💰Become a Regional Developer and Collect Royalties!

Author

Tim Michaels
May 12, 2024

A frustration I often hear from people is that there is a lack of data in franchising. Many franchises don’t share any information in their item 19 earnings claim or just share top line revenue.

Knowing this lack of data is common, how can you get comfortable with a particular brand before purchasing? The answer all comes down to getting on the phone and talking to existing franchisees. Watch the short clip below to learn more.

Emerging Franchise Spotlight

  • Kickstart My Franchise Cash Back Program Exclusive: Up to $10,000

  • 76 Fence offers new fence installation, fence staining, fence service and repair

  • Full offering of wood, steel, aluminum, and vinyl fencing and garden products for residential and commercial customers

  • Began franchising in 2024, so prime territory is still available (part of Rhino 7’s brands)

  • High Ticket Item - $8,000 average residential ticket price

  • Subcontractors do installations and repairs for commercial and residential jobs

  • Significant Regional and National franchisee support through quoting commercial bids, marketing, call center, and a robust sales training program for franchisees & employees

  • Strong financial upside potential. Below is a screenshot of their predecessor location’s 2023 numbers.

76 Fence has 3 Ownership Options:

1.      Regional Developer (RD/Master) – You open and operate at least 1 territory and also support other franchisees in your area. You pay half the royalty on your own location and collect ½ of the franchise fees and royalties from other locations.

·         Note: Rhino 7’s other brands, such as Spray Foam Genie, have typically sold quickly across the country, which is a positive signal for new regional developers.

2.      Semi-Absentee– Franchisee will manage a manager, run the budget, proforma, and oversee the company. Corporate will train the manager to run the business for the franchisee.

3.      Owner-Operator (Full-time, CEO role/Manager) – Franchisee will run the day to day of business. This includes marketing, hiring and managing employees, goal setting, and achieving.

Tim’s Take:

This brand I find intriguing due to its Regional Developer model. This allows the franchisee to effectively become their own mini franchisor. It does require a large initial cash outlay (as the Regional Developer model isn’t approved by the SBA), but given the general interest in the fencing industry and Rhino 7’s ability to sell brands, this gives me confidence that Regional Developers will likely be able to sell their territories in a timely manner. After selling, they’ll earn a 4% royalty off of every franchisee in their area. This can lead to serious profit over time.

Shoot me an email at [email protected] if interested and I’ll send you a brochure.

Emerging Franchise of the Year Candidate

Interested in learning more about either brand? Email me at [email protected] or Click to learn more. I can let you know if either still has availability in your area and introduce you to their management teams.