ZIPS Cleaners^®

Other Services • Year: 2025

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What Is ZIPS Cleaners?

ZIPS Cleaners is a franchise in the Other Services category that provides garment care, including dry cleaning and laundry, under a standardized System. The operational model is brick-and-mortar, typically requiring an initial Plant Facility (3,000–3,500 sq. ft.) or a smaller Drop Facility (1,300–1,500 sq. ft.), with locations usually in in-line malls or freestanding buildings. It serves individual consumers (B2C) and delivers its core service bundle through on‑premises processing or drop-off/pick-up facilities featuring a flat pricing structure, same-day services, and an integrated production process.

ZIPS Cleaners Franchise: Pros and Cons

A major strength is the low $15,000 entry fee (bottom 10%), leaving more cash for build-out and working capital, but a key risk is the high Item 7 asset requirement of $409,700–$541,500 (top 5–10%), which significantly raises upfront capital needs and may complicate financing.

Pros

The $15,000 entry fee is well below typical for all franchise types (bottom 10%), leaving you with more cash on hand for build-out and initial working capital.

A training and support score of 100 is well above typical for Other Services (top quarter), signaling a comprehensive program that will reduce onboarding friction and shorten time to competent operation.

A clean legal and regulatory record—zero disclosed lawsuits, zero government penalties, zero franchisor enforcement actions, and zero fraud cases (all bottom 5%)—reduces legal distraction and the risk of costly disputes.

Cons

Item 7 assets range from $409,700 to $541,500, both figures well above typical for all franchise types (top 5–10%); the high equipment and infrastructure costs increase your upfront capital requirement and may complicate financing.

A maximum training cost of $30,000 is well above typical for Other Services (top 10%), adding to the initial cash you’ll need before opening.

Lawsuits & Legal Risk

100

Excellent

The franchise reported no material legal proceedings.

Territory Protection

48/100

NORMAL

Grants a protected operating area where the franchisor will not place other physical units. The franchisor retains the right to develop additional units in the surrounding market, sell via e-commerce and alternative channels, use different trademarks/retail formats, acquire/convert nearby operations, and condition protection on performance contingencies; the franchisee may relocate.

Training & Support

100

Excellent

ZIPS Cleaners provides a comprehensive 160-hour training curriculum designed to prepare two initial franchisee trainees for launch, covering operational procedures and management practices. The program includes on-site launch support for operational readiness; on-site assistance carries an additional fee, and franchisees are responsible for travel and lodging expenses.

Unit Growth Analysis

This franchise dipped slightly from 67 units in 2022 to 66 in 2023, then recovered to 69 in 2024 and 72 in 2025 — consecutive YOY increases of ~4.5% (2024) and ~4.3% (2025). That pattern shows a stabilizing, modest-growth trajectory (net +6 units, +9.1% since 2023), indicating improving franchise health and consistent expansion, although growth has essentially plateaued rather than accelerating (4.5% → 4.3%).

How Much Does It Cost to Open a ZIPS Cleaners Franchise?

Opening a ZIPS Cleaners franchise requires a total initial investment of $660,200 to $984,500, according to the 2025 Franchise Disclosure Document. This range covers the franchise fee, real estate, equipment, training, and initial working capital needed to launch and operate through the early months.

Minimum Investment

$660,200

Franchise Fee

Real Estate

Equipment & Assets

Reserves

Training

Other

Maximum Investment

$984,500

Minimum Investment Breakdown

Franchise Fee$15,000

Real Estate$217,000

Equipment & Assets$409,700

Reserves$0

Training$500

Other$18,000

Maximum Investment Breakdown

Franchise Fee$30,000

Real Estate$351,000

Equipment & Assets$541,500

Reserves$0

Training$30,000

Other$32,000

Investment Analysis

This investment analysis is coming soon. Have ideas for other analyses you'd like us to add? Get in touch.

The initial investment amounts shown are estimates only. Actual costs may vary based on location size, business model, and multi-unit ownership arrangements. We recommend reviewing the full Franchise Disclosure Document for complete details.

How Much Do ZIPS Cleaners Franchise Owners Make?

ZIPS Cleaners franchise locations reported average gross sales of $1,256,748 and median gross sales of $1,112,037 in 2025, based on financial performance data disclosed in Item 19 of the Franchise Disclosure Document.

Average Gross Sales:

$1,256,748

Median Gross Sales:

$1,112,037

High Gross Sales:

$2,825,016

Low Gross Sales:

$219,688

Sample Size:

Percent Attaining Average:

38.8%

Franchise vs Corporate Performance: Franchised Plant Stores (49 units) show an average revenue of 1,256,748 in 2024, while Drop Stores (10 units) average materially less at 498,428, indicating franchised Plant Stores generate higher average top-line sales than Drop Stores within this system.

Performance Variability Analysis: There is substantial variability across Plant Stores with revenue ranging from 219,688 to 2,825,016 and only 38.8% of outlets above the average, suggesting results are concentrated among higher-performing locations.

Data Scope and Limitations: The data is unaudited and compiled from franchisee-submitted financials for 2024, with some outlets excluded for incomplete reporting and the income figure reported before general and administrative expenses, which limits comparability to true net profit.

Frequently Asked Questions

How much does it cost to open a ZIPS Cleaners franchise?

The total initial investment for a ZIPS Cleaners franchise ranges from $660,200 to $984,500, according to the 2025 Franchise Disclosure Document. This includes the franchise fee, real estate, equipment, training, and working capital.

What is the ZIPS Cleaners initial franchise fee?

The initial franchise fee for ZIPS Cleaners is $15,000, as stated in the 2025 FDD. This fee is paid upon signing the Franchise Agreement.

How much do ZIPS Cleaners franchise owners make?

ZIPS Cleaners franchise locations reported average gross sales of $1,256,748 and median gross sales of $1,112,037 in 2025, based on Item 19 of the Franchise Disclosure Document. Actual earnings vary by location, market, and operator experience.

Does ZIPS Cleaners have any franchise lawsuits or legal issues?

ZIPS Cleaners received a legal risk score of 100 out of 100 in the 2025 FDD analysis. The franchise reported no material legal proceedings.

Does ZIPS Cleaners offer exclusive franchise territories?

ZIPS Cleaners received a territory protection score of 48 out of 100. Grants a protected operating area where the franchisor will not place other physical units.

What training does ZIPS Cleaners provide to new franchisees?

ZIPS Cleaners received a training and support score of 100 out of 100. ZIPS Cleaners provides a comprehensive 160-hour training curriculum designed to prepare two initial franchisee trainees for launch, covering operational procedures and management practices.

How many ZIPS Cleaners franchise locations are there?

ZIPS Cleaners had 72 total locations as of the 2025 Franchise Disclosure Document.

What type of business is ZIPS Cleaners?

ZIPS Cleaners is a franchise in the Other Services category that provides garment care, including dry cleaning and laundry, under a standardized System.

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