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Rates
Mr. Appliance

Mr. Appliance

Franchising since 1996 · 104 locations

The total investment to open a Mr. Appliance franchise ranges from $116,500 - $214,900. The initial franchise fee is $63,750. Ongoing royalties are 7%. Mr. Appliance currently operates 104 locations (104 franchised). PeerSense FPI health score: 44/100. Data sourced from the 2025 Franchise Disclosure Document.

Investment

$116,500 - $214,900

Franchise Fee

$63,750

Total Units

104

104 franchised

FPI Score
Very_high
44

Proprietary PeerSense metric

Fair
Capital Partners
31lenders available

Active capital sources verified for Mr. Appliance financing

SBA

7(a) Eligible

21d

Avg Funding

P+2.25%

Best Rate

No retainers · Referral fee at closing

FPI Score Breakdown

Major Brand (100+ loans)

Very High Confidence
44out of 100
Fair

SBA Lending Performance

SBA Default Rate

19.9%

28 of 141 loans charged off

SBA Loans

141

Total Volume

$26.0M

Active Lenders

31

States

38

What is the Mr. Appliance franchise?

Mr. Appliance has built one of the most recognized names in residential and commercial appliance repair franchising, operating approximately 325 locations across the United States and Canada under the umbrella of Neighborly, the world's largest home services franchise platform. Founded in 1996 in Waco, Texas, Mr. Appliance was created to bring professionalism, reliability, and branded consistency to an industry that had been dominated by independent repair technicians with inconsistent service quality and unpredictable pricing. The brand identified a clear market opportunity: as household appliances grew more complex and expensive, consumers increasingly wanted a trusted name they could call for expert diagnosis and repair rather than gambling on an unknown independent contractor found through a classified ad. Over nearly three decades, Mr. Appliance has refined its operating model into a streamlined, technology-enabled service business that dispatches trained technicians to homes and businesses for on-site appliance repair. As part of the Neighborly family of more than 30 home service brands and over 5,800 franchise owners, Mr. Appliance franchisees benefit from shared corporate infrastructure, cross-brand customer referral networks, national vendor pricing, and one of the most sophisticated franchise support systems in the home services industry. For franchise investors evaluating the Mr. Appliance franchise opportunity, the brand offers a proven path into the essential-services economy with a business model that generates consistent demand regardless of economic cycles.

The U.S. appliance repair industry generates billions of dollars in annual revenue and continues to grow as several converging trends increase demand for professional repair services. The average American household owns more than a dozen major and small appliances, and the replacement cost of modern high-efficiency appliances has risen dramatically over the past decade. A refrigerator that cost $800 ten years ago may now cost $2,000 or more, making repair the economically rational choice for consumers facing a malfunction. The proliferation of smart appliances with digital controls, WiFi connectivity, and sophisticated electronic components has increased repair complexity beyond the skill level of most homeowners and many independent technicians, creating a structural advantage for branded service companies that invest in ongoing technician training and certification programs. The appliance repair market is highly fragmented, with thousands of independent operators competing for local market share, yet few branded franchise systems have achieved meaningful national scale. This fragmentation creates significant opportunity for Mr. Appliance franchisees who enter markets with the credibility of a nationally recognized brand, professional marketing, and operational systems that independent competitors cannot match. Additionally, the growing environmental consciousness among consumers and regulatory pressure to reduce appliance waste are driving more homeowners toward repair over replacement, further expanding the addressable market for appliance repair services. Mr. Appliance franchise owners operate at the intersection of these powerful demand drivers, serving a customer base that values expertise, convenience, and the peace of mind that comes with a branded service guarantee.

