There is one thing most business owners agree on: starting a business is bloody hard.
When starting on your own, from scratch, you go through what’s known as the ‘trial and error’ period. This is where you become painfully aware of what parts of your business plan are not working, but also what are.
This period can often be very costly and over 20% of all businesses fold during this time. But, what if we told you there is an easier and more secure way of becoming your own boss? By joining a franchise business, you are provided with all the tools, systems, training and coaching required to help your building business grow.
In this article, we look at the 8 biggest advantages of buying a building franchise like Stroud Homes.
1. Proven formula = higher chance of success
With the statistics showing 20% of all businesses fail in their first year (and around 60% go bust within their first three years), we think it only makes sense to invest in a proven business formula. One of the reasons our Stroud Homes franchisees have been so successful is that people are familiar with the brand and our systems are well-proven.
When you buy a Stroud Homes franchise, you buy a complete method of doing business. We provide our franchise-developed systems to manage every angle of a building business, so they don’t have to go through the costly ‘trial and error’ period.
2. Shorter time to opening
Because the franchisor already has all parameters in place to onboard a new business owner, the time to open up new franchise locations is usually much quicker (3-6 months) than to start up a new business.
Stroud Homes Central Coast grand opening with Scott Clauge and James Stroud.
3. Initial training and ongoing support
Do you have a builder’s license but no prior experience in running a business? No problem. As a home builders franchisee, you’ll be able to reach out to the head office team at any time for help with your business. You’ll have access to many training programs that have been developed over years and will help you:
- Fast track your building business progress.
- Eliminate the common mistakes that new business owners make.
- Train you in the most efficient and effective business practices from the get-go.
- Give you important advice based on experience on how to run and grow your renovation business.
4. Assistance in finding an optimal site
Coming aboard as a new franchisee you will need a location from which to run your business. For builders, this is usually a Display Centre (shopfront) or a Display Home but these premises don’t need to be in place on day one. The best option for you will depend on your circumstances and your Franchise Development Manager will assist you in working out the best approach.
5. The selling power of a known brand
Because Stroud Homes has become a well-known brand that people have come to love in Australia and New Zealand, you will get a considerable head-start compared to sole business owners by leveraging the brand name. The reputation built on high-quality homes and the popularity of our brand provides franchisees equal footing with existing businesses in the Australian market.
6. Cheaper costs through group purchasing
Big businesses usually have more buying power and favourable procurement agreements than smaller businesses, and as a franchisee, you will also enjoy the deals and discounts negotiated by the franchisor.
Stroud Homes buy materials at 3-10% better than some builders and Stroud builders have the freedom to take advantage of Stroud Homes pre-existing supplier agreements when it is beneficial for them.
7. Customer lead generation through websites & marketing efforts
As a franchisee, you will enjoy a website and digital presence from day one, all strategically planned to help you succeed by generating a flow of enquiries and leads. You become part of a strong, clear brand with a great reputation – and tap into years of expertise, graphic design work and resources for grassroots marketing that works.
Joining a franchise is a cost saver; you get the best software for a better price than you would be getting for your own company, plus you get all the training required, which is also ongoing with Stroud Homes.
Starting your own business, you will spend a similar amount of money initially but without having the same resources to monitor how well you spend it or if you spend it in the right place and in the right way.
Sales Consultant Tim with clients, Stroud Homes Coffs Harbour.
8. A network of peers (fellow franchisees)
Franchisees are in business for themselves, not by themselves. The organisation model offers the franchisee the ability to grow under a common brand and benefits from a larger group of business owners. This means you instantly become part of a team where builders and head office support each other and are in contact with one another.
If you’re a first-time business owner, owning a renovation franchise will allow you to ask for advice and guidance from other franchisees. This means that you won’t go through the ups and downs of running a building business alone. The value of support from fellow franchisees who have been through the same trials cannot be underestimated.
Want to know more about franchising?
Take a look around the information on our website and gain some insights into what it is like to be a franchise, what we are looking for in a successful franchise owner, and our selection process also check out our current building franchises for sale.
For more detailed information please enquire today to receive the full Franchise Information Pack or check out our FAQs.