Hey Empire Builders,

Welcome to this week’s Franchise Empire Newsletter, where we share specific franchise opportunities that we think are interesting, and examples of everyday folks building their empires.

All of my best decisions in business and in life have been made with heart, intuition, guts–not analysis. When you can make a decision with analysis, you should do so, but it turns out in life that your most important decisions are always made with instinct, intuition, taste, heart.

– JEFF BEZOS (FOUNDER OF AMAZON)

Today, in 5 minutes or less:

✔  Resale in Automotive industry with HIGHLY proven Franchisor (In Ohio)

✔ Home Services brand showing $1.4M in average sale per territory

✔ Sales Manager buys franchise that’s exploding with growth

✔ New Franchisee reveals what it’s really like

Join Our Franchise Buyers Beta Course for
Aspiring Franchise Owners

Franchise resales possess many benefits for aspiring business owners – established cash flow, experienced employees, systems in place, and brand awareness to name a few. 

This week, our featured resale comes from RNR Tire Express. RNR Tire Express is the largest franchisor of rent to own wheel and tire stores nationwide. RNR started franchising in 2002 and now has 155 store locations throughout the country.

• Asking price of $650,000
• Location is conveniently located off a high traffic highway
• Owner has been trying to run the business absentee but it needs work
• Typical investment for a new RNR Tire is between $1.0M – $1.7M
• Financials, inventory and asset lists provided upon signing an NDA

• RNR is the go-to place for quality tires and custom wheels with unique payment options including their Pay-As-You-Go! program to a growing, underserved and recession-resistant market. Their services include sales of tires, alignments, tire rotations, wheel balance, tire repair, maintenance, and more.

   

• Service any customer – most tire stores require credit or cash the day of. RNR has a pricing model that appeals to middle-income consumers who are affluent enough to own a car, but may not have the credit or cash available to purchase. Over 85% of their customers choose the lease to purchase option.

   

• Over the last 3 years there have been 0 terminations, 0 non-renewals, and 0 ceased operations in the system! That’s incredible retention.

Justin was a former sales manager for an RV company. He didn’t know much about franchising in general, but was interested in exploring what types of opportunities were out there in his market. We worked together for several months exploring a variety of opportunities. He eventually gravitated to an emerging power washing business that’s exploding in sales, where he could utilize his sales skills and build something in the two territories he acquired.

Here are 5 Low Cost Franchises that make
$1,000,000 (Backed by Data)

Most People Waste Countless Hours Of Time Stuck In Confusion, Scoping The Internet, Trying To Find Winning Franchises.

This Will Save You So Much Time.

We’ve Done The Heavy Lifting For You And Narrowed It Down To 5 Low-Cost Franchises That Make $1,000,000 So You Can Save Yourself So Much time.

• Predecessor, Mister Sparky Franchising, started in 2006 and offered franchises from 2006 to 2021

• Acquired by Authority Brands in 2021

• Corporate Owned Territories: 6

• Franchise Units: 163

• Franchise Fee: $33,000 plus $0.165 for each person above 200,000 

• Royalty: 6%

• National Marketing Fee: 1.5% – 0% goes down as revenue increases

• Total Investment Range: $119,100 – $260,400

• Term: 10 years
  **Numbers according to their FDD released on April 25, 2024, as amended August 28, 2024.

Mister Sparky electrical maintenance, repair, and replacement services, including electrical repairs, maintenance and installation, whole home electrical evaluations and replacements of ceiling fans, circuits and wiring, generators, lighting, LED lighting, main electrical panel work, smoke alarms, sub-panel work, surge protection. This system provides employee and owner training, a fully integrated software, a marketing system, and specialized training and support for recruiting and hiring. The primary responsibilities of the franchise owner include: Staffing and management, financial planning and strategy, managing daily operations, overseeing sales and marketing, customer service, and community involvement.

Below tables taken from the Mister Sparky 2024 Franchise Disclosure Document – Item 19, page 69.

Benefits for the Franchisee:

• Successware: This fully integrated “soup to nuts” software provides for all of our franchisees needs from dispatching to marketing to finance. Remote field service can be managed through an app that technicians install on their tablets.

• Recruiting and Hiring: Finding—and keeping!—the right team is key to running a successful business. Mister Sparky Electric owners have a leg up on the competition though due to our relationship with Career Plug and Blue Collar Recruiter for recruiting. Specialized training and support offered by a personal Franchise Business Consultant provides our franchisees with tools and strategies to keep good talent once they hire them.

• High Margin in Private Label Products: Mister Sparky Electric franchisees stay ahead of the competition by installing private label products. This prevents customers from comparison shopping for equipment prior to install and also keeps our company name and logo in the place clients need it most—on the equipment itself.

• Essential Service: – Electricians are in constant demand showing very little fluctuation during recent shifts in the greater economic market. With the increase in remote-work in today’s economy, the demand for electrical home services is only expected to increase with time.

• Authority Brands: – You’ll not only have an opportunity to network and get referrals from sister companies, but you’ll have the chance to own multiple businesses under the same umbrella company utilizing the same systems/software.

Episode #71: How to Walk Away from Corporate Life…for Good

Alexis Hernandez is a client of ours at Franchise Empire.

14 months ago she bought a property management franchise and has been working hard ever since.

I had a moment to catch up with her and see how things are going, how she maintains profitability, and more importantly, what it’s ACTUALLY like to own a franchise.

So sit back, relax, and enjoy the show.

Watch on YouTube

Listen on Podcast Platforms

That’s a wrap for this week’s Franchise Empire newsletter. 

Feel free to reply with any questions, or feedback. I appreciate and value your time and attention.

I’ll see you at the same time next week!

-Tariq and The Franchise Empire Team

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