The Mr. Appliance franchise cost structure is designed for accessibility within the home services category. The initial franchise fee is $63,750, which grants territory rights, access to the brand's proprietary business management systems, and enrollment in the comprehensive initial training program. Total initial investment for a Mr. Appliance franchise ranges from approximately $116,500 to $214,900, positioning the concept as a moderate-investment franchise opportunity that does not require a traditional retail storefront or significant buildout costs. The ongoing royalty rate is 7 percent of gross revenue, which is standard within the Neighborly portfolio and competitive among home services franchise brands. The Mr. Appliance franchise investment funds the essential startup components: service vehicles, diagnostic equipment and parts inventory, technology systems, insurance, initial marketing, and working capital to sustain operations during the ramp-up period. Because the business operates as a mobile service dispatched from a home office or small commercial space, franchisees avoid the substantial real estate and buildout costs associated with retail or restaurant franchise concepts. Neighborly's national vendor relationships provide Mr. Appliance franchisees with preferred pricing on parts, supplies, vehicles, and marketing materials, creating cost advantages that improve unit-level margins compared to independent operators purchasing at retail. Financing options are available through third-party lenders and SBA-backed loan programs, and the Mr. Appliance franchise has an established lending history with financial institutions across the country. The brand's track record of SBA loan approvals across multiple lenders reflects institutional confidence in the franchise model and the predictable demand dynamics of the appliance repair category.

Mr. Appliance franchisees manage a team of trained repair technicians who are dispatched to residential and commercial customers to diagnose and repair a wide range of household and commercial appliances including refrigerators, dishwashers, ovens, ranges, washers, dryers, ice makers, garbage disposals, microwaves, and other equipment. Daily operations center on call scheduling, technician dispatch and routing, parts procurement, quality assurance, and customer follow-up. The brand's proprietary technology platform handles scheduling, dispatching, invoicing, customer communications, and performance tracking through integrated software that gives franchise owners real-time visibility into every aspect of their operation. Mr. Appliance technicians undergo rigorous initial certification and ongoing training to maintain proficiency across the full spectrum of appliance brands and models, including specialized training on high-end brands and commercial-grade equipment. The brand's service guarantee and professional standards create a customer experience that drives repeat business and referral-based growth. New franchisees complete comprehensive initial training at the Neighborly training facility in Waco, Texas, covering technical service delivery, business management, marketing, hiring, financial management, and the use of all proprietary technology systems. Ongoing support includes dedicated franchise business coaches who provide regular performance reviews, benchmarking against system-wide metrics, and strategic guidance on territory development. Territories are exclusively defined, protecting each franchisee's market from internal competition and providing a clear geographic foundation for business building and customer acquisition.

Mr. Appliance provides Item 19 financial performance disclosure in its Franchise Disclosure Document, offering prospective franchisees transparency into unit-level revenue that many competing franchise systems do not provide. Average gross sales across the Mr. Appliance franchise system are approximately $422,000, with estimated owner earnings ranging from approximately $51,000 to $63,000 depending on territory maturity, market characteristics, and operational efficiency. These figures provide a realistic baseline for franchise candidates evaluating the income potential of the business, though individual results vary significantly based on factors including territory population density, marketing effectiveness, technician utilization rates, and the franchise owner's involvement in business development. The appliance repair business model benefits from high-margin service labor, relatively low material costs for most common repairs, and the ability to generate revenue from each service call through both labor charges and parts markups. As a franchisee builds a larger customer base and establishes a reputation for reliable service, repeat business and word-of-mouth referrals reduce customer acquisition costs and improve profitability. The scalability of the model is evident in the performance spread across the system, where top-performing franchisees who invest aggressively in marketing, hire and retain talented technicians, and maintain high customer satisfaction scores significantly outperform the system average. Prospective franchisees should request the most current Franchise Disclosure Document to review the complete Item 19 financial performance representation and understand the assumptions and qualifications that apply to disclosed figures.

