2026 FDD Issued Mar 31, 2026 Minnesota Commerce (CARDS) Checked Oct 23, 2026
Roto-Rooter Franchise Cost (2026)
A Roto-Rooter franchise costs an estimated $123,110 – $281,550 to open, according to Item 7 of the 2026 Franchise Disclosure Document (FDD). That total includes the $25,000 – $75,000 initial franchise fee (Item 5) and covers this format: Standard Territory. Item 6 lists monthly franchise fee: Varies, subject to the conditions below.
- Total investment
- $123K – $282KItem 7 source and qualifications
- Franchise fee
- $25K – $75KItem 5 source and terms
- Monthly Franchise Fee
- VariesItem 6 conditions and fee bases apply
- Units (2025)
- 448Item 20 source and scope
- Franchise exit rate
- 1.7% / yrCalculated 3-year average; definition and source
What stands out about Roto-Rooter
The opening estimate assumes an owner personally providing sewer, drain and pipe cleaning services in a start-up territory. It does not budget a broader plumbing operation with a fully staffed office. Real-estate costs are not estimated, and the additional-funds allowance excludes an owner draw or salary.
Vehicle and equipment spending can differ when an operator already owns usable assets. The source discusses operating initially from a residence and cannot estimate a separate office or storage facility. The startup total therefore depends on the stated starting arrangement rather than covering every possible premises choice.
What are the initial franchise fees and financial requirements for Roto-Rooter?
Item 5 lists an initial franchise fee of $25,000 – $75,000 for Roto-Rooter. Check the cited Item 5 for payment timing, discounts and format-specific terms.
Item 5 (PDF page 16) sets the initial franchise fee at $0.15 per person in the Territory, with a $25,000 minimum, due when the Franchise Agreement is signed and fully earned and non-refundable when paid. Item 7 (PDF pages 22-23) shows $25,000-$75,000 for its assumed start-up territory of 100,000-500,000 people; a larger territory pays more under the same formula. No renewal fee is currently charged.
Source: Roto-Rooter 2026 FDD, Item 5, PDF p. 16.
This record lists no minimum net worth or liquid-capital requirement for Roto-Rooter, because no sourced figure has been recorded. Ask the franchisor for its current financial qualifications in writing.
How much does it cost to open a Roto-Rooter franchise? (Item 7)
Source: Roto-Rooter 2026 FDD, Item 7, PDF p. 22.
Item 7 of Roto-Rooter’s 2026 Franchise Disclosure Document estimates the total cost to open one standard territory at $123,110 – $281,550. This total includes the initial franchise fee.
| Expense Category | Low ($) | High ($) |
|---|---|---|
| Initial Franchise Fee | $25,000 | $75,000 |
| Motor Vehicle | $35,000 | $62,000 |
| Real Estate | Not estimated | Not estimated |
| Opening Equipment and Parts Inventory and Supplies | $22,000 | $50,000 |
| Advertising | $16,110 | $60,550 |
| Miscellaneous Opening Costs | $13,000 | $18,000 |
| Additional Funds - 3 months | $12,000 | $16,000 |
| Total | $123,110 | $281,550 |
For comparison, the median high-end investment among 12 home services records without a source-review hold is $283,275.
Item 7 (PDF pages 22-24) estimates a start-up territory of 100,000-500,000 people, initially providing sewer, drain and pipe cleaning with the owner personally performing services. The printed total is $123,110-$281,550. Vehicle costs are $35,000-$62,000, equipment/parts/supplies $22,000-$50,000 and additional funds for three months $12,000-$16,000. Real-estate costs are unestimated, and the additional-funds allowance excludes an owner draw or salary.
What ongoing royalties and fees does Roto-Rooter charge? (Item 6)
Source: Roto-Rooter 2026 FDD, Item 6, PDF p. 17.
Item 6 of Roto-Rooter’s 2026 FDD lists the charges below. Recurring charges and charges triggered by a transfer, renewal or other event have different conditions. Read each fee’s basis and notes before comparing rates.
