How to Finance a COIT Franchise: Trucks, Territory, Restoration
By Chris Cornella
A COIT franchise loan finances an exclusive territory for one of the oldest names in home and commercial cleaning, with service lines that run from carpet, rug and air duct cleaning to water, fire and mold restoration. The business is built around trucks, truck-mounted equipment, trained technicians and a steady flow of jobs, so financing has to cover vehicles and equipment as well as the working capital a service company needs while it waits to get paid.
This article covers what COIT publishes about its history and franchise model, the cost categories buyers should expect in the franchise disclosure document, how SBA and conventional loans fit new territories, conversions and resales, and what lenders look at before they fund a COIT franchise.
US Professional Funding is not affiliated with, sponsored by or endorsed by COIT Cleaning and Restoration; the name is used only to describe the business. Figures in the franchisor’s disclosure document and website can change, loan programs and terms vary by lender and borrower, and every loan is subject to approval. Nothing here is legal, tax or investment advice, and buyers should review the current Franchise Disclosure Document (FDD) and franchise agreement with a qualified franchise attorney and accountant.
COIT Franchise Loan at a Glance
- Founded: 1950 in San Francisco, according to the company.
- Franchising since: 1964.
- Headquarters: Burlingame, California; the company describes itself as still family-owned.
- System reach: the company reports 106+ markets served and offices in 31 of the top 50 U.S. markets.
- Territory model: one franchise per territory, according to COIT’s franchising page.
- Service lines: residential and commercial cleaning plus emergency restoration.
- Fees and investment: not published on the franchisor’s website; see Items 5, 6 and 7 of the current FDD.
- SBA Franchise Directory: listed, with no special directory notes.
What Is COIT?
COIT began in 1950 when Lou Kearn opened a drapery cleaning business in San Francisco at the base of Coit Tower, using a drapery cleaning process he patented. The company became international in 1964 with the first of what it calls many multi-generation franchises.
The service line grew over the decades. COIT added home carpet and upholstery cleaning in 1971, introduced truck-mounted equipment in 1975, launched restoration services in 1990 and added air duct cleaning in 1992. Tile and grout, natural stone, hardwood and concrete cleaning followed, and the company marked 75 years in business in 2025.
What a COIT franchise sells. Today the brand groups its work into residential cleaning, commercial cleaning and restoration. Services include carpet, area rug, upholstery, drapery and blind, tile and grout, natural stone, wood floor, concrete, air duct and dryer vent cleaning, plus water damage, fire and smoke damage, mold remediation and content restoration. The company notes that availability of some services varies by location.
Why lenders view COIT the way they do. Lenders see a brand with a long operating history, a franchise program that dates to 1964 and a recognized consumer name. They also see an equipment-heavy service business with technicians, vehicles and, on the restoration side, insurance-driven receivables. Those features shape the loan structure as much as the brand does.
COIT Franchise Costs
COIT’s franchising page does not publish a franchise fee or investment range, and we could not access the current FDD, so this section explains the categories to review rather than quoting figures.
Initial franchise fee. Item 5 of the FDD lists the fee for a territory and any variation by territory size. Because COIT grants one franchise per territory, ask how the territory is defined and whether the fee scales with population or households.
Facility. A COIT operation typically needs an office and warehouse or shop space to store equipment, chemicals and vehicles, and for restoration, room for drying equipment and content handling. Budget for a lease deposit, modest improvements and signage.
Vehicles and equipment. Service vans or trucks with truck-mounted cleaning systems, portable extractors, air duct cleaning equipment, air movers, dehumidifiers and moisture meters are core costs. The larger the service menu you launch with, the larger the equipment budget.
Opening costs and working capital. Training, initial marketing, insurance, licensing and certifications, uniforms, supplies and payroll for technicians before revenue ramps up all belong in the plan. Restoration jobs often involve insurance claims that take time to pay, which increases the working capital need.
Total investment. Item 7 of the current FDD gives the official range. A typical cleaning and restoration franchise budget includes:
- Initial franchise fee
- Lease deposit, improvements and signage for office and warehouse space
- Service vehicles and truck-mounted cleaning systems
- Portable cleaning, air duct and restoration drying equipment
- Computer systems, software and phones
- Opening supplies and chemicals
- Training, insurance, licenses and professional fees
- Grand opening marketing
- Additional funds for the first months of operation
Compare each Item 7 line with your own vehicle and equipment quotes, and confirm whether the estimate assumes purchased or leased trucks.
Ongoing Fees and How They Affect Your Loan
Royalty and marketing. Item 6 of the FDD lists the royalty, any marketing or brand fund contribution and other recurring fees. COIT describes a marketing program that it says generates thousands of jobs per month across the system, so ask how marketing fees, call handling and lead distribution are charged.
Technology and call center costs. Scheduling software, customer management tools and any centralized booking service may carry recurring charges. Identify each one in Item 6.
Vehicle and equipment replacement. Truck-mounted units and vans wear out. Owners should plan for replacement cycles, and lenders like to see that plan in the projections.
