Source: Franopolis

1-800 WATER DAMAGE

1-800 WATER DAMAGE is a restoration franchise serving homeowners and businesses affected by water, fire, smoke, mold, or sewage-related property damage. Franchise owners provide water extraction, structural drying, fire and smoke cleanup, mold remediation, and sewage cleanup for residential and commercial properties. Their teams work with customers during cleanup, insurance processes, and recovery after property damage events. The business is a local, service-based property restoration operation within the restoration industry.

Sources2026 FDD Research
Marketing & Advertising2% of Gross SalesSources
FDD Edition2026Sources

The Business

Sources

The franchisor was formed on April 16, 2015, as a Delaware Limited Liability Company.

2026 FDD · PDF Page 9 · Item 1 · View Source

Read More About The Business

The franchisor’s parent is BELFOR Franchise Group, LLC (f/k/a “DUCTZ Holdings, LLC”) a Michigan Limited Liability Company formed on July 3, 2007.

2026 FDD · PDF Page 9 · Item 1 · View Source

Read Source Excerpts

We were formed on April 16, 2015, as a Delaware Limited Liability Company.

2026 FDD · PDF Page 9 · Item 1

Our parent is BELFOR Franchise Group, LLC (f/k/a “DUCTZ Holdings, LLC”) a Michigan Limited Liability Company formed on July 3, 2007 (“BFG”).

2026 FDD · PDF Page 9 · Item 1
Source Notes

What It Costs

Sources
Where Your Startup Money Goes
CostDisclosed AmountSource
Standard Franchise — Rent$3,000 to $15,0002026 FDD · PDF Page 26

Rent (Note 9) $3,000 $15,000

Standard Franchise — Business Telephone Fee$0 to $1502026 FDD · PDF Page 26

Business Telephone Fee (Note 6) $0 $150

Standard Franchise — Computer System$0 to $2,8752026 FDD · PDF Page 26

Computer System (Note 7) $0 $2,875

Standard Franchise — Full time Service Technician$6,336 to $16,8962026 FDD · PDF Page 26

Full time Service Technician (Note 5) $6,336 $16,896

Standard Franchise — Food and lodging while at training$1,800 to $2,5002026 FDD · PDF Page 26

Food and lodging while at training, not including the cost of transportation (Note 3) $1,800 $2,500

Standard Franchise — Additional funds for the first 3 months$10,000 to $30,0002026 FDD · PDF Page 27

Additional funds for the first 3 months (Note 13) $10,000 $30,000

Standard Franchise — Licenses and Permits$0 to $6002026 FDD · PDF Page 27

Licenses and Permits (Note 12) $0 $600

Standard Franchise — Initial Package Fee$51,0002026 FDD · PDF Page 26

Initial Package Fee/Marketing and Operations Package/Equipment and Products Package Fee (Note 2) $ 51,000 $ 51,000

Standard Franchise — High Speed Internet, Anti-Virus Software and Electronic Mail$267 to $4772026 FDD · PDF Page 26

High Speed Internet, Anti - Virus Software and Electronic Mail $267 $477

Standard Franchise — Initial Franchise Fee per Territory$59,000 to $64,9502026 FDD · PDF Page 26

Initial Franchise Fee per Territory (Note 1) $59,000 $ 64,950

Standard Franchise — Leasehold Improvements$0 to $1,2002026 FDD · PDF Page 26

Leasehold Improvements (Note 10) $0 $1,200

Standard Franchise — Insurance$4,500 to $8,7502026 FDD · PDF Page 26

Insurance (Note 8) $4,500 $8,750

Standard Franchise — Security Deposits/Utility Deposits$1,000 to $3,0002026 FDD · PDF Page 27

Security Deposits/ Utility Deposits (Note 11) $1,000 $3,000

Standard Franchise — Total Estimated Initial Investment & Additional Expenses$142,903 to $312,3982026 FDD · PDF Page 27

TOTAL ESTIMATED INITIAL INVESTMENT & ADDITIONAL EXPENSES $ 142,903 $ 312,398

Line items are shown as disclosed. Some costs overlap or apply to different formats; do not add them together without reviewing the source.

