Little Diggers

The Little Diggers franchise represents a compelling opportunity within the essential services sector, having been established in 2007 with its operational roots firmly planted in Ann Arbor, Michigan. The company maintains its main offices at 731 Fairfield Ct., Ann Arbor, MI 48108, serving as the central hub for its expanding network. A pivotal moment in the brand's trajectory occurred in 2020 when the Little Diggers franchise became an integral part of the BELFOR Franchise Group, a strategic acquisition that has significantly accelerated its growth across the United States. This affiliation with BELFOR Franchise Group, a globally recognized leader in residential and commercial services franchising, provides the Little Diggers franchise with unparalleled resources and strategic backing. The franchisor legally operates under the name Little Diggers International, LLC, a Michigan Limited Liability Company, reflecting its structured corporate identity. The visionary founder and current Brand President of the Little Diggers franchise is Matt O'Rourke, a highly experienced and licensed professional whose expertise has shaped the brand's service excellence. He is supported by a robust leadership team from BELFOR Franchise Group, including Sheldon Yellen as CEO, Rusty Amarante as President, Ken Osness and Doug Smith as Senior Vice Presidents of Franchise Development, and Joe Janukaitis as National Franchise Recruiter. The brand's market position is further solidified by its unwavering commitment to customer satisfaction, evidenced by an impressive 90% Net Promoter Score, which substantially surpasses the industry average of 50-60%, highlighting an exceptional rate of customer recommendation. This dedication is consistently reflected in a remarkable 4.9 Google rating across its locations, with customers frequently commending the professionalism and superior quality of work delivered by the Little Diggers franchise. The comprehensive service offering positions the Little Diggers franchise as an "all-encompassing" provider, making it a true "one-stop shop" for a wide array of service needs, solidifying its strong standing in the competitive landscape.

The industry landscape in which the Little Diggers franchise operates is characterized by its essential nature and robust demand, largely insulated from economic fluctuations. The U.S. plumbing industry, which forms the core operational segment for the Little Diggers franchise, was valued at nearly $130 billion in 2023 and is projected to sustain continuous growth, with a promising outlook for innovation and expansion into 2025 and steadily through 2029. Several powerful trends are shaping this resilient sector, including the notable resurgence in nonresidential construction, where offices, warehouses, and hospitals are significant drivers of demand. According to IBIS World, nonresidential construction now accounts for over two-thirds of the industry's total revenue, with substantial federal investments in infrastructure and commercial projects ensuring high demand for service professionals in diverse environments such as offices, schools, manufacturing facilities, and data centers. Concurrently, the refurbishment of aging residential systems and ongoing residential upgrades consistently generate reliable income streams, complementing the commercial demand. The industry is also experiencing rising material and wage costs, which have naturally led to increased service rates, underscoring the growing value and demand for specialized services provided by the Little Diggers franchise. Furthermore, the global market for plumbing fixtures and fittings is projected to reach an impressive $145.16 billion by 2028, expanding at a compound annual growth rate (CAGR) of 7.8%, with North America alone anticipating a CAGR of 7.5%. This growth is propelled by an aging housing stock, increasing urbanization, and a heightened awareness of water efficiency. The integration of smart plumbing technology, such as intelligent leak detection systems, advanced water heaters, and touchless fixtures, is rapidly becoming a standard expectation in modern properties. The Little Diggers franchise is at the forefront of this technological adoption, integrating these innovations into its service offerings and providing specialized training to ensure its teams are proficient with the latest tools and systems. A significant challenge, however, is the widespread skilled labor shortage plaguing the industry, a concern that the Little Diggers franchise proactively addresses through its comprehensive training programs and strategic provision of advanced tools and equipment to maximize operational efficiency.

Investing in a Little Diggers franchise involves a clearly defined financial structure designed for transparency and accessibility. The initial franchise fee is set at $44,900, representing the gateway to joining this established network. To honor the service of military personnel, veterans of the U.S. Armed Forces who are honorably discharged or meet the specific requirements of the IFA's VetFran program are eligible for a substantial 20% discount on the initial franchise fee for their first territory, demonstrating a commitment to supporting those who have served. The total initial investment required to launch a new Little Diggers franchise ranges from $256,670 to $418,710. For those considering a conversion of an existing plumbing business into a Little Diggers franchise, the estimated cost range is significantly lower, from $101,320 to $352,050, offering a streamlined path for experienced operators. A detailed breakdown of the initial investment, as outlined in the 2023 Franchise Disclosure Document, further specifies the cost components. This includes the initial franchise fee of $44,900, an initial package fee which can be $67,500 or $45,000 depending on the source, and variable costs such as rent ranging from $0 to $6,000. Leasehold improvements may cost between $0 and $20,000, while exterior signage is estimated at $0 to $3,000. Licenses and permits typically fall within $500 to $5,000, and a technology system investment is between $250 and $2,000. Initial supplies and inventory require $2,500 to $53,900, and insurance costs are projected at $2,500 to $10,000. Vehicle acquisition, crucial for a mobile service business, ranges from $69,900 to $89,900. The cost for a full-time service technician during the initial phase is estimated between $7,260 and $21,360, or potentially $5,760 to $15,360. Business telephone fees are $150 to $1,050, and high-speed internet and anti-virus software are $210 to $600. Security and utility deposits may range from $0 to $2,500. Costs incurred while attending mandatory training are estimated at $1,000 to $5,000, and grand opening advertising and marketing can be $0 to $6,000. Finally, additional working capital for the first three months is a critical component, requiring $60,000 to $80,000. The ongoing financial obligations include a royalty fee for a Little Diggers franchise, which ranges from 4% to 8% of gross sales, with one source specifically citing 7% of gross sales. Franchisees are also required to contribute 2.00% of their gross sales to a national advertising fund, ensuring robust brand promotion. To qualify for a Little Diggers franchise, a liquid cash requirement of $50,000 and a minimum net worth of $200,000 are necessary.

