So you’re looking into buying a junk removal franchise. Are dollar signs flashing before your eyes? Well, there’s a good reason for that:
Homeowners and businesses are drowning in a sea of unwanted furniture, yard waste, old electronics, and general debris. A regular single-family home spends around $210 on a single junk removal job, while the average business spends about $500. The money is out there, and owning a franchise fast-tracks your way into the trillion-dollar waste disposal market. Using an established brand name makes it easier to scale up, providing a real competitive edge!
Let’s see if buying a franchise is right for you, and then how you’d go about choosing one. We’ll look at eight of the most profitable junk removal franchises worth your time and money.
What is a Junk Removal Franchise?
A junk removal franchise follows a business model that allows you (the franchisee) to purchase, open, and run a location, and use the owner’s (the franchisor’s) name and branding, for a fee. Take JDog Junk Removal & Hauling, for example, a business run on a military-style work ethic, which offers opportunities for ex-veterans and their families. If you wanted to open a JDog franchise, you’d have to run your location the exact same way, hiring veterans and transporting and hauling goods with so much discipline your employees would feel like they’re back in basic training. You’ll also pay royalties to the franchise owners every month.
When you operate a junk removal franchise, you’re allowed to use its name and branding. You’ll have access to the trucks, tools, and technology to move, haul, and dispose of junk. In return you must stick to the brand’s way of doing things. There are ways the brand wants you to manage your location, market your service business, do your advertising, and manage customer service. A franchisee is not allowed to run his junk removal business any ol’ kinda way. Your employees must be trained to the same corporate standards as at every other site. This way, a junk hauling franchise owner can benefit from brand name recognition, an established customer base, and proven marketing tactics to guarantee profits and return on investment.
How Do You Know if Franchising is the Right Choice for You?
Buying a franchise could be ideal for you as a business owner. But, before you rush to sign your name on the dotted line, you should ask yourself the following questions:
Question 1: Am I OK with giving up control in my business?
Although you’ll technically be the business owner, the franchisee is always under the watchful eye of corporate. You give up creative control over the direction of your company. Say a junk removal franchise is stuck in the stone age with staff sitting waiting for the phone to ring and filling in job details and bookings in a physical appointment book. Obviously you’d want to upgrade to a field service management software solution immediately, like Workiz’s Junk Removal Scheduling Software to book jobs, schedule appointments, and keep track of job progress and payments all from your desktop, iPad, or smartphone. That’s if corporate will let you. If it’s not part of the franchisor’s tech stack, maybe you’re stuck with the books. If you’re happy with that, with giving up the control to grow your business your way, then franchising may be for you.
Question 2: Do I have enough capital to invest?
When you buy into a junk hauling franchise, it’s a big financial commitment. Franchise owners have spent years building their brand and customer base, so they’re not going to hand it over to any Joe Schmoe. They want to know you are fully invested, so you’ll have to put up $50K, $100K, $200K, or more for some junk removal franchises. And there are royalties on top of that, plus sometimes other hidden fees! Are you prepared—and do you have the liquid cash to invest without hurting your personal finances? Could you still afford to buy groceries and pay your rent or mortgage comfortably? Consult with an accountant or a financial advisor to get an honest perspective of your financial situation and how much money you truly have available to put down.
Question 3: Would I prefer to buy a single business instead?
Buying a standalone business is the obvious alternative to buying a junk removal franchise. You can buy a company from someone who is looking to retire or change careers. You’ll have control over the direction of your branding, marketing, and customer base, but there’s less of a guarantee that it’ll be profitable. With franchises, you’re able to get an idea of potential sales by looking at other locations; plus you can get support from other franchisees and from corporate.
How to Select and Join a Junk Removal Franchise
If you’ve gotten this far, chances are you’re pretty confident that investing in a junk removal franchise is the direction you’re heading in. But before you start applying for a bank loan or asking friends and family for money, you’ve got a ton of homework to do. Buying a franchise requires the same amount of planning, research, and caution associated with building a company from scratch. Here’s how to match with your perfect franchise while avoiding common pitfalls.
