Franchising

Name:

Philip Carter

Rank on Exit: -

Years of Service: 22 years

Qualifications Gained: -

After serving in the Army for 22 years as a vehicle mechanic in the Royal Electrical and Mechanical Engineers, Philip Carter decided to take the plunge and become a SUBWAY® Stores franchisee. He hasn’t looked back since.

Your location

I live just outside Catterick Garrison in North Yorkshire.

Why did you choose franchising?

I have always been interested in starting my own business. After thoroughly researching the different possibilities I thought franchising would be my best option. One of its major advantages is that it allows you to start a business that already has a well-established brand name. As a result, before you have started, you have an established customer base, which reduces many of the risks normally associated with starting your own business.

I first saw SUBWAY® Stores when I was on exercise in Canada in the early 1990s and thought then that they would be popular in the UK. At the time it was just a thought, but over the years I started to think more seriously about it. As I came to the end of my career in the Armed Forces, I needed to decide what I was going to do with the rest of my life. It was a tough decision, but after a lot of thought I took the plunge in 2005 and applied for a franchise on the SUBWAY® Stores website.

How many stores do you have and where are they?

We now have two stores: one in Catterick Garrison and the other in Starbeck near Harrogate. Starbeck was our first store, which we opened in December 2006.

What skill set did you take from your Forces experience to becoming a Subway franchisee?

There are a lot of useful skills you pick up during your time in the Forces, which help when you start your own business. Skills such as managing staff, running offices and organising workplaces are essential, and all can be picked up in the Forces. The military runs by following systems of operation which make sure that everybody knows what they need to do and how to do it, which is exactly how franchising works. Ex-military personnel are very well suited to franchising.

What research did you do?

The internet was the first place I looked for information about Subway and franchising, then I visited Subways in nearby towns and spoke to the franchisees about how they found the business and whether it was successful for them. There are endless places you can find information, but I found talking to the franchisees particularly useful.

How did you raise the finance?

I had money from my pension lump sum and my business partner invested an equal amount of his savings. Together with our accountant we came up with a business plan that we took to the bank. On the strength of our plan the bank lent us the cash for set-up costs and shop-fitting work. The shop equipment was leased through an asset finance company. SUBWAY® Stores have great support, including regional offices that will be able to advise you on equipment leasing.

Before you start looking for finance it is worth finding an accountant to assist you with the financial planning of your business. A good business plan is essential to getting finance of any kind.

What training and support did you receive initially and ongoing?

The initial franchisee training was held in the franchisee training centre in Milford, Connecticut, in the United States. We also had an intensive two-week course involving classroom work and placements in local stores. During the course you learn all aspects of running a store. I used my resettlement GRT to pay for my travel and accommodation.

When it comes to opening your new store your local development office (Subway regional office) will help you with everything from equipment ordering, shop leasing and shop fitting to staff training and promoting your new store. The DA office has a team that also provides ongoing support to make sure your business is running to SUBWAY® Stores standards and is operating as profitably as possible.

What challenges have you faced?

It’s all been a challenge. I have had to learn everything from basic accounting, running a payroll and employment law to baking bread and stock control. Recruiting the right people has been one of the most challenging things I’ve found. We are a customer service-based business and your staff can make or break you very quickly.

Has becoming a franchisee changed your life? If so, how?

The main change in my life is that I look forward to going to work every day.

What advice would you give to someone thinking of buying their first franchise – and specifically to those who are thinking about leaving/have left the Forces?

You need to be sure the franchise you choose is as safe an investment as possible. Check the track record of the company you are thinking of investing your hard earned pension in. Franchise companies know retiring Forces personnel receive a large cash lump sum and they want it off you.

The British Franchise Association (bfa) is a good place to look for advice and information about the hundreds of franchise opportunities available.

Would you do it again?

Definitely, it has been hard work but well worth it.

Published November 2011

Name:

Andy Darby

Rank on Exit: -

Years of Service: -

Qualifications Gained: -

Last year, ChipsAway franchisee Andy Darby celebrated ten successful years with the UK’s leading automotive paintwork repair specialist. A former soldier with the Royal Engineers, Andy was looking for a practical, hands-on business with potential for high earnings and a long-term opportunity to grow. In 2000, he started up as a ‘man and a van’ with a single territory. Today he operates a ChipsAway CarCare Centre, two ChipsAway mobile workshops and employs a busy team of four repair technicians across three territories. He drives an M3 convertible and estimates that his take-home earnings are up to three times more than his previous salary in the Army.

