Roto-Rooter Franchise FDD, Profits & Costs (2025)
Roto-Rooter, established in 1935 and headquartered in Cincinnati, Ohio, is a prominent name in the plumbing and drain cleaning industry.
Known for creating the sector, Roto-Rooter has expanded its reach significantly, making it one of the largest providers of plumbing and drain services in North America.
The company began franchising in the same year it was founded, demonstrating a commitment to spreading its successful business model and brand across various markets. The franchise stands out for its comprehensive range of services, which include plumbing repair, sewer and drain cleaning, and other related services.
This full-service approach ensures that franchisees can cater to a wide array of customer needs under the trusted Roto-Rooter brand. Furthermore, Roto-Rooter franchises benefit from the strong brand recognition and a proven business model that has been refined over decades of operation.
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Initial Investment
How much does it cost to start a Roto-Rooter franchise? It costs on average between $104,000 – $274,000 to start a Roto-Rooter franchised business.
This includes costs for construction, equipment, inventory, and initial operating expenses. The exact amount depends on various factors, including the location, and whether the franchisee chooses to lease or purchase the property.
| Type of Expenditure | Amount |
|---|---|
| Initial Franchise Fee | $25,000 – $75,000 |
| Motor Vehicle | $20,000 – $44,000 |
| Real Estate | $18,000 – $43,000 |
| Opening Equipment and Parts Inventory and Supplies | $18,000 – $43,000 |
| Advertising | $18,980 – $84,700 |
| Miscellaneous Opening Costs | $12,000 – $15,000 |
| Additional Funds – 3 months | $10,000 – $12,000 |
| Total Estimated Initial Investment | $104,000 – $274,000 |
The most profitable franchises to own in 2025
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Roto-Rooter Franchise Disclosure Document
Frequently Asked Questions
How many Roto-Rooter locations are there?
As of the latest data, Roto-Rooter operates more than 120 company-owned locations and approximately 300 franchise locations across the United States and Canada. These combined efforts make Roto-Rooter the largest provider of plumbing, drain cleaning, and water cleanup services in North America, covering nearly all major U.S. and Canadian markets.
What is the total investment required to open a Roto-Rooter franchise?
The total investment required to open a Roto-Rooter franchise ranges from $104,000 to $274,000.
What are the ongoing fees for a Roto-Rooter franchise?
Roto-Rooter franchisees pay an 8% royalty fee on gross sales and a marketing fee typically between 2% and 4% of sales. These fees support operational resources, brand maintenance, and national marketing efforts, helping franchisees attract customers and maintain a consistent brand presence.
What are the financial requirements to become a Roto-Rooter franchisee?
To become a Roto-Rooter franchisee, candidates typically need a minimum net worth of $500,000 and liquid capital of around $100,000. These financial requirements ensure that franchisees have the necessary resources to cover initial investments and support ongoing operational costs.
Who owns Roto-Rooter?
Roto-Rooter is owned by Chemed Corporation, a publicly traded company based in Cincinnati, Ohio. Chemed acquired Roto-Rooter in 1980 and operates it as a wholly owned subsidiary. Chemed also owns VITAS Healthcare, a major provider of hospice care, making it a diversified service company with holdings in both the plumbing and healthcare industries.
Disclaimer
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