FDD ITEM 20 · FISCAL 2014–2025
ZIPS DRY CLEANERS Item 20: outlets, exits & growth
In its latest FDD Item 20 (fiscal 2025, from the 2026 FDD), ZIPS DRY CLEANERS reported 52 franchised outlets at year end. 22 of 70 franchised outlets open at the start of the year left the system (exit rate 31.4%, fiscal 2025), while 4 new outlets opened. Systemwide units moved +4.3% over 2023–2025.
| Status (FTC) | 2014 | 2015 | 2016 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|
| Outlets at start | 36 | 38 | 42 | 66 | 69 | 72 |
| Opened | 2 | 4 | 4 | 5 | 4 | 4 |
| Transfers | 2 | 0 | 0 | 0 | 1 | 2 |
| Terminations | 0 | 0 | 0 | 0 | 0 | 2 |
| Non-renewals | 0 | 0 | 0 | 0 | 0 | 0 |
| Reacquired by franchisor | 0 | 0 | 0 | 0 | 0 | 0 |
| Ceased — other reasons | 0 | 0 | 0 | 2 | 0 | 20 |
| Outlets at end | 38 | 42 | 46 | 69 | 72 | 72 |
| Net change | +2 | +4 | +4 | +3 | +3 | 0 |
2 terminations + 0 non-renewals + 20 ceased (other) = 22 exits ÷ 70 at start = 31.4%
These are the three FTC Item 20 statuses in which a franchised outlet left the system — including voluntary non-renewals and outlets that ceased for other reasons, which can include sales or absorption into another franchise. Transfers (2) are resales, not exits; reacquisitions by the franchisor (0) are tracked separately. There is no official “failure rate”, and not every exit is a closure or a failure; Item 20 does not say why any outlet left. On a small starting base, a single exit moves this rate sharply.
| State | Franchised | Company-owned |
|---|---|---|
| MD | 22 | 10 |
| VA | 12 | 7 |
| PA | 7 | 1 |
| TX | 5 | — |
| IN | 2 | — |
| CA | 1 | — |
| FL | 1 | — |
| IL | 1 | — |
| NC | 1 | — |
| DC | 0 | 2 |
| OH | 0 | — |
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