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  • 87 phone numbers
  • 96 unit locations

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Facts About This FDD CHHJ Franchising L.L.C.

Effective Date

27, March 2019

Business Description

The Franchisor is CHHJ Franchising LLC (“we,” “our” or “us”), a Delaware limited liability company that was formed on October 20,2006 and has its principal place of business at 4411 West Tampa Bay Boulevard, Tampa, Florida 33614 We do business under our corporate name and under the trademarks College Hunks Hauling Junk® and College Hunks Moving® We will refer to the person who buys a franchise as “you” or “your” throughout this Disclosure Document If you are a business entity, “you” or “your” also includes each partner, shareholder and/or other owner of that entity We are offering franchises for the operation of businesses operating under the Marks which provide junk removal services and/or moving services, including relocating items from one location to another and/or picking up unwanted items from residential or commercial clients and taking it to the appropriate landfill or transfer station for appropriate disposal or recycling We presently do not operate a business of the type being franchised or any other type of business We have never offered franchises m any other Iine of business We began offering franchises m mid-2007 Our agents for service of process are listed m Exhibit “A” to this Disclosure Document

Prior Experience

We have no predecessors Our parent company is Friedman and Soluinan Enterprises, LLC (“T&S” or “Parent”), a Maryland limited liability company that was formed on March 25, 2005 and is located at 4411 West Tampa Bay Boulevard, Tampa, Florida 33614 F&S owns the Marks listed m Item 13 of this Disclosure Document and has licensed them to us, including the rights to sublicense the Marks to our franchisees F&S has never offered franchises m this or any other line of business F&S does not operate a business of the type to be operated by you F&S does not provide products or services to our franchisees, nor does it guaranty our performance under the Franchise Agreement Our affiliate CHHJ, LLC (“CHHJ”) currently owns and operates a College Hunks Hauling Junk® and College Hunks Moving® in Maryland and our affiliate Mansan LLC currently owns and operates a College Hunks Hauling Junk® and College Hunks Moving® in Florida, and we consider these locations “Company” locations as detailed m Item 20 Our affiliate. Trash Butler LLC (“Trash Butler”), is a Florida limited liability company that was formed on May 21, 2013 and shares our principal business address at 4411 West Tampa Bay Boulevard, Tampa, Florida 33614 It provides doorstep valet trash pickup service, under the ‘TRASH BUTLER®” trademark and trade name, for apartment complexes and multi-family housing communities Uniformed trash valets pick up bagged garbage at the door and take it to the on-site dumpsters or compactors up to 5 times a week In certain circumstances. Trash Butler may subcontract these services to our franchisees, although It Is not obligated to do so Trash Butler has been designated as a National Account (see Item 12) Trash Butler has never offered franchises m this or any other line of business It does not operate a business of the type to be operated by you Trash Butler does not provide products or services to our franchisees, nor does it guaranty our performance under the Franchise Agreement We do not have any other affiliates that are required to be disclosed m this Item

Business Offered

You will have the opportunity to purchase a College Hunks Hauling Junk® franchise, a College Hunks Moving® franchise or both, depending on your financial ability and your professional experience The College Hunks Hauling Junk® concept and College Hunks Moving® concept are two separate but similar business models They must be budgeted for properly and treated as two separate businesses However, if you purchase both concepts, there are some shared resources, vendors, and expenses that can be enjoyed between the two businesses for economies of scale We grant College Hunks Hauling Junk® and/or College Hunks Moving® franchises to qualified candidates for the right to develop and operate a Franchise for an area that we mutually agree on, that provides junk removal and/or moving services, including relocating items from one location to another and/or picking up unwanted items from residential or commercial clients and taking it to the appropriate landfill or transfer station for appropriate disposal or recycling, plus other related services (‘franchised Business”) You must sign our Franchise Agreement (the ‘franchise Agreement”) m the form attached as Exhibit “C” to this Disclosure Document The Franchise Agreements grants you the right to develop and operate a single Franchised Business at an approved location We also offer a “small market” franchise for Zones that have between 5,000 and 299,999 m population and a conversion franchise for business operators m a similar business (junk removal and/or moving services) who wish to convert their businesses to our System

