1851

&ldquo;How much money can I make?&rdquo; This question, and the infinite variations that are thrown at franchise development people on a daily basis, forms the root of many prospective franchise&rsquo;s due diligence process. It can also, due to Federal Trade Commission regulations that appropriately protect franchise buyers from unscrupulous sales people, be one of the most difficult questions to answer.

Fortunately for brands like <a href="http://showhomesfranchise.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=showhomes-the-momentum-positioning-them-as-industry-leaders-12433" target="_blank" rel="nofollow" target="_blank">Showhomes</a>, whose FPR sets them apart from other franchised brands, the FTC allows franchisors the option to make a financial performance representation if they choose. A well-crafted FPR, like that of <a href="https://showhomes.1851franchise.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=showhomes-the-momentum-positioning-them-as-industry-leaders-12433" target="_blank" rel="nofollow" target="_blank">Showhomes</a>, can help prospective franchisees analyze this most important &ndash; and frequently asked &ndash; question.&nbsp;

&ldquo;Fifteen years ago, very few franchisors prepared financial performance representations (or earning claims as they historically were called),&rdquo; explained Matt Kelton, Chief Operating Officer at Showhomes. &ldquo;Many franchisors thought it was too dangerous and left them liable if franchisees were unable to meet the established expectations. Today, prospective franchisees are doing more due diligence than ever, and franchisors are at a disadvantage if their FDD does not include an FPR. Candidates might think the franchisor is hiding something or that they don&rsquo;t have a good story to tell.&rdquo;

Showhomes has a great story to tell, and they use their 2017 FPR to provide franchisee candidates with an idea of what it means financially to own and operate a Showhomes franchise. For example, in Showhomes&rsquo; 2017 FPR, of the 19 Showhomes franchisees whose territories were in full-time, continuous operation during the three-year period as of December 31, 2016, these franchisees had average annual revenues during the 2016 calendar year of $366,078, with 47% of those franchisees exceeding this average.[1] This volume is impressive for any home-based business, especially one with estimated start-up costs ranging from $50,700 on the low end to $84,860 on the upper end.

What is driving that increase? &ldquo;Aggressive marketing. Diversification of revenue streams. We&rsquo;re creating a luxury brand.&rdquo; explained Kelton. &ldquo;The average list price of homes we serve is over $800,000 and our four core revenue streams; home manager, home staging, home makeovers, and home updates; allow us to do well in any real estate market.&rdquo;

The brand looks to continue this trend with a focus on unit level economics and further diversification of revenue streams. And with national expansion on the horizon, economies of scale will allow for increased brand recognition through national marketing initiatives.

With their uncommon and highly scalable business model, Showhomes allows franchisees to turn a passion for Real Estate and design into an exciting and rewarding business opportunity. With the growth and momentum displayed in its 2017 FPR, it is easy to see why there is growing demand for this unique brand.

As with any business opportunity, Kelton advises prospective franchise buyers to analyze business risk and understand return on investment. &ldquo;It is important to understand the context of the numbers represented in an FPR, and one of the best ways to do that is to talk and validate with the franchise system&rsquo;s existing franchisees &ndash; a step Showhomes strongly encourages its prospective franchisees to do.&rdquo;

[1] The &nbsp;information above is based on the average annual revenues experienced during the time period of January 1, 2016 to December 31, 2016, by the 19 Showhomes franchisees that were in continuous full-time operation during the entire 3-year period ended December 31, 2016.&nbsp; Of the 9 (or 47%) franchisees that exceeded the stated average, 2 franchisees operate in 1 territory each, 4 franchisees operate in 2 territories each, 1 franchisee operates in 3 territories, and 2 franchisees operate in 4 territories each.&nbsp; See Item 19 of Showhomes&rsquo; 2017 FDD for further information.&nbsp; Some outlets have earned this amount.&nbsp; Your individual results may differ.&nbsp; There is no assurance that you will earn as much.&nbsp;

&nbsp;

Showhomes:  The Momentum Positioning Them As Industry Leaders

1851 Franchise

Carefully scrutinizing a franchisor’s financial performance representation (“FPR” – found in Item 19 of a franchisor’s FDD) is an essential part of a prospective franchisee’s due diligence process, and Showhomes’ 2017 FPR tells an impressive story. 

