Master Franchise Agreements

Hey fellow entrepreneurs! Are you looking to expand your
franchise business and take it to the next level? Or are you looking to get
into franchising for the first time in a big way? You should consider
becoming a master franchisee. It’s like being a boss of bosses!

Here’s the deal: a master franchisee takes on the role of a
franchisor within a designated territory. You’ll be responsible for
recruiting, training, and supporting single-unit franchisees, and overseeing
their operations. It’s a bigger enterprise, which means bigger growth
opportunities for you.

With Stratus Building Solutions, you can be the boss and run your
own franchise. We have 70 master franchisees already in our company who
support a whopping 3,000+ single-unit franchisees who perform the commercial
cleaning work. Impressive, right? Let’s explain what it means to be a
franchise boss.

Key Components of Master Franchise
Agreements

Now, before you get started, be sure you understand the key
components of a master franchise agreement. Lucky for you, Stratus includes a
sample agreement in their franchise disclosure document (FDD) to review
before you sign on the dotted line. Here’s what you can expect to find in our
master franchise agreement:

Territory Allocation

The franchise agreement sets out the license, designated
territory, and office location requirements. The designated territory is the
region where you are the boss of the bosses! You recruit sub-franchisees
(unit franchisees) who perform the commercial cleaning work.

Terms and Renewals

In our franchise agreement, we include the term and renewal of
your master franchise contract, as well as guidance on preparing the
sub-franchisee agreements.

You have to sign a franchise agreement with your unit franchisees
indicating the assistance and support you will provide to them. This includes
identifying cleaning contracts and providing billing and collection on their
behalf. You are also responsible for preparing your own franchise disclosure
document and ensuring the franchise offering is registered with applicable
state agencies (if that has not already been done.)

It sounds like a lot of paperwork, but don’t worry! There are lots
of people at our head office to help you with this. Even though you’re a
master boss, we’re still with you every step of the way.

Fees and Reporting Requirements

The master franchise agreement indicates the fees, payments, and
reports you are required to submit to the franchisor. It also indicates the
fees, payments, and reports that your unit franchisees are required to submit
to you. Yes, as a master franchisee, you get a chunk of the royalties just
like the franchisor, plus you get a portion of the franchisee fee for every
sub-franchisee you bring on board. We like to share the wealth at
Stratus!

Master Franchisee
Responsibilities

It would be nice to live in a world with no responsibilities, but
alas, we all have them! Let’s take a sneak peek at your master franchisee
responsibilities:

• Manage an exclusive territory. It’s your turf to
  grow.
• Handle billing, invoicing, getting contracts, and collecting
  payments for your sub-franchisees. You’ll get the hang of it in no time with
  our awesome software.
• Marketing and advertising obligations. Stratus doesn’t currently
  require this (yay!) but other master franchise agreements
  might.
• Brand standards management. We have a pile of fun at Stratus but
  we also have a way of doing things and you have to teach your sub-franchisees
  about that. We’ll train you on brand standards so you can train them. The
  franchise disclosure document that contains the master franchise agreement
  sample will also list the table of contents for the brand
  manual.

Additional Items

Other common elements of a master franchise agreement might
include things like audits, confidential information, insurance, and
indemnification. We’re upfront here at Stratus but you should still consult a
knowledgeable third-party franchise advisor to make sure you understand
everything before you sign the agreement.

Stratus Building Solutions is Owned by Master
Franchisees!

But wait, there’s more! Did you know that Stratus Building
Solutions is owned by master franchisees? That’s right! Three master
franchisees bought the company in 2015 and since then, the growth has been
incredible. In fact, in 2023, Stratus was ranked the fastest-growing
franchise by Entrepreneur
Magazine!

If you’re ready to take on the challenge of being a master
franchisee, Stratus is one of the best options out there with an estimated
initial investment of $225,000-$350,000 depending on the territory size. In
terms of master franchise
investments, the package we offer is one
of the best you will find. Plus, commercial cleaning is a $61B industry, so
the potential for growth is huge.

So, what are you waiting for? Request more
information from Stratus Building
Solutions by completing a simple online form. As a company owned by master
franchisees, they know the potential of this business and are excited to
explore this opportunity with you. Let’s talk!