opsMeetings & ConventionsToll-Free LineGrand OpeningOnline SupportSecurity & Safety ProceduresField OperationsProprietary Software
- Marketing Support
Co-op AdvertisingSocial MediaWebsite DevelopmentEmail MarketingLoyalty Program/App
Additional details about running this franchise.
- Is absentee ownership allowed?
Definition: Absentee ownership means that the franchisee does not actively work in the franchise business or manage day-to-day operations.
- Can this franchise be run from home/mobile unit?
Definition: The business can be run from your home and/or a vehicle, and it is not necessary to have a retail facility, office space, or warehouse.
- Can this franchise be run part time?
Definition: This business can be run by the owner on a part-time basis (less than 40 hours per week) and/or as a side business; it is not necessary for the business to be open/run full-time.
- # of employees required to run
- Are exclusive territories available?
Definition: An exclusive territory is a fixed area in which you are given the right to operate and in which no other units of the same franchise may be opened.
What you need to know: Territory size may be based on factors such as radius, population size, zip codes, and more. Details can be found in Item 12 of the FDD.
Are you eager to see what else is out there? Browse more franchises that are similar to CAP Solutions.
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