It is always a challenge to find your place in the HVAC industry with minimal risk, and the current world circumstances, including the COVID-19 pandemic, make that even harder. You can reduce the risk associated with starting a new business by opening an HVAC franchise instead.
What is an HVAC franchise and how do you own one?
If you need a refresher, a franchise refers to when you (the franchisee) get a license to use the trademarks, processes, and knowledge of a larger business (the franchisor), including selling its products or services. So, opening an HVAC franchise means that you start your own business, but you get to use an established business’s resources and name. Franchisors typically charge an initial fee and annual fees to keep your licensing.
Every business that offers franchise opportunities has a slightly different process to open one, but there will always be a few key steps to follow. You will always start by contacting the franchisor to confirm the requirements and all the other relevant information, such as the benefits and resources provided that come with the HVAC business for sale. You will provide your name, email, and other relevant information, typically on a contact form, and wait for the franchisor to call you back. There may be an interview process designed to make sure you and the franchisor are on the same page. Then, you will have to pay a fee and sign an agreement. From then on, expect to renew the franchise agreement every few years or annually.
To save you the hassle of researching HVAC franchises and the HVAC salary you can expect to earn from it, we have gathered the best opportunities for you to consider that we’ve sourced from various offerings and related HVAC blogs. Read on to learn more.
The company Aire Serv opened in 1993, and it began offering franchise opportunities right away. There are currently more than 200 franchises of Aire Serv, which Entrepreneur Magazine recognized on its list of “Franchise 500.”
One nice thing about Aire Serv is that you can start a franchise if you want to open a new HVAC business. You also can turn your current HVAC company into a franchise if you have already started. Aire Serv provides franchisees with a long list of benefits, including:
- Training for its proprietary software and other relevant technology
- Training on team development, culture, and business systems at Aire Serv
- Finance management
- Continuing development and training
- Preferred vendor discounts
Keep in mind that the initial franchise fee is $40,000. The estimated investment range is $87,600 to $211,400. If you are a veteran and meet the VetFan program’s requirements, you can get a 15% discount on that initial fee.
Conair Corporation has been in existence since 1963 and publicly owned since 1969. With more than 50 years of experience, you can take advantage of the company’s strong history if you choose to open a franchise with them.
Conair Corporation provides plenty of support for franchisees, including training on:
- Cloud-based dispatching
- Call booking
- Mobile GPS tracking
Plus, it gives regular mentoring and training on industry standards.
Although Conair accepts new businesses as franchises, it markets itself towards existing HVAC companies experiencing slowing growth and needing the boost that the brand and its resources can provide.
This franchisor also makes sure to keep lines of communication open with franchises. Conair discusses successes and challenges; they want you to learn how to increase your HVAC business growth.
In terms of investment, Conair requires an initial investment of $50,000. Its franchise will entail a total investment of around $83,500 to $243,500. The company also requires you to have a net worth of $100,000 or more.
Ductz franchises focus on cleaning HVAC units and air ducts to ensure that companies and homeowners have good air quality inside. The company’s main marketing strategy focuses on addressing the risks of poor indoor air quality, combined with the fact that 25 million Americans have asthma, and millions more have other respiratory issues.
There are currently over 70 locations throughout the country, and Ductz hopes to continue to expand rapidly.
The typical investment required to start a Ductz franchise is $73,237 to $187,830. This includes the following fees and costs:
- Initial franchise fee: $14,900 – $74,900
- Initial package fee: $5,800 – $25,500
- Hands tools, misc. supplies: $0 – $700
- Kick-start marketing fee: $5,000
- Up-fitting your vehicle: $10,983 – $15,781
- Computer system: $0 – $1,500
- Insurance for three months: $1,200 – $3,500
Conveniently, Ductz is part of the BELFOR Franchise Group, which works with numerous third-party lenders to help you find financing if you need it. Like some of the other franchisors on this list, there are “major discounts” for veterans. Other franchisors’ resources include a 24/7 call center and assistance from the marketing and executive teams, plus training.
One Hour Heating and Air Conditioning
One Hour Heating and Air Conditioning prides itself on offering more resources than other franchises in the industry, including:
- Integrated systems for business management
- Unlimited business coaching
- Unlimited training
- Lead-generating advertising strategies
One Hour Heating Air Conditioning already has over 100 franchisees who have more than 350 locations. The company has also been the No. 1 top-ranked HVAC franchise in Entrepreneur Magazine for eight consecutive years.
In terms of costs, there is a franchise fee of $43,000, which veterans can receive 10% off on. Initial investments are usually between $218,363 to $414,173, which is among the higher figures on our list. You must have a net worth of $250,000 and liquid capital of at least $100,000. This franchisor also offers financing via a third party.
ServPro is a unique option, as it is not just an HVAC franchise. ServPro focuses on cleaning and restoration after fire and water damage, but this includes HVAC services. As such, this is a franchise opportunity that would appeal to you if you want to offer more than just HVAC services, either to expand your potential market or to have some variety.
If you are experienced in HVAC skills and want to work with ServPro, its training includes water and fire restoration, upholstery cleaning, carpet cleaning, and mold mitigation. ServPro has been offering franchises since 1967. Expect an initial investment of $123,600 to $216,000, which includes the $49,000 franchise fee.
In the category of restoration, ServPro prides itself on being the country’s No. 1 company. Entrepreneur Magazine has repeatedly awarded this honor since 2004. It is also ranked No. 12 in the magazine’s Annual Franchise 500 list, a high honor. Like some of the other franchisors on this list, ServPro is a VetFran member, meaning veterans can receive discounts on the initial fees.
Conclusion: why an HVAC franchise makes sense for your business and what else to know
Simply put, opting for a franchise dramatically increases your chances of success and assists you with business, processes, and knowledge. You also get to take advantage of the brand recognition of the franchise.
Just like opening an HVAC franchise gives you a head start compared to beginning from scratch, Podium can give your business a boost. You can even try Podium’s products for free today. Webchat and Inbox can help you connect with potential clients, while Reviews can help you gain new clients and keep your current ones happy.