NTY Franchise Makes the 2016 Fast 50 List

What makes NTY one of the 50 fastest-growing private companies in the Twin Cities area? Find out in this excerpt from an article by the Minneapolis/St. Paul Business Journal:

2016 Fast 50 logo

We Asked Chief Operating Officer Chad Olson:

What’s one business decision you made in the past three years that’s been critical to your firm’s growth?

Putting as much information onto our franchise development website as possible. In the past this was taboo, it was normal to hold your cards close. In today’s world information is king. If you want to sell franchises you need to have your information front and center.

Ron and Chad for Fast 50 article
Photo by Nancy Kuehn and courtesy MSPBJ; Chad Olson (left) and Ron Olson (right).

Click here to see the impressive growth numbers for NTY Franchise Company.

Click here to see the full Fast 50 2016 list on bizjournals.com.

Learn more about the Fast 50 list in this excerpt from a note about the project by editor Kim Johnson:

Fast 50 2016 Editor’s Note

It isn’t the easiest task to get revenue figures from private companies. Our reporters are frequently told, “We’re a private company. We do not share revenue information.”

It’s even more of a stretch to ask them for actual financial statements.

However, each summer the Business Journal doggedly searches the Twin Cities 24-county metro area to find the region’s fastest-growing private companies. We look for independently owned, privately held, for-profit businesses that are headquartered here. We look for year-over-year revenue growth from the three most recent fiscal years. We look for companies with at least $1 million in revenue from the first of those three years.

And then we require them to send in three years of financial statements that have been audited or reviewed by an independent accountant.

And those documents go to our own accounting partner for further verification and number crunching.

It’s a lot to ask of private companies used to keeping their revenue numbers close to the vest. But it’s imperative we ask this of each company submitting a nomination for our annual Fast 50 awards. Everyone is held to the same standards to ensure the integrity of this list, which showcases some of the state’s best-in-class enterprises.

These companies aren’t just growing their bottom lines. They are creating jobs at extraordinary rates. They are providing growth opportunities for the businesses that serve them. They are boosting Minnesota’s economy.

So thank you to all the companies that submit nominations for this project — not just for the above, but for being willing to jump through the hoops we ask you to in order to produce this awards publication.

Click here to see the full letter on bizjournals.com.

Feeding Kids and Having Fun: NTY Team Charity Event

Capping off a week of training earlier this month, the NTY Franchise Company team came together for a morning of fun and volunteering at Feed My Starving Children, a local charity that ships easy-to-prepare, nutritional dry meals to children in need in countries all over the world. And we even got to keep the hairnets!

Check out some snapshots of the event below, and click here to learn more about Feed My Starving Children.

NTY staff at Feed My Starving Children

NTY staff at Feed My Starving Children

NTY staff at Feed My Starving Children

NTY staff at Feed My Starving Children

NTY staff at Feed My Starving Children

NTY staff at Feed My Starving Children

NTY staff at Feed My Starving Children

NTY Franchise’s Veterans Opportunities Featured in April Issue of Franchising USA

NTY Franchise Company COO Chad Olson on cover of Franchising USA standing in Device Pitstop store

NTY Franchise supports veterans with several opportunities and incentives for franchising its resale stores. Read the Franchising USA article about this topic below, or click here to see the article on franchisingusamagazine.com.

NTY Promises New Challenges, Opportunities for Veterans

One franchise that is in the business of turning the old into the new again wants to help entrepreneurial veterans start a new chapter of their lives.

NTY, standing for ‘New To You’ is a company that owns the franchising rights to five brands in the resale retail industry: Clothes Mentor, Children’s Orchard, Device Pit Stop, New Uses and NTY Clothing Exchange.

“Our main goal is to sell franchises and then support the franchisees that we sell them to,” NTY’s chief operating officer Chad Olson said during a recent interview from the company’s headquarters in Minneapolis.

Clothes Mentor, which buys and sells used women’s fashion and accessories, started franchising in 2007. Currently, it has 140 stores open and 43 stores sold and awaiting opening.

Acquired by NTY in early 2014, Children’s Orchard buys and sells gently used kids items. It currently has 27 stores open with two sold and awaiting opening.

Device Pit Stop, meanwhile, has 11 stores open with another 10 sold and awaiting opening. NTY acquired the brand’s franchise rights in the fall of 2013. It buys and sells used electronics.