How to read an Item 6 fee table.
| Fee Type | Amount / Rate | Payment Frequency | Notes & Source |
|---|---|---|---|
| Monthly Franchise Fee | Varies | Every period | From $280 to $36,000 or more per month, paid in advance on the 1st, based on the Territory's population: in the first year $507 per 100,000 people on the first 500,000, $480.32 on the next 500,000 and $453.62 above 1,000,000, with a $280 minimum. Recalculated each year for inflation plus tiered increases of 10%, 25% and 30% (5%, 10% and 15% in years when fewer than half of company units provide water restoration), and for population every five years (Item 6 notes 2-3, PDF pages 19-21). A 5% rebate on promptly paid branded purchases reduces franchise fees. (Item 6, PDF p. 17) |
| Transfer | Varies | When it applies | 1.5% of the total sale price, with a minimum of $1,000 and a maximum of $7,500, payable before the transfer closes. (Item 6, PDF p. 17) |
| Renewal Fee | Varies | When it applies | Not currently charged, although the franchisor has the right to charge one. (Item 6, PDF p. 17) |
| Indemnification | Varies | When it applies | Loss, liability, cost and expense from the franchisee's violations of the Franchise Agreement and from third-party claims connected with the business. (Item 6, PDF p. 17) |
| Local Advertising | Varies | When it applies | A minimum annual spend per person in the Territory: 11.11 cents in 2026, rising each year to 13.81 cents in 2035, on directories, internet, direct mail, broadcast and similar local advertising (Item 6 note 4, PDF page 21). Any shortfall must be paid to the franchisor within 14 days after the agreement year and is spent nationally. Item 7 note 6 estimates the minimum at about $11,110-$55,550 a year for a territory of 100,000-500,000 people. (Item 6, PDF p. 18) |
| Administrative Fees | Varies | When it applies | $200 each to add a partner, drop a partner or change stock ownership, payable before the ownership change. (Item 6, PDF p. 18) |
| Equipment Purchases | Varies | When it applies | Varies; equipment does not have to be bought from the franchisor. Branded products bought from the franchisor and paid within 30 days receive a 5% discount, treated as a rebate of franchise fees (Item 6 note 6, PDF page 21). (Item 6, PDF p. 19) |
Explore annual fees and payback assumptions
This fee schedule cannot be reduced to the calculator’s simple sales-based formula. Enter your own assumptions and check them against the Item 6 terms.
Roto-Rooter startup investment and modeled fees over 10 years
The Monthly Franchise Fee is a population-based monthly charge adjusted for inflation, not a percentage of sales, and Item 19 discloses no sales figures, so annual fees are not modeled. See the fee amounts and definitions in Item 6 above. Open the calculator with your own assumptions.
Item 20: Roto-Rooter franchised outlet history
Source: Roto-Rooter 2026 FDD, Item 20, PDF p. 56.
Item 20 Table 3 reports 333 franchised outlets at the end of 2025. The company-owned table reports a further 115 outlets. Our calculated average annual franchised exit rate is 1.7% across the 3 reported years, using the definition below.
| Year | Franchised at Start | Opened | Reported Exits | At End | Franchise Exit Rate (%) |
|---|---|---|---|---|---|
| 2023 | 348 | 1 | 8 | 341 | 2.3% |
| 2024 | 341 | 2 | 6 | 337 | 1.8% |
| 2025 | 337 | 0 | 4 | 333 | 1.2% |
Franchised units went from 348 to 333 over 3 years (-15).
Reported exits include terminations, non-renewals, franchisor reacquisitions and other cessations. A reacquired outlet may continue operating. How we calculate the exit rate. How to read the Item 20 outlet tables. Compare Roto-Rooter’s exit rate with other brands.
6 units changed owners in 2025.
Item 20 Table 3 (PDF pages 47-56) prints national totals on PDF pages 55-56. Company-owned counts are businesses of the affiliate Roto-Rooter Services (Table 4, PDF pages 56-64); its footnotes describe reacquired franchises and company outlets merged into existing company outlets. Transfers come from Table 2 (PDF pages 40-46).
How much do Roto-Rooter franchise owners make? (Item 19)
Source: Roto-Rooter 2026 FDD, Item 19, PDF p. 39.
