Dive into a franchisor’s Franchise Disclosure Document (FDD), and, chances are, it won’t take you very long to flip to a very specific section: Item 19. It’s understandable. After all, the financial performance representations (FPR) contained in Item 19 can help answer one of the most important questions to a prospective franchisee: ‘how much money are existing franchisees making?’
Closet & Storage Concepts and More Space Place both disclose their earnings in Item 19 of their FDD, proving that the brands are proud of their success. Closet & Storage Concepts/More Space Place list annual revenues in their most recent FDD of $1,811,208 and $1,194,097, respectively. EBITDA numbers for both brands are also listed at $368,823 and $179,767, respectively.
But, those numbers alone don’t always tell the whole story. In the discovery process, it’s also critical for prospective franchisees to understand what goes into making the business profitable.
Initial investments for Closet & Storage Concepts and More Space Place range from $73,000 to $492,600 and $90,950 to $172,150, respectively. However, it’s more than that affordable startup cost that makes the business ownership opportunities stand out. It’s also the support behind those earnings that enable Closet & Storage Concepts and More Space Place to attract qualified franchisees.
“Through a proven business model, we offer franchisees strong support from day one, also helping them to realize ROI as quickly as possible,” said Bob Lewis, President and CEO of Closet & Storage Concepts and More Space Place. “We want to be a true partner in our franchisees’ success.”
That ongoing support is one major reason why Closet & Storage Concepts and More Space Place are attractive investments to both consumers and aspiring entrepreneurs alike.
“I am always impressed with just how much our streamlined operations model resonates with potential franchisees,” said Closet & Storage Concepts Director of Franchise Development Tom Harris. “Once we get involved in discussions with a franchise prospect and they realize how strong the support is from our experienced staff, they can begin to see themselves in the business. That is a real testament to just how impactful our model truly is.”
When comparing franchises, it can sometimes be difficult to make one stand out from the next. But, cash flow is always a key differentiation point. For Lewis, that’s where Closet & Storage Concepts and More Space Place is strong.
“We stand out from the competition, not just in the closet segment, but across franchising by combining that solid revenue stream with a real opportunity for rapid growth,” said Lewis. “We are eager to reach the next level of success for this exciting business by partnering with franchisees in markets across the U.S. who are driven by the desire to build lasting equity value by owning their own business.”