An HVAC franchise costs $113,808.50 to $288,900 to open under the 2026 Item 7 tables of Aire Serv, One Hour Heating & Air Conditioning and Service Experts, and all three filings make the franchisee obtain the HVAC licenses.
Key takeaways
- Aire Serv’s Item 7 totals $113,808.50 to $271,708.50 plus any added territory fee, in its Franchise Disclosure Document issued April 1, 2026.
- One Hour Heating & Air Conditioning charges a $43,000 Franchise Fee plus $0.43 per person above 100,000, with an Item 7 total of $143,273 to $286,702 (FDD issued April 26, 2026, Items 5 and 7).
- Service Experts files two Item 7 tables: $148,750 to $288,900 for a Start-Up Franchise and $129,500 to $230,900 for a Conversion Franchise (FDD issued April 17, 2026).
- Every technician who could open a refrigerant circuit must pass an EPA Section 608 exam under 40 CFR 82.161(a)(1), and refrigerant can be sold only to a certified buyer or a business that employs one.
- None of the three Item 12 sections grants an exclusive territory; Aire Serv and One Hour count population, Service Experts counts up to 60,000 single family households.
Three HVAC franchise disclosure documents filed in 2026, item by item
Three HVAC systems had 2026 Clean FDDs on the Minnesota CARDS registry when we checked on November 10, 2026: Aire Serv (Aire Serv SPV LLC, a Neighborly brand), One Hour Heating & Air Conditioning (One Hour Air Conditioning Franchising SPE LLC) and Service Experts (Service Experts Franchising LLC, owned by Brookfield). Their fees, territories and license clauses differ more than their headline totals suggest.
The table lists each figure exactly as the filing prints it, with the item number. The same rows, plus the CARDS document numbers and links, are in hvac_fdd_costs.csv.
| Line | Aire Serv | One Hour Heating & Air Conditioning | Service Experts | Source |
|---|---|---|---|---|
| FDD issued | April 1, 2026 | April 26, 2026 | April 17, 2026 | Cover pages |
| Initial franchise fee | $45,000 | $43,000 | $59,900 | Item 5 |
| Fee covers | Up to 100,000 population; $450 per additional 1,000 | 100,000 population; $0.43 per person above | Up to 60,000 single family households; $1 per household above | Item 5 |
| Royalty | License Fee 5% to 7% of Gross Sales | 6% of Gross Revenue or $1,500 per month, whichever is greater | 6% of Gross Revenue or a weekly Minimum Royalty | Item 6 |
| Brand or marketing fund | MAP Fee 2% | Brand Fund 1.5%, stepping down in higher revenue bands, capped at 4% | Brand Fund up to 2% (currently 1%) | Item 6 |
| Item 7 total, new business | $113,808.50 to $271,708.50 + any additional franchise fee | $143,273 to $286,702 | $148,750 to $288,900 | Item 7 |
| Item 7 license line | Deposits, Permits & Licenses $500 to $10,000 | Professional Fees and Licensing $4,635 to $20,600 | Business Licenses $250 to $5,000 | Item 7 |
| Territory | Generally 100,000 to 300,000 population | Approximately 100,000 individuals by zip code | Up to 60,000 single family households by zip code | Item 12 |
| Exclusive territory | No | No | No | Item 12 |
| Term | 10 years | 10 years | 10 years from Opening Deadline | Item 17 |
| Franchised units, end of 2025 | 229 | 418 territories (109 franchisees) | 2 | Item 20 |
Item 7 totals range from $113,808.50 (Aire Serv low) to $288,900 (Service Experts start-up high). Source: 2026 FDDs, Item 7, Minnesota CARDS, accessed November 10, 2026.
Service Experts is the newest franchisor of the three: its Item 1 says the company was organized on October 25, 2024 and began offering franchises in April 2025, while its affiliate operates approximately 80 company-owned centers across 31 states. That history explains why its Item 20 shows 2 franchised outlets at the end of 2025 against 82 company-owned ones. For plumbing, pest control, junk removal and maid service set against each other, our home services franchise comparison of eight trades covers the wider field.
What do HVAC franchisors charge after the doors open?
