Security and stability for high profit potential
August 1st 2005 What business opportunity will give me security and stability but at the same time high profit potential?
Such dilemmas will need to be met and resolved before a discerning prospective franchisee decides with which opportunity they are going to build a future.
We should all be aware of the frightening statistics related to the success rates of ‘self starter’ businesses. Four out of five businesses fail within the first five years, and that’s a grim fact! Many small businesses disappear within three years, very often whilst trading well.
This is why more and more people opt for the franchising route, perceiving better security for their investment and the greater chance to be successful. In many cases this perception is a valid one, especially when compared to the average self-starting venture.
Even so, it’s still a minefield out there. Selection of the most suitable franchise for you is difficult and so it should be.
Many franchisors make it very easy for aspiring franchisees to join their organisations. The really good ones don’t! A good franchise is a selective franchise.
One of the latter type companies is Nottinghamshire based Rainbow International.
Introduced into the UK some 18 years ago, this Carpet Care and Fire and Flood Restoration Specialist, is now rated one of the best franchises around, not only in Britain but Worldwide.
Quality recruiting At present the company has 127 franchisees in the UK network, with the optimum target number being probably 140.
Rainbow is unique in a number of ways, not least of all by virtue of its absolute selectivity when awarding franchises.
Say’s Ron Hutton, Rainbow’s Franchise Manager, “ We honestly believe that good franchising starts and ends with the quality of the franchisees taken on. This is why we are so selective during our recruitment process.”Adding, “When someone becomes a Rainbow franchisee they know they’ve made the right decision. As the franchisor we also know that we have made the right choice, which is obviously very important too.” Rainbow treats it’s franchisees as customers because that’s what they are. A good franchisor is one that holds it’s franchisees in highest esteem.
The emphasis with this franchise is about building ‘proper’ businesses. Franchisees are selected on the basis that they want to grow the franchise, employing staff and operating ultimately, from commercial premises. Nearly ninety percent of the existing franchises are multi - van operations, working from premises. Market leaders Rainbow International, which is part of the ISS Group, provides services to both commercial and domestic customers that range from carpet and upholstery cleaning and repair to furniture restoration and fire and flood disaster clean -up.
Most major insurance companies throughout the UK use Rainbow franchisees and their teams as preferred service providers, working in people’s homes and workplaces following claims made on insurance policies for damage to contents and buildings.
Secure and profitable It’s a massive market that Rainbow operate and are leaders in, and the franchisees enjoy a very lucrative and secure future in return for commitment and hard work.
“A good franchise can be measured in a number of ways,” says Ron Hutton, “ we believe the true worth of any particular company should be judged against the success, or otherwise, of it’s franchisees, simple as that. Furthermore, a franchisors income should be directly related to the success of it’s network. Rainbow’s is. Being a percentage of a franchise operations turnover, the more the franchisees earn, the greater the revenue to the franchisor. What better motive is needed for the continuing provision of excellent commitment and support?” High level training Rainbow International is an Investor In People and with heavy emphasis on training and support of it’s network, trains to NVQ level 2 and above for both franchisees themselves and the staff they employ.
Initial training is spread over four weeks where basic technical and business principles are learnt. The first week is spent at a mentor franchisees business, then its into the classroom for the remaining time. A new franchisee then returns within three months for a further week, at which time the early business building activities and performance is reviewed. Thereafter, training in all aspects of running and growing a business, including sales and marketing and customer care, is ongoing and all to NVQ standards. All training is also free of any additional charge, for both franchisees and their staff.
Cost The investment required is currently £31,500 for which a franchisee gets a nominated area, all the machinery and tools needed, a full and comprehensive set of stationery, a marketing and computer package together with a start up supply of cleaning product.
Full training for the franchisee and any staff they ever employ is free for the full period of the franchise agreement.
Looking for existing restorers, cleaners and restoration business owners in, London, Surrey, Poole/Bournemouth, Essex and Warwickshire Although many of Rainbow International’s franchisees when they join are new to any business venture, coming mainly from employed management posts, over the last six or seven years a total of 15 independent cleaning and /restoration businesses have joined the franchise network.
Why? To run a more lucrative and stable business providing a better service to national companies as well as householders and small commercial businesses.
If you are in the industry already and want to grow much bigger but can’t, contact Ron Hutton on 01623 675100 or email: ron@rainbow-int.co.uk More articles from Rainbow International: | 
