Franchising is Smart, and Entrepreneurs are Catching On

Check out this article from altoonamirror.com about why franchising is a smart business move. For one, it allows you to build your own business with the support of a proven system. Learn more:

Honey Baked Ham franchisee, employee and customer
Mirror photo by J.D. Cavrich.

Franchises gaining in popularity

By Walt Frank

After his family business was sold, Mike Folcarelli said he was “looking for something to do.”

So in 2014, Folcarelli opened a HoneyBaked Ham Co. and Cafe franchise in the Pleasant Valley Shopping Center.

“I thought at my age (49 at the time), this was the best way to go, instead of starting something from scratch. They have proven marketing and brand recognition,” Folcarelli said. “I looked at others (franchises), not just in the food business. I just decided on this — it just fit my lifestyle.”

Mike Burgmeier worked at the Greenwood Meadows while in high school and college.

“I have an entrepreneurial flair. I knew I always wanted my own franchise,” Burgmeier said.

Burgmeier is the franchise owner of the Chick-fil-A restaurant set to open in March at 106 Sierra Drive, the site of the former Montezuma Mexican Restaurant.

“I started to pursue this in 2013. I looked at several other types of franchises, but I wanted to be in the food retail industry. Chick-fil-A is dedicated to customer service. Their core values and my core values lined up,” Burgmeier said. “I am pleased I have the ability to bring in a franchise like Chick-fil-A, which does tremendous things for the community. It will be a nice place for people to sit down and enjoy a good product. I am excited about that.”

Between 12,000 and 15,000 new franchise businesses open every year in the United States, or between 30 and 40 per day.

There are an estimated 733,000 franchise business establishments in the U.S., meaning about 3 percent of all businesses are franchises, and franchise businesses employ about 7.6 million people directly, said John R. Reynolds, president of the Franchise Education and Research Foundation.

Reynolds said the franchising industry has averaged about 2 percent to 3 percent growth per year in the past few years.

Franchises are very popular these days.

“Franchises are popular because they provide business owners with a systematic approach to owning and operating a business that provides branding, marketing, training and support. It combines the resources of the franchisor and franchisees in the network to get a multiplier effect,” Reynolds said. “Many people buy into a franchise because they want to go into business for themselves, but not by themselves. Being part of a franchise system gives them advantages of not going it alone.”

Judy and Anthony Branda have owned the Greenwood Meadows franchise for about nine years.

“My husband had talked to the people who owned it and told them if they ever wanted to sell it, to let us know. We thought it would be a fun business to get into; when people come in for ice cream, they are happy,” Judy Branda said.

Melvin Milne has owned the Budget Blinds franchise in Altoona for nine years, and the one in State College for five years.

“I was in the construction business. I normally worked for someone else and this was a way to get started; a franchise helps you jump-start a business,” Milne said. “I’ve been in this nine years. The economy was not the greatest when I started. It was difficult at first, but the last couple of years it has been nothing but referrals and repeat business.”

David Rosen is the owner of the Griswold Home Care franchise in Hollidaysburg. He also owns two other Griswold franchises.

“I was a do-it-yourself type of person and I wanted to be more of a franchise person. I liked the idea of partnership. The company was moving in the right direction, and I felt it was a solid company,” Rosen said. “Partnerships bring some expertise and help you achieve success. For me, I really liked the mix and felt it was a good fit.”

Owning a franchise has advantages.

According to the International Franchise Association, owning a franchise allows you to go into business for yourself, but not by yourself. A franchise provides franchisees with a certain level of independence where they can operate their business. A franchise provides an established product or service that might already enjoy widespread brand-name recognition. This gives the franchisee the benefits of a pre-sold customer base that would ordinarily takes years to establish. A franchise can increase the chance of business success because it is associated with proven products and methods. Franchises also offer consumers the attraction of a certain level of quality and consistency because it is mandated by the franchise agreement.

“You have a proven product and the system is in place. You don’t have to re-invent the wheel, just follow the system and try to improve on it in your local market. It comes down to hiring the right people and training them and serving the customers,” Folcarelli said.

But there can be some disadvantages to owning  a franchise.

The franchisee is not completely independent. Franchisees are required to operate their businesses according to the procedures and restrictions set forth by the franchisor in the franchisee agreement. These restrictions usually include the products or services which can be offered, pricing and geographic territory, according to the IFA.

“You have to recognize that you don’t have the luxury to mess with branding and changes,” Rosen said.

Owning a franchise can take a lot of work.

“You do put in a lot of long hours. In this small business, you are the HR guy, the purchasing guy, the sales guy. There is a lot more responsibility than at a larger company. You wear all of the hats,” Folcarelli said.

