If you are good with your hands and thinking about working for yourself, two paths show up quickly: buy a handyman franchise, or put your own name on the truck. Both work for some people. They cost very different amounts, they ask for different skills, and they leave you with different things at the end. This guide sets out the numbers the franchisors publish themselves, what the ongoing fees mean in plain arithmetic, and what going solo really involves. Every franchise figure comes from the franchisor's own website, checked October 8, 2026. Always confirm against the current Franchise Disclosure Document before you sign anything.
- Two well-known handyman franchises list initial investments from about $116,000 to $239,000 on their own pages, with franchise fees of $67,000 and $71,000.
- The bigger cost is the ongoing one. Mr. Handyman lists a 7% licensing fee on annual gross sales, every year, on top of the start-up money.
- Federal rules require the franchisor to give you its disclosure document at least 14 calendar days before you sign or pay. Read Items 5, 6, 7, 19 and 20.
- Going solo costs far less to start, but you have to build the name, the pricing, the systems and the marketing yourself.
- Call former franchisees. Their contact details are in the disclosure document for a reason.
What a handyman franchise sells you
A franchise is a license to run a business under someone else's name, using their methods. In return for fees, you typically get:
- A known name. Homeowners may recognize the brand before they have heard of you.
- A playbook. How to price, schedule, hire, sell and run the office, already written down.
- Training and support. An initial training program and people to call when something goes wrong.
- Marketing. National or regional advertising, a website, and help with local marketing.
- A territory. An area where, depending on the agreement, other franchisees of the same brand do not operate.
- Buying power. Some systems give access to supplier discounts. Neighborly, which franchises Mr. Handyman, mentions a buying network on its investment page.
Some handyman franchises are also built around an owner who manages rather than swings the hammer. Neighborly describes an "executive ownership model" for Mr. Handyman. That matters: if what you love is the work itself, a franchise built for a manager may not be what you want day to day.
What two handyman franchises cost to start
These are the figures each franchisor publishes on its own franchise site. Both point to their Franchise Disclosure Document for the full detail.
| Published figure | Mr. Handyman | Handyman Connection |
|---|---|---|
| Initial franchise fee | $67,000 | $71,000 |
| Total initial investment | $161,900 to $215,000 | $115,837 to $238,736 |
| Ongoing fee on sales | 7% of annual gross sales | See the FDD |
| Liquid capital asked for | At least $50,000 | Not listed on the page |
| Minimum net worth | $250,000 | Not listed on the page |
Sources, checked October 8, 2026: Mr. Handyman's franchise page and its "What's the Cost" page, which cite Item 7 and Item 5 of the 2026 Mr. Handyman SPV LLC Franchise Disclosure Document. Handyman Connection's investment page, which says the initial investment includes the first three months of start-up and that its fee is $71,000 plus $1 for each additional household.
Handyman Connection's page also breaks the investment down. A few lines stand out for a would-be owner: grand opening marketing, advertising and promotion of $25,685 to $69,700; a proprietary software license of $6,000 to $12,000; insurance of $2,537 to $7,664; and three months of working capital estimated at $1,730 to $40,830. Those ranges show where start-up money goes in a franchise: a large share is marketing and systems, not tools.
We also looked at other handyman brands. Their franchise sites either did not load for us or did not show figures without a form, so they are left out rather than guessed.
The fee that keeps going
The start-up money is a one-time hit. The percentage of sales is forever, or at least for the length of the agreement. Mr. Handyman lists a licensing fee of 7% of annual gross sales. Gross means sales, not profit.
Simple arithmetic shows why this matters. On every $100,000 of sales, a 7% fee is $7,000. On $300,000 it is $21,000. That comes out whether the year was a good one or not, and before you pay yourself. Many franchise systems also charge a separate marketing or brand fund contribution and technology fees. Those are listed in Item 6 of the disclosure document. Add them all up before you compare.
How to read the disclosure document
In the US, the FTC's Franchise Rule sets out what franchisors must tell you. According to the FTC's Franchise Rule Compliance Guide, franchisors must give you the disclosure document "at least 14 calendar days before the prospective franchisee signs a binding agreement with, or makes any payment to, the franchisor" (ftc.gov, Franchise Rule Compliance Guide, checked October 8, 2026). Use those days. The items that matter most for money:
- Item 5, initial fees. The franchise fee and anything else you pay before opening.
- Item 6, other fees. Royalties, marketing funds, technology, training, renewal and transfer fees.
- Item 7, estimated initial investment. The full start-up range, line by line.
- Item 19, financial performance representations. This is where a franchisor sets out any claims about sales or profit. Read the footnotes: how many locations reported, and which ones.
