Mister Sparky Franchise FDD, Costs & Fees (2024)

KEY FRANCHISE STATS

All you need to know about this franchise in a snapshot

Initial franchise fee
$33,000
Investment required
$74,000 - $264,000
Royalty fee
6.00%

Mister Sparky® Electric: A Journey of Innovation and Excellence

Founded by Jon Sabo in 2012 as "Roof Roof," Mister Sparky® Electric underwent a significant transformation following its acquisition by Horse Power Brands in August 2020. This pivotal moment marked the company's entry into the franchising world, ushering in a new chapter of growth and expansion. Based in Omaha, Nebraska, Mister Sparky has established itself as a leading provider in the electrical services industry, offering a comprehensive suite of services such as roof repair, replacement, gutters, siding, windows, skylights, and storm damage repair.

What sets Mister Sparky apart is its use of cutting-edge drone technology and an unwavering commitment to delivering top-notch service, customized to the specific needs of each customer.

The franchise model of Mister Sparky is designed to be turnkey, cost-effective, and capable of delivering high returns, making it a compelling option for aspiring entrepreneurs. With extensive training, continuous marketing, and sales support, franchisees are equipped with the tools and knowledge needed to thrive in the competitive home improvement sector.

Initial investment

Here's what you would need to invest if you were to start this franchise. These costs are provided by the franchisor in the Franchise Disclosure Document.

Mister Sparky offers 2 types of franchises:

Type Minimum Investment Maximum Investment
Conversion (Converting existing store to a Mister Sparky Shop) $73,992 $188,476
Start-Up Shop $121,330 $264,400

We are summarizing below the main costs associated with opening a Start-Up Mister Sparky franchise.

For more information on the various types of franchises and its costs, refer to the Franchise Disclosure Document (Item 7).

Type of Expenditure Amount
Franchise Fee $33,000
Rent/Lease of Real Estate $3,000 - $9,000
Leasehold Improvements $1,000 - $4,000
Computer Systems $800 - $3,000
Software $3,230 - $5,000
Office Furniture and Equipment $1,500 - $4,000
Machinery, Tools and Equipment $3,000 - $10,000
Vehicles $8,000 - $15,000
Vehicle Upfitting $0 - $5,000
Signage for Vehicles $0 - $8,000
Office Signage $1,000 - $5,000
Travel Expenses for Initial Training $2,500 - $5,000
Initial Vehicle Inventory $2,500 - $8,000
Insurance $4,000 - $8,000
Start-up Supplies $2,500 - $5,000
Professional Fees and Licensing $4,500 - $20,000
Vehicle Registration Fees $2,200 - $4,400
Decals for Consumer Units $300 - $500
Telephone Services $300 - $500
Personal Tools for Technicians $1,000 - $3,000
Full Time General Manager / Operations Manager $0 - $25,000
Initial Marketing Funds $12,000 - $24,000
Additional Funds (3 months) $35,000 - $60,000
TOTALS $121,330 - $264,400

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Number of units

2024
Franchised units

115

138

163

Company-owned units

7

7

6

Total units

122

145

169

Franchise Disclosure Document

Training 

Initial Training
Franchisees and selected employees are required to participate in a pre-opening training program, organized by the franchisor at designated times and locations. The duration and content of this training can vary depending on the trainee’s previous experience. Completion of this program may involve passing tests to demonstrate proficiency in areas specified by the franchisor. The franchisor reserves the right to terminate the franchise agreement if any participant is deemed not to possess the necessary skills during this pre-opening training.

Additional Training
Post-opening, the franchisor will offer both required and optional training programs as needed. These sessions will be held at times and locations determined by the franchisor, and successful completion is mandatory for those identified as necessary.

Training Methods
Training may be conducted in various formats, including in-person sessions, video instruction, online courses, or other methods as decided by the franchisor. These sessions may be led by the franchisor, its affiliates, or third-party providers.

Training Fees
The franchisor may impose fees for training additional participants beyond the maximum number specified for a program, for remedial training required due to non-compliance with brand standards, for re-training individuals, or for optional training programs.

Territory Protection

The franchisor provides a form of territory protection, which is non-exclusive. As long as the franchise agreement remains in effect and the franchisee is not in default beyond any cure period, the franchisor agrees not to operate or authorize others to operate businesses under the same trademarks and system within the franchisee’s designated territory. 

However, this protection does not extend to prohibiting the franchisor from advertising or recruiting employees or independent contractors within the franchisee’s territory.

Franchisees should understand that they may still encounter competition from other franchisees, franchisor-owned outlets, or other distribution channels or competing brands managed by the franchisor. The territory is generally determined based on population blocks of around 200,000 individuals, defined by postal zip codes, and subject to the franchisor’s approval.

Although territorial protection is provided, the franchisor and its affiliates retain certain rights not specifically granted to the franchisee. These rights include the ability to establish, operate, franchise, and license others to operate businesses under the same trademarks outside the franchisee’s territory.

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