The operating model and comprehensive support structure for a Little Diggers franchise are meticulously designed to ensure franchisee success from inception. New franchisees undergo an intensive 6-day training program that encompasses both crucial business management principles and advanced technical skills. This initial training is further supplemented by additional specialty technical training, ensuring a deep level of expertise. Hands-on training sessions are conducted at state-of-the-art facilities, covering not only sophisticated technical expertise specific to the services provided by the Little Diggers franchise but also critical customer service protocols and effective business management strategies. Beyond the initial training, the support extends to ongoing business coaching, sophisticated marketing assistance, and strategic brand positioning guidance to help franchisees thrive in their local markets. The franchisor also provides invaluable recruiting assistance, helping franchisees attract and retain top talent, and supports cooperative advertising initiatives to amplify brand presence. Franchisees benefit immensely from direct access to a vast network of resources, seasoned industry professionals, and fellow owners within the larger BELFOR Franchise Group ecosystem, fostering a collaborative and supportive environment. Specific guidance on hiring and retention strategies is provided, including proven methods for recruiting skilled labor and cultivating a positive company culture that minimizes turnover. The Little Diggers franchise operates on a turnkey business model, offering continuous coaching and business development support to ensure sustained growth. In a proactive effort to combat the industry's skilled labor shortage, the brand has launched the Little Diggers Apprenticeship Program, which is specifically designed to attract and develop young professionals entering the trade. This program offers skills-based coaching on work plans, goal-setting, and operational management, creating a pipeline of qualified technicians. While the Little Diggers franchise may offer financing for a portion of the initial franchise fee to qualified candidates, it is important to note that direct site selection assistance and lease negotiation assistance are not part of the standard support package. A key aspect of the operational flexibility is that Little Diggers franchise teams often work efficiently out of mobile vans, which offers significant advantages over businesses solely reliant on traditional brick-and-mortar retail spaces. Daily operations are streamlined by a dedicated 24/7 in-house call center, ensuring that customer needs are addressed promptly at any time. This customer-centric approach includes a commitment that work continues until the customer is completely satisfied with the completed job, reflecting the high standards upheld by every Little Diggers franchise.

The financial performance of the Little Diggers franchise demonstrates remarkable transparency and potential, as the brand provides an Item 19 in its Franchise Disclosure Document (FDD). This inclusion of financial performance representations, encompassing detailed revenue data and earnings information, is a distinguishing feature, as only approximately 1% of franchisors choose to disclose such comprehensive data, making the Little Diggers franchise notable for its commitment to financial transparency. According to the brand's 2023 Franchise Disclosure Document, franchisees have the potential to achieve substantial gross revenue, with reported figures indicating that units could bring in as much as $2.4 million annually. Further illustrating the strong earning potential, the average gross sales across all locations was recorded at $832,420.78. Complementing this, the median gross sales for all operational locations stood at an impressive $777,985. More recent data, as of June 2025, from a cohort of 27 franchise units, further reinforces this robust performance, showing an even higher average revenue of $901,503 per location. While these figures clearly indicate a strong revenue-generating capacity, specific profit margins are not explicitly disclosed as a general percentage within the provided information beyond these gross revenue figures. The business model of the Little Diggers franchise is strategically designed to maximize profitability through the cultivation of diverse revenue streams, ensuring multiple avenues for income generation. Furthermore, the essential nature of the services offered by the Little Diggers franchise positions it within a "recession-proof" industry. This inherent stability means that even during economic downturns, there is a consistent and steady demand for its services, as homeowners and businesses prioritize maintaining their existing infrastructure rather than investing in new properties or major overhauls. This foundational resilience provides a significant advantage for franchisees, ensuring ongoing work and income stability regardless of broader economic shifts.