It is important to do your research before purchasing a franchise.

“Do your homework on any franchise. There are good ones, there are bad ones, there are great ones and horror stories out there,” Milne said.

The first step is to develop a business plan.

“There are many franchise businesses to choose from. What are the types of businesses that appeal to you that also meet your personal and financial goals in your business plan? Lastly, get advice from a qualified franchise attorney before accepting any franchise offers or signing any franchise agreements,” Reynolds said.

“Check out the company as a whole, its financial situation, how long they have been in business, what kind of talent do they have. Talk to other franchise owners to see if they are willing to talk to you about the franchise. Talk to new ones and others who have been in it for three to five years to get their perspective on the franchise,” Rosen said. “I looked at four or five organizations; Griswold emerged for me. I liked its vision and mission of serving people.”

Reynolds said it is not difficult to get a franchise.

“There are franchises available for less than $100,000, and others for more than $1 million. It’s important to consider a franchise business that meets your personal and financial goals and plans,” Reynolds said.

Click here to see more from altoonamirror.com.

Gifting Season: LinkedIn Article Features NTY Franchisees

Check out excerpts from a linkedin.com article below, which features several franchisees from various NTY Franchise Company brands.

Why these franchisees see franchising as a gift

By Jim Judy

The holidays are here, so what better way for me to celebrate than to hear why actual franchise owners see franchising as a wonderful gift. As a franchise consultant, I’m always happy to hear how they are thriving in their franchise business, but even I was surprised by the response I received for this story.

I’ve heard from dozens of franchisees from numerous franchise systems excited to share their thoughts on what they love about franchising.

Enjoy what they have to say, and have a wonderful holiday!

[…]

“This year we feel even more thankful than previous years. By opening our Clothes Mentor franchise we fulfilled our dream of having a family business and have the opportunity to spend more time together. Being a franchise owner has given us the opportunity to save for our retirement, and provide long term job security for our son. Our #Dream2016 has come through.” – Pieter de Smidt, Clothes Mentor of Sugarland, TX

“I’m thankful for franchising!  Combining my entrepreneurship passion with best practices, systems and tools from a proven franchiser is a winning combination.  2016 was a great year!” – Bradley R. Swenson, Device Pitstop of Maple Grove

“We are thankful for a franchise with a proven track record to give us the confidence to open multiple, very successful businesses. By following the “resale-retail recipe” provided, we are not forced to build a business model from the ground up, but to utilize the wealth of knowledge our franchisor has handed to us to create our own businesses in our market and have the freedom to be creative and find ways to improve even more on operating our own individual stores.” – Shawn & Alyssa Cox, Clothes Mentor Charlotte – Midtown, NC, Charlotte – Arboretum, NC & Rock Hill, SC

“Being part of a franchise provides a broader opportunity for success, and gives an established brand to build on.  I’m thankful for the partnership, resources, technology, and ongoing support from the franchise I am partnered with.” – Shasta Webber, Children’s Orchard Huntersville, NC

“Franchising give me the flexibility to make more family time.  There are no clocks to punch and no supervisor to decline vacation requests.” – Brad Peterson, Device Pitstop Burnsville, MN

“After just spending 90 minutes with my franchise operations manager, I feel like I have a focused business strategy to wrap up 2016…and he planted seeds for me to start developing my 2017 business goals.  I am thankful for having a built-in, business-savvy coach who wants us to succeed as much as we do.” – Chris Barnett, Clothes Mentor Springfield, PA

Click here to see the full article on linkedin.com.

Device Pitstop is Making a Splash in Minnesota and Beyond

Check out an excerpt from a startribune.com article below, which explains the growing used-electronics retail market and features Device Pitstop as an up-and-coming franchise serving this market in the Twin Cities and beyond.

device pitstop staff helping customer
Photo from Device Pitstop.

Used electronics retail market boots up in the Twin Cities

By John Ewoldt

Amanda LaGrange dumped the title “Tech Dump.”

When the CEO of the nonprofit Tech Dump, a St. Paul-based collector and recycler of used, obsolete and damaged electronics, decided to open a new retail store to sell them, she figured “Tech Discounts” would be more enticing.

“We’d been selling refurbs for years in a corner of our Golden Valley warehouse, but when we decided to get serious about it, we rebranded,” she said.

Getting serious means that the new Tech Discounts store in Bloomington operates strictly as a store. The two locations in Golden Valley and St. Paul will continue to use the Tech Dump name for collection, recycling, repairing and refurbishing. The Bloomington location and the store within the Golden Valley facility are called Tech Discounts.

By recycling and reselling used electronics for 50 to 75 percent less than new, the company has kept more than 75 million pounds of electronics out of the waste stream. Fifteen percent of that amount is refurbished.