Choose a franchise you love
Pick a brand that aligns with your work ethic and personal values, one that you can be proud to partner with for years to come. First discover your personal values. Some common values are integrity and commitment. If you notice the franchise using deceptive marketing tactics, or not following through on its promises to customers, you’ll probably feel uncomfortable running it.
Make sure you’re qualified
Junk removal franchises provide plenty of general information on their websites about startup costs and qualifications. Read it carefully and then prepare more detailed questions about what education, training, skills, legal documents, credit score, and income you need in order to qualify. Consider other factors like management and training. Have you run a successful business before? If you take on a hot franchise and are immediately booked up with huge hauling projects, inexperience may hurt the business, so make sure you are prepared to handle the volume.
Think about your location
Most franchisors decide where they want a new site to be located. You may get a say in the matter. In some cases, they may give you guidelines on where your site should be: a high-traffic area, near your target customers, located on a certain side of the street, or in a desired zip code. But one thing’s for sure, it won’t be in an area with little demand. Plus, they may send someone to the site to inspect and approve the location you choose. Remember there are multiple decision-makers when it comes to location, so you might find yourself with a nasty commute or in an area that isn’t your top choice.
Speak with other franchisees
Talk to other junk removal franchisees and get their honest feedback on opening up a location. Find industry blogs, forums, Facebook groups, YouTube channels, or books dedicated to buying a franchise or detailing the specific brands you’re most interested in. Make a chart of the pros and cons of each and take one final look at your decision. If you haven’t already, visit a local branch of the franchise and speak to the owner. Spend a couple of days in the environment. Even try on the uniform! Ask the field technicians how they like working there and their feelings about management.
Create a shortlist and send in applications
Don’t get your heart set on one junk removal franchise just yet. After researching your top choice thoroughly you may find out that it’s not the best fit for you. Make a list of three options instead. Compare investment costs, qualifications, training, and territory, in more detail. Then send out your applications. When you meet with brand representatives, remember to ask as many questions as you can, so you’re fully aware of what you’re getting yourself into! Then apply and wait for approval.
Hire a franchise lawyer
Before you sign your contract agreement, you’ll want to hire a lawyer that specializes in franchised businesses and has particular experience with new owners like yourself. Franchise lawyers can advise you on red flags they usually see in contracts, break down the legal jargon in franchise disclosure documents, and help you get your money’s worth by negotiating royalty payments, non-compete clauses, and cancelation and exit strategies in case you want to sell the business later on.
Finalize the contract
By now, you should be absolutely sure that you want to become a franchise owner. You’ve chosen the right company, you qualify, you’ve done your research, you’ve had several meetings with corporate executives, you’ve picked a location, you’ve spoken to a lawyer and reviewed your contracts, you’ve gotten feedback from other owners and your friends and family. Now it’s time to sign. Woohoo! You’re now an investor and owner of your very own junk removal franchise!
Top 8 Profitable Junk Removal Franchises in North America
Need a starting point to choose a junk hauling franchise to join? We’ve rounded up the top seven brands in the U.S. and Canada based on industry growth and revenue so you can get your money’s worth and choose a business partner that will be profitable for years to come.
1. Junk Removal Authority
Junk Removal Authority is a newer franchise that offers a ton of resources, training, and development for its owners.
The company’s JRA business package includes ten hours of consultation to help you set goals, establish your timeline to opening day, and work out your operating costs. Setting up your website and QuickBooks account is a breeze as they do that too! Best of all, you’ll receive on-the-truck training where you can see trucks hauling and disposing in action. So many owners are finding financial success in their first year with Junk Removal Authority, like Sean Smith, owner of Junk Smiths, who started making $45,000/month from his junk removal franchise in eleven months after receiving training from JRA.
Junk Removal Authority franchise costs:
- $30K starting costs
- Royalty fees are unknown
*When you franchise with JRA, you can get a special deal on Workiz Junk Removal Scheduling and Management Software!
2. JDog Junk Removal & Hauling
JDog Junk Removal & Hauling helps veterans and military families enter the waste disposal industry. It’s the largest veteran-operated franchise in the U.S., with over 200 franchise locations in 28 states and and an ambitious goal to get the veteran unemployment rate below 1%. Their team members serve the community with the military core values of Respect, Integrity, and Trust. Customers prefer to hire Veteran-owned and operated businesses which is a huge competitive advantage when owning a JDog!