The Little Diggers franchise has demonstrated a consistent and impressive growth trajectory since its inception and particularly following its acquisition. Established in 2007, the brand began offering franchise opportunities in 2017, laying the groundwork for its expansion. A transformative event occurred in 2020 when the Little Diggers franchise was acquired by the BELFOR Franchise Group, a strategic move that significantly accelerated its nationwide growth and propelled its development. The company’s footprint has steadily expanded, reaching 38 locations by 2024. More specific figures indicate that as of 2026, there were 16 franchised units complemented by 1 company-owned unit. In September 2024, the brand boasted 14 Little Diggers franchise locations across the country, with some territories efficiently utilizing multiple service trucks to meet demand. Since 2019, the Little Diggers franchise has experienced triple-digit percentage growth in the number of locations across the U.S., proudly boasting nearly 20 active locations. The momentum continued strongly into 2025, with the brand successfully launching over 16 new franchise territories, strategically expanding its presence across key regions including the Pacific Northwest, New England, Midwest, and Southeast. This includes the successful establishment of new locations in states such as Michigan, Ohio, California, Indiana, and Georgia, with a new Georgia franchise location in College Park specifically scheduled to open on April 1st, 2025. Currently, the Little Diggers franchise operates exclusively within the United States and does not offer franchise opportunities in Canada or other international markets. Its competitive advantages are numerous and compelling, notably the robust backing of the BELFOR Franchise Group, which provides franchisees with unparalleled resources, industry-leading training, state-of-the-art equipment, and continuous coaching that often surpasses what other industry players can offer. The Little Diggers franchise further distinguishes itself with its comprehensive service offering, positioning it as a true "one-stop shop" capable of addressing a full spectrum of customer needs. This is reinforced by its exceptional 90% Net Promoter Score and a 4.9 Google rating, reflecting a deep commitment to full transparency, upfront pricing, and delivering long-term solutions that prioritize customer satisfaction. Access to the latest tools and technology, coupled with a relatively low initial investment for the potential returns, solidifies the strong competitive standing of the Little Diggers franchise.

The ideal candidate for a Little Diggers franchise is someone who possesses a strong entrepreneurial spirit and a commitment to operational excellence, benefiting from a business model designed for accessibility to the right individuals. While plumbing experience can be highly advantageous, the brand's comprehensive support system also makes it attractive to those with strong managerial or business acumen. Examples of successful franchisees include Tony Borelli, who transitioned from General Manager of North America to a Little Diggers franchise owner himself, citing his confidence in the system and BELFOR Franchise Group's backing. Joe Sparks, a franchisee with 24 years of plumbing experience, leveraged the franchise's support to elevate his existing business to new heights. Tom Wallen, with over 20 years of plumbing expertise, took over an existing Michigan location, demonstrating the appeal for seasoned professionals. Additionally, Michael Crow, a new franchisee, brought over 30 years of experience in finance, venture investments, and real estate, highlighting that diverse professional backgrounds can thrive within the system, often with the assistance of a skilled general manager. Each Little Diggers franchise is granted a clearly defined territory, typically encompassing a population base between 200,000 and 350,000 people. Within this designated territory, franchisees are afforded the exclusive right to advertise, market, and provide services. The concept of a "protected territory" ensures that franchisees do not face direct competition from other Little Diggers owners within their specific market. However, it is important to understand that while protected, the territory is not exclusive, meaning franchisees may encounter competition from other franchisees, company-owned outlets, or other franchisor-controlled channels within the broader defined population area. Franchisees are strictly restricted from advertising or servicing customers outside their assigned territory without prior approval, ensuring territory integrity. A significant industry challenge, the skilled labor shortage, is proactively addressed by the Little Diggers franchise through its robust training programs and recruitment assistance, equipping franchisees with the tools to attract and retain talent.

The Little Diggers franchise presents a robust investment opportunity within an indispensable, recession-proof industry that promises stable demand irrespective of economic fluctuations. The market is propelled by consistent growth in nonresidential construction and ongoing residential upgrades, ensuring a steady stream of work for franchisees. Furthermore, the industry's increasing adoption of smart plumbing technology signifies a forward-looking and expanding service landscape that the Little Diggers franchise is well-positioned to capitalize on through its integrated training. The exceptional support system provided by the BELFOR Franchise Group, a global leader in franchising, grants franchisees access to unparalleled resources, comprehensive training, and continuous coaching, significantly mitigating operational risks and fostering growth. The proven financial performance, transparently disclosed through the Item 19 in its FDD, showcases high average and median gross sales figures, providing prospective investors with concrete data to assess potential returns. The Little Diggers franchise has also garnered recognition, having been acknowledged among the "Top Franchises for Veterans," underscoring its commitment to supporting military personnel and its strong operational framework. A compelling testament to the brand's strength is the internal investment by Tony Borelli, who transitioned from General Manager of North America to a franchisee, demonstrating profound confidence in the system's viability and future prospects. The brand's philosophy focuses on delivering long-term solutions that enhance plumbing system efficiency and elevate the customer experience, rather than merely offering quick fixes, a strategy that builds enduring customer loyalty and maximizes efficiency for every Little Diggers franchise. Explore the complete Little Diggers franchise profile on PeerSense to access the full suite of independent franchise intelligence data.