All three filings charge a royalty of about 6% of sales, but the floors differ. One Hour sets a $1,500 monthly minimum, Aire Serv’s Minimum License Fee starts at $350 a week in week 40, and Service Experts charges $0 through month 6, then a weekly minimum that rises with household count. Each also adds a brand fund and a local marketing duty (Item 6 of each 2026 FDD).
| Item 6 fee | Aire Serv | One Hour | Service Experts |
|---|---|---|---|
| Royalty rate | 7%, 6% or 5% by prior-year Gross Sales band | 6% | 6% |
| Royalty floor | $350 weekly (weeks 40 to 156), then $400 to $1,000 weekly by territory population | $1,500 per month | $0 to month 6; $200 weekly months 7 to 18; $500 weekly from month 19 (plus per-household add-ons) |
| Brand or MAP fund | 2% of Gross Sales | 1.5% of Gross Revenue, lower in higher bands | Currently 1% of Gross Revenue |
| Local marketing | Local Marketing Groups up to 3%; Initial Marketing Spend Requirement currently $60,000 in the first 12 months (Item 7 note 5) | Grand opening marketing $0 to $6,000 (Item 7) | Greater of 6% or $0.53 per household, not less than $32,000 a year |
| Technology | Software System Monthly Fees $189.95 per month, plus add-ons | Currently $100 per month | $500 per month plus $45 per email address (minimum 2) |
| Transfer fee | Greater of 5% of the sale price or $7,500 | Generally $10,000 | 50% of the then-current initial fee for a buyer new to the brand |
Royalty plus fund comes to 9% (Aire Serv, 7% band), 7.5% (One Hour) and 7% (Service Experts, current 1% fund). Source: 2026 FDDs, Item 6, accessed November 10, 2026.
The Aire Serv royalty rate falls as a franchisee’s prior-year Gross Sales cross two thresholds printed in its Item 6 Fees Chart, so a first-year franchisee with no prior-year sales sits in the 7% band. Royalty percentages across hundreds of filings are compared in our franchise royalty rates research report.
How big is an HVAC franchise territory, and what does extra population cost?
Territory size sets the initial fee in all three filings. Aire Serv prices population at $450 per 1,000 above 100,000, One Hour at $0.43 per person above 100,000, and Service Experts at $1 per single family household above 60,000. Item 12 in each FDD says the franchisee does not receive an exclusive territory, though One Hour and Service Experts protect it against same-brand outlets.
The arithmetic below applies each filing’s own Item 5 formula to one larger territory per brand. The inputs are the printed rates; the territory sizes are examples we chose, not offers from the franchisors.
| Brand | Example territory | Base fee (Item 5) | Add-on calculation | Fee before discounts |
|---|---|---|---|---|
| Aire Serv | 150,000 population | $45,000 | 50 blocks of 1,000 x $450 = $22,500 | $67,500 |
| One Hour | 150,000 population | $43,000 | 50,000 people x $0.43 = $21,500 | $64,500 |
| Service Experts | 75,000 single family households | $59,900 | 15,000 households x $1 = $15,000 | $74,900 |
Discounts move these numbers. One Hour’s Item 5 cuts the fee by 30% for veterans and active personnel and by $5,000 for qualifying minority-owned and women-owned businesses, and Service Experts takes 10% off for veterans and first responders. Aire Serv’s Item 5 reports that fees paid in 2025 ranged from $39,325 to $115,379. How protection clauses compare across systems is covered in our franchise territory rights research.
Who has to hold the HVAC license: you, a manager or a technician?
None of the three franchisors holds the license for you. Each 2026 FDD puts licensing on the franchisee in Item 1, and One Hour’s Item 15 adds that some state, county or municipal rules may require the Owner of an HVAC company to hold the license. Owner, manager and technician can be three different people only where the state rules allow it.
| FDD | What the filing says about licenses | Who must run the business | Source |
|---|---|---|---|
| Aire Serv | “You are responsible for obtaining any licenses or permits required by your locality for performing the work of the franchise.” | An individual franchisee must directly perform or supervise the business unless the franchisor consents; an entity names a trained principal owner | Items 1 and 15 |
| One Hour | “You are solely responsible for obtaining and maintaining all required licenses”; some rules “may require that the Owner of an HVAC Services company have applicable licenses.” | A Key Person who need not be an Owner, must finish training and work on premises; owners of 5% or more sign a Personal Guarantee | Items 1 and 15 |
| Service Experts | “You are solely responsible for obtaining and maintaining all required licenses for the operation of your Franchised Business.” | A Principal Owner, plus a Key Person if the owner does not manage day to day; owners of 10% or more sign a Personal Guarantee | Items 1 and 15 |
One Hour’s Item 7 prices that choice: the Full Time General Manager / Operations Manager row runs from $0, when the principal Owner manages full time, to $25,750, three months of salary for a non-Owner Key Person (note 22). How the guarantee works in practice is set out in our franchise personal guarantee research.
