What Is the Gotcha Covered Franchise Opportunity?
Gotcha Covered is a franchise in the custom window treatments industry – essentially, a home services business focused on selling and installing blinds, shades, shutters, draperies and other window coverings. The company was founded in 2001 and began franchising in 2009 according to ifpg.org. Since then, it has expanded steadily to over 130 franchise locations across the United States (with additional units in Canada) as of late 2022. Gotcha Covered is headquartered in Colorado and has garnered recognition as a top home-based franchise and a low-cost franchise opportunity in the home improvement sector. It’s positioned as a way for entrepreneurs to enter the lucrative window covering market, which is a multi-billion dollar segment of the home improvement industry (about $12 billion in North America as of 2024). Next, we’ll break down what the Gotcha Covered franchise offers its owners and the costs involved.
Company Overview and Industry
Gotcha Covered operates in the window coverings and interior design arena – a niche within home improvement. Franchisees sell a wide range of products for the “interior of a window” including name-brand blinds, shades, shutters, curtains, drapery hardware, and even window film and bedding accessories. This means the franchise can serve both residential customers (homeowners updating their home décor or moving into new houses) as well as commercial clients (offices, restaurants, or other businesses needing window treatments). The business model is often home-based and mobile – franchise owners typically do not need a retail storefront. Instead, they can operate out of a home office and bring a “shop-at-home” experience to clients, using mobile showrooms or sample kits to consult with customers on-site. (Some owners may choose to open a small showroom, but it’s not required.)
From a growth perspective, Gotcha Covered has achieved notable expansion in the past decade. Starting from its first franchise in 2009, it surpassed 100 units by around 2020 and reached roughly 144 total franchises by the end of 2022. There are no company-owned outlets – all locations are franchised – which speaks to its focus on franchisee-driven growth. The franchise has been ranked in Entrepreneur magazine’s Franchise 500 (No. 292 in 2024) and was named a “Top Low-Cost Franchise” and “Top Recession-Proof Business” for 2023 by Franchise Business Review. These accolades suggest that Gotcha Covered is viewed as an affordable investment in a business that can perform reliably even when the economy is down.
What Franchisees Get
When you invest in a Gotcha Covered franchise, you receive a package of training, support, and tools designed to help you launch and grow your window covering business. New franchisees go through an extensive initial training program about 6 weeks long – roughly 5 weeks of virtual training from home, followed by about one week of hands-on training at the company’s headquarters in Denver. This onboarding covers product knowledge (learning the dozens of window treatment options and custom-ordering process), sales and consultation skills, installation basics, and using Gotcha Covered’s business systems. The franchisor also offers ongoing education like webinars on sales, marketing and business development, an annual conference, and even an advanced training session after six months in business to sharpen your skills. In short, no prior industry experience is required – the franchise provides a “business playbook” and continuous support so you can learn the ropes of the window coverings trade.
Franchisees also benefit from centralized support systems. Gotcha Covered has relationships with “top shelf” suppliers and manufacturers for a wide variety of window products, which gives franchise owners access to extensive product catalogs (blinds, fabrics, smart shades, etc.) at negotiated prices. The franchisor’s support includes marketing guidance (they help with a grand opening advertising campaign and ongoing lead generation strategies), a provided website or local web presence, and an intranet system for operations and training resources. Because the business can be run from home, your operating expenses stay low – typically you just need a vehicle, sample books, a laptop with design software, and basic tools for measuring and installation. Gotcha Covered touts itself as a “lifestyle business with extraordinarily high margins and extremely low operating expenses”, meaning the model is designed to generate healthy profits relative to costs.
In terms of day-to-day operations, most Gotcha Covered franchise owners are very hands-on with sales and project management. As the owner, you’ll likely be the one meeting customers for design consultations, providing quotes, and handling orders. You can either install the products yourself or hire subcontractor installers (especially as you get busier), but either way the franchise expects owners to be actively involved. In fact, Gotcha Covered is not marketed as a semi-absentee or passive ownership model – the franchisor notes that franchisees are expected to run all aspects of the daily operations and it is not a “semi-absentee” business where you can simply hire a manager and check in occasionally. This is important to understand if you’re comparing it to other opportunities that promise more hands-off management.
