Low-risk, high return with this proven franchise opportunity

Low-risk, high-ROI, service-based franchise opportunities are in high demand especially for those starting a new life in America, and business will never go out of fashion.

The carpet cleaning industry in the United States has quietly become a giant business, totaling $3.8 billion dollars annually. Historically, the industry grows at 5% per annum, but with the resurgence of the housing market, there’s a potential for higher growth. Indeed, current projections have show the carpet cleaning industry to gross $4.4 billion in 2015.  Most Americans clean their carpets annually, but that’s expected to rise with increased concern about maintaining a healthy, and environmentally safe family home.

The Chem-Dry Difference

Although many carpet-cleaning businesses are small owner-operated businesses, which tend to come and go, Chem-Dry is the leader in the field and has been in business for 36 years. Chem-Dry is the proven franchise opportunity. Based in Logan Utah and Nashville, Tennessee, Chem-Dry’s patented cleaning products are environmentally sound, and its 3,500 franchisees clean more carpet and other surfaces than any of their competitors.

The carpet cleaning industry grows at 5% per year, but with the resurgence of the housing market, there’s a potential for higher growth. Current projections have show the carpet cleaning industry to gross $4.4 billion in 2015.

Competitive Edge

Unlike most carpet cleaners, who use steam and detergents as cleaning agents, Chem-Dry uses the power of hot water carbonation to separate oil and dirt from carpet fibers, a technology that requires 80% less water than conventional methods and leaves the carpet dry in 1-2 hours vs. 1-2 days for a typical steam cleaner.  This is a real benefit for consumers not only because it allows them to get back to their regular routines right away, but because carpets that dry immediately are far less likely to attract dirt, bacteria, and allergins.  Chem-Dry has also adapted their system to address other needs, such as upholstery; tile, stone and grout; pet urine and odor removal; water damage; area rugs; and specialty stains.

Statistics
Name: Chem-Dry
Founded: 1977
Market size: $3.8 Billion
Market Growth: 5% annually
Franchise Fee: $19,500
Avg. Annual Revenue: $101,184 per franchise

“With no big fees, you come in and you work it like you want to work it, The model is totally scalable. It’s an opportunity for growth…[and] a vehicle to become pretty wealthy.”

Low Investment Costs, High ROI

Remarkable in the world of franchising, Chem-Dry offers both a low investment cost, and a high rate of return (ROI). Typical startup costs range from $11,000 to $139,000, depending on the size of the operation, and royalty costs are a mere $350 a month, regardless of the size of the individual franchise.

According to D’Wayne Tanner, Chem-Dry’s SVP of Franchise Sales, the cost of goods for a  franchise — the materials required for day-to-day operations — is only 5 – 7% of revenue, which is  bargain compared to the restaurant business, which typically runs from 25-30% of revenues.

“With no big fees, you come in and you work it like you want to work it,” says Tanner. “The model is totally scalable. It’s an opportunity for growth. It gives people their first shot at ownership and entrepreneurship, and it give them a vehicle to become pretty wealthy.” Here are some results from a recent poll of Chem-Dry franchisees.

• Average annual revenue per franchise owner: $263,779 (88 out of 237, or 31%, of Responding Franchise Owners met or exceeded the average annual revenue per franchise owner.)
• Average monthly revenue per franchise owner: $20,858 (88 out of 237, or 37%, of Responding Franchise Owners met or exceeded the average annual revenue per franchise owner.)
• Average annual revenue per franchise: $101,651 (73 out of 237, or 31%, of Responding

Financing Available

Unlike most franchise companies, Chem-Dry goes a step further in making it easier for franchisees to get started in the business; they help with the financing. Their franchise fee is $19,500, but if the franchisee will put down $6,000, Chem-Dry will finance the rest over the five years in the franchise agreement.  Through a third party, Chem-Dry also provides financing for the hard goods required to start a franchise, including the equipment package (including a branded mini-van) and a turn-key business setup.

Tools for Growth

Low start-up costs are not a guarantee of success, of course. Franchisees must aggressively market their services to fully realize the potential of a Chem-Dry franchise, and the company provides a variety of marketing services and tools to help.  Each franchisee is provided with a customizable website tied to the company’s home site, which will be used to attract online traffic. Chem-Dry also maintains an online toolbox full of marketing tools full of photos and illustrations for franchisees to use in their local advertisements, as well as customizable templates for newsletters and collateral such as business cards, postcards, stickers, brochures, door hangers, invoices, calendars and envelopes.

The marketing tools are part of Chem-Dry’s emphasis upon creating repeat customers, which traditionally cost much less in time and money to reach than new customers. After five years, they want to see 70% of a franchisee’s business coming from their existing customer base.

Seven Attributes of a Successful Chem-Dry Franchisee

As with most franchisers, Chem-Dry has developed a profile of its ideal franchisee.They have the following attributes:

1. They’re hard working.
2. They’re willing to follow a system.
3. Strong interpersonal skills, which are required because of the amount of public contact.
4. Understand the Internet and electronic communications (or capable of learning)
5. At least $30,000 in cash to invest
6. A net worth of at least $50,000
7. Experience in sales and marketing

A Good Opportunity for Immigrant Entrepreneurs

Chem-Dry has had excellent results with former military personnel as franchisees because of their discipline, willingness to follow the system, and work-ethic. They believe that these same qualities are what make immigrant entrepreneurs excellent candidates for Chem-Dry franchises.

“Many entrepreneurs are coming to a foreign land with a solid work ethic and a willingness to do whatever it takes to be successful,” says Tanner. “And Chem Dry is a really good fit because we’ve built the path and plan for you to follow. It is the ultimate startup business and totally scalable. You can be as big as you want to be.”