Which federal refrigerant rule applies on day one?
EPA’s Section 608 rule applies in every state. Under 40 CFR 82.161(a)(1), any person who could be reasonably expected to violate the integrity of the refrigerant circuit while servicing or disposing of appliances must pass an exam from an EPA-approved program, at the Type I, Type II, Type III or Universal level. The rule names the technician, not the business owner.
| Certification | Equipment covered | Section |
|---|---|---|
| Type I | Small appliances (maintain, service or repair) | 82.161(a)(1)(i) |
| Type II | Medium-, high- and very high-pressure appliances, except small appliances and motor vehicle air conditioning | 82.161(a)(1)(ii) |
| Type III | Low-pressure appliances | 82.161(a)(1)(iii) |
| Universal | All appliances in Types I, II and III | 82.161(a)(1)(iv) |
Three details matter for a new franchise. Apprentices are exempt only while “closely and continually supervised by a certified technician” (82.161(a)(2)). Certified technicians must keep a copy of the certificate at their place of business (82.161(a)(4)). And under 40 CFR 82.154(c)(1), a supplier may sell refrigerant only to a buyer who is certified or who employs at least one certified technician and shows proof, so an owner without a card cannot stock trucks until a certified technician is on payroll. The regulation as of November 6, 2026 contains no recertification requirement; 82.161(a)(5) reserves that to a future Federal Register notice.
How do Arizona, Minnesota, North Carolina and Virginia license HVAC contractors?
The four states use four different tools. Arizona requires a contractor’s license in the business’s name, Minnesota requires a $25,000 bond to the state, North Carolina licenses heating contractors by system size with a 15-ton dividing line, and Virginia ties an HVAC contractor license to a master tradesman. The statutes below were opened on November 10, 2026.
| State | Rule for the business | Threshold or condition | Source |
|---|---|---|---|
| Arizona | Unlawful to act as a contractor without a license in good standing in the name of the person, firm or corporation | Exempt only if the aggregate contract price is less than $1,000, the work is casual or minor, and no local building permit is required | A.R.S. 32-1151; A.R.S. 32-1121(A)(14) |
| Minnesota | Bond to the state for gas, heating, ventilation, cooling, air conditioning, fuel burning or refrigeration work | $25,000 bond; biennial bond filing fee of $100 | Minn. Stat. 326B.197 |
| North Carolina | License before any person, firm or corporation engages in heating contracting | Heating group 3: 15 tons or less, and all single-family residences regardless of size; group 2: above 15 tons; required experience may not exceed two years | G.S. 87-21(a)(3), (a)(4), (b)(3) |
| Virginia | No person may contract without a license; HVAC contractor license requires a master tradesman | Class C: over $1,000 and under $30,000 per contract; Class B: $30,000 to under $150,000; Class A: $150,000 or more | Va. Code 54.1-1100; 54.1-1103(A) |
North Carolina’s examination comes in two parts, business and law plus technical, under G.S. 87-21(b)(6), and up to half of the experience may come from academic or technical courses. The Minnesota bond replaces other bonds a city or county would otherwise require for the same work, according to 326B.197(a). Virginia’s class follows the size of the jobs: a single contract of $30,000 or more already needs Class B. Ask the board in your state whether a licensed employee can qualify the business, and whether that person must hold an ownership stake.
Start-up, conversion or resale: which routes do these HVAC FDDs offer?
