FDD-based startup cost, franchise fee, revenue, profit, SBA default rate, and investment risk signals for ZIPS Dry Cleaners.
Based on 2025 FDD · 6 filings in corpus
Cost and profit at a glance
Based on FDDIQ's FDD corpus, a ZIPS Dry Cleaners franchise shows an estimated initial investment of $762K – $1.2M. Reported owner economics show $267K. Use the links below to compare the cost, revenue, SBA loan history, and ROI against other franchises before you request the full FDD.
Quick fee read: $30K franchise fee · 11% royalty/ad burden. These figures are directional screening data, not a substitute for reading the current FDD and speaking with existing operators.
ZIPS Dry Cleaners requires a total initial investment of $762K to $1.2M (midpoint approximately $980K), with an initial franchise fee of $30K. The ongoing fee burden is 11% (6% royalty plus 5% advertising fund). This is below the industry average of approximately 15.5%, leaving more margin for the operator.
According to Item 19 of the 2025 FDD, the median revenue for ZIPS Dry Cleaners locations is $1.1M. The implied franchisee EBITDA is approximately $267K, based on the margin assumptions disclosed in the FDD. The estimated cash-on-cash return is 27.2% with a payback period of approximately 3.7 years.
ZIPS Dry Cleaners operates approximately 3 franchised units. The SBA 7(a) loan default rate of 0.0% is well below the industry average of approximately 7.2%, indicating strong franchisee financial outcomes.
Prospective franchisees should verify all figures against the most recent FDD, conduct validation calls with multiple existing franchisees, and consult with a franchise attorney before signing any agreement.
Analysis based on 2025 FDD filing. FDDIQ Editorial Team · Methodology
Estimated using sector-average margins. Actual franchise economics vary by location, operator, and market conditions.
Industry averages based on FranchiseIQ corpus benchmarks. ▲ = better than avg, ▼ = worse.
Real lending data from SBA 7(a) loans (2010-2016). 12 loans across 3 states.
Source: SBA 7(a) loan data via FOIA. Default rate = charged-off loans / total originated. Industry avg default rate ~7.2%.
FDD Item 7 breaks down every cost category required to open a franchise - from the franchise fee ...
SBA 7(a) franchise loan approval rates by brand, default rates by sector, and what lenders look f...
Compare every franchise financing option - SBA 7(a) loans, SBA 504 loans, ROBS (401k rollovers), ...
Everything you need to know about SBA 7(a) franchise loans - eligibility, the SBA Franchise Direc...
Everything franchise buyers need to know about SBA 7(a) and 504 loans: rates, down payments, time...
5 data-driven questions every ZIPS Dry Cleaners franchise buyer should ask.