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TRANSCRIPT
THE FRANCHISE
LANDSCAPE IN THE U.S.
http://www.franchise.org/Franchise-News-Detail.aspx?id=61661:
Franchises are expected to add nearly
200,000 new jobs in 2014.
THE OUTPUT
Franchise revenues are
expected to increase 4.7%in 2014,
up from 4.3% in 2013.
http://www.entrepreneurssource.com/blog/industry-news/franchise-industry-expected-grow-faster-rest-economy-2014/
THE DEMAND IS THERE
FRANdata reports that demand for franchise
units is expected to increase by more than 12%
this year, the highest rate of increase since 2009.
http://franchiseeconomy.com/two-reports-show-franchise-growth-expected-to-increase-at-fastest-rate-in-five-years/
BUT BUYER BEWARE…
Many top brands appear on the Small Business
Administration Loan Defaults list, so don’t be dazzled by
the lure of a big name.
http://online.wsj.com/articles/some-franchise-brands-have-higher-than-average-default-rates-1410392545
Trust a reputable name in
an industry that’s poised for growthrather than a franchise with little more than a big name
attached to it.
THE INDUSTRY AT-A-GLANCE
Real estate property management is a
$69 billion industry, with an annual growth of
http://www.ibisworld.com/industry/default.aspx?indid=1356
from 2009 to 2014.
THE INDUSTRY AT-A-GLANCE
The real estate industry was named
one of the fastest growing industries
by median growth rate, with a
180% increase, according to a 2011 Inc. Magazine
article.
http://www.inc.com/inc5000/201108/a-few-thousand-reasons-to-be-optimistic.html
• The median sale price of existing single-family homes rose 81% over the last 10
years.
• There is a 17.5% increase in single-family renter households.
• The industry is seeing an overall 3% increase in yearly rental rates.
• There has been a vacancy rate of 8.7% in 2013, the lowest since 2012.
• Over 5 million new renter households to be created in the next 10 years.
• As of early 2013, over 43 million Americans were renting and the number of
renter households is likely to increase by between 4.0 million and 4.7 million.
• Over 40 million single-family homes are expected to be rented across the U.S. by
2015 – a 185% increase from the approximate 14 million rented in 2013.
http://usatoday30.usatoday.com/money/economy/housing/story/2012-06-05/are-home-rentals-the-new-american-dream/55402648/1http://www.doctorhousingbubble.com/landlord-nation-increase-renter-renting-households-us-rising-rents/http://www.interest.com/refinance/advice/with-rent-increasing-its-a-good-time-to-be-a-landlord/
http://www.apartmentguide.com/blog/why-do-you-prefer-to-rent/
http://www.jchs.harvard.edu/sites/jchs.harvard.edu/files/jchs_americas_rental_housing_2013_1_0.pdf
THE STATISTICS ON RENTING
RENTING VS. BUYING
43% of renters said
that they just don’t want to
own homes.
http://www.apartmentguide.com/blog/why-do-you-prefer-to-rent/
39% reported they plan
to continue renting because
they enjoy it.
ABOUT BRENTON HAYDEN• Founded Renters Warehouse in
2007.
• Named the Youngest Franchisor in America by Inc. Magazine in 2011 and one of the “Top 5 Emerging Entrepreneurs" by Entrepreneur Magazine in 2010.
• Awarded “Young Entrepreneur of the Year” by the Minneapolis St. Paul Business Journal and “Real Estate Professional of the Year” by the Cambridge Registry in 2010.
• Ernst & Young’s Entrepreneur of the Year in 2014.
AN AWARD-WINNING
COMPANY
Year after year, Renters Warehouse has won several
esteemed national and local awards for:
• Real Estate
• Entrepreneurship
• Corporate Values and Employment Standards
RENTERS WAREHOUSE
PROVIDES
• Advanced processes and tested systems.
• Proprietary tools, products and forms.
• Pre-produced and effective national advertising.
• Established national partnerships.
• A custom start up kit which includes a website, sales books, business cards,
“For Rent” signs and pre-produced advertising materials.
• An expert reputation management system.
• Smart technology support for every aspect of the business.
• Modern lead generation and CRM tools.
• Lifetime training and customer support.
• And so much more.
RENTERS WAREHOUSE ALSO
PROVIDES
A protected territory
$5K Veteran
and
Broker
Discounts
Exclusive marketing
technology
BUT THAT’S NOT ALL…
Renters Warehouse also offers:
• 10 million page views each month.
• 100% access to Media Bridge Advertising.
• 5 full days of business training.
• Monthly business coaching.
• Financing help and resources available.
Ask about our free or discounted franchise opportunities.
A LOW-COST ALTERNATIVE
Renters Warehouse is considered to b
e
one of the top
200low-cost franchises
in America.
http://www.americasbestfranchises.com/Low-Cost-Franchises
COST COMPARISONJimmy Johns Jiffy Lube College Nannies
& Tutors
Dunkin Donuts Renters Warehouse
Average Initial
Investment
$395,5001 $331,5005 $224,2008 $918,500 (ranges
from $216,100 -
$1530,050)
$35,000 + $5K
startup business
package fee
Royalty Fees 6% gross sales2 4% gross sales6 5% gross sales8 6% gross sales 4.5% of monthly
gross revenue
Advertising
Fees
5% gross sales2 Unknown $12K to $54K/year9 Unknown 10% yearly gross
revenue
Net Worth
Requirement
$300,0003 $450,0007 $400,0008 $250,000 $90,000 -$106,000
Liquid Capital
Requirement
$80,0004 $150,0007 $50,0008 $125,000 $50,000
Sources:
1 http://www.forbes.com/pictures/elld45le/10-jimmy-johns/
2 http://20somethingfinance.com/battle-of-the-sub-sandwich-franchises-quiznos-blimpie-subway-jimmy-johns/
3 http://20somethingfinance.com/battle-of-the-sub-sandwich-franchises-quiznos-blimpie-subway-jimmy-johns/
4 http://20somethingfinance.com/battle-of-the-sub-sandwich-franchises-quiznos-blimpie-subway-jimmy-johns/
5 http://www.entrepreneur.com/franchises/jiffylubeintlinc/282479-0.html
6 https://www.franchisehelp.com/franchises/jiffy-lube/
7 https://www.franchisehelp.com/franchises/jiffy-lube/
8 https://www.collegenanniesandtutors.com/company/franchise/opportunity.aspx
9 http://www.franchisechatter.com/2013/10/17/fdd-talk-2013-average-expenses-of-a-college-nannies-and-tutors-franchise-2013-fdd/
10 http://franchises.businessmart.com/how-much-does-a-dunkin-donuts-franchise-cost.php
11 http://www.entrepreneur.com/franchises/dunkindonuts/282304-0.html
ANOTHER PERSPECTIVEFranchises in other industries might be interesting, but they may not be the best franchise opportunity.
• Yes, people enjoy coffee and doughnuts – but not everybody does.
• Yes, many children require tutors - but not every child.
• Yes, there’s a franchise for almost every need, but that doesn’t guarantee it’s in a market with high demand.
How many people rent or own a house?
Almost Everyone.
Now ask yourself:
What market do you want to be in?
HIGH PROFIT POTENTIAL
Top 3 Renters Warehouse Average Gross Profits
Atlanta, Phoenix and Baltimore(from January 1, 2013 to December 31, 2013)
$738,941.64*
*Reference Item 19 of our Franchise Disclosure Document
885-6-LANDLORD
Open your own Renters Warehouse
business in the market of your choice!
Get more information!