What about financial performance? Gotcha Covered’s recent Franchise Disclosure Document (FDD) includes strong earnings figures for its franchisees. According to the Item 19 financial performance representation, U.S. franchise locations that had been open at least one full year reported average annual sales of about $598,000 in 2022. Results improve with time – “mature” franchisees (those operating 3 or more years) averaged approximately $757,600 in annual revenue per territory. Gross margins are high in this business: the average franchise gross profit margin was around 56% of sales, meaning over half of each dollar of revenue is kept after product costs. These figures indicate that a diligent owner can build a healthy book of business selling window treatments, though individual results vary. Keep in mind that revenue in this industry comes from one-time sales (not recurring contracts), so achieving these numbers requires continually marketing and closing deals with new customers. The good news is that Gotcha Covered franchisees appear to be doing well on average, thanks to the structured support and demand for quality window coverings.
Startup Costs and Ongoing Fees
Entering the Gotcha Covered system requires a modest upfront investment relative to many franchises. The initial franchise fee is around $69,900 (the franchisor offers a 10% discount for military veterans). In total, including all startup expenses, the estimated initial investment ranges from about $112,000 to $145,500 for a new franchise location. This range covers things like the franchise fee, the Starter Package (which provides your initial sample books, marketing materials, and business setup essentials for about $20k), your grand opening marketing budget, travel for training, insurance, and three months of operating cash reserve. Gotcha Covered is often noted as a low-cost franchise because it doesn’t require a lease or heavy equipment – many owners can start from a home office with a laptop and a vehicle, keeping the investment under $150k.
For ongoing fees, Gotcha Covered uses an unusual flat-fee royalty structure instead of the typical percentage of sales. In the first months, the royalty starts at a few hundred dollars and gradually ramps up; by the start of year 4 and thereafter, franchisees pay a flat $2,000 per month royalty (regardless of revenue). If a territory is larger than the standard 30,000 households, there is a small additional charge (around $0.05–$0.06 per extra household) but essentially $2,000/mo becomes the cap. This model can benefit high-performing franchisees – for example, an owner doing $600k+ in sales would be paying far less than 10% in royalties at the cap. However, new owners still in ramp-up must pay the minimum royalties each month, so it creates a fixed overhead you need to cover as you grow.
In addition to royalties, there’s a national marketing fund fee that also ramps up from $125/month to $1,000 per month by the end of the second year. Franchisees are required to spend at least 5% of their gross sales on local marketing in their territory as well – this ensures you’re promoting your services in the community (through online ads, local media, etc.) beyond just the national brand marketing. Other ongoing expenses include technology fees (about $100/month for software systems) and optional programs like regional co-op advertising or an annual conference fee. In summary, the financial model entails a fixed monthly royalty/marketing expense (about $3,000 combined once fully ramped) plus the normal costs of running a small business (supplies, fuel, any staff or contractor labor, insurance, etc.). Prospective franchisees should carefully review these fees and ensure their business plan accounts for them. The flat-fee approach means your profit margins improve as you grow revenue – but in slow months those fees still must be paid, so building a solid customer pipeline early on is important.
How the Industry Itself Compares
Gotcha Covered operates in what we might call the home décor/home improvement services industry, centered on window treatments. The indirect competitor we’ll compare it to here is the commercial cleaning industry, which is Assett Franchise’s arena. It’s useful to look at how these two industries differ in practical, financial, and operational terms for someone considering franchise ownership. Both industries involve providing needed services to property owners, but the nature of the service, the revenue patterns, and the market dynamics contrast quite a bit. Let’s break down the comparison.
Gotcha Covered’s Industry Advantages
First, what are the advantages of the window covering franchise industry (the space in which Gotcha Covered operates)? There are several appealing aspects:
- Growing Home Improvement Market: Window coverings are a part of the multi-billion dollar home improvement sector. In North America alone, the window coverings market is valued around $12 billion and growing at ~8% annuall, fueled by housing development and remodeling trends. This means there is steady demand for blinds, shades and curtains as people buy new homes or update décor – offering franchisees a chance to tap into a large consumer market.