They will remove carpets, scrap metal, and electronics, from both residential and commercial properties, and donate 60-80% of items they haul, to keep them out of landfills. JDog Junk Removal franchise promises that you can apply, get approved, and buy a location in as little as 8 weeks! While most franchisors take a percentage (7-10%) of your gross-revenue, JDog provides a low flat fee, starting at $800 a month, regardless of sales.
Kevin Kopa, President of JDog Junk Removal & Hauling, believes “JDog is the ultimate junk removal franchise system. Not only do we empower Veterans and Military family members, but we are also environmentally conscious and instill a sense of patriotism in the American people when they hire a Vet to haul away their unwanted items. Our low flat royalty fee, proven business model, and camaraderie between franchise owners are just a few of the benefits that you receive when you join the JDog Family. When a customer sees our big camouflage vehicles driving through their neighborhood, they can rest assured that those team members are on a mission to keep as many things out of the landfill, as well as decrease the Veteran unemployment rate to under 1%.”
JDog franchise costs:
- $41K starting costs
- $800 royalty fees for the first 12 months
*When you franchise with JDog, you get a special deal on Workiz Junk Removal Scheduling and Management Software!
3. The Junkluggers
The Junkluggers franchise offers a wide range of services to both residential and commercial companies and claims to “save the world, one lug at a time” with their eco-friendly approach. They recycle or donate unwanted goods and aim to eliminate 100% of waste from landfills by 2025. If you’re passionate about the environment, this one may be for you.
The Junkluggers franchise structure has been experiencing rapid growth yearly and has lower start-up costs than the others on our list. The company has a full suite of services to help you succeed, like centralized call centers so you don’t have to worry about being overwhelmed with calls, a personal coach who can provide you with one-on-one help, and marketing support to help design, plan, and track the success of your digital and print marketing campaigns!
“Junkluggers is a rapidly growing premium service that strives to provide an exceptional customer experience,” says Cameron Robinson, franchise owner of Junkluggers of San Diego. “But what really separates Junkluggers from other brands is our dedication to our Green Guarantees: Donate first, recycle second. We make it a top priority and have developed nationwide systems that allow us and our clients to achieve our landfill diversion goals. From our eco-friendly cause to providing a tax-deductible receipt to our clients, there are many reasons why I’m proud to be part of Junkluggers.”
JunkLuggers franchise costs:
- $70K in liquid capital and a minimum net worth of $100K
- 7% royalty fees
4. College HUNKS Hauling Junk & Moving
College HUNKS Hauling Junk & Moving is a fun, light-hearted brand that instantly catches your attention with their name, logo, and branding. Handsome, college-aged men are sent to your front door to help you move—either locally or long distance—or remove junk. They serve both residential and commercial customers. This junk hauling franchise has 150 locations in the U.S. and Canada and is one of the highest-rated junk removal companies across social media.
They most commonly pick up furniture, tires, scrap metal, office equipment, and renovation debris. And because the franchise doubles as a moving company, there’s opportunity for you to earn more from those services. They also partner with several charities, donate used items, and recycle or ecologically dispose of 70% of items.
College HUNKS Hauling Junk are looking for people with backgrounds in business development, sales, marketing, or who have any other corporate experience. They want people with a good sense of humor who enjoy hiring, training, and working with a youthful team.
“Having been in the franchising world for over 15 years on both the franchisor side of the world and as a franchise consultant, I’ve never seen another brand that attracted a more diverse group of franchise owners from all walks of life, including Corporate America,” says Director of Franchise Development Dana Hansen. “Yes, our revenue numbers are impressive but I think we ultimately attract like-minded individuals who are looking for purpose and fulfillment in their lives which is hard to get with a 9-5 job. They’re attracted to our world-class culture that is based on four core values that we celebrate and live each and every day. Positive, happy owners attract happy, positive employees who provide a needed service to families with a smile! Our Brand Promise is Honest, Uniformed, Nice, Knowledgeable Service. HUNKS! Let’s face it, no matter what the economy is doing, our business is booming!”
