Hey Empire Builders,
Welcome to this week’s Franchise Empire Newsletter, where we share specific franchise opportunities that we think are interesting, and examples of everyday folks building their empires.
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Buyer beware of the hype.
I talked to someone this week who bought into a franchise that was EXPLODING and all the rage just a few years ago.
It was a “passion play” for a lot of people that were buying.
Meaning it was one of those “oh, I’m passionate about that type of business”.
What happens then is your emotions drive, not your logic.
Turns out, none of the franchisees are making money. Actually most of them are really struggling and losing money.
The sad part is that there are really GREAT franchises out there that have a proven track record with dozens and dozens of successful franchisees that are profitable AND happy.
We do our best to find some of those and highlight them in our newsletter.
So just be diligent out there. Yes there are some bad franchises, but there are a lot of good ones too.
If you want help finding one of those good ones, with a proven track record- we are happy to help!
Tariq
CEO & Founder, Franchise Empire
Today, in 5 minutes or less:
✔ 1 Specific resale franchise for sale
✔ 1 Franchise of the week
✔ 1 Client Case study of someone just like you
✔ Latest episode of The Franchise Empire Show
Join Our Franchise Buyers Beta Course for
Aspiring Franchise Owners
FEATURED RESALE
Franchise resales possess many benefits for aspiring business owners – established cash flow, experienced employees, systems in place, and brand awareness to name a few.
This week, our featured resale comes from Floor Coverings International, an industry leader in the floor design and remodeling industry. Floor Coverings International, established in 1988, has 250 franchise units throughout North America. The system of franchise owners provides a shop at home model with their mobile showrooms and comprehensive design process.
Jupiter and West Palm Beach, FL
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Started in 2010
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Asking price of $695,000
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Three territory franchise location
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2023 sales of $1.4M
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Owner is investing in and working on a software business with son
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3 vehicles included in sale
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1,800 sf office / warehouse lease included
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One FT design associate, one PT lead setter, several subcontracted installers
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50% of business is repeat business and/or referrals
Franchise Empire’s Take:
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Turnkey opportunity in a franchise system that is built to scale. According to the 2023 FDD, the AUV for over 100 reporting Floor Coverings International franchisees was $1.1M.
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Huge territory including all of Jupiter and West Palm Beach. There is a significant opportunity in this market to increase marketing spend and add another design associate to build customer pipeline and project backlog.
Curious to learn more about this particular franchise resale, or other resales available in your area?
CLIENT CASE STUDY
Cole REALLY wanted to be a successful entrepreneur. The challenge was he didn’t know if he could make it happen financially.
His wife was also pregnant, so that added another layer of complication.
Then he got fired.
STILL he managed to buy a resale to replace his income.
Here are 5 Low Cost Franchises that make
$1,000,000 (Backed by Data)
Most People Waste Countless Hours Of Time Stuck In Confusion, Scoping The Internet, Trying To Find Winning Franchises.
This Will Save You So Much Time.
We’ve Done The Heavy Lifting For You And Narrowed It Down To 5 Low-Cost Franchises That Make $1,000,000 So You Can Save Yourself So Much time.
FRANCHISE OF THE MONTH
History:
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Started by two college friends Omar Soliman and Nick Friedman in 2003. They are both still CEO and President of CHHJ.
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Began franchising in 2007.
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No parent companies.
Numbers:
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Corporate Owned Territories: 4
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Franchise Units: 184
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Franchise Fee: $65,000 (for 1 moving truck and 1 junk hauling truck)
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Royalty: 7%
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National Marketing Fee: 2%
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Total Investment Range: $158,700 – $283,500
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Term: 10 years
**Numbers according to their FDD released on April 18, 2023.
Description:
College Hunks Hauling Junk and Moving is a junk removal and full service local moving franchise. They also offer labor services, storage solutions, donation pickups, real estate, property management assistance and more. CHHJ has a great company culture and gives back to their community by giving free moves to victims of domestic violence and also gives away 2 meals for every move to an organization called Feeding Children Everywhere. HUNKS stands for Honest, Uniformed, Nice, Knowledgeable and Service.
Financial Data:
Below tables taken from the College Hunks Hauling Junk & Moving 2023 Franchise Disclosure Document – Item 19. COGS, GP and Fixed expenses are also in the item 19. Below is just Gross Sales and EBITDA
Benefits for the Franchisee:
- In House Call Center – Corporate call center answers all inbound calls and will give a majority of the estimates over the phone to your customers. For larger houses, you’ll send a salesperson to give a more detailed estimate.
- Multiple Revenue Streams – You can service both residential and commercial in both moving and junk hauling capacities..
- No Experience Necessary – College Hunks is looking for leaders, people-oriented individuals who are optimistic, good listeners who are detail-oriented and willing to follow a process. This is very much a logistics business so someone more operational that also has skills managing/leading a team is a perfect fit.
- Community Focused – Not only do they help victims of domestic violence move and give away free meals, they also are focused on giving back to their community through repurposing some of the “junk” they pick up. Many of these items are actually in fine condition and can be donated to nonprofits.
- Recognition & Reputation – While some of the awards that franchises get are just paid for, College Hunks ranks on almost any “Top Franchise” list you’ll find on Google. They also have a Net Promoter score higher than popular companies like Costco, Apple and Amazon. They even had an episode on Undercover Boss. They have a reputation of quality and results and that shows in some of the awards they have won. (Franchise Business Review, Entrepreneur Magazine, A Rating with Franchise Grade, Franchise Chatter)
To see if this franchise is available in your territory
OR
Check the availability of ALL franchises in your area
Episode #41: Top Franchisee’s Use This to Save Money on their leases
Grab Your Copy of the Free Ebook on “How to Franchise Your Business”
https://www.franchiseempire.
Should you franchise your business?
So your business is growing and you want to take things to the next level.
Logically you’re probably wondering…
Should I franchise my business?
How can I franchise my business?
Is it worth franchising my business?
More importantly, do you have what it takes to franchise your business?
In this video I sit down and dish out the truth about becoming a franchisor (franchising your business).
How it works, who it’s for, and what it really takes to make it happen.
Plus, I lean on the advice of my friend Chris Conner.
Chris has been a part of helping brands like Auntie Anne’s, Jimmy John’s, and European Wax Center get franchised.
So if you’re interested in franchising your business…
Sit back, enjoy the video, and take some notes.
That’s a wrap for this week’s Franchise Empire newsletter.
Feel free to reply with any questions, or feedback. I appreciate and value your time and attention.
I’ll see you at the same time next week!
-Tariq and The Franchise Empire Team