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The New Definition of Recession-Friendly Franchise

1851 spoke to Mike Davis, CEO and founder of 1-800-JUNKPRO to learn more about how he is utilizing his franchise as a way to give back to local communities.

By Renee Furla1851 Contributor
3:15PM 03/27/20

In order to maintain functioning infrastructure in cities around the U.S., the CDC has helped guide what is deemed essential to remain open for the public, for example, grocery stores, pharmacies, gas stations, etc. (The CDC strongly encourages businesses considered non-essential to temporarily shut its doors to help prevent the spread of the virus.) Luckily for Davis, garbage collection falls under the category of essential businesses and is able to remain open while other non-essential businesses have shut down. 

The COVID-19 pandemic has re-shaped the franchise industry as we know it. This has left franchisors asking the crucial question: Is my business recession-friendly? Some businesses are finding this out firsthand under unfortunate circumstances. According to NRN, the restaurant industry is facing an immanent collapse.

During the discovery process, franchise prospects tend to lean towards the most attractive franchise with the largest ROI, which seems practical. But a prospect should also consider the “what-if” scenarios as well. The COVID-19 pandemic is a learning experience for all business owners, big and small. The aftermath of this crisis will steer future franchise prospects to be more cautious about which franchise industry they will be investing their money into. Franchisors will also take away valuable lessons learned during this time as well. Franchisors and franchisees have had to learn on the spot how to proactively pivot their business operations to stay above water. 

“Since everyone has been urged to clean their environments due to the COVID-19 breakout, we’ve seen a rapid increase in the demand for our services,” said Mike Davis, CEO of 1-800-JUNKPRO. “Though the demand is high, we did not jump on the proverbial bandwagon and raise our prices. We want to be able to service our local communities and help out the best way we know how — by removing junk.”

1-800-JUNKPRO’s business is in high demand now that most households are instructed to stay in their homes until otherwise notified. With more people spending time indoors, there has been an increase in cleaning, which leads to garbage buildup. Davis has decided to use his expertise to help local communities during this time by offering discounted rates for 3-day dumpster rentals, which allows the brand to serve twice as many customers within the standard 7-day period. 1-800-JUNKPRO is also offering a No Contact Service with the brand’s e-Signature option to encourage social distancing as well as curbside drop-off and pick-up. 

With the pivot of business operations, Davis noted that the brand is “up over 40% from the same time last year.” Davis believes that through his 1-800-JUNKPRO business, he will be able to support families and communities as they attempt to stay healthy and safe.