Tech Dump is one of more than 270 electronics recyclers in Minnesota, but it is in rare company selling used electronics.

Device Pitstop, a for-profit franchised business owned by the same company that franchises Clothes Mentor, debuted last year in the Twin Cities. It now has locations in Burnsville, Eden Prairie, Maple Grove, Maplewood and Minnetonka with plans to expand in Woodbury and Edina next year.

“Our store revenue is up 20 percent over 2015,” said Michael D. Smith, vice president of operations. “There’s always been resistance buying used electronics so people need assurance the product will work.”

Device Pitstop offers a 30-day warranty and just instituted an optional recurring warranty for $3.99 to $9.99 a month. Tech Discounts will repair or replace any item that fails within six months. Customers can get a refund for any reason within 30 days.

Giving consumers confidence to buy used, LaGrange hopes Tech Discounts can expand its Twin Cities presence to five locations. Another reason that used electronics retail stores are popping up is the collapse in commodity prices for metals, plastics and aluminum.

Besides selling used electronics at the Bloomington and Golden Valley locations, Tech Discounts will also do repairs and accept electronics donations.

It is a Microsoft registered repair shop that uses R2 certification for data destruction and compliant with the National Institute of Standards and Technology and the Department of Defense.

General Manager Brian Bernhardt expects laptops and any Apple product to be best sellers. In a sampling of used products this week, the store had a 55-inch Samsung plasma TV for $599, a 13-inch MacBook Pro with 8GB memory, retina display and last year’s operating system for $999, a Dell desktop tower with Windows 7 Pro for $219 and an iPhone 6 Plus for $349.

Tech Dump and Tech Discounts operate under the umbrella of the Jobs Foundation, a nonprofit started in 2010 to employ adults with barriers to employment. Last year the foundation, which is 98 percent self-funded, employed 68 adults who had been incarcerated or treated for chemical dependency. […]

Click here to see the full article on startribune.com.

NTY Franchise Company’s 200th Store Featured on Franchising.com

Check out the article below from franchising.com highlighting NTY Franchise Company’s 200th store: Device Pitstop Newport News!

device pitstop store front
Photo from NTY Franchise Company

NTY Franchise Company Opens Their 200th Store

National Leader of Upscale Resale Brands Will Celebrate 200th Store Opening in November

NTY Franchise Company, a national upscale resale franchise headquartered in Minnetonka, Minnesota, today announced the opening of the company’s 200th store on Thursday, November 10 in Newport News, Virginia. Device Pitstop, NTY Franchise Company’s mobile and electronic device resale franchise, had the honor of achieving the company milestone when they opened their doors on Thursday morning.

“We’re very excited to open our 200th store in Newport News, Virginia this November,” NTY Franchise Company COO Chad Olson said.

“The opening signifies our continued growth and commitment to meeting the modern consumer’s need for high-quality clothing, devices and other items at an affordable price.”

NTY Franchise Company was founded in 2006 by President Ron Olson. Their first brand launched with the purchase of franchising rights for Clothes Mentor, a women’s resale store that today features more than 140 outlets. In 2011, NTY expanded its offerings by purchasing the franchise rights for New Uses, a resale store for home goods such as furniture, artwork and more. Expansion continued in 2013 when the company purchased Laptop Exchange and renamed it Device Pitstop, a franchise that buys, sells and repairs personal electronics.

In 2014, the company developed two new brands from scratch — NTY Kids, for newborns through preteens, and NTY Clothing Exchange for teens and young adults. A year later, NTY Franchise Company purchased an existing kids’ resale store, Children’s Orchard, and merged it with NTY Kids. The name Children’s Orchard stuck, and the new total of 30 stores were revamped to fit the modern design and concept developed by the NTY team.

About NTY Franchise Company

Founded in 2006 by Ron Olson, NTY Franchise Company is the gold standard in resale franchising companies. NTY franchises five brands, all with a different focus: Clothes Mentor, Children’s Orchard, Device Pitstop, New Uses, and NTY Clothing Exchange. The brands are all resale-based and cover women’s designer fashions, children’s apparel and accessories, furniture and household goods, electronic sales and repair, and clothing for teens and young adults. All are great business opportunities with cutting-edge technology, unmatched support, and lucrative resale franchises. NTY Franchise Company has helped individuals to establish resale stores throughout the United States in many communities, and it has territories available to develop nationwide.

Click here to see more from franchising.com.

Device Pitstop Newport News is the First in Virginia—Now Open!

Read about the first Device Pitstop store to open in Virginia in this article from dailypress.com. Congratulations, Device Pitstop Newport News!

