Franchising Buying a Jim's Franchise

Done.

 

Interesting sales tactic. Suggest that potential customers who find your quotes expensive are cheap?

 

Haha! No. My apologies. I thought that didn't sound quite right as I pressed 'enter'... What did you mean by "I might not be the target clientele.."?

 

I wouldn't admit to having worked for a Jims franchise
But I did work for my friend, that's where my experience came from.
I did look at buying a Jims "run" area one time
And it may suit some, but for the size of the run with the income guarantee and the size of your area not being permanant the numbers longer term didnt add up for myself.
I went out on my own with ONE commecial contract, won by being the cheapest (too cheap) but a guaranteed 12 month income.
3 years on, we still dont advertise, not even vehicle signage, all our work comes via word of mouth
4 commercial sites, 19 apartment complexes and numerous residential to date, still only one employee, ME (to = over 4x my old wage)

 

Well done, Stoffo! You're right, a franchise isn't right for everyone, but certainly IS right for others. All I encourage people to do is to do their homework: speak to the people that are current franchisees and get a real-world feel for things....

 

Would have thought it better to talk to ex franchisees.

 

What happens if the restricted trading territory you have paid a premium to operate in becomes flooded with new competition.
Say you want to then move to a new area with more potential and also for a lifestyle change.
Do you simply forfeit all the start up costs and fees and start all over again?

 

If you want to move area, change career, or the job ends you.....
Your area can be sold, with the approval of the franchise, or bought back by the franchise

 

I would suggest both.

 

Hi Ace. With Jim's you don't get a 'restricted trading territory'. I have had franchisees move their business into, and out of, the region that I look after, at no cost to them, other than new business cards, and business name rego change. I cant speak for other franchises, though...

 

I think the reason this thread got most of the "why would you bother" responses is that we the majority of people on here are movers and shakers - go getters - build your own empire - type people and simply cannot see the point, when there is so much work available, in forfeiting a portion of your income to a franchise company.

Perhaps if the inquiry was directed at a panel of people who were not "self starters", then the answers would be different and a franchise would suit.

Perfect example of how most think on here ... hubby and I are looking at properties for retirement, preferably on the coast, mid/north NSW. One beachside location we looked at hubby really like - but the one and only cafe was disgusting and I immediately walked out - my response was that "if we move there I'd have to open a cafe". It's how we think.

 

I totally agree, Lizzie. As I said earlier, it's not for everyone, but suits some people really well...

 

Some people are happy to do minimal admin and marketing and happy to do the actual work under a structured system.

I can see how it can suit some, but definitely very few of us here that like building and controlling things with maximum autonomy would suit.

Part of the fun and challenge of running a business is taking risks, trying new things and being creative.
Take that out and it much more like buying a job with rules and standards you don't always agree with but must obey.

 

Doesn't sound like your brother who caused your family so much angst in the past with your parent's will.

 

My mowing man is a Jims franchisee and he is very happy with the model. I also had a young couple at a previous property who loved that they were guaranteed an income when they were starting out. We got them at short notice because they were prepared to take on extra work while they were building their business.

 

Had experience in Jims Cleaning and, after 7-8 years, walked away for a number of reasons.
Initially it was fine as you built up your business but , after you had reached a good number of regular clients in 12 months you did not need the franchise any more but still have to pay your fees regardless. Initially Jims was very good in only allowing suitable franchisees in but over time saw the wrong people come in. Training was close to nil. Actually found the various franchisors to be good, average and bad. You wont know that when you sign up. Leads- which you paid for above the monthly fees dropped off quickly after your probation period finished. You select a territory and that may generate leads, but not many so you have to put down for a larger area. (which can be ineffective travelling distances for one job. My territory was within my local address.
Letter dropping lead to very few future work. During Jims probably earned $40-50 per hour but it is HARD work. It is suited more for younger to middle aged people. Holidays etc difficult if customers are weekly or fortnightly.

 

I think it doesn't matter which way you go - franchise or independent - in the end the grass will always look greener from the other side.