Sources

Key Franchise Fees

Marketing & Advertising
2% of Gross Sales
View Disclosed Terms

2% of Gross Sales

2026 FDD · PDF Page 20 · Item 6

Review Fee Sources
Fees And Payment Terms
FeeDisclosed TermsSource
NSF FeeOur then current fee, which is presently $50 per NSF2026 FDD · PDF Page 21
Non-Compliance FeeOur then - current fee, which is presently the greater of $2,500 per transaction or the total sum of the invoice for the job for each incident of Out - of - Territory Conduct, or $5,000 per instance for other non - compliant acts or omissions2026 FDD · PDF Page 21
Initial Franchise Fee — Standard FranchiseUpon signing of the Agreement for a new 1 - 800 WATER DAMAGE Business (“Standard Franchise”), you must pay an initial fee to us of $59,000 (the “Initial Franchise Fee”) for a single Territory with a population of approximately 350,000 people. If you wish to purchase additional Territory, the Initial Franchise Fee will equal $59,000, plus $170 per thousand in population in excess of 350,000 (the “Additional Fee”).2026 FDD · PDF Page 15
Brand Marketing Fund Contributions2% of Gross Sales2026 FDD · PDF Page 20
Royalty — Remediation ServicesRemediation Services: - 10% of Gross Sales of up to $499,999.99 per year - 9% of Gross Sales of more than $500,000 per year - 8% of Gross Sales of more than $1,000,000 per year - 7% of Gross Sales of more than $2,000,000 per year2026 FDD · PDF Page 19
Late Payment Fee$50 per week2026 FDD · PDF Page 21
Convention Non-Attendance FeeOur then - current fee, which is presently $1,0002026 FDD · PDF Page 22
Royalty — Reconstruction ServicesReconstruction Services: - 10% of Gross Sales until Remediation Services Gross Sales exceed $500,000; and then 3% of Gross Sales2026 FDD · PDF Page 19
Initial Franchise Fee — Expansion FranchiseUpon signing of the Agreement for a new 1 - 800 WATER DAMAGE Business (“Expansion Franchise”), you must pay an Initial Franchise Fee $49,000 to us for a single Territory with a population of approximately 350,000 people.2026 FDD · PDF Page 18
Initial Franchise Fee — Conversion FranchiseThe Initial Franchise Fee for a Conversion Franchise shall be reduced according to the chart below. Conversion Tiers Grossed Annual Sales Initial Franchise Fee Re - Branding Credit* Tier One $100,000 to $249,999 $44,000 $5,000 Tier Two $250,000 to $499,999 $39,000 $10,000 Tier Three $500,000 + $34,000 $15,0002026 FDD · PDF Page 17
Transfer-Broker FeeActual costs, if you authorize us to enlist a third - party broker to locate the transferee, which currently is approximately 10% of the sale price, or $30,000, whichever is higher.2026 FDD · PDF Page 19
InterestLesser of 18% per annum or the maximum permitted by law, whichever is less2026 FDD · PDF Page 22
Software FeeOur then - current fee, which is presently $3992026 FDD · PDF Page 20
Modified Initial Package — Conversion FranchiseAt minimum, you will be required to purchase the Marketing and Operations Package component of the Initial Package for $ 8,500 plus sales tax... We reserve the right to require Conversion Franchises to purchase a complete Initial Package if we deem it necessary.2026 FDD · PDF Page 17
Transfer Fee25% of the Initial Franchise Fee at the time of Transfer, but not less than $10,0002026 FDD · PDF Page 19
Administrative FeeOur then - current fee, which is presently $500 per transaction2026 FDD · PDF Page 21
Testing, New Product or New Supplier ApprovalCost of review and testing with a minimum fee of $500 plus costs2026 FDD · PDF Page 23
Late Report Fee$50 per day that a report is late2026 FDD · PDF Page 20
Initial Package FeeYou must also obtain a fixed initial package (“Initial Package”) that will cost $ 51,000, plus sales tax (the “Initial Package Fee”).2026 FDD · PDF Page 16
Collection Fee35% of gross amounts collected on your behalf2026 FDD · PDF Page 22
Additional TrainingOur then current fee, which is presently $50 per person, per day.2026 FDD · PDF Page 23
Referral FeeApproximately 0% to 10% of the invoice amount2026 FDD · PDF Page 20
Minimum Monthly RoyaltyBeginning in the 13 th month of operation (the “Transition Date”), if your Royalty does not exceed $500 per month, you must pay the minimum monthly payment of $500 per month.2026 FDD · PDF Page 19
Conventions, Regional Meetings and/or Additional TrainingThe then - current fee, which is presently $1,000 maximum per person to attend the Convention or Regional Meetings and/or Additional Training2026 FDD · PDF Page 22

Some fees apply only to a specific event or service. These are not all monthly expenses.

Sources

Your Role As An Owner

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The Designated General Manager is not required to have an ownership interest in the 1 - 800 WATER DAMAGE Business.

2026 FDD · PDF Page 77 · Item 15 · View Source

Read The Disclosed Requirements

The Managing Owner or, if applicable, the Designated General Manager, must continuously exert her/his full - time best efforts to manage, promote and enhance the 1 - 800 WATER DAMAGE Business.

2026 FDD · PDF Page 77 · Item 15 · View Source

Read Source Excerpts

The Designated General Manager is not required to have an ownership interest in the 1 - 800 WATER DAMAGE Business.