Buying and selling used home goods like furniture, artwork and small appliances is the business model for New Uses. The brand has 11 stores open with one sold and awaiting opening and it’s been around since 2011.

And with two stores open and four sold and awaiting opening, NTY Clothing Exchange, which buys and sells clothes in the teen and young adult market, started franchising in Mid-2014.

The Need for Used to New

In a world that is increasingly looking for environmentally friendly ways to deal with everything, all of NTY’s brands offer that coveted green alternative for people’s old clothing and other items, Olson said, giving people the option of getting cash for the stuff they’re no longer using rather than just throwing it away.

And with consumers often being highly cost conscious, NTY also gives them a way to save money, with products selling for, on average, 70 percent less than they would be sold as new.

All of the NTY brands make sure the items people bring them have resale value. It has to be in good condition and, in the case of apparel, it also has to be in style. Each brand will evaluate a product and they all have a pricing matrix they use to make sure they’re selling items at a price that gives value to the customer and also the business.

In the Beginning

Clothes Mentor was founded in Columbus, OH. with a store in that city and another one in Canton, OH. Olson and his father, Ron Olson, decided to go into business together, both having Resale/Retail franchising experience with another company.

When they began looking at what opportunities were out there for their own business, they found out about Clothes Mentor and noted the two stores were doing quite well. From there, the father and son negotiated the franchising rights to that brand and have been adding to the NTY family since.

Entrepreneurial Spirit

While their franchisees come from all walks of life — from teachers to former professional bull riders — they all have one thing in common and that’s the one thing NTY wants in a franchisee.

“We want people who have that entrepreneurial spirit,” Olson said.

They must have motivation and they must also have accumulated some wealth in the past that they’re able to invest.

While the company has just a handful of veteran franchisees at the moment, Olson is looking to change that, as he knows veterans have a stellar reputation as franchisees.

Veterans’ dedication and commitment to carrying out the processes they’ve been taught is what makes them good franchisees, he noted.

“That’s what franchising is all about, taking the business model and the processes that we have proven to be profitable and teaching it to others,” Olson said. “People who have had that military experience following processes fit really well into a franchise system because they will take those processes that we have developed to run and execute a successful business model and follow those processes to a tee.”

NTY has just submitted its application to join veteran franchising organization VetFran. Currently, veterans receive a $2,500 discount off any NTY franchising fee.

As an added incentive — and this goes for any franchisee — three of NTY’s brands also offer a $40,000 jump start program.

Any franchisee that opens an NTY Clothing Exchange, a Children’s Orchard or a New Uses will receive a $20,000 marketing contribution from NTY when their store opens. In addition to that, every six months after their grand opening, they will receive an additional $5,000 marketing contribution from the parent company over a two-year period, totaling a $40,000 contribution toward marketing from NTY.

Training and Support

NTY helps franchisees find the right real estate, helps them procure financing, and brings them to Minneapolis for three weeks of comprehensive training in every aspect of running their business.

The company also offers support on site when franchisees are building out their store and getting it ready to open to ensure it’s being built out properly, they’re acquiring inventory properly and their employees are being trained properly. Then they’ll let the franchisee start running their store and come back out to help franchisees with their grand opening. NTY representatives will visit again 90 days after grand opening, a minimum of three times in that first year to check on inventory, customer service and if franchisees need any additional training.

Each brand has its own regional operations managers, which are assigned to franchisees. Each regional manager has about 20 or 30 franchisees in their region and their main goal is to be a small business consultant. They have monthly consultation calls with franchisees and answer any questions they have and visit franchisees at least once per year.

Expansion and Experience

All of NTY’s brands are open to expanding anywhere in the United States. The collective experience of everyone who is involved with NTY is a huge incentive for any frachisee to choose one of the company’s brands for opening a business, Olson said. Each brand has a vice president in charge of it, he explained, and all of those vice presidents have over 20 years of experience in the retail resale sector. His father, who is president of the

company, has 30-plus years of experience in the sector and when you add in Olson’s 22 years of experience, that’s a lot of knowledge for new franchisees to draw from.

For veterans who are looking to make a new start in life, NTY gives them an opportunity to make that new start a success.

See more from Franchising USA.