- Custom, Creative Service: Unlike some basic services, selling window treatments can be an enjoyable, creative business. Franchisees help homeowners personalize their living spaces and solve problems (like controlling light and privacy). For owners who have a passion for design or home décor, this industry provides a sense of personal fulfillment — you get to make clients happy by transforming their rooms. Each project is a bit different, which keeps the work interesting.
- Home-Based, Low Overhead: A big advantage is the mobile/home-based nature of the model. You don’t need to rent retail space or purchase heavy equipment. Many Gotcha Covered owners work from a home office and schedule in-home consultations, which keeps fixed costs low. The initial investment (roughly $100-150k) is considered low for a franchise, and ongoing operating expenses (fuel, samples, advertising) are relatively modest. This lean setup can lead to high profit margins – indeed, Gotcha Covered reports average gross margins in the 50-60% range for its franchisees.
- High Margin Products: Window treatments often have a significant markup. As a franchisee, you benefit from bulk purchasing agreements with suppliers and can charge for the convenience of custom design and installation. The franchise’s Item 19 showed strong unit economics (average sales of $598K with ~56% gross margin), suggesting that when you make a sale, a good portion is profit to cover your time and overhead. These high margins and low variable costs mean that once your fixed royalties/fees are covered, additional sales revenue largely flows to your bottom line.
- Vendor and Franchise Support: Being part of a franchise like Gotcha Covered gives you access to top manufacturers and established processes that an independent small business might lack. Franchisees get training, a proven sales system, and ongoing support in marketing and operations. This can accelerate your learning curve in an industry that has a bit of a technical side (measuring windows correctly, knowing fabric options, etc.). You’re not starting from scratch – you have a playbook to follow and a network to lean on.
- Recognition and Niche Branding: Gotcha Covered has built a recognized brand in its niche. It was ranked among top franchises and even labeled a “recession-proof” home service business in 2023. While window treatments aren’t truly essential in the way cleaning or medical services are, people do still purchase them in all economic climates (for example, during the COVID-19 pandemic and recent recessionary periods, the franchise system continued to grow and increase sales according to franchisechatter.com). The idea is that there’s always a baseline need – homeowners want privacy and to replace old blinds, and businesses need functional window coverings – so the business can have resilience. The franchise branding as a specialist for “anything to cover a window” also helps franchisees differentiate themselves from general DIY stores or interior designers.
Of course, these advantages come alongside some challenges inherent to the industry. For one, window covering sales are transactional, not recurring – a customer might outfit their windows and not need your services again for many years. This means a franchisee faces the task of continuously marketing and finding new clients (there’s less repeat revenue compared to something like cleaning or pest control). Additionally, the market is highly competitive. You compete not only with other window treatment franchises (and there are a few, plus independent local dealers) but also with e-commerce and big-box retailers that sell blinds and curtains. Pricing can be a factor, and customers may shop around. Seasonality can play a role too – for instance, demand might spike in spring/summer when home buying and renovations peak, and slow down in winter. Overall, Gotcha Covered’s industry offers a rewarding, profitable business for an owner who is skilled in sales/consultative selling and willing to hustle for each sale. But how does this compare to the commercial cleaning world?
Compared to the Commercial Cleaning Industry
Now, let’s look at the commercial cleaning industry – the arena in which Assett Franchise operates – and see how it stacks up. In many ways, the commercial cleaning sector offers broader and more stable opportunities for a new business owner. Here are some key points comparing the two industries:
- Market Size and Demand: The janitorial and commercial cleaning industry is enormous – over $100 billion annually in the U.S. alone. Virtually every office building, school, medical facility, retail store, and warehouse needs regular cleaning. By contrast, the window coverings market (while sizable in home services) is only a fraction of that size. Cleaning services enjoy universal, ongoing demand – messes don’t stop, and businesses must keep spaces clean for health and appearance. This makes cleaning a more essential, recession-resistant service than window décor. Even in economic downturns, most companies will budget for janitorial contracts because cleanliness is a necessity, not a luxury.
