Let me start by showing you a franchise that works:
Jim’s Mowing Founded in 1982 by Jim Penman. Jim's Mowing has expanded to become Jim's Group, the largest franchise in Australia with 3000 franchises, as well as becoming the world's largest home franchise business.
Franchises now include Jim's Antennas, Jim's Bookkeeping, Jim's Building Maintenance, Jim's Computer Services, Jim's Dog Wash, Jim's Painting and Jim's Roofing, and Jim's Group has recently expanded into Great Britain, New Zealand & Canada
Why did this franchise work?
(In any business or franchise you need to be highly motivated, self-discipline and have a sense of responsibility)
- Easily taught.
- Product knowledge is low.
- No knowledge/skills needed. Only a week-long training course which covers not only practical subjects such as pruning, fertilisers and plant identification, but sessions on quoting, up-selling, book-keeping, computer systems, health and safety, and customer service.
- Low working capital to survive the initial start-up phase.
- No large tool kit. You can start with only a van, a mower and safety equipment.
- No parts to stock. So no need for multi trade suppliers and storage.
- The work is seasonal as is the bike trade.
- It’s a proven business model with backup and support. The support is from someone with a great knowledge of the trade.
- Note: Even in Jim's Mowing franchise it did not work for everyone. Many new franchise businesses face overwhelming competitive forces from similar franchise concepts and independent businesses already entrenched in their target market. In some cases this includes competition from other fellow franchisees who have been allowed by the franchiser to open other locations.
Franchising can be a quick way of reaching out to new markets and exploiting the potential of your enterprise, if done correctly and with the right support.
It could also give the independent established mobile bicycle mechanic business a bad name, if not done with the right care and support.
"Bicycles have changed a lot in the last 25 years and are not as simple as one first thinks! If you haven't set foot in a bike shop recently you will be amazed at how much has changed. Full suspension, hydraulic disc brakes and carbon frames are now common. ( There are also hydraulic rim brakes and electric bikes) If you think you can learn everything in a 2 week course you will be wrong! It takes years of experience, continues training courses and product knowledge before you can run a successfully business." Martin.
Once you know what you need to start your own business and how to find customers, you can go out on your own prepared and there is no need to join a franchise and pay fee's:
Our proven system "Alternative franchise approach" which has been built up over time, sharing with you our knowledge and contacts in the trade, showing you how to build a good solid foundation to your business. And our marketing system which is proving to be very effective.
This business is unique, with mobile bicycle mechanics having been around for quite a time offering a great friendly service that conveniently comes to the customer. It's not too corporate for a group of people who are by nature individualistic and happy to be their own boss. You will find that customers like using independent business for their care of service rather than a business working to a target.
With most franchisees end up buying themselves out of the franchise agreement at a unnecessary cost, due to franchise fee's and conditions, when they could have set-up on their own at the beginning. (You should have a good lawyer to scrutinise any franchise agreement.) If you are questioning the terms of any franchise, then something is not right! You need to make sure what is right for you. But lets face it, you are looking at a franchise because you want to reduce your risk, because they have a proven system right?
Business idea & trends:
There are others offering alternative systems, methods and charging a considerable amount of money and in my opinion is not worth it. Don't be fooled by their sales tactics and unrealistic figures, or you could find yourself being the guinea pig, funding the setup. It's in the fanchisors interest to sell you a franchise, so they may well be optimistic in projections of earnings. You have to consider worse case scenarios, also factor in contingency money in case of emergency costs arising and be prepared not to make any money for at least a year. (3 years is the norm) It will all depend how long they have been in business, on there extensive promotional support and marketing blitz. This takes time to build a brand, for customers to think that your service is worthy of purchasing and think of your business product first. You need to research the pros & con's of a franchise vs starting a new business before you make a final decision. You should talk with other franchisees first. Also, should a franchisor change ownership or fail, the future of your franchise will be thrown into doubt. Likewise, the actions of your fellow franchisees will have an impact upon your image and, therefore sales.
A key sign that the franchises are more likely to succeed than other start-ups is the average time a franchisee has been running their business. In 2007, according the Natwest survey, the average time in business was over 7 years.
If you are new to owning a business, you will be taking a trip into the unknown. That's where Cycle Tech UK can help and support you.
I can show you how to D.I.Y and start your own professional bike business.
Read more..............See Starting A Mobile Bicycle Repair Business
Don't spend your time and money on a franchise, when you can do it for yourself by making your money work for you. You can do so much and avoid monthly franchise fees.
To know more email: martin@cycle-tech.co.uk
Here’s a final, sobering thought If the real reason we go into business is to minimize our time and effort and maximize our income, who do you think achieves this most successfully in franchising?
Is it the franchisee? Or is it the franchisor?
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