A buyer searching “HVAC franchise for sale” has three routes in these filings. Service Experts files a separate conversion table at $129,500 to $230,900 and sells company-owned centers through a refranchise program. Aire Serv and One Hour state transfer fees for buying an operating franchise: the greater of 5% or $7,500, and generally $10,000.
| Route | Aire Serv | One Hour | Service Experts |
|---|---|---|---|
| New territory (start-up) | Item 7: $113,808.50 to $271,708.50 | Item 7: $143,273 to $286,702 | Item 7 Table 1: $148,750 to $288,900 |
| Convert your existing HVAC company | Roll-In Addendum; Roll-in License Fee 3% in weeks 1 to 52, 4% in weeks 53 to 104 | Conversions of similar businesses may be pursued (Item 1) | Item 7 Table 2: $129,500 to $230,900 |
| Buy an operating unit | Transfer fee: greater of 5% of total gross sales price or $7,500 (Item 7) | Transfer fee generally $10,000 (Item 6) | Refranchise: negotiated purchase price including the franchise fee; two 2025 deals allocated $25,000 to the fee (Item 5) |
| Transfers recorded | 14 in 2024 and 18 in 2025 (Item 20 Table 2) | See Item 20 tables | 0 franchisee transfers through 2025 |
Conversion matters for HVAC because a licensed contractor already holds the state layer. Service Experts says its conversion estimates rely on its affiliate’s company-owned centers, since it had no conversion experience as of the April 17, 2026 issuance date. Resale pricing beyond the fee is negotiated with the seller, and the fee comparison across systems sits in our franchise transfer fees research report. Listings and how to vet them are covered in our guide to buying a franchise for sale. The conversion model itself is examined in our conversion franchising report.
What does Item 19 cover in these HVAC filings?
All three FDDs include an Item 19 financial performance representation, but each measures a different group. Aire Serv reports 2025 sales for 172 of its 229 franchised businesses, One Hour reports on 88 franchisees holding 364 territories, and Service Experts reports on 48 of 76 company-owned locations, because it had only 2 franchised outlets at year end.
| FDD | Item 19 group | Period | Item 20 franchised count |
|---|---|---|---|
| Aire Serv | 172 of 229 franchised businesses that reported a full year | January 1 to December 31, 2025 | 208 (end 2024), 229 (end 2025) |
| One Hour | 88 franchisees (364 territories) | Fiscal 2025 and prior years | 405 (end 2024), 418 (end 2025) |
| Service Experts | 48 corporate-owned locations | December 15, 2024 to December 13, 2025 | 0 (end 2024), 2 (end 2025) |
We do not reproduce Item 19 numbers on this site. Read them in Item 19 of each filing linked above, and check which outlets were left out and why. Our Item 19 research report explains how to test a sample’s size and age, and our guide to reading a franchise disclosure document lists the 23 items in order.
Which HVAC franchise path matches your license and cash?
Start with the license, then the cash. If nobody on your team can sit an EPA Section 608 exam or qualify a state license, the start-up route depends on hiring that person first. If you already hold the license and run trucks, the conversion and roll-in routes in the Service Experts and Aire Serv filings were written for you. This page is general information, not legal, financial or investment advice.
| If this is true | Then look at | Filing detail to check |
|---|---|---|
| You hold a state HVAC contractor license and run an existing company | Conversion: Service Experts Table 2 or Aire Serv Roll-In Addendum | Service Experts Item 7 Table 2 ($129,500 to $230,900); Aire Serv roll-in fee 3% in year 1 |
| You have no trade license and plan to manage, not wrench | A start-up with a Key Person or manager budget | One Hour Item 7 manager row $0 to $25,750; your state board’s rule on who may qualify the license |
| You want an operating business with customers | Resale or refranchise | Transfer fee: Aire Serv greater of 5% or $7,500; One Hour generally $10,000; Service Experts negotiated price |
| Your cash for the Item 7 low end is under $143,273 | Aire Serv start-up, or a conversion | Aire Serv Item 7 low $113,808.50 assumes you convert an existing vehicle and own equipment (notes 2 and 3) |
| You want to cover more than 100,000 people | Price the territory with each Item 5 formula | $450 per 1,000 (Aire Serv), $0.43 per person (One Hour), $1 per household above 60,000 (Service Experts) |
| You plan to work in North Carolina homes | Heating group 3 license | G.S. 87-21(a)(4): single-family residences fall in group 3 regardless of tonnage |
How we compiled this
We downloaded the three 2026 Clean FDDs for HVAC systems from the Minnesota CARDS registry on November 10, 2026 and copied every figure from Items 1, 5, 6, 7, 12, 15, 17, 19 and 20. A fourth search, for DUCTZ, returned no Clean FDD. We read 40 CFR 82.161 and 82.154 through the official eCFR data service and four state statutes on the legislatures’ own sites; North Carolina’s site refused the request, so we used a Wayback Machine capture dated September 3, 2026. We left out Item 19 dollar figures under our site rule.