Roto-Rooter’s 2026 FDD has no Item 19 financial performance representation, so it gives no official sales, profit or owner-pay figures. Treat any earnings claim you hear from a salesperson with caution, and ask current owners (their contacts are listed in Item 20).
Payback calculator (enter your own assumptions) Check any inputs against this record’s Item 7 startup costs and Item 6 fee rules.
How long is the Roto-Rooter franchise agreement term?
Source: Roto-Rooter 2026 FDD, Item 17, PDF p. 35.
The standard Roto-Rooter franchise agreement runs 10 years, with renewal terms of 10 years.
Item 17 (PDF page 35): 10-year term. Renewal is by a new 10-year agreement on the terms then offered to renewing franchisees, which may include higher Monthly Franchise Fees.
How long does it take to open a Roto-Rooter franchise? (Item 11)
Source: Roto-Rooter 2026 FDD, Item 11, PDF p. 29.
Item 11 of the 2026 FDD states the time from signing the franchise agreement to opening: 1 to 12 months.
Franchises with a similar investment range
These published records are selected by proximity to Roto-Rooter’s $123,110 low-end Item 7 investment, starting with Home Services. Formats, fees and source qualifications differ; the figures are not interchangeable budgets:
- Sir Grout $128K – $199K Home Services
- The Maids $118K – $141K Source review pending Provisional publication Home Services
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- Pillar To Post $103K – $134K Source review pending Provisional publication Home Services
- The Brothers that just do Gutters $145K – $285K Home Services
- Budget Blinds $101K – $211K Home Services
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Frequently Asked Questions about Roto-Rooter
- How much does it cost to open a Roto-Rooter franchise?
- Item 7 of the 2026 FDD estimates $123,110 – $281,550 for a start-up territory in which the owner personally performs sewer and drain cleaning. It assumes the business starts from the owner's residence, so the cost of an office or service facility is not estimated.
- How are Roto-Rooter franchise fees calculated?
- Item 5 sets the initial fee by the population of the territory, with a minimum, and the monthly franchise fee in Item 6 also follows a population formula adjusted for inflation. Neither fee is a percentage of sales.
- How long is a Roto-Rooter franchise agreement?
- The franchise agreement runs 10 years. Item 17 permits renewal under a new agreement on the terms then offered, which can include a higher monthly fee.
- Does Roto-Rooter disclose franchisee sales in Item 19?
- No. The 2026 FDD makes no financial performance representation, so it reports no sales or profit figures for franchised or company-owned businesses.
Sources
Roto-Rooter Corporation Franchise Disclosure Document, issued March 31, 2026, as filed with the Minnesota Commerce (CARDS). Read the source FDD PDF. How to get this FDD yourself.
- Item 5: cited PDF p. 16
- Item 6: cited PDF p. 17
- Item 7: cited PDF p. 22
- Item 19: cited PDF p. 39
- Item 20: cited PDF p. 56
- Agreement term (Item 17): cited PDF p. 35
Page references for Roto-Rooter use the PDF viewer's digital page count, not printed page headers. Some viewers download the document instead of opening the referenced page.
If the state document viewer does not open, use Minnesota Commerce's public filing instructions to look up the filing by franchisor name and document date.
Document & verification changelog
- October 29, 2026: Record updated.
- October 23, 2026: Source check completed against the recorded FDD.
- October 23, 2026: Complete source recheck against the March 31, 2026 FDD: cover, Item 1, Item 5, all 7 Item 6 rows and notes (PDF pages 17-21), every Item 7 row and total, Item 17, Item 19 and Item 20 Tables 1-4. Replaced the Item 6 schedule, which had listed charges the FDD does not contain and misstated the transfer and renewal terms; corrected the franchising start year (1936), the Item 17 and Item 20 page citations, and added the unpriced real-estate row. The source hold is cleared.
- October 19, 2026: Source review hold recorded: The October 19 audit corrected conflicting Item 7 prose, selected financial-performance labels and PDF references. The fee schedule and remaining record sections still require a complete source recheck; the historical source-check date is not renewed by these targeted corrections.
- October 16, 2026: Initial cost profile published from the 2026 Franchise Disclosure Document (issued March 31, 2026).