With prospective franchise owners understandably risk-averse in the present financial climate, kitchen makeover brand Granite Transformations has slashed the entry price for would-be investors and introduced new low cost, low risk franchise packages.
Tailored to your experience and situation
Aiming at those looking to curtail start-up costs for a new business venture, the UK franchisor, Rocksolid Group Europe, has developed a Concession Showroom model, with a one-off franchise fee of £18k, and introduced a bolt-on Existing Retailer franchise package for compatible independent retail businesses, at a cost of £15k. Both deals include an initial 'building block' of an exclusive 100,000-household sales territory, a retail franchise licence and an in-depth sales and technical training programme.
In a revised line-up of four franchise packages designed for all pockets, there is still the option of the premium Showroom & Workshop model, which involves operating high street retail premises and an associated fabrication workshop, at an all-up franchise fee of £30k that includes a postcode territory of 200,000 households.
There is also a High Street Showroom package, which dispenses with the manufacturing element and again incurs a realistic one-off franchise fee of £18k, for 100,000 households. Franchise owners will have the opportunity to trade up to higher franchise commitments as their businesses grow and to acquire additional 100,000-household building blocks with interest-free loans, once a trading history has been established.
Room for growth
Granite Transformations' new low cost, low risk Concession Showroom package dispenses with the rental, fitting-out and other overheads of a bricks-and-mortar showroom, in favour of an in-store site in a garden centre or similar retail complex. Field trials have already proven that this model, whether it is a sizeable showroom or unmanned display stand, can generate sufficient leads for a thriving business and, of course, the main sales and installation processes are always carried out in the customer's home.
Granite Transformations suggests that this franchise proposition is ideal for 'two men and a van' and perhaps a commission-only sales person, providing the foundations for a successful home improvements business, before eventually trading up to high street premises. The franchisor has even developed a compact mini showroom module for merchandising the products effectively and provides an intensive training programme for new franchise owners and staff.
Already in the business?
For existing kitchen and bathroom businesses and compatible retailers looking to diversify into a profitable new revenue stream, Granite Transformations has developed the Existing Retailer franchise package, which entails allocating existing showroom floorspace for a purpose-made brand display. The one-off £15k franchise fee reflects retailers' existing sales and marketing experience and includes a 100,000-household sales territory, as well as a customised training programme and the necessary franchise licence. As a means of diversifying into the booming kitchen makeovers market and optimising the deployment of existing skilled fitters, it represents a relatively modest investment for potentially significant returns.
Proven success
Granite Transformations' core franchise owners, all of whom invested in fully-fledged Showroom & Workshop packages at the outset, offer concrete proof of successful trading and growth, even during the ongoing recession. The UK network has enjoyed consistent year-on-year sales growth, outperforming the market in general, and more than a third of current franchise owners recorded annual revenue in excess of £1 million. Many have also taken advantage of favourable terms under a Partners for Profit initiative, to add a High Street Showroom package to their existing business, indicating commercial confidence in the future potential of the Granite Transformations brand.
