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Franchises are really looking for people to
bring in a good six figure income on

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their businesses there, so they're going
to give you the population density needed to

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do that sort of thing. So
it's conceivable you are listening to Carrie Letz's

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Financial Survival Network where you get valuable
information you just can't find anywhere else to

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Financial Survival Network now more than ever, and welcome. You are listening

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to the Financial Survival Network. I'm
your host, Carrie Letz. Well,

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many of you out there real estate
investors, et cetera looking for other ways

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to invest. Real estate prices are
at all time highs in so many more

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markets. And Greg Moore, you
are the franchise may have and so what

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motivates most of your clients to really
start looking at franchises? Eric A couple

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different things. One is diversification,
so getting another stream of income is really

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i would say probably one of the
biggest things that people are looking to get

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into a franchise with the other one
is just getting out of the corporate world

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for that and because they don't want
to do the corporate world anymore. But

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my investors, especially in my real
estate people, they're really looking to diversify

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into something that they're somewhat familiar with
and with the real estate. Some are

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familiar with a lot of the home
type services franchises that go along with real

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estate. All right, So what
kind of home type franchises do you connect

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people with? The popular ones is
this last year or the last couple of

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years have been HBC heating, air
conditioning, ventilation, plumbing, electrical services,

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and a lot of the restoration services
as well. All right, I

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noticed something in the show notes about
handyman services. To find a good handyman.

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They're getting paid more money than ever
at thirty forty to fifty dollars an

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hour. And it's no longer the
guy from that TV show Schneider, he

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was the super the handymand now they
really they really got to do something and

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they got to be qualified they do
with the franchise is going to help you

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find those people. So handyman services, lawn care services are very simple,

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easy operations to do on that so
those are really good. Again, the

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franchise is going to help you find
the people, so they don't you don't

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necessarily have to know how to find
your employees. How a lot of the

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good franchises not only help you find
employees, but they'll also help you find

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clients as well, providing call centers
so you're not fielding the calls all the

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time. You just get up in
the morning or your manager does if you

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want to run a semi absentee and
they have us schedule and they just look

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down the schedule, see you anything
to call upon the're looking for their services.

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Okay, So what's the cost to
get into these home service franchises only

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speaking that you're looking at around one
hundred and fifty thousand dollars total investment,

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give or take depending on if you
need any equipment on that franchise. Feed

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for most of every franchise around is
right around fifty thousand dollars itself, and

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the rest of it is just going
to be the total investment, which includes

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advertising, marketing, a small office
if you'd need to gain any equipment that

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you may need. What's the success
rate on these success rate on most of

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the franchises I work with r Actually, all the franchises I work with there

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about eighty five ninety percent or better. We look for that, and you

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can see that in the franchise disclosure
documents. They'll have a list of the

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franchisees who are currently running the operation
and a list of the franchise ease who

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started the operation and are no longer
running it. Pretty simple math to get

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the success rate, and again,
eighty five percent or better. That's that's

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pretty impressive there. And what's the
non franchise failure rate or a success rate,

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well less than that. I don't
keep track of that too much,

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but I know that privately owned businesses
are a bigger challenge. I actually had

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a privately owned dry cleaning business at
one point in time and storage units,

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and I can tell you doing it
yourself, well, it has its benefits,

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you know. Definitely, franchising is
not for everybody, But having to

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do it yourself and come up with
everything is a lot more challenging to me

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than having a franchise system who's already
done that in the past and has got

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that proven track record of success on
that. So private businesses fail will quite

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a bit more frequently than franchises do. So let's talk about returns. What

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kind of return can you realize on
your one hundred and fifty thousand average investment.

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Franchises are really looking for people to
bring in a good six figure income

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on their businesses there, so they're
going to give you the population density needed

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to do that sort of thing.
So it's you know, conceivable twenty twenty

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five percent. Some of the ones
that are a little bit less host intensive,

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we could bring upwards of above fifty
percent. I know that the repairing

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of leather, vinyl, plastic type
of things, those are really high higher

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than fifty percent on a return on
investment because there's not a lot to them

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on that, and you charge of
people a good amount of money because there's

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a lot of folks businesses especially need
you know, plastic, leather, vinyl

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repair. What states are we looking
at? What are the most popular states

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or people opening franchises? Most of
the people I get, I get actually