- Recurring Revenue vs. One-Time Sales: Commercial cleaning is typically built on long-term contracts and recurring revenue. A cleaning business sets up accounts to service clients on a nightly, weekly, or monthly schedule, leading to steady cash flow month after month. This is a stark contrast to a Gotcha Covered franchise, where each sale is a one-off project and then you have to find the next customer. The cleaning business franchise model allows you to accumulate accounts over time – effectively building an annuity-like revenue stream through B2B relationships. You’re not starting from zero each month; instead, you have predictable income from contracts (and can forecast growth by adding new contracts).
- Stability and Seasonality: Cleaning is a year-round need with no real off-season. Offices and facilities require janitorial services in every season and often increase frequency during flu seasons or after events. There’s also little seasonal fluctuation in demand – a dirty floor is a dirty floor, January or July. In contrast, home improvement spending can be more seasonal and tied to consumer confidence. Window covering sales might slow if fewer people are moving or renovating during certain times. Moreover, cleaning isn’t subject to style trends or personal taste; it’s a straightforward need, whereas a window fashion business can be influenced by design trends and client preferences (which sometimes complicates the sales process).
- Lower Sales Effort per Account: Winning a cleaning contract often means you service that client for years, whereas winning a window treatment sale is a one-time win. The sales cycle in commercial cleaning is more about B2B networking and bidding, but once you’re in, you keep servicing the account until you lose it (which could be never, if you do a great job). There’s less emotional decision-making – businesses choose cleaning providers based on reliability, quality, and cost, rather than personal taste. In a consumer-facing franchise like Gotcha Covered, each homeowner’s decision can be quite emotional and protracted (they may deliberate over colors and fabrics, or delay a purchase for budget reasons). For a franchise owner, this means cleaning can offer a simpler sales process and client management experience compared to managing dozens of individual one-time customers and their design whims.
- Operational Complexity: Neither business requires advanced degrees or technical complexity, but cleaning has an edge in simplicity. Training a crew to empty trash, vacuum, and sanitize is straightforward compared to training a sales consultant in hundreds of product SKUs or doing precise window measurements. A cleaning business also doesn’t involve ordering and delivering custom products – you’re selling a service performed with basic supplies. This means fewer supply chain and inventory logistics to worry about. A window coverings franchise has to manage orders with manufacturers, track shipments, handle product warranties or fixes, etc., which adds operational steps (and dependency on vendor timelines). Equipment needs for commercial cleaning are minimal (some mop buckets, vacuums, maybe a floor buffer for large jobs) – generally far less capital-intensive than industries like, say, carpet cleaning or restoration. Window treatment franchises also have light equipment needs, but you do invest in samples and possibly a vehicle outfitted as a mobile showroom, which is a notable upfront cost unique to that business.
- Scalability and Staffing: Commercial cleaning can be highly scalable – as you add more contracts, you hire more cleaning crews. Importantly, an owner can scale the business without personally performing the core service (as long as you can hire and manage cleaners). In a Gotcha Covered scenario, scaling up means perhaps hiring salespeople or additional designers to handle more clients, but many owners end up personally involved in a lot of consultations to drive sales. It’s possible to scale a window covering business by building a team, but given it’s not a recurring service, you’ll always need your team focused on finding the next sale. Cleaning, with the right systems, allows an owner to step back from daily cleaning tasks and focus on customer relationships, quality control, and growth. Some cleaning franchise owners even run semi-absentee, hiring a manager to oversee daily operations once the client base is large enough. In fact, Assett Franchise’s model is built to be run in as little as ~5 hours per week as an executive owner (more on that below), whereas Gotcha Covered explicitly expects full-time owner involvement. If your goal is to eventually work on the business instead of in it, commercial cleaning provides a clearer path to that arrangement.