‘What sets ChipsAway apart from many franchises is the tremendous, ongoing support from the franchisor,’ Andy says. ‘From the outset, the training is thorough and new franchisees are mentored on a one-to-one basis by experienced franchisees. Thereafter, there is access to technical advice whenever you need it, as well as strong marketing support to build up brand awareness and help generate sales – including advertising on national TV!’

ChipsAway is one of the most successful franchises in the UK with around 350 specialists in operation nationwide. Based on unique technology, the ChipsAway system continues to dominate in the ‘on-the-spot’ repairs sector, removing scratches, bumps and scuffs to car paintwork on a same-day basis, and usually at a fraction of the price of traditional body shop repair methods. With 34 million vehicles on the road and over 17 million repair opportunities every year, ChipsAway estimates that currently it serves only 3% of its potential market.

‘Despite the difficulties faced by many businesses during the recession, 2010 was one of my best years yet,’ Andy says. ‘I’m very happy with the way my business has grown. I always planned to build it steadily and feel proud that I’ve managed to enjoy an excellent lifestyle, while still being able to afford to reinvest fairly substantially in developing a successful management franchise. I loved being a soldier, but now I’m my own boss, I’m making more money than I ever thought possible and my business is going brilliantly – all thanks to ChipsAway!’

Published October 2011

Name: Robbie Freeman

Rank on Exit: -

Years of Service: -

Qualifications Gained: -

When 26-year-old Robbie Freeman spotted the Ovenclean franchise, it appealed to him instantly. Easy to learn and straightforward to manage, he felt it provided the perfect business opportunity for someone practical and hard-working like himself. ‘It was affordable and looked like great value,’ he says, ‘I liked the fact that the work was “hands on” and I could see that there would be high demand for a professional oven-cleaning service.’

Robbie launched his own Ovenclean franchise last November, after completing his training, including a course at the company’s dedicated Training Centre at Head Office and two weeks ‘in the field’ working alongside an established franchisee. ‘The launch went really well,’ he confirms. ‘We gave out over 3,000 leaflets in two days and really got the name out there. In addition to the bookings I took over the weekend, the phone continued to ring during the next couple of weeks and I found myself with a fully booked diary from the word go!’

Ovenclean franchisees operate from fully equipped vehicles and use a powerful, yet 100% caustic-free, eco-friendly system to restore ovens, hobs and barbecues to pristine ‘as new’ condition within a matter of hours. ‘Customers are truly amazed by the results I can achieve,’ Robbie says. ‘There’s a real wow factor – that’s why people invariably re-book on the spot and become regular, repeat-order customers. It’s hugely satisfying and means you take great pride in what you do.’

He adds that, although he has only been in business for less than 12 months, his Ovenclean franchise has certainly lived up to expectations. He’s making more money than he did in his previous career and feels that the opportunity is there to expand his operation into a multi-unit management franchise further down the line.

‘In due course, I can see myself growing the business, but at the moment I’m simply enjoying working for myself,’ Robbie concludes. ‘The flexibility and independence is great and, although it’s hard work, that’s fine too. In fact, that’s part of what I like about it – I’m happy to get stuck in and to reap the rewards accordingly!’

Published August 2011

Name: Paul Fabian

Rank on Exit: Engineering Officer

Years of Service: 13 Years

Qualifications Gained: -

Former Engineering Officer, Paul Fabian, spent 13 years in the Forces before taking voluntary redundancy from the RAF. Keen to be independent and to use the skills he had gained, Paul identified the perfect opportunity in ChipsAway, the UK’s leading automotive paintwork repair brand.

Starting as a ‘man and a van’ franchise in 1999, Paul says: ‘I could see the potential of the franchise from the outset. I visualised that from initially being an owner operator, I would eventually develop my business into a management franchise and make a lot of money – and that’s exactly what I’ve done!’

Today, Paul heads up a highly successful business, with two thriving ChipsAway CarCare Centres (fixed-base workshops) on adjacent territories, a fleet of mobile units and a team of six employees. Currently, Paul is busier than ever, repairing bumper scuffs, scratches and alloy wheels on an average of 16 cars a day!

Now out of uniform for 16 years, he finds ‘the planning side of things’ similar to being in the Forces: ‘The realisation that spending ten minutes at the start of each day planning and briefing staff can save you hours of wasted time later on, is very much an old RAF habit!’ His salary, however, is ‘vastly different’ to what he used to take home: ‘I now earn at least six times more than I did in the RAF – even allowing for indexation – and my business keeps going from strength to strength. Last year was my busiest yet, and I’m on track to achieve an increase in turnover again this year.’