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people from all across the United States
and just about every state around. The

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only ones that don't get a whole
lot of people from or Alaska and Hawaii

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and that, but the most popular
ones strict to answer to your question,

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I get a lot of people from
the East Coast and the Southern states if

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you're looking to move somewhere to where
you want to look at it, better

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state to move into. If you
want your business in Texas or Florida with

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no sale next or no state tax
excuse me, are good ones to look

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into. But I get people from
all all across the United States, and

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actually I get some people all over
the world as well. Yeah, so

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you give it. Tell us one
of your best success stories. Somebody took

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who really never done this before and
made a major success. Yeah, that'd

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be probably, I'd say Ben and
Trish. They were just real estate investors,

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and you know, they were looking
to diverse by typical thing and they

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knew real estate, so they actually
interesting enough. They wanted to diverse fly

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into a brewery. They thought that
would be the best thing in the world,

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because you know, that's a lot
of fun going into a brewery.

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Always enjoyed it and hanging out there. I said, well that's good.

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Let's take a look at that.
And what are their other interests. What

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do you have the things you do
and they said, well, we invest

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in real estate, and said,
okay, we'll have something that's real estate

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related, something that you know a
little bit more about and they said,

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we'll take a look at them,
but we'll really want the brewery. So

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we took a look at the brewery, and we took a look at plumbing,

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we could look at electrical HVAC and
demand services, and they ended up

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it's kind of funny. Cturcia's kind
of in the background for a while,

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and Ben was saying he's going to
do it, and he's going to do

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a semi absentee. He's going to
get a manager to run it. And

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what ended up happening is at the
end first just stepped up and she said,

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you know, I run all the
rental properties, said we're not going

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to run this semi absentee. Let's
get into that electrical services franchise, and

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I'm going to be the one that
does it. And they, you know,

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they just did it a few months
ago and they're really taking off right

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now and doing just exception. Although
probably be Rookies of the Year this year.

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That's a great story. So so
what skill level, What skills do

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you look for in your clients to
be sure that they're going to succeed.

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One major skill carry is as all
this needed. You've got to be coachable,

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that franchise has done it before.
They've got that game plan in place.

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You're not reinventing the wheel, so
as long as you're coachable, the

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franchise will teach you how to do
everything else on that. Basically, the

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wheel is if you wanted to reinvent
it, you would have got into a

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private business and done it yourself.
Yeah, so you don't need to reinvent

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the egg McMuffin, right exactly,
Carry exactly so. And then as far

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as financing these things go, most
people just invest the one fifty in cash

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or financing. How do they do
that? But it's been about fifty to

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fifty this year. Carry on that
one now, maybe a little bit in

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cash, probably a couple of people
in cash, but for the most part,

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I've gotten people that have either financed
it. SBA loans are very simple,

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especially with the serve industry. You
can get the one of their quick

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Star loans about one hundred and fifty
thousand dollars their Express loan for that SBA

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Express loan, get it done,
and probably about a month or so on

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that one with very reasonable rates out
there. And then and it's quite a

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few of my investors really like other
using other people's money for that and then

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actually had a bunch of people,
probably about almost half of them, they

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actually used their own money out of
their four one k or ira and did

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a self directed for k or ira
where they just moved that foural one k

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money from a previous employer over to
a self directed to ira and they just

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use that money then to invest in
their business, not going into debt that

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way. All right, all right, well, hey, we appreciate you

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coming on. Just tell us where
do we find you? Greg? You

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can find me at franchisemabon dot com. That's franchise m A V isn't Victor

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E n dot com? Greg at
franchisemaven dot com, or just pick up

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the phone and give me a call
at to reach six to one seven seven

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to two six four or zero one. All right, and the link is

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in the show notes to this interview
on Financial Survival Network dot com. Makes

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sure you sign up for your free
newsletter. You've got a question for gregor

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00:09:03,399 --> 00:09:09,039
myself, shoot me an email Klatcarrieluts
dot com. Greg Pleasure, We'll talk

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to you en real soon. Thank
you for having me, Krrie appreciate it.

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Thanks for listening to Carrie Letz's Financial
Survival Network your solution to today's trying

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times. For the latest, go
to Financial Survivalnetwork dot com. Financial Survival

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Network now more than ever