How lenders factor these costs in. Lenders deduct royalties, marketing fees, vehicle payments, fuel, insurance and technician payroll before calculating debt service coverage. A COIT franchise loan request that shows realistic job volume, average ticket by service line and every fee is far more persuasive than one that uses top-line revenue alone.
Franchisor Requirements for New Owners
COIT does not publish a minimum net worth or liquid capital figure on its franchising page, and its inquiry form asks candidates for their available cash to invest. Check the current FDD and ask the franchise development team for the requirement. COIT’s materials emphasize:
- Leadership: the ability to recruit, train and manage technicians and office staff.
- Growth mindset: COIT describes building a multi-truck, multi-profit-center business.
- Training commitment: initial and ongoing training, including hands-on instruction.
- Customer service focus: service quality drives reviews and repeat work.
The approval process. COIT describes a four-step process to ownership. Expect an inquiry, introductory conversations, FDD review, validation with existing franchisees and approval before signing. Lenders want the signed franchise agreement or an approval letter before closing.
Ways to Own a COIT
Open a new territory. COIT’s franchising page lists open markets across the country. A new territory needs start-up financing for the fee, vehicles, equipment, facility and working capital. Our franchise start-up loans page explains how lenders approach new units.
Convert an existing cleaning business. COIT offers a conversion program for established cleaning companies. A conversion owner already has equipment, staff and revenue, so lenders can underwrite history, and financing may cover the franchise fee, rebranding, added equipment and refinancing existing debt. Read about conversion franchise financing.
Buy an existing COIT franchise. With multi-generation franchises in the system, territories do change hands. A resale gives the buyer trained staff, trucks, customers and financial history, subject to franchisor approval of the transfer. See restoration and cleaning business acquisition financing.
Financing Options for a COIT Franchise
SBA 7(a) loans. The SBA 7(a) program can fund the franchise fee, vehicles, equipment, leasehold improvements, working capital and the purchase of an existing territory, all in one loan. Learn more about SBA 7(a) financing.
SBA 504 loans. If you buy the warehouse or office building that houses the operation, the SBA 504 program can finance owner-occupied real estate and long-lived equipment over a long term.
Conventional term loans. Owners with strong credit, collateral and experience, especially conversion owners with operating history, may qualify for a conventional loan. See our conventional business loans page.
Equipment and vehicle financing. Truck-mounted cleaning systems, service vans, air duct cleaning rigs, air movers and dehumidifiers can be financed separately so the equipment is paid for over its useful life. Our franchise equipment financing and leasing page covers the options.
Working capital and lines of credit. Restoration work can mean payroll and materials paid weeks before an insurance claim settles, and cleaning demand can swing with the seasons. A line of credit sized to receivables helps. See working capital for restoration and cleaning companies.
Seller financing on resales. A selling franchisee may carry part of the price. Seller notes are typically subordinate to the senior loan, and SBA rules may limit their terms, so structure them with your lender.
SBA Loans for COIT Franchisees
How SBA lending works for franchises. SBA-guaranteed loans are made by participating lenders. For a franchise, the lender confirms the brand is eligible and reviews the borrower’s equity, credit and repayment ability. The SBA 7(a) program maximum is currently $5 million, although program rules can change.
The SBA Franchise Directory listing. COIT appears on the SBA Franchise Directory as “Coit Cleaning and Restoration” with no special notes. That means a lender can rely on the listing for brand eligibility without a separate review of the franchise agreement’s control terms, which simplifies the process.
Application tips.
- Itemize each vehicle and piece of equipment with quotes.
- Project job volume by service line, separating cleaning from restoration.
- Show how long insurance-paid restoration receivables are likely to take to collect.
- For conversions, provide two to three years of the existing company’s tax returns and financial statements.
Run payment scenarios with our SBA loan calculator.
How Lenders Evaluate a COIT Deal
Personal credit and financial history. Lenders review credit reports, existing debts and payment history for every significant owner.
Net worth and liquidity. Expect to show cash for the down payment plus reserves, and a personal financial statement.
Industry and management experience. Cleaning, restoration, field service or multi-crew management experience strengthens the application. Restoration in particular requires knowledge of insurance claims and industry certification.
Business plan and projections. Strong projections show the number of trucks, technicians per truck, job counts, average ticket by service, marketing lead flow from the franchisor and the timing of restoration payments.
The FDD and franchise agreement. Lenders review the term, renewal, territory rights and transfer conditions in Item 17, plus the fees in Items 5 and 6.
Facility lease or real estate. The lease should run long enough to cover the loan, and the space should handle vehicles, equipment storage and restoration drying.
For resales, historical financials. Lenders study revenue by service line, commercial versus residential mix, technician retention, vehicle condition and accounts receivable aging.
Trucks, Equipment and the Restoration Side
COIT introduced truck-mounted equipment in 1975, and trucks remain central to the model. Each truck is effectively a production unit: a vehicle, a mounted cleaning system, hoses, tools and a trained technician. Financing them separately, with terms that match their useful life, keeps the main loan focused on the franchise fee and working capital.