- First-Time Entrepreneur Friendly: Both industries can work for first-time business owners, but commercial cleaning is often cited as an ideal entry-level business because of its simplicity and essential nature. You don’t need to be an interior design expert or have to educate consumers about an optional product – you’re selling a basic necessity to other businesses. Franchises like Assett provide a proven, simple system to follow (just like Gotcha Covered does in its field), but the underlying service of cleaning is easy for anyone to understand. Many people who have never run a business before find success in cleaning franchises because the model is straightforward: find buildings that need cleaning, hire reliable cleaners, keep the clients happy, and build recurring revenue. There’s less risk of fads or market swings affecting your business model. Additionally, the commercial cleaning market is so huge and fragmented (no single company dominates it) that even a new entrant can capture clients and grow without needing a massive share of the market. In window coverings, while there’s still plenty of room regionally, you do face a lot of entrenched competition in various forms, and you have to differentiate based on service and expertise.
In summary, the commercial cleaning industry offers a scalable, stable, and recession-resistant opportunity with recurring B2B income and lower complexity, whereas the window coverings industry offers high margins and a creative, personal sales approach but relies on continuous one-time sales in a narrower market. Next, we’ll look specifically at Assett Franchise – a modern commercial cleaning franchise – to see how it builds on those cleaning industry advantages and provides a compelling alternative for someone comparing it against an opportunity like Gotcha Covered.
How the Assett Franchise Compares
Assett Franchise is a commercial cleaning business franchise founded by Matt Pencarinha, and it was designed with a very different philosophy in mind compared to most owner-operated franchises. Assett is already positioned within the $100B+ commercial cleaning arena, so it benefits from all the industry advantages we discussed (essential service, recurring revenue, etc.). But beyond that, Assett has built its model specifically for entrepreneurs who want a simpler operation and larger income potential without getting bogged down in day-to-day grunt work. Let’s break down a few key ways Assett distinguishes itself – especially in contrast to an owner-operator model like Gotcha Covered.
Simpler Systems, Bigger Potential
One of the biggest differences with Assett Franchise is that it’s built for owners who want to work on the business, not in it. In other words, Assett encourages a management-style ownership from the start. As an Assett franchisee, you’re not out there emptying trash cans or cleaning offices yourself – instead, you focus on building client relationships and managing your team, while the cleaning crews handle the nightly work. The system is optimized so that you can potentially run the business semi-absentee (in ~5-10 hours a week) once things are established, which is almost the polar opposite of Gotcha Covered’s expectation of full-time, personal involvement. This is made possible by Assett’s streamlined processes and use of technology (more on the hiring tech next).
Assett’s business model has a high ceiling for revenue. Commercial cleaning contracts can add up quickly – it’s not unreasonable for a single good-sized client (like a multi-story office building or a school) to be worth tens of thousands in annual revenue. With recurring contracts stacking up, Assett owners have a path to reach $1M+ in yearly recurring revenue, a benchmark that the franchise has set as achievable based on their model and existing franchise performance. That kind of revenue, coming in month after month, often outpaces what a typical window treatment franchise can do in a year of one-off sales. The income potential is high relative to the initial investment, and importantly, the revenue is recurring which improves the predictability of your cash flow and the overall value of the business (should you ever decide to sell it). Assett provides a full business playbook for scaling up – from acquiring commercial accounts to managing operations – so even if you have no background in cleaning or business ownership, you can plug into a proven formula. You also don’t need any industry-specific experience; just like Gotcha Covered trains on design, Assett trains you on the ins and outs of commercial cleaning contracts, quality control, and client management. The difference is the simplicity of the service – most people grasp the cleaning service model intuitively – and Assett’s support helps turn that simple concept into a profitable, executive-style business.
Automated Hiring = Time and Money Saved
Perhaps the most innovative aspect of Assett Franchise is its automated hiring system. Ask any small business or franchise owner in a service industry what their biggest headache is, and many will say “finding and retaining good employees.” This is especially true in cleaning, where high turnover can be a constant challenge. Assett tackled this issue head-on by developing an automated system for recruiting, screening, and onboarding cleaning staff on a continuous basis. The system leverages software to post jobs, filter candidates, and even handle a chunk of the training and communication with new hires. The result is that franchise owners don’t have to spend endless hours each week on help-wanted ads, interviews, and paperwork – the system keeps a pipeline of qualified cleaners ready.
