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                                 Exhibit 10.4

                      Employment Agreement by and between
              Michael Bidwell and the Company dated July 28, 1995.
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                             EMPLOYMENT AGREEMENT
                             --------------------

     This EMPLOYMENT AGREEMENT is by and between RAINBOW INTERNATIONAL CARPET 
DYEING & CLEANING COMPANY, a Texas corporation with its principal place of 
business located at 1010-1020 North University Parks Drive, Waco, Texas 76707 
("EMPLOYER") and MICHAEL BIDWELL, individually, having a residence address of 
_______________________________________________________________ ("EMPLOYEE").
("EMPLOYER and EMPLOYEE hereby agree as follows:

                             DUTIES AND CONDITIONS

     EMPLOYEE is hereby employed as President of EMPLOYER beginning July 24, 
1995. EMPLOYEE shall report directly to Robert E. Tunmire, President and Chief 
Executive Officer of The Dwyer Group, Inc., EMPLOYER's parent holding company. 
EMPLOYEE agrees to devote his time, knowledge, skill and attention solely and 
exclusively to the business interests of EMPLOYER. EMPLOYEE's principal duties 
shall be as directed by Mr. Tunmire. EMPLOYEE agrees to perform such other 
additional duties as may be reasonably assigned to EMPLOYEE. It is understood 
that EMPLOYEE shall work only in those areas assigned during such periods of 
time as designated by EMPLOYER. EMPLOYEE agrees to live up to EMPLOYER's Code of
Values.

                                 COMPENSATION

     EMPLOYER shall pay EMPLOYEE a salary of $120,000.00 per year for the 
services contemplated hereunder, payable in accordance with the EMPLOYER's usual
payroll period.

     EMPLOYER further agrees to provide EMPLOYEE a bonus, payable quarterly, in 
an amount equal to five percent (5%) of the net income of EMPLOYER for the 
applicable quarter. The payment shall be made as soon as net income for the 
quarter has been determined. Net income will be determined from the internal 
financial statement of EMPLOYER as regularly kept, adjusted by excluding any 
extraordinary items. In the event of a dispute as to adjustments, the decision 
of EMPLOYER's Chief Financial Officer shall be final.

     EMPLOYER further agrees to reimburse EMPLOYEE for actual moving expenses, 
to be paid on or before August 1, 1995 provided EMPLOYEE has provided any 
documentation required by EMPLOYER's Chief Financial Officer to support such 
payment.

     EMPLOYER further agrees that if EMPLOYEE's present home, located in Tucson,
Arizona, has not been sold by July 24, 1995, EMPLOYER shall pay EMPLOYEE the 
equivalent of EMPLOYEE's mortgage payment each month, beginning with the payment
due in August, 1995 until the earlier of (1) the date the house sells or (2) for
a period of six (6) months. To the extent this relocation allowance is not 
utilized by EMPLOYEE, EMPLOYER agrees to reimburse EMPLOYEE

EMPLOYMENT AGREEMENT -- PAGE 1
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for real estate fees paid by EMPLOYEE for the sale of his home in Tucson, 
Arizona. In any event, the maximum combined reimbursable expense covered by this
paragraph shall be $10,000.

                                   BENEFITS

     EMPLOYEE shall be provided with employee benefits and programs to the same 
extent and in the same manner as those benefits and programs are available to 
the other executive employees of EMPLOYER's parent.

                                     TERM

     The term of this Agreement shall be sixty (60) months beginning with the 
effective date of this Agreement stated above, being July 24, 1995. If, after 
the initial term of the Agreement has expired, the parties continue to do 
business together as if this Agreement were still in effect, the practice 
constitute a renewal of the Agreement until one of the parties notifies the 
other, in writing, of its wish to terminate this Agreement.

                                  TERMINATION

     In the event of a material breach or neglect of duties by EMPLOYEE, 
EMPLOYER may, at EMPLOYER'S option, terminate this Agreement by giving immediate
notice in writing without prejudice to any other remedy to which EMPLOYER may be
entitled at law, in equity, or under the terms of this Agreement. A material 
breach of this Agreement includes but is not limited to: (1) EMPLOYEE's material
violation of the policies and rules of EMPLOYER; (2) an act of fraud committed 
by EMPLOYEE; (3) nonperformance of EMPLOYEE's duties; or (4) the occurrence of a
material conflict of interest between EMPLOYEE and EMPLOYER. Notwithstanding the
foregoing, EMPLOYER agrees to give EMPLOYEE notice of such breach and a 
reasonable period of time in which to cure such breach if the breach is capable 
of cure.