Frequently asked questions
How much does an HVAC franchise cost?
The 2026 Item 7 totals for new HVAC franchises run from $113,808.50 (Aire Serv low estimate) to $288,900 (Service Experts high estimate). One Hour Heating & Air Conditioning sits at $143,273 to $286,702. Each range assumes a base territory; larger territories raise the Item 5 franchise fee, and Aire Serv’s high figure excludes any added population fee.
What are the HVAC franchise license requirements in the US?
There are two layers. Federally, every technician who could open a refrigerant circuit needs EPA Section 608 certification under 40 CFR 82.161. States add their own rule: Arizona requires a contractor license in the business name, Minnesota a $25,000 bond, North Carolina a heating group license by tonnage, and Virginia a contractor license backed by a master tradesman.
Do I need to be an HVAC technician to own an HVAC franchise?
Not under the franchise agreements read here. One Hour and Service Experts allow a trained Key Person who need not be an Owner, and Aire Serv allows a trained manager with its consent. State law can still require a licensed individual, and One Hour’s Item 15 warns that some rules may require the Owner of an HVAC company to hold the license.
Is there an HVAC franchise for sale, or do I have to start new?
Both routes appear in the 2026 filings. Aire Serv recorded 18 franchisee transfers in 2025 and charges the greater of 5% of the price or $7,500 on a resale. One Hour’s transfer fee is generally $10,000. Service Experts sells company-owned centers through a refranchise program at a negotiated price that includes the franchise fee.
How much does a One Hour Heating & Air Conditioning franchise cost?
One Hour’s FDD issued April 26, 2026 lists a $43,000 Franchise Fee plus $0.43 per person above 100,000 in the territory, and an Item 7 total of $143,273 to $286,702. Ongoing fees are a 6% royalty or $1,500 a month, whichever is greater, a 1.5% Brand Fund contribution and a $100 monthly technology fee.
How much do HVAC franchise owners make?
We do not publish income figures. Owner results depend on the royalty and fund percentages in Item 6, the cost base in Item 7 and how fast a territory fills. All three 2026 HVAC filings include Item 19 data: Aire Serv on 172 franchised businesses, One Hour on 88 franchisees and Service Experts on 48 company-owned locations. Read Item 19 directly.
Are HVAC duct cleaning franchises the same as HVAC franchises?
No. The three filings here cover installation, maintenance and repair of heating and air conditioning systems, which is the work 40 CFR 82.161 regulates when refrigerant circuits are opened. Duct cleaning brands sell a narrower service; DUCTZ had no Clean FDD on Minnesota CARDS when we searched on November 10, 2026, so its terms are not compared here.
Sources
- Aire Serv Franchise Disclosure Document, issued April 1, 2026, Aire Serv SPV LLC, Minnesota CARDS document 36177-202604-02, accessed November 10, 2026.
- One Hour Heating & Air Conditioning Franchise Disclosure Document, issued April 26, 2026, One Hour Air Conditioning Franchising SPE LLC, Minnesota CARDS document 36227-202604-14, accessed November 10, 2026.
- Service Experts Franchise Disclosure Document, issued April 17, 2026, Service Experts Franchising LLC, Minnesota CARDS document 36104-202604-08, accessed November 10, 2026.
- 40 CFR 82.161, Technician certification, eCFR, up to date as of November 6, 2026, accessed November 10, 2026.
- 40 CFR 82.154, Prohibitions (sales restriction), eCFR, accessed November 10, 2026.
- Arizona Revised Statutes 32-1151 and 32-1121, Arizona Legislature, accessed November 10, 2026.
- Minnesota Statutes 326B.197, Office of the Revisor of Statutes, accessed November 10, 2026.
- North Carolina General Statutes 87-21, Wayback Machine capture of ncleg.gov dated September 3, 2026, accessed November 10, 2026.
- Code of Virginia 54.1-1100 and 54.1-1103, Virginia Law, accessed November 10, 2026.