In recognition of his continued success, Paul was named ChipsAway’s Franchisee of the Year at its annual conference and awards dinner recently. ‘Paul is a very worthy award winner,’ says Chief Executive, Lloyd Evans. ‘He embodies the brand’s key values and represents all that is best about ChipsAway.’

‘ChipsAway is a great franchise,’ Paul confirms. ‘I love being my own boss and having the independence to decide which way I want to take the business. If I want to earn more, I can set my own targets and work to achieve them, rather than waiting for someone to promote me, or if I want to take eight or ten weeks holiday in a year, I can, knowing the business carries on without me.

‘I have no regrets whatsoever about becoming a ChipsAway franchisee,’ he concludes. ‘If you’re prepared to work hard, you really can achieve amazing results.’

See the advertisement on page 65

Published August 2011

Name: Thomas McAlister

Rank on Exit: Corporal

Years of Service: 10 years

Qualifications Gained: Driving licences & Firts Aid

Corporal Thomas McAlister left the Army last year after ten years’ service in the Infantry. While serving, he gained all driving licences, plus qualifications in first aid and hazmat. On top of these, he considers his time in uniform to have equipped him with ‘self-discipline, loyalty and man-management skills’. During his resettlement period, he also took business start-up training at Tidworth RC, which was ‘very useful’.

His first, and current, job as a franchisee with ChipsAway International involves ‘running a mobile car body repair operation, carrying out on-the-spot, high-quality cosmetic repairs to motor vehicles – including paintwork scratches, bumper scuffs, minor dents, kerbed alloy wheels and interior trim repairs.’ He enjoys his work, saying ‘I like being in a new place and facing new challenges every day. No two cars have the same damage or need to be repaired in the same way, so there’s lots of variety. I like the fact that it’s my business and I’m my own boss, but with the added assurance and support of the team at head office.

Although technically you are out there on your own, you know you have support whenever you need it. I’m also benefiting from continuous national branding activity, including TV ad campaigns, which generate a stream of regular leads for franchisees through a 24/7 national call centre and the ChipsAway website.’

In terms of any similarities between this work and his Army role, he confirms ‘Yes, there are many. I love being outside – I couldn’t work in a usual “office job”. My role in the Forces required a lot of self-motivation, which you also need when running your own business. It’s up to you to take responsibility for making things happen and getting results.

‘During my time in the Army, I was sometimes away from home for six months a year. Now, I go home every evening after a day’s work, which is great. I love being my own boss, it gives me great flexibility to make my own decisions – for instance, if I want to go on holiday I can do so, whenever I want to! I also earn a lot more than I did in the Army. With the fantastic launch promotion organised by head office, you earn money from day one and, as I become faster at the repairs, my profits go up accordingly.’

Published April 2011

Name: Alan Purdue

Rank on Exit: Warrant Officer

Years of Service: 22

Qualifications Gained: -

After 22 years serving as a Warrant Officer in the Army’s Transport and Logistics Corps, military life was all Alan Purdue knew. However, with a growing family, he felt he could no longer live the Services lifestyle, so set about researching new career opportunities that would improve his work/life balance. After investigating a number of franchise options, he was attracted to Cash Generator – the UK’s leading buy, sell and loan store – for its extensive training and ongoing support. In addition, its tried-and-tested business model appealed to him greatly.

Alan comments: ‘I joined the Army when I was 16 years old so the military was all I knew. When we started a family we knew it was time to leave, so I began to consider the various options available outside the military. I had always wanted to be my own boss, but was apprehensive about starting up my own business, so investing in a franchise was a logical solution. Cash Generator appealed immensely and although it was at the top end of my budget it had incredible potential. The business has a multi-income stream that has proved itself in all economic climates and I was confident that it was the right franchise for me.’

In March 2007, Alan opened his first store in Port Talbot, South Wales, and now – three years into his franchise term – he has built a successful business, employing six people. With his first store well established, he is well under way with planning the opening of his second, scheduled to open later this year.

This particular franchisor is well versed in supporting those looking for a new challenge after leaving the Forces – whether it’s operating a franchise store or working with its corporate team at head office. Alan can vouch for that: earning more than he was in the Army, and with evenings and weekends free to spend with his family, civilian life is certainly going well for him!

Published ...June 2010

Franchising - Case Studies