Initial Fees

In this Disclosure Document, all amounts paid to us or our affiliates prior to opening your franchise are considered “initial fees ” The initial fees include the amounts described below Franchise Agreement When you sign the Franchise Agreement for either a College Hunks Hauling Junk® franchise or a College Hunks Moving® franchise, you must pay to us an initial franchise fee of $40,000 for a standard Zone A standard Zone includes a range of anywhere from 300,000 to 400,000 m population If you purchase a College Hunks Hauling Junk® franchise and a College Hunks Moving® franchise concurrently, the initial franchise fee is $50,000 for a standard Zone The initial franchise fee is imposed uniformly among franchisees, based on the number of Zones purchased The initial franchise fee includes the initial license fee for the proprietary software you must use The initial franchise fee is payable in a lump sum when you sign the Franchise Agreement and is fully earned and non-refundable However, if, during or at the end of initial training, we determine at our sole option that you are not qualified to own a franchise, then we (i) may terminate the Franchise Agreement, and (ii) will refined the initial franchise fee (without interest), less the amount of any broker fees or commissions paid or payable by us m connection with the franchise sale and amounts incurred by us m providing initial training, provided you and your owners execute an agreed termination of the Franchise Agreement and general release m the form prescribed by If you are a qualified U S veteran, we will discount the initial franchise fee by $7,500 A qualified U S veteran must have at least a 51% interest m the Franchised Business at all times If you receive this discount and at any time during the initial term fail to satisfy the requirement that a U S veteran own at least a 51% interest m the Franchised Business, then you will be required to pay the balance of the initial franchise fee If you choose to purchase either a College Hunks Hauling Junk® franchise or a College Hunks Moving® franchise without purchasing the other franchise concept, then we may sell the other franchise concept within your Designated Territory However, provided you are m full compliance with the terms and conditions of your Franchise Agreement and satisfy our then-current criteria for franchisees of the applicable franchise concept, we will notify you of the proposed sale of the franchise concept to a third party m your Designated Territory and you will have ten days following such notice to exercise your right to acquire the franchise concept for an initial franchise fee of $20,000 Alternatively, and subject to availability m your Designated Territory and provided you satisfy the fore going conditions for acquiring another franchise concept, you may at any time subsequent to purchasing either franchise concept elect to purchase the other franchise concept for an initial franchise fee of $20,000 In either instance, the $20,000 initial franchisee fee for the additional franchise concept is payable upon execution of the amendment to your Franchise Agreement reflecting the right to operate the additional franchise concept and is fully-earned by us when paid and non-refundable If you qualify to operate multiple Zones and wish to purchase one additional Zone that is contiguous to your Designated Territory at the same time you sign the Franchise Agreement, you must pay us a deposit of $10,500, which will be applied toward the initial franchise fee for the additional Zone m &e amount of $35,000 The deposit is fully earned when paid and non-refundable Provided you operate the Franchised Business for at least six months m accordance with the terms and conditions of the Franchise Agreement, including without limitation our standards, you may request to complete the purchase of the additional Zone that IS contiguous to your Designated Territory You must complete the purchase of the additional Zone prior to the first anniversary of the date your Franchised Business commences operations To apply for the additional Zone, you must (i) be m foil compliance with the terms and conditions of your Franchise Agreement and all other agreements with us or our affiliates, (ii) complete our then-current form of franchise expansion application that may be posted m our Operations Manual or otherwise made available to you m writing, and (iii) meet our then-current criteria, including, but not limited to, demonstrated financial ability and minimum revenue/performance criteria for your existing Zone(s) As of the date of this disclosure document, we require (a) minimum revenue at or above the average 6 month per population revenue attained by the prior year's new franchisees and (b) at least 6 months' available capital or financing (based on your reasonable estimates) We may periodically change the qualifications and criteria for purchasing additional Zones The balance of the initial franchise fee for the additional Zone is payable upon signing the amendment to the Franchise Agreement for the right to operate the additional Zone and is fully earned by us when paid and non-refundable If you do not purchase the rights to an additional Zone at the same time you sign the Franchise Agreement, you may purchase an additional Zone at the then current initial franchise fee, subject to availability and your satisfaction of the criteria described above This fee is non-refundable You may also choose to purchase a fraction of a Zone that is contiguous to your Designated Territory, either initially or during the term of your Franchise Agreement The cost of a fractional Zone is $15,000 for each additional 100,000 m population If you wish to acquire a fictional Zone after your Franchised Business has started operations, you must complete a franchise expansion application and meet our then-current criteria to acquire an additional Zone, as described above We currently limit the number of Zones you may purchase to one Zone with an option to purchase a second Zone within six months, subject to your eligibility and compliance with the conditions described above After you commence operation of your Franchised Business, the total number of Zones will depend, among other things, on the performance of your existing Zones, your ability to capitalize your Franchised Business and maintain the negotiated truck roll-out schedule, and other criteria that we may determine from time to time

