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Clear Pest Pros

Safer Home Services International, LLC
https://clearpestpros.com
1-734-864-9799
5405 Data Court, Ann Arbor, MI 48108

How much does Clear Pest Pros cost?

Initial Investment Range

$111,408 to $233,680

Franchise Fee

$63,000 to $73,000

We offer qualified individuals and entities the opportunity to own and operate a business offering pest management for all manner of ants, spiders, roaches, stinging pests, flying pests and rodents on a recurring and/or one time basis, and other related services to residential and commercial markets utilizing the Clear Pest ProsM business system and trademark.

Enjoy our partial free risk analysis below

Unlock the full risk analysis to access 9 more categories covering 100+ risks.

Clear Pest Pros March 28, 2025 FDD Risk Analysis

Free FDD Library AI Analysis Date: July 16, 2025

DISCLAIMER: Not Legal Advice - For Informational Purposes Only. Consult With Qualified Franchise Professionals.

1

Franchisor Stability Risks

Start Here
Total: 10
4
4
2

Disclosure of Franchisor's Financial Instability

High Risk

Explanation

The financial statements for the guarantor, BFG Holdco, Inc., show significant signs of financial distress. The statements in Exhibit E report multi-million dollar net losses for the past three consecutive years, declining annual revenues, and substantial write-downs of goodwill and intangible assets. This financial weakness could impair the franchisor's ability to provide promised support, invest in the brand, or meet its obligations to you, presenting a significant risk to your investment.

Potential Mitigations

  • A franchise accountant should meticulously analyze the guarantor's audited financial statements, including all notes, to assess its viability and ability to support the system.
  • It is important to discuss the potential impact of the guarantor's financial health on the franchisor's operational capabilities with your business advisor.
  • Your attorney should review the enforceability and practical value of the performance guarantee in light of the guarantor's financial condition.
Citations: Item 21, Exhibit E

High Franchisee Turnover

High Risk

Explanation

Item 20 tables indicate that as of the end of 2024, there are zero operating franchised outlets. You would be among the first franchisees in a new, unproven system. This lack of an established franchisee network means there is no track record of franchisee success, profitability, or satisfaction to evaluate. The risk is significantly higher than with a mature system, as the business model and support systems are untested in a franchise context.

Potential Mitigations

  • Given the absence of a franchisee track record, developing a comprehensive business plan with multiple conservative financial scenarios is essential; your accountant can assist.
  • A business advisor can help you assess the inherent risks of joining a new system and whether the potential rewards justify them.
  • It may be possible for your attorney to negotiate more favorable terms, such as lower initial fees or royalties, to compensate for the elevated risk.
Citations: Item 20

Rapid System Growth

Medium Risk

Explanation

Item 20 projects 15 new franchised outlets will open in the next fiscal year, which represents rapid growth from a base of zero. For a new franchisor, such rapid expansion could strain its resources, potentially leading to inadequate training, site selection assistance, and ongoing support for its initial group of franchisees. You may find that the franchisor's support systems have not scaled to meet the needs of a growing network.

Potential Mitigations

  • Questioning the franchisor about their specific plans to scale support staff and systems to manage this projected growth is a topic for your business advisor.
  • Your accountant should review the franchisor's financial statements to assess if they have the capital to support this expansion.
  • Legal counsel should review the franchisor's obligations for support in the Franchise Agreement to ensure they are clearly defined.
Citations: Item 20

New/Unproven Franchise System

High Risk

Explanation

The franchisor, Safer Home Services International, LLC (Safer Home Services), was formed in September 2022 and only began offering Clear Pest Pros franchises in March 2025. Item 20 confirms the system has no operating franchisees. This lack of history presents a significant risk, as the business model, brand recognition, and support systems are unproven in the marketplace. Investing in a new system is inherently more speculative than joining an established one.

Potential Mitigations

  • A thorough investigation of the management team's prior experience in both franchising and the pest control industry should be conducted with your business advisor.
  • Your accountant should scrutinize the financial projections and the stability of the parent and guarantor companies.
  • It is critical to have your attorney review all contractual obligations, as there is no franchisee performance history to rely upon.
Citations: Items 1, 2, 20, 21

Possible Fad Business

Low Risk

Explanation

This risk was not identified in the FDD package. A fad business is one tied to a fleeting trend, which can risk long-term failure after consumer interest wanes. Even if a business is not a fad, it is important to assess its long-term viability and the franchisor's plans for innovation and adaptation to changing market conditions to ensure your investment has lasting potential.

Potential Mitigations

  • Your business advisor can help you conduct market research to assess the long-term consumer demand for the services offered.
  • It would be beneficial to discuss the franchisor's long-term strategy and plans for future service development with your business advisor.
  • An accountant can help you model the financial resilience of the business under different market scenarios.
Citations: Items 1, 11

Inexperienced Management

Medium Risk

Explanation

The Brand President, James Myers, joined in 2024 and has industry experience with Orkin, LLC. However, the franchisor entity itself is new, having been formed in late 2022. While the parent company, BELFOR Franchise Group, has extensive franchising experience, the success of this specific brand will depend heavily on its direct leadership. The limited operating history of the franchisor entity itself presents a risk related to its ability to execute and support a new franchise system.

