Franchise owners Us lawns/grounds guys

Discussion in 'Franchising' started by ACA L&L, Sep 18, 2012.

  1. CrimsonMaintenance

    CrimsonMaintenance LawnSite Member
    from Alabama
    Posts: 66

    My opinion is usl offers better corporate and national account access. Their system works if you strictly do maintenance. They have franchises all over and that structure works better for large national corporate customers with many locations. For instance you guys wanna bid a chain retailer, you can only offer them local coverage where USL can cover the entire state or region. For purchasing agents they had rather deal with one large company than 200 little guys. Example, we had a large bank with over 400 locations in the state that pay $300/12mo. USL got the contract and dropped 85 of those on one franchisee. Here is the easy math, that's over $300k per yr from one account overnight all because they could cover the entire southeast. All the franchisee did was assume the maintenance and collect checks. Sure they had to pay the royalty but id rather have 97% of $300k than 100% of $0.

    GG does not have the franchisees in place to offer that. GG is a franchising company not green industry company. They are just copying their system from poop pumper guys.

    Most of you small guys have no idea how to bid full service on a 120 acre mixed use shopping center or a 1500 door apt complex but USL does. If you could just get one of those how much would that be worth? I know and it would net you more the first year than what your franchise fee cost.

    If you want to be successful find someone who is and do what they are doing.

    As for us, a GOOD salesperson is worth his weight in gold. You have to decide if you want to work for your business or have it work for you.
     
  2. 32vld

    32vld LawnSite Gold Member
    Posts: 3,984


    One does not have to do a huge malls, large apt complexes to be become successful.
     
  3. 32vld

    32vld LawnSite Gold Member
    Posts: 3,984


    I have enough of a clue to know that a gross figure without the net figure is a useless number that has no worth that can be attached to it.
     
  4. CrimsonMaintenance

    CrimsonMaintenance LawnSite Member
    from Alabama
    Posts: 66

    Notice I said small guys. That's guys with one helper and probably do less than $100k per year. That's the ones who could really benefit from franchise help. Guys doing 750k+ dont need a franchise they are already winning.

    "I have enough of a clue to know that a gross figure without the net figure is a useless number that has no worth that can be attached to it."

    What is your ideal margin?
     
  5. 32vld

    32vld LawnSite Gold Member
    Posts: 3,984

    Then why bother to post a gross without the net to support a point when the gross number alone can not support anything?

    There is no Ideal Margin.

    There is only working towards the best margin that one can obtain.

    Eample, there are people that only want to mow. Straight mowing has a low profit margin. Though with the right accounts, the right equipment, the right volume one can do well.

    Wal Mart is doing very well with their low price low profit margin ways.
     
  6. jrs.landscaping

    jrs.landscaping LawnSite Silver Member
    from Maine
    Posts: 2,715

    Whether it's 120 sq ft or 120 acres an owner/ salesman should know how to bid a property and know all associated costs. If they don't they probably shouldn't be in business. If the owner doesn't understand costs/ bidding how do they know they are making money on that 300k?
    Posted via Mobile Device
     
  7. cpllawncare

    cpllawncare LawnSite Silver Member
    Posts: 2,659

    Wal mart isn't doing as well as you might think! Do you really want to emulate low price, low quality, low margin, no ethics, poverty level work force business model? NOT ME!
     
  8. cpllawncare

    cpllawncare LawnSite Silver Member
    Posts: 2,659

    In addition, GG's isn't a franchise company they are the green industry franchise arm of a much larger company.
     
  9. 32vld

    32vld LawnSite Gold Member
    Posts: 3,984

    The business model for franchise's is low cost, and low quality. They hide the low quality behind the phrase "a consistent level of quality".

    I do not want to emulate anything low. Or pay the franchiser a cut of my profits for breaking my back. Doing business using the franchiser's name. That is why I am against franchising.
     
  10. cpllawncare

    cpllawncare LawnSite Silver Member
    Posts: 2,659

    Like most things in life one size doesn't fit all, just sayin.
     

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