Financing

We do not offer direct or indirect financing we do not guarantee your note, lease or any other obligation

Franchisee Revenue and Profit

The FTC's Franchise Rule permits a franchisor to provide information about the actual or potential financial performance of its franchised and/or franchisor-owned outlets, if there is a reasonable basis for the information, and if the information is included m the Disclosure Document Financial performance information that differs from that included m Item 19 may be given only if (1) a franchisor provides the actual records of an existing outlet you are considering buying, or (2) a franchisor supplements the information provided m this Item 19, for example, by providing information about possible performance at a particular location or under particular circumstances HISTORICAL FINANCIAL PERFORMANCE INFORMATION The following charts provide information regarding the annual gross sales, gross profit, profit margin, EBITDA, and certain expense and annual performance metrics for franchised outlets and outlets owned by our affiliates These businesses (both franchised and affiliate-owned) provide substantially the same products and services as the Franchised Business offered m this Disclosure Document Likewise, they receive substantially the same services as those we provide for the Franchised Business offered m this Disclosure Document, except our affiliates receive centralized accounting, financial and management services The charts below present information for only those outlets that responded to a survey or are a part of our bookkeeping program and were m operation for at least 12 full months as of the end of the applicable reporting period This includes 69 franchised and 2 affiliate-owned outlets m 2018 (representing 68% (71/ 104) of all outlets m existence at the end of 2018) Note that 11 of these 104 locations were not surveyed because they were open less than 12 months m 2018 Therefore, the information includes 76% (71/93) of all outlets that were open a full 12 months m 2018 Our affiliate CHHJ owns and operates the College Hunks Moving® and College Hunks Hauling Junk® business located m Rockville, Maryland (“DC Corporate Location”), which has been m operation since 2005 and currently provides junk removal and moving services m Washington, DC, and Maryland (a total of 5 Zones) Our affiliate Mansan LLC owns and operates the College Hunks Moving® and College Hunks Hauling Junk® business located m Tampa, Florida (“Tampa Corporate Location”), which has been m operation since 2008 and provides junk removal and moving services m Tampa, Florida (a total of 3 Zones) These locations operate under a franchise agreement with us and pay royalties. First Contact Sales & Loyalty Center fees, and Brand Development Fees on the same basis as our franchisees These operations are both “absentee owner” businesses, meaning they both have full-time general managers operating the business Unless otherwise specified, “Gross Sales” or “Gross Revenue” means the actual gross revenues billed to clients or what would have been billed to clients if payment had been collected for products and services, plus any other revenue derived from the operation of the business The Gross Sales/Gross Revenue information is based on the same Gross Sales used to calculate royalties and other fees under the Franchise Agreement The franchised outlets and affiliate-owned outlets report gross receipts information to us based upon a uniform reporting system However, none of the information supplied to us has been audited