Ensuring that existing franchisees are as profitable as possible is how Closet & Storage Concepts/More Space Place validates its franchise opportunity for steady growth.
Slow and steady wins the race for Closet & Storage Concepts/More Space Place’s growth since it started franchising back in 2000. At the end of 2017, it reported 40 units total with 20 percent of its owners being multi-unit operators. As an emerging franchise, supporting its existing franchisees to gain validation as it grew was key, and that’s how Closet & Storage Concepts/More Space Place continues its steady climb.
“This year, we saw really strong growth in our average unit economics with several owners expanding and owning new locations within the system. Several owners became multi-unit owners,” said President and CEO, Bob Lewis.
While corporate focuses on unit economics and making sure that franchisees can manage their business financially and realize ROI as quickly as possible, the franchisee is able to focus on running the business.
“The business model that Closet & Storage Concepts/More Space Place offers really resonates with consumers. Our customers constantly tell us how professional we are and how good our team is. We focus on delivering a really outstanding service to the client, and that’s what will continue to fuel our success going forward,” said franchisee Karen Bradbury.
Franchisee gets 50 percent of each project upfront and then the other 50 percent once the job is complete. That way, they can minimize their out of pocket expenses, which can be advantageous in the home improvement and home furnishing industry. The unique product offering of custom closet systems and designs is something consumers are demanding,
“It fits into a very niche market that isn’t overcrowded with competitors, giving us the opportunity to reach a lot of consumers and enhance our businesses as franchisees,” said franchisee Bryan Mudrak. “There’s also a lack of repetitiveness that I really enjoy. Every project is new and consumers crave different things, allowing me to take on something exciting and fun every time I work with a customer.
To continue its growth in 2018, Closet & Storage Concepts/More Space Place will continue to look for opportunities to growth within its system with existing franchisees, but it is also looking for brand new partners that are ready to own their own business and follow the model.
Lewis explains how the brand makes sure to partner with the right candidates and set them up for success.
“It’s about the right partner in the right market. We have a niche product offering–we’re not quick service food, automotive or cleaning services. Our targeted demographic for sales are higher end homeowners in larger markets,” said Lewis. “We screen potential candidates thoroughly to make sure they have strong credit, good financial qualifications and business experience. We look for people who have sales or sale management experience since we are primarily in a selling business.”
As fun as it can be to help homeowners build their dream space, signing on with the brand still requires the hard work and dedication of running your own business.
Murdak provides advice for anyone looking into the opportunity with Closet & Storage Concepts/More Space Place. “Be prepared to work. You can’t come in with the expectation that you’re going to get rich right away. But if you follow the step-by-step process, you’re going to become established in your marketplace and get to a point where you’re successful,” he said. “If you have that drive to do the work and you’re passionate about being in business for yourself, I believe that you can do very well in this business.”