Mr. Handyman Franchise Startup Cost, Revenue and Profit Margin
As the name suggests, Mr. Handyman provides all sorts of handyman services.
This company has expertise in carpentry, home maintenance, drywall service, deck repairs, bathroom repairs and insulation installations among many other services.
Founded in 2000, Mr. Handyman began to franchise the same year. Currently, it is seeking to open new franchise units across the world with new franchisees being crucial partners.
So, are you a skilled handyman seeking ways to expand your business? Whether skilled or not, Mr. Handyman has you covered.
Is This Franchise Opportunity Right For You?
Every investor will have reasons why they want to invest in a franchise. However varied such reasons are, one thing is constant; an opportunity for growth. Now growth can be translated into profitability and more sales among other things.
Mr. Handyman promises all of these.
Mr. Handyman prides itself as being a one-of-a-kind home improvement franchise opportunity. Franchise owners have been given all the support and training they need to stick to set standards. This has resulted in satisfied clients as well as happy franchisees.
As one of the industry leaders in the maintenance and repair industry, franchisees get the opportunity to part of something big. This is in addition to owning and operating their own business while using time tested and proven business strategies to grow their franchises.
Apart from the initial training provided to new franchisees, there’s ongoing training that keeps them updated.
What more? Mr. Handyman’s ongoing marketing support is exceptional! These strategies help increase leads, resulting in paying clients.
Mr. Handyman provides franchisees with designated territories plus registered trademarks. This ensures you won’t be facing unnecessary competition from fellow Handyman’s franchisees, thus giving you a real shot at growth.
Mr. Handyman franchisees enjoy huge discounts from selected vendors. Apart from being internationally recognized, this franchisor has been able to establish a nationwide network. This offers support to its franchisees.
This is a crucial step for all interested investors. Meeting the franchisor’s financial requirement qualifies you to operate under its brand and log in addition to getting all the benefits that come with the partnership. You’ll need to raise an estimated initial investment amount with a low and high of $117,500 to $149,100. There’s also an ongoing royalty fee of 7% plus an application ad royalty fee of 2%.
So, why the variations in the estimated initial investment? Several! First, territory size is key to determining total investment. A typical territory will include about 40,000 to 60,000 households. Mapping out such territories by the franchisor depends on household incomes in addition to demographic factors.
Other factors include an existing business. Here, Mr. Handyman has a roll-in discount program. This caters to franchisees with existing businesses in the same industry. When converting or rebranding to a Mr. Handyman, you get assistance with time tested strategies that help with efficiency.
VetFran discount program is yet another factor that influences start-up costs. Here, a 15% discount off the franchise fee is provided by the franchisor. However, only honorably discharged veterans get to benefit from this discount program.
Estimated Initial Investment Breakdown
For a better understanding of the estimated initial investment, this section will provide a breakdown of such costs.
First, an initial franchise fee that starts at $59,900. An initial package fee of $11,000 is included plus a 3-month vehicle expense between $1,950 to $3,900.
There’s also the computer hardware package of about $3,500 to $6,000, a real estate & utility deposit for three months at $750 to $3,000. Tools & equipment to equip a van will range from $1,000 to $2,000, fixtures, furniture & office equipment costs anywhere from $0 to $1,500.
Cost for permits & licenses varies from $100 to $1,000. Prepaid insurance premiums for 3 months costs about $1,800 to $2,800. While traveling expenses such as lodging, travel & food costs about $3,000 to $4,000.
Franchisees will need additional funds for 3 months. This should range from $34,500 to $54,000.
Support is provided for both new and existing franchisees to help run their businesses. Multiple areas of operation are covered under this support program. There are broad categories of support such as marketing and ongoing support.
Marketing support includes online advertising assistance, social media account management, and customer retention and loyalty programs.
Others include customer feedback monitoring, local business marketing, national business marketing, dedicated local websites, email marketing, and creative support. Ongoing support includes access to its purchasing cooperatives, newsletter releases, meetings & conventions, as well as a toll-free line.
Others include a grand opening ceremony, online support, plus security & safety procedures. Additional areas of ongoing support include field operations, use of its proprietary software and its franchisee intranet platform.
Mr. Handyman Franchise Term And Renewal
Mr. Handyman has a franchise term of 10 years. During this time, franchisees have the right to use the franchisor’s brand name in addition to other privileges. At the end of the term, franchisees are allowed to apply for renewal.
However, not everyone qualifies for renewal. The franchisee must have met the requirements for renewal.
What are the requirements for renewal? The terms are outlined in the franchise disclosure document FDD. An additional term of 10 years is approved once such conditions are met.
Mr. Handyman’s “Sure Start” training program adequately equips new franchisees with relevant skills and knowledge to commence operations. This takes a period of 6 to 8 weeks where several courses will be taught.
Some of the courses covered include manual review, completing a territory review, preparing a comprehensive financial plan and coordinating an initial advertising program. There are several other vital areas of operations new franchisees are taken through.
Applying for this franchise opportunity starts by filling its secure candidate qualification summary form. New franchisees will have to create an account by using the “new user registration” tab. After filling and submitting the form, a franchise representative from Mr. Handyman contacts you for further discussions.
From this point on, every information you need about the franchise is provided. This is in addition to detailed guidance through the application process. Handyman franchise can also be reached on 888.700.0389.
If you’ve read to this point, you should have a better idea of what Mr. Handyman is about. You can begin the application process without much further delay to get started.