Commercial Cleaning Franchise Office Pride Plots Growth After New PE Investment | Franchise Mergers and Acquisitions

Considering that founding his commercial cleaning business enterprise in 1992, Todd Hopkins has grown Business office Pride to practically 150 franchise areas and was “going by means of estate setting up and asking all the what-if questions” when he determined he desired assistance for the firm to realize its whole opportunity.

Non-public fairness firms Trivest Associates and Three20 Funds Group emerged as the ideal associates to present that help, stated Hopkins, and with each other they program to double the number of units via a mixture of new growth and acquisitions. Rated No. 335 on the Franchise Times Major 400, Workplace Satisfaction grew gross sales 16.7 p.c in 2020, to $67.6 million.

“Trivest is the 1 company that would allow us be us,” claimed Hopkins. “Our society is a faith-based mostly society. 

“I felt they could include a lot of gasoline to the advancement. I enjoy the concept of acquiring associates who can support me improve this exponentially.”

Terms of the offer were not disclosed, nevertheless Jorge Gross, a spouse at Coral Gables, Florida-primarily based Trivest, reported “actual operational manage stays at the company” with Hopkins as CEO. Trivest made the investment by means of its Discovery Fund, a $235 million command fund that according to the company’s website “invests generally in little, profitable corporations inside of fragmented industries that have great potential to scale.”

Gross explained “there’s a lot to like” about Business office Delight, which gives janitorial, disinfection and specialty services these types of as carpet and window cleaning to industrial properties, professional medical services, educational institutions, overall health golf equipment and more. “We see a scaled franchisor with incredible society and off-the-charts franchisee satisfaction in an business with significant tailwinds,” he mentioned.

Hopkins mentioned the choice to convey in private fairness “wasn’t a cash-motivated factor.”

“I was all set to not be the only owner any longer and to have anyone else to talk technique with,” he explained, specially as Office Pleasure has an rising quantity of multi-device owners who are searching for unique degrees of help to mature their enterprises.

Todd Recknagel and Kristi Mailloux, who direct Three20 Funds, will help on the tactic side, Hopkins continued, as the two have practical experience as franchisors and franchisees. They also have an present connection with Trivest, which in 2019 invested in their PCRK Group now working 89 Massage Envy places in 11 states.

Mailloux, who used six several years as president of Molly Maid, claimed she wishes to find out from Business Pride’s current foundation of profitable franchisees and then “cultivate and enhance” their very best methods.

The expense to open up an Workplace Satisfaction franchise ranges from $67,500 to $112,200. Normal gross sales in 2020 have been $556,240, with sales for the prime quartile of $1,420,603 and $75,135 for the base quartile.