- Item 20, outlets and franchisee information. How many locations opened, closed and transferred, plus contact information for current and former franchisees.
Some states have their own franchise registration and disclosure rules on top of the federal one. A franchise attorney who reads FDDs for a living is worth paying before you sign. This guide is not legal advice.
Talk to the people who did it
The most useful hour you can spend is on the phone with franchisees, especially former ones. Ask them:
- How long until you paid yourself a normal wage?
- What did you spend that was not in Item 7?
- How many of your jobs came from the brand's marketing, and how many from your own?
- What would you do differently?
- If you left, why?
What going solo asks of you
Going solo costs much less to start. You need tools, a reliable vehicle, insurance, any license your state or city requires, and enough money to live on while the first customers find you. You keep every dollar of every sale. You also have to build everything a franchise would have handed you:
- A name people trust. Built job by job, review by review.
- Prices that make money. Labor rate, minimum charge, materials markup. Our guide on starting a handyman business walks through it.
- A way to be found. A website, a Google listing and reviews, in every town you work.
- An office. Answering calls, sending estimates, chasing signatures, sending invoices, collecting payment.
- Licensing and insurance. Rules on what a handyman can do without a contractor license vary by state and sometimes by city. Check your state's contractor licensing board before you take on a job.
The good news is that most of the office side is now software, not a franchise fee. That is the part Koira was built for.
How a solo handyman can get the franchise toolkit without the franchise
Koira is software, not a franchise. You keep your own name and every dollar of your sales, apart from a small cut on card payments. Here is what it covers, from the pricing page:
- A site that books jobs. Built from your business with Book online and Get a price on every page. Free on a Koira address.
- Estimates with good, better, best. Up to three options from your price list, signed and paid as a deposit on one page.
- Invoices and card payments. Sent when you tap done, paid at the door by QR code, card or phone wallet.
- Reviews. An ask after every paid job.
- An answered phone. The AI receptionist answers and texts back missed calls with three open times, on Grow.
Office is free, with Koira keeping 2% of card payments plus Stripe's processing. Grow is $249 a month plus usage at cost. Front Office is $499 a month flat. There is no per-person fee and no contract, so if it does not suit you, you leave. That is a very different commitment from a multi-year franchise agreement.
How to choose
| If this sounds like you | Lean toward |
|---|---|
| You have capital and want to manage, not do the work | Franchise |
| You want a playbook and do not mind sharing sales for it | Franchise |
| You want to do the work and keep what you earn | Solo |
| You have tools and skills but not $100,000 or more | Solo |
| You can learn marketing and office work, or use software for it | Solo |
Neither path is a guarantee. A franchise lowers some risks and adds a fixed cost. Going solo keeps costs low and puts every decision on you. Whichever you choose, be honest about which part of the job you actually want to do every day.
See how a handyman shop runs day to day on Koira for handymen. If you are already working under your own name, see where you stand. The free AI report shows how your business looks in search, listings and reviews next to shops near you, in about a minute.
Questions contractors ask
How much does a handyman franchise cost?
On their own franchise sites, checked October 8, 2026, Mr. Handyman lists a total initial investment of $161,900 to $215,000 with a $67,000 franchise fee, and Handyman Connection lists $115,837 to $238,736 with a $71,000 franchise fee. Confirm in the current disclosure document.
What royalty does a handyman franchise charge?
It varies by brand and is set out in Item 6 of the disclosure document. Mr. Handyman's investment page lists a licensing fee of 7% of annual gross sales, checked October 8, 2026. Look for marketing fund and technology fees too.
Is a handyman franchise worth it?
It can be if you want a known brand and a written system and you have the capital to buy in and carry the ongoing fees. If you want to do the work yourself and keep what you earn, starting under your own name is usually far cheaper.
How long do I get to review a franchise disclosure document?
The FTC's Franchise Rule requires franchisors to give you the disclosure document at least 14 calendar days before you sign a binding agreement or pay anything, per the FTC's Franchise Rule Compliance Guide.
Do I need a license to be a handyman?
It depends on your state and sometimes your city. Many states limit what work can be done without a contractor license, often by job size or type of work, and electrical, plumbing and gas work usually need a licensed trade. Check with your state's contractor licensing board.
Can I start a handyman business with little money?
Many people start with the tools they own, a vehicle, insurance and any required license, then reinvest as work comes in. Free software such as Koira's Office plan covers a booking site, estimates, invoices and card payments without a monthly fee.
What should I ask former franchisees?
How long it took to pay themselves a normal wage, what they spent that was not in Item 7, where their jobs really came from, and why they left. Their contact details are listed in Item 20 of the disclosure document.