Mr. Appliance has demonstrated steady growth over its nearly three-decade history, expanding to approximately 325 locations while maintaining service quality standards that protect the brand's reputation in local markets. Growth has been supported by the Neighborly infrastructure, which provides sophisticated franchise recruitment, onboarding, and ongoing development programs that help new franchisees launch successfully and existing operators scale their territories. The brand's competitive advantages include its position within the Neighborly ecosystem, which creates referral opportunities from other home service brands like Mr. Rooter, Molly Maid, and Aire Serv. When a Neighborly customer uses one brand and has a positive experience, they are significantly more likely to use another Neighborly brand when a different home service need arises. This cross-selling dynamic generates warm leads that convert at higher rates than cold marketing outreach. Mr. Appliance has also invested in digital marketing infrastructure that helps franchisees capture local search demand through optimized web presence, pay-per-click advertising, and reputation management tools that showcase customer reviews. The brand continues to adapt its service offerings and training programs to keep pace with evolving appliance technology, ensuring that Mr. Appliance technicians can service the latest smart appliances and high-efficiency equipment that increasingly populate American homes. Recent operational enhancements include improved parts sourcing systems, streamlined technician onboarding programs, and enhanced customer communication tools that provide real-time appointment tracking and service updates.

The ideal Mr. Appliance franchise candidate brings business management skills, leadership ability, and a commitment to delivering exceptional customer service. Technical appliance repair experience is not required because the brand's training programs and hiring systems are designed to recruit and develop skilled technicians who handle the hands-on service work. Successful Mr. Appliance franchise owners typically serve as the business builder and general manager, focusing on marketing, customer relationships, team management, and financial performance while their technician team handles daily service calls. Multi-unit ownership is common within the system, and many franchisees operate multiple territories to maximize their market coverage and revenue potential. Available territories exist across the United States and Canada, with opportunities in both metropolitan and mid-size markets where household density supports consistent appliance repair demand. The franchise agreement term provides a long runway for business building and equity creation, with renewal options that protect the franchisee's investment over the long term. From signing the franchise agreement to launching operations, the typical timeline is approximately three to four months, encompassing initial training, vehicle preparation, marketing launch, and technician hiring.

For franchise investors seeking an essential-services business model with transparent financial performance data and the backing of the world's largest home services franchise platform, the Mr. Appliance franchise offers a compelling opportunity in the growing appliance repair market. The combination of consistent consumer demand driven by appliance complexity and replacement costs, a proven franchise operating model refined over nearly 30 years, and Neighborly's institutional infrastructure creates a strong foundation for franchise ownership. PeerSense provides comprehensive due diligence data for the Mr. Appliance franchise, including SBA lending history across more than 140 approved loans from 32 unique lenders, the Franchise Performance Index score that benchmarks this brand against thousands of franchise systems, location data with Google ratings, and FDD-verified financial metrics including Item 19 revenue disclosure. Prospective franchisees can use the PeerSense side-by-side comparison tool to evaluate Mr. Appliance against other home services and appliance repair franchises across more than 30 data points covering investment costs, revenue performance, growth trajectory, and lender confidence. Whether you are a first-time franchise buyer evaluating home services opportunities or an experienced multi-unit operator adding to your portfolio, the independent, verified data on this profile page provides the intelligence needed to make an informed investment decision. Explore the complete Mr. Appliance franchise profile on PeerSense to begin your due diligence today.

FPI Score

44/100

SBA Default Rate

19.9%

Active Lenders

31

Key Highlights

104 locations nationwide

Data Insights

Key performance metrics for Mr. Appliance based on SBA lending data

SBA Default Rate

19.9%

28 of 141 loans charged off

SBA Loan Volume

141 loans

Across 31 lenders

Lender Diversity

31 lenders

Avg 4.5 loans per lender

Investment Tier

Mid-range investment

$116,500 – $214,900 total

Payment Estimator

Loan Amount$93K
Interest Rate9.5%
Term (Years)10 yr

Estimated Monthly Payment

$1,206

Principal & Interest only

Locations

Mr. Applianceunit breakdown

Total Units
N/A
Franchisee Owned
System Owned
Closed

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Mr. Appliance