Franchise Territories for Mobile Businesses; Why Limitations

In franchising an individual desirous of their own business will sign on with a franchising company and use their brand name, know how and expertise to make a living. The franchisor will generally assign an exclusive territory with limitations. In our franchise company we have mobile service units, which clean cars and we have to have territories to prevent in-fighting from franchisees which might inadvertently end up competing with one another.

Let us first talk about boundaries. Let us talk about why we have territories in the first place? Historically we have had in our mobile car wash industry one-man operations that may work in multiple cities. A young man or a young woman might go out and buy a pick up truck or van and put a plastic water tank or a couple of fifty-five gallon drums in the back of their vehicle. Along with a small pressure washer they would be instantly in business. Now, what they would do is go to certain office buildings and try to get customers. They would get a few of their friends to sign up. Some would say; "Come on back". They would keep coming back to these locations every so often and wash cars, usually once per week or twice per month. Then they would get a little bit into auto detailing as they learned the techniques, then they would mostly start to work on the higher end services because of course that pays a bigger dollar per car.

So they would do a little washing, some detailing and they would drive from one city to another. Then they would decide that, well they could get more money working over here in this richer area even though they lived in a poor area. When actually they could have made more money in a poor area doing fleet washing. But this is what a large percentage of our competition is doing now.

They will drive from city to city to city, spending time driving around in search of the big kill, the highest ticket easy money detail, often a Law firm with attorneys with more money than brains. They might spend each weekday in a different city. Never really developing a real strong clientele or strong customer loyalty. Never saturating the entire market place, but rather driving from place to place. They would be wasting a lot of time driving, sometimes during the middle of the day, and wasting money and gas and labor. Driving from place to place to wash cars in hopes of scoring the big detail.

Franchisors are looking to maximize each sector and not leave any grid un-tapped, thus setting up a grid defense plan to extend brand name makes sense. As a franchisee in such a franchise system your job is to make money and luckily the closer your customers are together the more market saturation you have the better the franchise brand name does in the area. Ah and the more money you will make too. WIN/WIN; think about it, think about franchising.

"Lance Winslow" - If you have innovative thoughts and unique perspectives, come think with Lance; www.WorldThinkTank.net/wttbbs

In The News:


The Wrap on Ag Plastic

While driving through Pennsylvania farmland, you have probably noticed an... Read More

Window Cleaning Business Start Up

Should you buy a business opportunity or Franchise if you... Read More

Arent Small Businesses Lucky?

Why? Because they have access to world class public relations... Read More

Business Development Is Not An Event

Cash flow. To stay in business, you've got to keep... Read More

How To Ruin Your Business

If you're like the rest of us, you've spent a... Read More

Small Business Owners - They Owe You The Money Why Dont They Pay?

Doesn't it frustrate you when you've given good service, sometimes... Read More

How to Get Started As A Government Contractor

Becoming a contractor or sub-contractor for the U.S. government can... Read More

Pressure Washing Business and Post Fire Cleanups

Many have not experienced a fire up close. One year... Read More

Franchising Companies Relationship Strategies

Franchising Corporations need to maintain an iron fist when it... Read More

How to Profit from a Concrete Roof Tile Business

Concrete Roof Tile Business: During the 2004 summer season, storms... Read More

Consistency Builds Trust

You know your prospects need what you sell. You know... Read More

Starting An E-Commerce Business: Baby Steps

Starting your own e-commerce business can be quite the adventure.... Read More

Looking into the Future for Profits

How to identify future solutions and opportunities?Your power page, if... Read More

FTC Franchise Rule if Enacted will Trigger Hardship for Private Sector

The FTC Franchise Rule maybe changed, as the Federal trade... Read More

How To Plant Seeds of Success With Small Business Ideas

Think of all of your business ideas as tiny seeds... Read More

Common Mistakes When Planning Your Medical Spa

Everything starts with a business plan: If you don't have... Read More

California Department of Corporations Attempts to PR Their Benefits to Consumers

On Monday the Department of Corporations in California revoked franchise... Read More

The Perilous Franchise Agreement: What Did You Sign?

Purchasing a franchise has become one of the most popular... Read More

Not Listening Can Hurt Your Small Business

Most small business owners seek advisors who can help them... Read More

Financial Fundamentals - What Every Small Business Owner Should Know!

Business owners rarely go into business to deal with the... Read More

Never Burn a Bridge

Why should you always maintain a good report with a... Read More

Don?t Quit Before You Get to the City!

We were more than excited. Our women's doubles tennis team... Read More

11 Things Small Business Owners Can Learn From The Miracle On Ice

1. Know Where You're Going ? Coach Herb Brooks had... Read More

Mobile Car Washes and Shoe Policies

Mobile carwashing is hard work, it is tough on the... Read More

Temporary Staffing Agency: How to Start

The temporary staffing industry continues to expand, with yearly double-digit... Read More