2026 FDD · PDF Page 77 · Item 15

The Managing Owner or, if applicable, the Designated General Manager, must continuously exert her/his full - time best efforts to manage, promote and enhance the 1 - 800 WATER DAMAGE Business.

2026 FDD · PDF Page 77 · Item 15
Source Notes

Territory

Sources

The franchise does not come with an exclusive territory. Other franchisees, company-owned businesses and franchisor-controlled sales channels may compete in your area.

2026 FDD · PDF Page 47 · Item 12 · View Source

Read Source Excerpts

You will not receive an exclusive Territory. You may face competition from other franchisees, from outlets that we own, or from other channels of distribution or competitive brands that we control.

2026 FDD · PDF Page 47 · Item 12
Source Notes

A disclosed territory policy does not confirm that your preferred area is available. Ask the franchisor about the specific area you are considering.

Training & Support

Sources

The typical length of time between the signing of the Agreement and payment of any consideration for the 1 - 800 WATER DAMAGE Business and the opening of the Business is between 60 and 90 days.

2026 FDD · PDF Page 39 · Item 11 · View Source

Read The Disclosed Requirements

The franchisor has developed the WATER DAMAGE franchise software management system, which consists of software program(s) which you must use to maintain customer records, bid on jobs, create estimates and operate the 1 - 800 WATER DAMAGE Business.

2026 FDD · PDF Page 41 · Item 11 · View Source

Read Source Excerpts

The typical length of time between the signing of the Agreement and payment of any consideration for the 1 - 800 WATER DAMAGE Business and the opening of the Business is between 60 and 90 days.

2026 FDD · PDF Page 39 · Item 11

We have developed the WATER DAMAGE franchise software management system (the “WATER DAMAGE Software”), which consists of software program(s) which you must use to maintain customer records, bid on jobs, create estimates and operate the 1 - 800 WATER DAMAGE Business.

2026 FDD · PDF Page 41 · Item 11
Source Notes

Franchisor Financing

Sources

The only security the franchisor requires is a personal guaranty of the Note by you and by all the owners, as well as all respective spouses, of the company.

2026 FDD · PDF Page 37 · Item 10 · View Source

Read Source Excerpts

The only security we require is a personal guaranty of the Note by you and by all the owners, as well as all respective spouses, of the company.

2026 FDD · PDF Page 37 · Item 10
Source Notes

The Franchise Network

Sources
Company-Owned0

Reported At Year-End 2025

YearCompany-Owned At Year-EndSource
202302026 FDD · PDF Page 64 · Item 20
202402026 FDD · PDF Page 64 · Item 20
202502026 FDD · PDF Page 64 · Item 20

These are reported outlet counts, not available territories or a measure of profitability. A dash means a count is not available in this record.

Review The Source Figures

2023 Year-End Counts

Company Owned 2023 0 0 0

2026 FDD · PDF Page 64 · Item 20

2024 Year-End Counts

Company Owned 2024 0 0 0

2026 FDD · PDF Page 64 · Item 20

2025 Year-End Counts

Company Owned 2025 0 0 0

2026 FDD · PDF Page 64 · Item 20
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Inside The FDD

Sources

Plain-language summaries of the available FDD information. Each summary links to its source, with original excerpts available to review.

Sources

Research Data: Franopolis

The Franopolis report provides the source research. FDD page references identify the supplied excerpts when available.

01The Business And Its Ownership

The franchisor was formed on April 16, 2015, as a Delaware Limited Liability Company.

2026 FDD · PDF Page 9 · Item 1 · View Source

The franchisor’s parent is BELFOR Franchise Group, LLC (f/k/a “DUCTZ Holdings, LLC”) a Michigan Limited Liability Company formed on July 3, 2007.

2026 FDD · PDF Page 9 · Item 1 · View Source

Read Source Excerpts

We were formed on April 16, 2015, as a Delaware Limited Liability Company.

2026 FDD · PDF Page 9 · Item 1

Our parent is BELFOR Franchise Group, LLC (f/k/a “DUCTZ Holdings, LLC”) a Michigan Limited Liability Company formed on July 3, 2007 (“BFG”).

2026 FDD · PDF Page 9 · Item 1
Source Notes
08Suppliers And Required Purchases

The franchisor’s affiliates, CDI, or BHI, are the only approved suppliers for the small tools, equipment and safety package, and branded apparel.

2026 FDD · PDF Page 31 · Item 8 · View Source

Franchisor may receive fees and other payments from suppliers and others in connection with Franchisee’s purchases and may use the fees for Franchisor’s own purposes.

2026 FDD · PDF Page 116 · Item 8 · View Source

Read Source Excerpts

Our affiliates, CDI, or BHI, are the only approved suppliers for the small tools, equipment and safety package, and branded apparel.

2026 FDD · PDF Page 31 · Item 8

Franchisor may receive fees and other payments from suppliers and others in connection with Franchisee’s purchases and may use the fees for Franchisor’s own purposes.

