4 Questions to Ask Yourself Before Buying an Auto Care Franchise
Are you considering buying an auto care franchise? The chances that you are probably high considering you’re on this website and reading this article. Well, if you are considering buying an auto care franchise, congratulations! You’re beginning a journey that could result in you owning a highly rewarding franchise. Rewarding in two senses of the word as you get to help people and you can make quite a bit of money.
But only if you buy the right auto care franchise. Buying from the wrong auto care franchisor will bring you headaches at best and a bankruptcy at worst, so you must choose wisely. And you must make sure that you’re right for auto care franchise ownership. Here are four questions to ask yourself before buying an auto care franchise.
1. “Does This Auto Care Franchise Come With A Protected Territory?”
Any auto care franchise you buy must come with a protected territory. A protected territory means that the franchisor won’t allow another auto care franchise to open down the block from you, as that would undercut your business. Any franchisor that does not offer a protected territory is shiftless and is just looking to make money off franchising fees.
2. “Can I Afford This?”
Speaking of shiftless franchisors, some franchisors try to play coy with how much their auto care franchises cost. They do this because they fear the high level of investment required will scare off some interested parties. Well, it should scare off some people. Auto care franchises don’t come cheap. There are franchises in other fields that cost less, but they don’t have the same huge customer base and predicted growth that auto care franchises have. If you can afford an auto care franchise, buy from the right franchisor, and work hard, the odds that you will make good money are high.
3. “Does This Franchisor Have A Preferred Vendor Program?”
One of the best things about buying an auto care franchise as opposed to starting your own independent business is that you get some much-needed help. This can be in the form of an initial training course, ongoing support, and/or help with marketing and promotion. And it can also come in the form of a preferred vendor program. The biggest recurring expenditure for an auto care franchise are the parts you need to replace the damaged ones in the vehicles you repair. Parts and equipment are expensive. Auto care companies that are large enough can offer their individual franchises top quality parts at reduced prices because of all the business they give to suppliers.
4. “Where Do I Want To Open My Auto Care Franchise?”
Location is very important. Both on the macro and the micro level. First, once you have established that an auto care company looks promising and you might be interested in purchasing one of their auto care franchises, you have to make sure they are looking for franchisees in your area. And how big of a location do you want? Single-unit locations are smaller and less expensive to start up. Multi-unit locations are bigger, cost a bit more, but can provide more revenue because you can service more automobiles.
Tuffy Tire & Auto Service
If you have more questions about auto care franchises, please contact us.Back