American Leak Detection franchise
2024 filing · March 29, 2024
American Leak Detection at a glance
A leak detection business offering leak detection and related repair and other services.
The business
- Franchisor
- American Leak Detection, Inc
- The company that sells the franchises
- Current franchisor selling since
- 1985
- 39 years of selling franchises
What you pay
- Cost to open
- $77K–$260K
- Fee, build-out and opening working capital
- Franchise fee
- $30K–$120K
- Depending on the territory
- Royalty
- 6%–10%
- 10% of monthly adjusted gross volume up to $5,000, 9% from $5,000 to $10,000 and 8% above $10,000; 6% once annual volume passes $750,000
- Brand fund
- None now
- No brand fund
- Agreement length
- 10 years
- Territory
- Protected
- Protected territory
- Franchisor financing
- None offered
Where it is
- Franchised, 2023
- 93
- As printed in the filing
Support and records
From American Leak Detection, Inc’s 2024 filing; revenue and net income from its audited financial statements, page 220; SBA status from the SBA Franchise Directory, October 28, 2026.
Franchisor revenue is the company that sells the franchises (royalties, fees and anything else it earns), not what a location makes.
Where it ranks
American Leak Detection among all franchises with the same figure.
| Figure | American Leak Detection | Among all franchises |
|---|---|---|
| Cost to open, midpointHalfway between the low and high estimate | $168,153 | Costs less than 74% of franchises |
| Franchise feePaid once, when you sign | $29,500 | Lower than 81% of franchises |
How much a American Leak Detection franchise costs
Opening one American Leak Detection costs an estimated $76,755 to $259,550. That covers the franchise fee and everything else needed to open, through the first months of working capital. It is one of the low-cost franchises.
Source: American Leak Detection, Inc, 2024 filing, page 17
American Leak Detection franchise fee
The franchise fee is $29,500 to $120,000, depending on the territory. You pay it when you sign the franchise agreement.
Source: American Leak Detection, Inc, 2024 filing, page 13
Royalty and ongoing fees
| Royalty | 10% of monthly adjusted gross volume up to $5,000, 9% from $5,000 to $10,000 and 8% above $10,000; 6% once annual volume passes $750,000. |
|---|---|
| Brand or marketing fund | No brand fund |
| Business Management Accounting Software | $75 - $300 |
The typical franchise royalty is 6% of sales, plus 2% for marketing. See franchise fees and royalties to compare.
Source: American Leak Detection, Inc, 2024 filing, pages 14 and 23
Other fees as filed, from page 15. The filing lists every fee, including late fees and audit costs.
Sales and earnings
No figures American Leak Detection does not share sales or profit figures for its locations. Talking to current and former franchise owners is the usual way to learn what a location earns.
Source: American Leak Detection, Inc, 2024 filing, page 34
SBA loans to American Leak Detection franchisees
Lenders approved 23 SBA-backed loans for American Leak Detection franchisees from 1995 to 2025, $7.95M in all: 21 7(a) loans and 2 504 loans. All 16 that have ended were paid in full; none was charged off. The other 7 haven’t ended yet.
A charged-off loan is one written off as uncollectible. See SBA franchise loans for how 7(a) and 504 loans work.
Source: SBA 7(a) and 504 loan data, as of September 30, 2026
How American Leak Detection compares
Of the 19 plumbing franchises on this site, American Leak Detection is the cheapest to open.
| Figure | American Leak Detection | Typical plumbing brand | Typical franchise |
|---|---|---|---|
| Cost to open, low end | $77K | $143K | $222K |
| Cost to open, high end | $260K | $287K | $477K |
| Franchise fee | $30K | $45K | $40K |
| Shares earnings figures | No | 13 of 19 | 2,147 of 3,352 |
Typical is the median across the 19 brands in plumbing franchises; typical franchise, across every brand here.
Locations opened and closed
| Year | Franchised | Company-owned |
|---|---|---|
| 2020 | 125 (0) | 24 |
| 2021 | 119 (−6) | 30 |
| 2022 | 108 (−11) | 4 |
| 2023 | 93 (−15) | 47 |
Closed or left counts terminations, non-renewals, locations bought back by the franchisor and locations that stopped operating.
These figures don't add up as printed: the 2022 counts come to 112, but the filing shows 146. Worth asking the franchisor.
See which brands grew most in the fastest-growing franchises rankings.
More in the guides: franchise failure rates.
Over 4 years, from the start of 2020 to the end of 2023, franchised locations went from 125 to 93 (−32, −26%). The earlier years come from the brand's 2023 filing.
Source: American Leak Detection, Inc, 2024 filing, page 35
2020: American Leak Detection, Inc, 2023 filing, page 33
Who owns American Leak Detection?
American Leak Detection franchises are sold by American Leak Detection, Inc.
From American Leak Detection, Inc’s 2024 filing.
Lawsuits and bankruptcy
| Lawsuits and regulatory actions | None. The filing says no litigation has to be disclosed. |
|---|---|
| Bankruptcy | None. The filing says no bankruptcy has to be disclosed. |
Franchisors must disclose lawsuits and bankruptcies involving the company, its parents and affiliates, and its executives. Many cases are routine disputes with franchisees over fees or contracts; read the descriptions in the filing and ask current owners about anything that worries you.
Source: American Leak Detection, Inc, 2024 filing, litigation on page 13, bankruptcy on page 13
American Leak Detection filings
A franchisor files a new disclosure each year it sells franchises. The figures on this page come from American Leak Detection, Inc’s 2024 filing, issued March 29, 2024; the earlier ones below are on record with the NASAA Electronic Filing Depository.
| Filing | Issued | Registry | On this page |
|---|---|---|---|
| 2024 filing | March 29, 2024 | NASAA depository | Costs, fees and locations, 2021–2023 |
| 2023 filing | March 31, 2023 | NASAA depository | Replaced by the 2024 filing |
Each link opens the filing as a PDF. See the newest filings across all brands.
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