This is a huge advantage. It’s estimated that Assett’s automated hiring process can save an owner 20–30 hours per week (or equivalently, the cost of a full-time hiring manager’s salary) by eliminating manual HR work. Think about that: that’s 20-30 hours you can reinvest in higher-value activities like signing new contracts or managing client relationships – or it’s simply time back to your life if you’re running the business part-time. By ensuring you always have a staffing pipeline, Assett also enables you to scale up faster (you’re never stuck turning down a new cleaning contract because you can’t find workers to service it). It helps maintain a consistently high-quality workforce because the system filters for reliable, vetted cleaners. This approach to automating a critical aspect of the business not only saves time and money, but also gives Assett owners peace of mind – a relief from one of the most common pain points in any service franchise. In contrast, a Gotcha Covered franchisee must handle hiring or contracting installers/design assistants largely on their own, in a more ad-hoc way. Assett’s innovation here is a modern edge that lets an executive owner focus on growth, not on constantly plugging labor gaps.
Personalized and Founder-Led
Another way Assett Franchise differentiates itself is through its culture and leadership structure. Assett is a family-owned franchise system led by its founder, Matt Pencarinha, and a small leadership team as stated in bizbuysell.com. This means that when you join Assett, you’re not just a number in a corporate system – you become part of a close-knit franchise family with direct access to the people who developed the business model. Franchisees can get personalized guidance from the founders and share best practices with peers in a more intimate network. This is a stark contrast to some larger franchise brands (many of which, including some in home services, might be owned by private equity firms or large conglomerates). In those systems, franchisees sometimes feel a disconnect between themselves and the top leadership. Assett prides itself on being founder-led and mission-driven, which translates into very hands-on support. The people who crafted the model are actively involved in coaching new owners and continually improving the system based on feedback from the field.
This personalized approach extends to how Assett franchisees run their businesses as well. Assett encourages each owner to be community-focused, building genuine relationships with local businesses, schools, and organizations that need cleaning services. You’re not just selling a commodity service; you’re becoming a trusted partner in your local business community, backed by Assett’s reputation for quality and reliability. The franchise’s mission is not just to clean buildings, but to help franchise owners build a business that fits their life and meets their financial goals. That ethos comes straight from the founder’s vision. For someone weighing Assett against another opportunity, it’s worth considering the feel of the organization. If you value being able to call up the founder/CEO for advice or having a franchisor that treats you like family, Assett offers that environment. Gotcha Covered, to its credit, also has a supportive culture (and franchisees highly rate their training and support) – but as a much more established system with 150+ owners, it may not provide the same level of direct founder interaction that a newer, tightly-held franchise like Assett can.
Final Thoughts
Both Gotcha Covered and Assett Franchise present viable paths to business ownership, but they cater to different types of entrepreneurs. Gotcha Covered can be a great franchise for someone who enjoys design, sales, and a very hands-on role in a home services business – if you love the idea of transforming homes one project at a time and don’t mind hustling for each sale, it offers a proven model with solid earnings potential. However, for someone who is looking for a more scalable and system-driven business that can yield ongoing income with less daily grind, Assett Franchise provides some clear advantages. In particular, Assett is ideal for those who want:
- A scalable, stable business with long-term growth potential
- Low operational complexity and a simple service model
- Predictable recurring revenue streams from B2B contracts
- Minimal risk and faster ROI, thanks to essential services and low overhead
- A modern business model built for executive ownership, not an owner-operator job
In short, Gotcha Covered’s franchise opportunity has its strengths – it’s relatively affordable, high-margin, and backed by a growing home improvement niche – and it might be “right” for the buyer who fits that mold. But if you’re an aspiring entrepreneur coming out of a corporate career (or simply seeking a more flexible, semi-absentee ownership experience) and you value long-term income, flexibility, and control, then Assett Franchise offers more of what you’re looking for.
If you’re exploring franchise opportunities and want a model that can deliver long-term income, flexibility, and control — we’d love to show you how Assett Franchise can help you build a business that works for your life. Visit https://assettfranchise.com to connect with our team and learn more.
