Does 1-800-GOT-JUNK? engage in any business activities other than franchising?
1_800_Got_Junk Franchise · 2025 FDDAnswer from 2025 FDD Document
We grant franchises to qualified candidates in the United States for the operation of retail junk removal businesses (“Franchised Businesses”) using the System and identified by the name 1-800-GOT-JUNK? and have offered these franchises since November 1999. We have no other business activities and have not operated businesses of the type being franchised; however, our parent company, Rubbish Boys, has been in operation in Canada for over 20 years and has offered franchises in Canada since December 1998.
We have not offered franchises in any other line of business. Other than as stated above, we have no predecessors or affiliates offering franchises in any line of business, or providing products or services to our franchisees.
Flywheel Accelerator Inc., a British Columbia, Canada corporation (“Flywheel Canada”), and Flywheel Accelerator USA Inc., a Nevada corporation (“Flywheel USA”), are together referred to in this disclosure document as “Flywheel”. Both Flywheel entities have a principal business address that is the same as ours. Flywheel was created to help facilitate a smooth transition of certain existing long- term franchise partners in their desired exit from the system. Flywheel did this by purchasing and operating the businesses as affiliate-owned franchises.
In April 2024, Flywheel USA entered into a joint venture with franchisee Southwind Waste Services LLC through the entity 604816 LLC, in which both parties transferred their 1-800-GOT-JUNK? franchised businesses to 604816 LLC, with Flywheel USA removing itself from the direct management of franchised businesses and retaining a minority ownership position in 604816 LLC (referred to as “DBA”). In December 2024, 604816 LLC then purchased the only two Flywheel Canada locations, Fraser Valley and Vancouver Island, resulting in all former Flywheel locations now being operated by DBA, with Flywheel owning a minority ownership position.
Source: Item 1 — The Franchisor and any Parents, Predecessors, and Affiliates (FDD pages 5–9)
What This Means (2025 FDD)
According to the 2025 1-800-GOT-JUNK? Franchise Disclosure Document, 1-800-GOT-JUNK? LLC focuses primarily on franchising. Specifically, 1-800-GOT-JUNK? grants franchises to qualified candidates in the United States for operating retail junk removal businesses, identified by the 1-800-GOT-JUNK? name, and has been offering these franchises since November 1999. The FDD states explicitly that 1-800-GOT-JUNK? has no other business activities and has not operated businesses of the type being franchised. However, the parent company, Rubbish Boys, has been in operation in Canada for over 20 years and has offered franchises in Canada since December 1998.
While 1-800-GOT-JUNK? itself is focused on franchising, its parent company and affiliates engage in related business activities. Rubbish Boys grants franchises for retail junk removal businesses in Canada under the 1-800-GOT-JUNK? trademark. Additionally, 1-800-GOT-JUNK? Commercial Services (USA) LLC operates as a general contractor or agent for national accounts in the United States within the same business sector as its franchisees. These affiliated operations suggest a broader involvement in the junk removal industry beyond just franchising.
Flywheel Accelerator Inc. and Flywheel Accelerator USA Inc. were created to help facilitate a smooth transition of certain existing long-term franchise partners in their desired exit from the system by purchasing and operating the businesses as affiliate-owned franchises. In April 2024, Flywheel USA entered into a joint venture with franchisee Southwind Waste Services LLC through the entity 604816 LLC, in which both parties transferred their 1-800-GOT-JUNK? franchised businesses to 604816 LLC, with Flywheel USA removing itself from the direct management of franchised businesses and retaining a minority ownership position in 604816 LLC. In December 2024, 604816 LLC then purchased the only two Flywheel Canada locations, Fraser Valley and Vancouver Island, resulting in all former Flywheel locations now being operated by DBA, with Flywheel owning a minority ownership position.
For a prospective franchisee, this means that while 1-800-GOT-JUNK? focuses on franchising and support, the broader corporate structure includes entities involved in operating junk removal businesses, both domestically and internationally. This could provide franchisees with access to a wider network of resources and expertise, but it also means that the franchisee's business may be influenced by the performance and strategies of these related entities. Franchisees should be aware of the roles and activities of these affiliated companies and how they might impact their own 1-800-GOT-JUNK? franchise.