Restoration adds a different equipment set: air movers, dehumidifiers, air scrubbers, moisture meters and content handling supplies. It also changes the cash cycle. Water and fire jobs come on short notice, often outside business hours, and payment may depend on an insurance carrier’s review. Lenders financing a COIT territory with restoration services want to see a working capital plan for that gap.
Air duct and dryer vent cleaning use their own specialized equipment. Owners who add service lines over time can finance each addition as it is purchased, rather than borrowing for everything on day one.
Multi-Unit Growth and Development Agreements
COIT’s single-territory model means growth usually comes from adding trucks and service lines within a territory, and in some cases from acquiring an adjacent territory or another cleaning company. Lenders financing growth look at the current operation’s results, technician capacity and how the new trucks or territory will be staffed. Our restoration and cleaning expansion financing page explains the options, and add-on acquisitions for restoration and cleaning companies covers buying another operator.
Real-World Scenarios
The new territory. A former operations manager opens an open-market territory with two trucks focused on carpet, upholstery and air duct cleaning. An SBA 7(a) loan covers the fee, facility and working capital, while the trucks are financed separately.
The conversion. An independent carpet cleaning company with an established customer base joins COIT. A lender reviews three years of history and finances rebranding, added restoration equipment and refinancing of older equipment notes.
The second-generation resale. A long-time franchisee sells to a general manager who has run the business for years. The lender relies on historical financials, and the seller carries a subordinate note.
Adding restoration. A cleaning-focused owner adds water damage services. Equipment financing covers drying equipment, and a line of credit supports payroll while insurance claims settle.
Common Mistakes to Avoid
- Underestimating how long insurance-paid restoration work takes to collect
- Financing trucks on terms shorter than their useful life, straining cash flow
- Launching every service line at once without the staff to run them
- Leaving royalties, marketing fees and call-handling costs out of projections
- Buying a resale without inspecting vehicle and equipment condition
- Signing a facility lease shorter than the loan term
For more pitfalls, read five restoration company loan mistakes that cost owners the most.
Next Steps to Finance Your COIT Franchise
Step 1: Request the FDD. Review Items 5, 6, 7, 10, 17 and 19 with a franchise attorney and accountant.
Step 2: Choose your path. Decide between a new territory, a conversion of your existing company or a resale.
Step 3: Validate. Speak with current franchisees about trucks, staffing, lead flow and restoration collections.
Step 4: Build your plan. Prepare projections by service line, equipment quotes and a facility plan.
Step 5: Assemble your loan package. Gather tax returns, a personal financial statement, resumes, the business plan and franchise documents.
Step 6: Apply and close. Submit your request, coordinate vehicle and equipment orders, and complete training.
Step 7: Launch with reserves. Keep working capital available for payroll and slow-paying claims during the first months.
COIT Franchise Loan FAQs
How much does a COIT franchise cost?
COIT does not publish its investment range on its franchising page. Item 7 of the current FDD lists the estimated range, which depends heavily on the number of trucks and service lines you start with.
What is the COIT franchise fee?
The fee is disclosed in Item 5 of the FDD. Ask how the territory size affects it.
What royalty does COIT charge?
We could not verify the current royalty or marketing contribution from the franchisor’s own pages. Item 6 of the FDD lists every ongoing fee.
How much liquid capital or net worth do I need?
COIT does not publish a minimum online. Ask the franchise team and check the FDD; lenders will also expect cash for a down payment and reserves.
Can I get an SBA loan for a COIT franchise?
Yes. COIT is listed on the SBA Franchise Directory with no special notes, so eligibility is straightforward; approval still depends on your credit, equity and plan.
Can I finance trucks and equipment separately?
Yes. Vans, truck-mounted units, air duct systems and drying equipment can be financed with equipment loans or leases, as long as the arrangement fits the senior lender’s collateral position.
Can I convert my existing cleaning company to COIT?
Yes. COIT offers a conversion program for existing cleaning businesses, and lenders can underwrite your operating history.
Can I buy an existing COIT franchise?
Yes, subject to franchisor approval. Lenders can use the business’s actual financial statements in underwriting.
Can a first-time business owner get a COIT franchise loan?
Yes, with franchisor approval and a solid plan. Management or field service experience helps offset a lack of cleaning background.
Does COIT offer financing?
COIT says it provides financing help through a partner network. Item 10 of the FDD discloses any financing the franchisor itself offers.
How long is the COIT franchise term?
Item 17 of the FDD covers the term and renewal. Lenders want the remaining term to cover the loan.
Does the FDD include financial performance information?
Check Item 19 of the current FDD. For resales, rely on the business’s actual financial statements.
What documents do I need to apply?
Tax returns, a personal financial statement, a resume, a business plan with projections, equipment quotes, the FDD and the franchise agreement or approval letter.
Final Thoughts
COIT combines a brand with roots in 1950 with an equipment-intensive, multi-service field operation. Buyers who pair the right COIT franchise loan with separate truck and equipment financing and a realistic working capital plan for restoration receivables give themselves room to grow the territory.
US Professional Funding helps franchise owners finance start-ups, conversions, acquisitions, equipment and working capital. Learn more about our franchise financing programs and restoration, remediation and cleaning business financing.
