Why a Home Services Franchise Is Perfect for First-Time Franchisees

For those who are going into franchising for the very first time, choosing an industry is a good place to start. But with so many categories to pick from, it can be tough to narrow it down. 

One great choice for first-timers is the home services industry. In 2022, the market for these essential businesses rose to a new high of $657 billion. With a recession-resistant nature, low startup costs, strong support systems and plenty of brands to consider, this industry is a golden opportunity for newcomers. 

The Staying Power

Unlike many things today, home services can’t be ordered online or dropped off on a doorstep. 

“Service is good for first-time franchisees because, if you pick one that’s higher in demand, it can be ‘recession-resistant,’” said Rodney Washington, owner of United Water Restoration Group in Missouri City, Texas. “We’re going toward a world where service is going to be a critical part of our day-to-day lives. With AI and technology, as other types of jobs may begin to phase out, you’re always going to have the service industry.” 

The home services industry proved how essential it was during the COVID-19 pandemic when businesses in the sector boomed despite tremendous uncertainty and economic difficulties. In fact, consumer spending in the category started growing faster than pre-pandemic levels by the end of 2020, according to a report from Jobber. And in many cases, home service businesses experienced back-to-back, record-breaking years during the pandemic.

“The industry has some staying power,” added Washington. “I think longevity is there if you have a good foundation in your area. If you're able to get that traction, I think you'll do really well.” 

Lower Startup Costs

Service franchises often require a lower investment due to low overhead costs and a need for less employees. In some cases, startup costs can even start as low as $50,000, or less. For first-time franchise owners who are looking to build a business, low overhead costs can provide more wiggle room when it comes to finances. Instead of draining savings up front, franchisees can save while they continue to grow their client base. 

For example, JAN-PRO Cleaning & Disinfecting has a range of options designed to fit different financial needs and goals. Franchise development plans start as low as $1,250 and go up to $50,000.  

Limited Strong Competition

Most of the competition in the home services space is made up of mom-and-pop companies. This gives service franchises an edge due to more sophisticated resources, particularly when it comes to marketing. First-time franchisees have the opportunity to stand out and gain market share with their brand consistency and structure, which homeowners will appreciate. 

Strong Support Opportunities

Though it's not a guarantee everywhere, it is common for service franchises to provide strong, hands-on support to their franchisees. For example, Joshua Tree Experts, the emerging Pennsylvania-based service brand (known for its reliable tree care maintenance, plant health care, lawn care and pest control) created a support plan that leaves no questions unanswered. 

“We have a very robust back end system where we're doing a lot for our franchisees,” said Joshua Malik, founder and CEO. “We’re really focused on having our franchisees come on board with us and really just be able to focus on operations and the daily functions of the business.”

Meanwhile, Elite Window Cleaning, the innovative window cleaning franchise, has created a training and support system of proven success where franchisees join in as little as five weeks. This process includes physical training, online training, equipment manuals, handling procedures, and marketing and branding launches. 

“When I set out to create this franchise, I wanted to build out a support network that would have fast-tracked my success when I was starting to build my company,” said founder and CEO Chris Stoness. 

Plenty of Room for Growth

It doesn’t seem like demand for home services is going away anytime soon. By 2026, the home services industry is expected to grow to more than $1.219 trillion, so there is plenty of room for first-time franchisees to flourish in the coming years.