Device Pitstop franchisee Paul Washington in his store
Device Pitstop Newport News franchisee Paul Washington.

York County franchisee opens first Virginia Device Pitstop in Newport News Tech Center

Paul Washington of York County is opening a Device Pitstop today in Newport News Tech Center. The franchise repairs computers and cell phones on-site and buys and sells gently used computers and mobile devices.

“I think it’s a service that will fit the area well,” Washington said.

Customers can get laptops, desktop computers, tablets and smartphones below original prices because they are used and refurbished, according to a news release. The store certifies and tests the products, which are backed by 30-day and extended warranties.

The store also sells new accessories, he said.

Washington said he opened his store at 12080 Jefferson Ave. in Tech Center because he liked the new shopping center, which brought new brands to the market. Tech Center is highly visible and the AT&T store next door could bring more walk-in clientele to Device Pitstop, he said.

Device Pitstop started in Las Vegas in 2003 and currently has 10 stores nationwide, but plans to continue growing, according to its website. Washington had been working in a corporate job and wanted to run his own business, particularly one that appealed to his computer geek side.

Hours are 10 a.m. to 8 p.m. Monday-Friday and 10 a.m. to 6 p.m. Saturday and Sunday. For more information, call the store at 757-234-7565 or visit www.devicepitstop.com/newportnews/.

Click here to see more from dailypress.com.

Can You Make Money Selling Used Women’s Fashions?

Hear answers to this frequently asked question from several Clothes Mentor franchisees from across the country:

Women’s Clothing Resale = Big Opportunities 

Do you love fashion? Have you ever dreamed of owning your own women’s resale fashion boutique but never knew where to start? 

Maybe you’ve been told by friends and family that there is no money in owning a women’s fashion resale franchise or that inventory is too expensive. 

We are here to tell you that this is not the case, in fact, the exact opposite is true: There is a lot of money to be made in the women’s clothing resale space! 

We interviewed several current Clothes Mentor owners to find out exactly how much money can be made in this booming industry. Watch the short video above to find out more about following your dreams and owning your own women’s clothing resale franchise.

 

NTY Opens 200th Store: Device Pitstop Newport News

Check out this exciting article from Franchising USA about NTY Franchise Company’s 200th store opening this month!

chad olson in device pitstop, 200th store

National upscale resale franchise NTY (New to You) Franchise Company, headquartered in Minnetonka, Minnesota, will open their 200th store on Thursday, November 10. Device Pitstop, NTY Franchise Company’s mobile and electronic device resale franchise, will have the honor of achieving the company milestone when they open the doors of their new franchise unit in Newport News, Virginia.

“We’re very excited to open our 200th store in Newport News, Virginia this November,” NTY Franchise Company COO Chad Olson (pictured above) said. “The opening signifies our continued growth and commitment to meeting the modern consumer’s need for high-quality clothing, devices and other items at an affordable price.”                                                                                                          

Founded in 2006 by Ron Olson, NTY Franchise Company features five resale brands, all with a different focus: Clothes Mentor, Children’s Orchard, Device Pitstop, New Uses, and NTY Clothing Exchange. Their brands cover everything from women’s designer fashions, children’s apparel and accessories, furniture and household goods, electronic sales and repair, and clothing for teens and young adults. All brands feature cutting-edge technology, support, and lucrative franchising opportunities to help candidates establish resale stores throughout the United States.

Click here to see more from Franchising USA.

Clothes Mentor is Catching On: Must Read for Entrepreneurs

Clothes Mentor was recently featured in an article from The News & Observer about lesser-known franchises that offer big opportunities to today’s entrepreneurs. Check out excerpt from the article below and prepare to be inspired. You can also read the full article on newsobserver.com.

Clothes Mentor logo horizontal

Beyond fast food: New franchising ideas draw entrepreneurs

They’re not household names like McDonald’s or The UPS Store, but small franchises beyond the usual restaurant groups and retailers are attracting buyers who want something new or different and see greater challenges and opportunities with lesser-known businesses.

[…] Adam Scott looked at several relatively small companies before deciding on Clothes Mentor, which has nearly 140 shops in about two dozen states that sell women’s used clothing. Scott, who previously owned a franchise that shipped packages, was looking for a team atmosphere that he felt huge franchises with thousands of locations didn’t offer.

“I wanted a certain culture,” says Scott, who lives in Knoxville, Tennessee. “I could tell they really have an interest in the success of their franchisees.”

Scott asked other franchise owners about their experience with Clothes Mentor, something that’s recommended anyone do before buying a franchise. What he heard persuaded him that even though Clothes Mentor isn’t on the tip of consumers’ tongues, it was a good fit for him.

“I have to feel that I’m going to like who I’m in business with,” he says.