This brand page has been paid for by 1851. Content within this page that is paid will showcase a Sponsored icon. This means the brand has engaged 1851 FRANCHISE to write the content. Content without the Sponsored Icon is aggregated media placements the brand earned. Questions can be sent to editorial@1851franchise.com

showhomes-the-momentum-positioning-them-as-industry-leaders

Dog Training Elite

How To Keep Your Dog Safe and Calm This Halloween, According to Dog Training Experts

dog-training-elite-halloween-safety-tips

BooXkeeping

Books Balanced and Bound for Growth: BooXkeeping Celebrates a Standout Q3

booxkeeping-q3-2025-growth-and-innovation

Children's Lighthouse

Why Children’s Lighthouse Is the Perfect Fit for Hospitality Professionals

why-childrens-lighthouse-is-the-perfect-fit-for-hospitality-professionals

Layne's Chicken Fingers

image of Taylor Thomas laynes chicken finger franchisee in Texas

Why This University of Texas Alum Invested in Layne’s Chicken Fingers

university-texas-alum-invests-laynes-chicken

image of Masroor Fatany, a prolific laynes chicken franchisee

Why This Texas A&M Alum Invested in Layne’s, Committing to 10-Plus Restaurants in the Houston Area

why-texas-a&m-alum-bought-laynes-franchise

Buying a Franchise Masterclass

 Franchise Opportunities

Get Support Buying a Franchise

How to Buy a Franchise White Paper

How to Buy a Franchise

How to Sell Franchises

How to Grow a Franchise

Find a Franchise Supplier

1851 Franchise Opportunities

Franchisor News

Franchisor Power Rankings

FranCamp Mastermind Summit

Franchise Development Website Builder

Franchise Resources

What ALEC-Laffer's Report Means for Franchising

Website Awards

Power Rankings

About 1851

Advertise on 1851

Contact 1851 Editorial

Terms of Use

1851 Login

GROWTH CLUB LOGIN

facebook

instagram

twitter

linkedin

youtube

Amazon outage, AWS outage, Amazon AWS logo

The Day the Cloud Stalled: How Amazon's Outage Impacted Franchise Economy

amazon-aws-outage-franchise-impact-travel-dining-failure

Thursday 1851 Franchise Agg - NASAA’s Noncompete Push

NASAA’s Noncompete Push Puts Franchise Growth on Uncertain Ground

franchise-noncompete-nasaa-advisory-reasonableness-standard

How a Steady Economy Could Help Franchisors Plan Their Next Move

how-a-steady-economy-could-help-franchisors-plan-their-next-move

Bed Bath & Beyond - Franchise Expansion - Retail Strategy - 1851 Franchise

Bed Bath & Beyond Launches Franchise Model as Part of Comeback Strategy

bed-bath-beyond-franchise-expansion-retail-strategy

Senior Entrepreneurship - Franchising - 1851 Franchise

Senior Entrepreneurship Is Rising — And Franchising Is a Key Outlet

senior-entrepreneurship-franchising-silver-startups

image of franchise deep dive from 1851 franchise on doody calls franchise authority brands

DoodyCalls Franchise Costs, Fees, Profit and Data for 2025

doodycalls-franchise-deep-dive

image of mellow mushroom deep dive into financials article from 1851 franchise

Mellow Mushroom Franchise Costs, Fees, Profit and Data for 2025

mellow-mushroom-franchise-deep-dive

How goGLOW Turned Clean Beauty Into a Scalable Franchise and Why It’s Accelerating Now

goglow-clean-beauty-tanning-franchise

Photo of Humbug Holiday Lighting team members wearing festive sweaters, beanies, smiling at camera

Happinest Brands Turns the ‘Off-Season’ Into a Bright Spot for Franchisees

happinest-holiday-lighting-franchise-support

A Practical Playbook: Who To Call First When Franchising Your Business

franchising-your-business-who-to-call-first

image of jerome hanway from right at home Las Cruces, New Mexico 1851 franchise franchisee spotlight

Jerome Hanway Is Building His Right at Home Franchise Around His Mission To Serve

right-at-home-franchise-las-cruces-jerome-hanway

NJCAR v. Ford - New Jersey Supreme Court Limits Standing Under Franchise Practices Act

New Jersey Supreme Court Limits Standing Under Franchise Practices Act

new-jersey-franchise-practices-act-njcar-v-ford

graphic image of an 1851 franchisee spotlight brayden and johnny steven of teriyaki madness

Father-and-Daughter Team Bring Teriyaki Madness to Wichita, Kansas, With Big Expansion Plans

johnny-brayden-steven-teriyaki-madness-wichita

1851 Franchisee Spotlight graphic with photo of Barb Volk and KidStrong logo

Showhomes: The Momentum Positioning Them As Industry Leaders

MORE STORIES LIKE THIS