Potential Mitigations

  • Engaging a business advisor to research the track record of the parent company and the specific executives assigned to this brand is recommended.
  • In your discussions with the franchisor, you should probe for details about the support structure and resources dedicated specifically to this new brand.
  • Your attorney can help you understand the legal relationship and obligations between the new franchisor entity and its experienced parent company.
Citations: Item 2

Private Equity Ownership

Medium Risk

Explanation

Item 1 discloses a complex ownership structure. The franchisor is part of the BELFOR Franchise Group, which is owned by BELFOR Holdings, Inc., which in turn is owned by a private equity firm, ASP BF Intermediate Sub, LLC. Private equity ownership can involve a focus on short-term returns, which may sometimes conflict with the long-term health of franchisees. This could potentially influence decisions regarding fees, support levels, and system-wide expenditures.

Potential Mitigations

  • It may be helpful to have your business advisor research the private equity owner's reputation and history with other franchise brands.
  • Discussing the long-term vision for the brand with the franchisor can provide insight into their strategic priorities.
  • Your attorney should review clauses related to the sale or assignment of the franchise system to understand what happens if ownership changes.
Citations: Item 1

Non-Disclosure of Parent Company

High Risk

Explanation

The FDD discloses a complex parent and affiliate structure, and the provided financials are for an affiliate guarantor, BFG Holdco, Inc., not the franchisor itself. While a guarantee is provided, the financials for BFG Holdco show significant losses and asset impairments. You are relying on the financial strength of this guarantor, whose condition appears weak, rather than on the franchisor, which may be a thinly capitalized entity. This structure obscures the direct financial health of the entity you are contracting with.

Potential Mitigations

  • An experienced franchise accountant must review the guarantor's financials and the guarantee itself to assess their true value and stability.
  • Understanding the legal connections and flow of obligations between the franchisor, its parents, and the guarantor is a task for your attorney.
  • Your business advisor can help you assess the operational risks that may arise from this complex corporate structure.
Citations: Item 1, Item 21, Exhibit E

Predecessor History Issues

Medium Risk

Explanation

Item 1 identifies Safer Home Services Franchise System, LLC as a predecessor. This entity was acquired in October 2022. The Item 19 financial projection is based on a location that operated under the predecessor's brand. Your success is therefore tied to a business model operated by a different entity, and it's important to understand any inherited issues or changes made since the acquisition. The risks of the new system are tied to this predecessor history.

Potential Mitigations

  • A business advisor can help you research the reputation and historical performance of the predecessor system.
  • Questioning the franchisor about the integration process and any changes made to the system since the acquisition is crucial.
  • Your attorney should review the asset purchase details, if available, to understand what liabilities or advantages were transferred.
Citations: Item 1

Pattern of Litigation

Low Risk

Explanation

This risk was not identified in the FDD package. Item 3 states that no litigation is required to be disclosed. While this is positive, it is still important to understand that legal disputes can arise in any business. A clean litigation history does not eliminate all future legal risks associated with operating the franchise or interacting with the franchisor, customers, and employees.

Potential Mitigations

  • It is still advisable to ask your attorney to perform an independent search for litigation involving the franchisor, its parent, or principals.
  • Discussing any past disputes or legal issues with current and former franchisees, if any existed, would provide valuable insight.
  • Maintaining compliance with the Franchise Agreement with guidance from your attorney can help minimize your own legal risks.
Citations: Item 3
2

Disclosure & Representation Risks

Total: 15
7
0
8

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

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3

Financial & Fee Risks

Total: 10
6
2
2

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

Unlock Full Risk Analysis

Purchase the complete risk review to see all 102 risks across all 10 categories.

4

Legal & Contract Risks

Total: 16
4
6
6

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

Unlock Full Risk Analysis

Purchase the complete risk review to see all 102 risks across all 10 categories.

5

Territory & Competition Risks

Total: 5
3
1
1

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

Unlock Full Risk Analysis

Purchase the complete risk review to see all 102 risks across all 10 categories.

6

Regulatory & Compliance Risks

Total: 10
5
2
3

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

Unlock Full Risk Analysis

Purchase the complete risk review to see all 102 risks across all 10 categories.

7

Franchisor Support Risks

Total: 4
2
1
1

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

Unlock Full Risk Analysis

Purchase the complete risk review to see all 102 risks across all 10 categories.

8

Operational Control Risks

Total: 12
3
8
1

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

Unlock Full Risk Analysis

Purchase the complete risk review to see all 102 risks across all 10 categories.

9

Term & Exit Risks

Total: 18
10
5
3

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

Unlock Full Risk Analysis

Purchase the complete risk review to see all 102 risks across all 10 categories.

10

Miscellaneous Risks

Total: 2
2
0
0

Example Risk: Franchisee Financial Obligations

Blue Risk

Explanation

This risk involves the financial obligations that a franchisee must meet, including initial fees, ongoing royalties, and other required payments. Understanding these obligations is crucial for long-term success.

Potential Mitigations

  • Carefully review the Franchise Disclosure Document (FDD) and consult with a franchise attorney to fully understand all financial commitments before signing.
  • Conduct regular risk assessments
  • Implement monitoring and reporting systems

Unlock Full Risk Analysis

Purchase the complete risk review to see all 102 risks across all 10 categories.