How is the Average Monthly Contract Revenue calculated for Buildingstars franchisees in Item 19?
Buildingstars Franchise · 2025 FDDAnswer from 2025 FDD Document
for example, by providing information about possible performance at a particular location or under particular circumstances.
The information in this Financial Performance Representation deals with the franchisees offered and sold by the St. Louis, MO, Chicago, IL, Phoenix, AZ, Pittsburgh, PA, Houston, TX, New Jersey, Tampa FL, the Atlanta, GA, Nashville, TN, Dallas, TX, Kansas City, KS, Raleigh-Durham, NC, and Charlotte, NC regional offices. The San Antonio, TX regional office did not begin operations until 2024, and therefore the information from this office is not included in this Item 19. The below charts include franchisees that were open and operating for any amount of time in 2024, including those that opened or ceased operations in 2024.
The following charts show the average Monthly Contract Revenue earned by each level of franchisee (Technician, On-Site Manager, and Corporate) based on the months that the franchisees operated during 2024. For example, if a franchisee began operations in October and had Monthly Contract Revenue of $1,000 for October, $1,500 for November and $1,750 for December, the Average Monthly Contract Revenue would be $1,416 and the franchisee would be listed in the category of "Between $1,001 and $2,000" under "In Business for 2-6 Months". Written substantiation for the following information will be made available upon reasonable request.
TECHNICIAN (1,206 Franchisees)
*Monthly Contract Revenue for Technicians
Source: Item 19 — FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 31–34)
What This Means (2025 FDD)
According to Buildingstars's 2025 Franchise Disclosure Document, Item 19 provides financial performance representations based on data from franchisees operating in specific regional offices, excluding San Antonio, TX, as that office began operations in 2024. The representations cover franchisees open for any amount of time during 2024. The document outlines that the average monthly contract revenue is calculated based on the months the franchisees operated during 2024.
For example, the FDD states that if a Buildingstars franchisee began operations in October and had Monthly Contract Revenue of $1,000 for October, $1,500 for November, and $1,750 for December, the Average Monthly Contract Revenue would be $1,416. This franchisee would then be listed in the category of "Between $1,001 and $2,000" under "In Business for 2-6 Months".
The financial performance representations are categorized by franchisee level (Technician, On-Site Manager, and Corporate) and time in business. The FDD specifically excludes monthly contract revenue for Technicians in business for less than 2 months due to the lack of operating history. The Item 19 data includes charts showing different revenue ranges, the number of franchisees falling within each range, and the percentage of franchisees in each category. This information is intended to provide prospective franchisees with an understanding of potential earnings based on the performance of existing franchisees, though Buildingstars explicitly states that individual results may vary and there is no assurance of earning as much.
Buildingstars emphasizes that they do not represent that any franchisee can expect to attain such sales, and actual results may vary. They encourage prospective franchisees to develop their own business plan with financial statements and projections, and to consult with accounting, business, and legal advisors to assess the likely financial performance of the franchise. The FDD also notes that historical sales may not correspond to future results due to factors like inflation and market conditions, and that the janitorial services market is highly competitive and price-sensitive.