                                 STOCK OPTIONS

      EMPLOYEE is entitled to stock options in accordance with a separate Stock 
Option Incentive Agreement to be entered contemporaneously herewith.

                            INTELLECTUAL PROPERTY,
                  TRADE SECRETS AND CONFIDENTIAL INFORMATION

     EMPLOYEE acknowledges the proprietary right of EMPLOYER in the service 
marks, trademarks and trade names owned by EMPLOYER (either registered or 
applied for) and the service marks heretofore used by EMPLOYER to identify its 
services. During the term of employment with EMPLOYER, EMPLOYEE will or may have
access to and become familiar with trade secrets of EMPLOYER and trade secrets

EMPLOYMENT AGREEMENT -- PAGE 2
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licensed to EMPLOYER including, but not limited to, patents, formulas, 
procedures, processes, patterns, contracts, methods, secret inventions, 
presentations, scripts and policies, and EMPLOYEE shall not disclose, or cause 
to be disclosed, the aforementioned trade secrets to any third party, nor shall 
EMPLOYEE use any such trade secrets for EMPLOYEE'S own benefit or for the 
benefit of any third party either related or unrelated, during the term of this 
Agreement or any time after termination of this Agreement. EMPLOYEE further 
agrees that EMPLOYEE will not use for EMPLOYEE's own benefit or disclose to any 
person confidential information of EMPLOYER of any kind or character learned 
while acting as EMPLOYEE for EMPLOYER, without the prior written consent of 
EMPLOYER.

                                   COVENANTS

     The covenants on the part of EMPLOYEE shall be construed as an agreement 
independent of any other provision of this Agreement; and the existence of any 
claim or cause of action of EMPLOYEE against EMPLOYER, whether predicated on 
this Agreement or otherwise, shall not constitute a defense to the enforcement 
by EMPLOYER of the covenants contained herein. EMPLOYEE agrees that all 
covenants made by EMPLOYEE to EMPLOYER herein shall survive the termination of 
EMPLOYEE'S agreement and be enforceable against EMPLOYEE by specific 
performance, restraining orders or injunctions.

                              PREVIOUS AGREEMENTS

     This Agreement supersedes all prior such agreements and represents the 
entire agreement by and between EMPLOYER and EMPLOYEE except as otherwise 
provided in this Agreement. No other agreement either written or oral with 
respect to the employment of EMPLOYEE by EMPLOYER is binding upon the parties 
hereto. This Agreement may not be changed except by written amendment duly 
executed by both parties.

                                 GOVERNING LAW

     This Agreement shall be subject to and governed by the laws of the State of
Texas. Any and all obligations or payments are due and payable in Waco, McLennan
County, Texas.

                          PERSONAL SERVICES CONTRACT

     This is a personal services contract and EMPLOYEE shall have no right to 
transfer or assign EMPLOYEE's interest in this Agreement without the prior 
written consent of EMPLOYER. This contract shall terminate automatically upon 
the death of EMPLOYEE.

EMPLOYMENT AGREEMENT -- PAGE 3
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                               WAIVER AND DELAY

     The failure or delay in the enforcement of the rights detailed in this 
Agreement by EMPLOYER shall not constitute a waiver of those rights or be 
considered as a basis for estoppel. EMPLOYER may exercise its rights under this 
Agreement despite the delay or failure to enforce the rights.

                     GENERAL AND ADMINISTRATIVE PROVISIONS

     In the unlikely event that a dispute occurs or an action in law or equity 
arises out of the operation, construction or interpretation of this Agreement, 
the prevailing party shall bear the expense of attorney's fees and costs 
incurred by the other party in the action.

     If any provision of this Agreement shall, for any reason, be held violative
of any applicable law, and so much of the Agreement is held to be unenforceable,
then the invalidity of such a specific provision in this Agreement shall not be 
held to invalidate any other provisions in this Agreement, which other
provisions shall remain in full force and effect unless removal of the invalid
provisions destroys the legitimate purposes of this Agreement, in which event
this Agreement shall be cancelled.

     SIGNED this 28 day of May, 1995 but EFFECTIVE the 24th day of July, 1995.

                                      EMPLOYER:
                                   
                                      RAINBOW INTERNATIONAL CARPET DYEING
                                      & CLEANING COMPANY
                                   
                                      BY: /s/ Robert E. Tunmire
                                          -------------------------------
                                          Robert E. Tunmire, CEO
                                   
                                      EMPLOYEE:
                                   
                                      /s/ Michael Bidwell
                                      -----------------------------------
                                      Michael Bidwell



EMPLOYMENT AGREEMENT -- PAGE 4
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