2026 FDD · PDF Page 116 · Item 8
Source Notes
10Financing Offered By The Franchisor

The only security the franchisor requires is a personal guaranty of the Note by you and by all the owners, as well as all respective spouses, of the company.

2026 FDD · PDF Page 37 · Item 10 · View Source

Read Source Excerpts

The only security we require is a personal guaranty of the Note by you and by all the owners, as well as all respective spouses, of the company.

2026 FDD · PDF Page 37 · Item 10
Source Notes
11Support, Training And Advertising

The typical length of time between the signing of the Agreement and payment of any consideration for the 1 - 800 WATER DAMAGE Business and the opening of the Business is between 60 and 90 days.

2026 FDD · PDF Page 39 · Item 11 · View Source

The franchisor has developed the WATER DAMAGE franchise software management system, which consists of software program(s) which you must use to maintain customer records, bid on jobs, create estimates and operate the 1 - 800 WATER DAMAGE Business.

2026 FDD · PDF Page 41 · Item 11 · View Source

Read Source Excerpts

The typical length of time between the signing of the Agreement and payment of any consideration for the 1 - 800 WATER DAMAGE Business and the opening of the Business is between 60 and 90 days.

2026 FDD · PDF Page 39 · Item 11

We have developed the WATER DAMAGE franchise software management system (the “WATER DAMAGE Software”), which consists of software program(s) which you must use to maintain customer records, bid on jobs, create estimates and operate the 1 - 800 WATER DAMAGE Business.

2026 FDD · PDF Page 41 · Item 11
Source Notes
12Territory

The franchise does not come with an exclusive territory. Other franchisees, company-owned businesses and franchisor-controlled sales channels may compete in your area.

2026 FDD · PDF Page 47 · Item 12 · View Source

Read Source Excerpts

You will not receive an exclusive Territory. You may face competition from other franchisees, from outlets that we own, or from other channels of distribution or competitive brands that we control.

2026 FDD · PDF Page 47 · Item 12
Source Notes
14Patents, Copyrights And Proprietary Information

You do not receive the right to use any item covered by a patent. There are no pending patent applications that are material to the 1 - 800 WATER DAMAGE Business.

2026 FDD · PDF Page 54 · Item 14 · View Source

The franchisor does not own any registered copyrights which are material to the franchise; however, the franchisor claims copyrights in the Operations Manuals, advertising materials, 1 - 800 WATER DAMAGE Software, business forms, videos, CDs and other printed and advertising material used in operating the System.

2026 FDD · PDF Page 54 · Item 14 · View Source

Read Source Excerpts

You do not receive the right to use any item covered by a patent. There are no pending patent applications that are material to the 1 - 800 WATER DAMAGE Business.

2026 FDD · PDF Page 54 · Item 14

We do not own any registered copyrights which are material to the franchise; however, we claim copyrights in the Operations Manuals, advertising materials, 1 - 800 WATER DAMAGE Software, business forms, videos, CDs and other printed and advertising material used in operating the System.

2026 FDD · PDF Page 54 · Item 14
Source Notes
15Owner Participation

The Designated General Manager is not required to have an ownership interest in the 1 - 800 WATER DAMAGE Business.

2026 FDD · PDF Page 77 · Item 15 · View Source

The Managing Owner or, if applicable, the Designated General Manager, must continuously exert her/his full - time best efforts to manage, promote and enhance the 1 - 800 WATER DAMAGE Business.

2026 FDD · PDF Page 77 · Item 15 · View Source

Read Source Excerpts

The Designated General Manager is not required to have an ownership interest in the 1 - 800 WATER DAMAGE Business.

2026 FDD · PDF Page 77 · Item 15

The Managing Owner or, if applicable, the Designated General Manager, must continuously exert her/his full - time best efforts to manage, promote and enhance the 1 - 800 WATER DAMAGE Business.

2026 FDD · PDF Page 77 · Item 15
Source Notes
18Public Figures

The franchisor does not use public figures to promote the franchise. You need its written consent before using a public figure’s name in advertising, endorsements or other promotions.

2026 FDD · PDF Page 60 · Item 18 · View Source

Read Source Excerpts

We do not use any public figures to promote our franchise. You have no right to use the name of any public figure for promotional efforts, advertising, or endorsements, except with our prior written consent.

2026 FDD · PDF Page 60 · Item 18
Source Notes
20Franchise Locations

At the end of 2025, the FDD reports 0 company-owned locations. These are reported locations, not a count of territories available to buy.

2026 FDD · PDF Page 64 · Item 20 · View Source

Read Source Excerpts

Company Owned 2025 0 0 0

2026 FDD · PDF Page 64 · Item 20
Source Notes
Expert Guidance

Find The Right Business For The Life You Want.

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