College HUNKS franchise costs:
- $70K in liquid capital to start, plus you must have a minimum net worth of $200K
- 7% royalty fees
5. Bin There Dump That
Bin There Dump That is a dumpster rental service that specializes in residential waste disposal. This junk removal franchise rents out bins to homeowners to leave in their driveway, giving people more time to complete their clearance or renovation. Once the bin is full, customers simply call the company to come pick up the bin. Bins vary in size, and usage is charged by the day. There are currently around 109 locations in the U.S. and 39 in other countries.
“Bin There Dump That is the greatest dumpster company in the world,” says Bin There Dump That Marketing Manager Luke Hancock. “We have growing franchise locations across North America that are supported in the management, operations and marketing of their business by an attentive, complementary, and resourceful franchise support team.”
Download The Complete Financial Guide to Operating a Franchise, which covers the costs of operating a Bin There Dump That location, royalties, and choosing a territory. Keep in mind that, since this service relies heavily on homeowners who have driveway space for the bin, you’ll need an area with at least 100,000 single-family homes that require your services.
Bin There Dump That franchise costs:
- $75K investment to get started with a single territory, including franchise fees, down payment on leased equipment, and training costs. You must have a net worth of at least $350K
- $500 per truck per month royalty fees for the first year
6. 1-800-Got-Junk Franchise
1-800-Got Junk Removal is the world’s largest junk removal franchise. They offer their services everywhere, from homes to offices, retail properties to construction sites. They promise to do all the heavy lifting and clean up after themselves once they’re done. 1-800-Got Junk has been featured on Oprah, CNN, and MSNBC, and in Fortune Small Business. They were rated the #1 junk removal franchise by Entrepreneur and the franchise is worth $500 million.
“We believe ‘it’s all about people.’ Hiring happy people and treating them well is one of the reasons that, as an employer, 1-800-GOT-JUNK? has won numerous workplace awards and has experienced exceptional year-over-year growth. We believe that if you take care of your people, they will in turn take care of your brand,” says Nadine Farrelly of 1-800-Got-Junk?
There are over 153 locations and franchisees benefit from exclusive rights to operate in a given territory, business coaching, and field support.
1-800-Got-Junk franchise costs:
- $90K in liquid capital and a minimum net worth of $150K
- 8% royalty fees
7. Junk King Franchise
Junk King takes just about anything off your hands and promises to get it done within a two-hour window. There are currently over 100 Junk King franchised locations and they have been rated #1 for customer service in the U.S. The business offers free site inspections and estimates.
What makes Junk King different are their king-sized trucks, allowing you to collect more waste and complete more jobs per day. Each of their territories covers a population of almost a million, meaning you have increased opportunity to scale your business more significantly, compared to other franchises. There are four streams of revenue: residential, industrial businesses, government contracts, and recycling.
Junk King franchise costs:
- $100K starting costs and you need a minimum net worth of $100K.
- 8% royalty fees.
8. Two Men and a Truck
Two Men and a Truck is a moving company that offers waste disposal to homes and businesses. Founded in the 1980s, the company now has 350 locations worldwide and 3,000 trucks on the road and reports a 96% referral rate!
On top of that, Two Men and a Truck offers local and long-distance moving, packing, and short- and long-term storage, which means you can upsell from your junk removal service and tap into four additional revenue streams. There are lots of opportunities in California, Texas, and the Northeastern US.
Two Men and a Truck franchise costs:
- 6% royalty fee plus 1% ad royalty fee
Are you excited to take the first steps towards becoming a junk removal franchise owner? There’s a lot to take in so let’s recap the most important steps:
- Be sure that opening a franchise is right for you: You’re happy to give up creative control. You prefer to have branding, marketing, customer service, and sales already planned out.
- Make sure you qualify: Research the minimum level of experience, training, liquid cash, credit score, and net worth you need to open a franchise. If you’re not there yet, start planning out how to fulfill those requirements.
- Get support: Hire a lawyer to help you through the contract process and keep you protected. Also, having an accountant or financial advisor on hand will stop you from burning through your savings. Getting feedback from other franchisees will help you avoid wasting time and money.
Last but not least, start a free trial of Workiz’s Junk Removal Scheduling Software when you open to help you schedule and manage jobs and clients. Junk removal professionals who use it have increased their revenue by 22%!