There’s a lot to like about the dumpster rental business:
- Simple
- Scalable
- Timeless
- Low employees
Let’s dive into Dumpster Dudez:
Earn Money From Assets (Not Labor)
Most franchise models resell labor.
You hire an employee for $25 per hour and charge the customer $75. The only way to grow revenue is to hire and manage more people.
The dumpster rental business is the opposite.
You make money from the assets (dumpsters).
The longer the dumpster sits at a job site, the more money you make.
You grow revenue by buying & placing more dumpsters. A small team of drivers could service a huge portfolio of dumpsters.
Asset-based businesses offer a huge tax benefit. You can accelerate the depreciation of the dumpsters, which significantly reduces income taxes in the early years.
Business Model
There aren’t many business models simpler than dumpsters:
- Drop off it
- Wait a week
- Pick up & empty it
- Take to next job (or store at yard)
The Dudez motto is “EZ in, EZ out”. This philosophy drives their operations. They achieve this by having smaller dumpsters (10, 15, 20, 25 yards) and trucks that are easier to maneuver.
They also make it easy for customers to do business. They offer online booking, promptly answer the phone, and are flexible to customer needs.
This may sound trivial, but the industry bar is very low with many fly-by-night operations.
Earnings Potential
In Item 19 of 2024 FDD they provide a 5 year history of their corporate location in Berks PA.
They also provide similar information for the 7 franchisees that operated a full 12 months in 2021, 2022 & 2023.
In 2023 the founder did $1.28M in revenue and $394k EBITDA with only 4 trucks and 5 employees.
Start-Up Costs
The all-in investment is $358k to $424k which includes:
- 1 Hook Truck: $125k
- 24 Dumpsters: $150k
- Working Capital: $30k
- Franchise Fee: $40k
Financing is available for the truck and dumpsters. The franchisor offers in-house financing for the $40k franchise fee.
The total cash investment is $100k to $200k.
Item 7 of their 2023 FDD has the full investment breakdown.
Ideal Franchisee
Dumpster Dudez is a young franchise run by hands-on founders. Earlier this year I interviewed one of their franchisees on my podcast
- Entrepreneurial Spirit: You’re excited about entering a timeless industry and eager to build something of your own.
- Customer-Centric: You understand that impeccable service is the foundation of a successful business.
- Hard-Working: You’re ready to work and do right by your customers, team, and community.
You can read the bios of all 24 franchisees on their website:
Next Steps
Dumpster Dudez has great territories available across the country!
To learn more fill out this short form
My team will confirm your territory is available and provide you with resources to help with due diligence.
You’ll also get invited to join live group “ask me anything” calls I host every week.
This service is 100% free
Cheers!
Brian
