When it comes to choosing the right type of franchise for you, there are a lot of factors to be considered. To assist, here are the top 5 benefits of a flooring franchise compared to a fast-food franchise:
- Better work life balance. Most of our Carpet Call/Solomons Flooring stores are open 9am to 5pm Monday to Friday and even less hours on a Saturday. Compared to the fast-food industry where stores can be open late at night or even 24 hours a day. This gives you a much better work life balance.
- Higher profit margins. The flooring industry is known for its high gross profit margins, which can be as high as 40%. This is in contrast to the fast-food industry, which typically has profit margins of around 10%.
- Less competition. The flooring industry is less competitive than the fast-food industry. This is because there are fewer flooring companies than there are fast food restaurants. This means that there is less competition for customers, which can lead to higher sales and profits.
- Longer customer lifetime value. Customers who purchase flooring tend to do so less frequently than customers who purchase fast food. However, when they do purchase flooring, they tend to spend more money. This means that flooring customers have a higher lifetime value than fast food customers.
- Less risk. The flooring industry is a less risky business than the fast-food industry. This is because flooring is a necessity, while fast food is a luxury. This means that even during economic downturns, people will still need to purchase flooring.
- More opportunities for growth. Adding to the business other home renovation products like window furnishings gives potential customers even more reasons to make an enquiry at your store.
- Managing team members. In the majority of flooring stores, there are minimal team members required. This means that employing teenagers, who can tend to be unreliable with a high turn over rate, is not required, especially when compared to a typical fast-food franchise. A two-person team can adequately staff a flooring franchise especially in the beginning. As sales increase, additional team members can be hired and these are usually adults looking for a permanent position.
Overall, the flooring industry is a better option for entrepreneurs who are looking for a business with high profit margins, less competition, more stable demand, more opportunities for growth, and less reliant on employees.
Here are some additional benefits of owning a flooring franchise:
- Brand recognition. A franchised flooring business benefits from the brand recognition of the parent company. This can make it easier to attract customers and build a successful business.
- Training and support. Franchised flooring businesses typically receive extensive training and support from the franchisor. This can help franchisees to learn the business and avoid common mistakes.
- Access to resources. Franchised flooring businesses have access to the resources of the franchisor, such as marketing materials, supplier discounts, and training programs. This can help franchisees to save money and improve their chances of success.
If you are considering starting a flooring business, a franchise may be the best option for you. Franchising can provide you with the resources, support, and brand recognition you need to succeed.
To find our more, contact our National Franchise Manager for a confidential chat.