fazza
Member
Registered: 7th Feb 08
Location: Plymouth
User status: Offline
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Yo guys,
I currently work for a mobile phone company as a store manager near to plymouth. Over the last 12 months the company have been gradually giving the shops(approx 100 in total) a shop refit and are offering the stores for franchise. Up until now they have wanted a £15k down payment for the franchise whether you were working for the company or were an outsider...
They have now changed there mind and are offering the franchise scheme to company staff free of charge(without the down payment). It also seems they want a big push towards the franchise scheme and all that decide against the franchise scheme will more than likely be made redundant within the next 3 months.
What are peoples views towards franchises? I know some people say only the company makes any money and the franchisee does all the work for little gains, but there are also lots of successful franchises out there such as subway/mcdonalds etc...
Im very tempted to choose a store and dependant on rent/rates etc to make a good go of it
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Colin
Member
Registered: 4th Apr 02
User status: Offline
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I want to open a kfc in town, I reckon the fat jobless twats round here would make me rich beyond my dreams.
Not too sure about a mobile place tho, if the business is failing now then what difference can you make to turn it around??
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Brett
Premium Member
Registered: 16th Dec 02
Location: Manchester
User status: Offline
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Wasn't it you that already owned a phone shop once upon a time?
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Gary
Premium Member
Registered: 22nd Nov 06
Location: West Yorkshire
User status: Offline
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Whats the phone company?
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fazza
Member
Registered: 7th Feb 08
Location: Plymouth
User status: Offline
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Go Mobile is the company.
Brett, I did own a franchise with JAG Communications but the franchise costs were 20% of anything we sold and with the store costs etc there wasnt much left over. (plus at JAG we could only sell orange)
Go Mobile bought out JAG about a year ago and have access to all the networks plus the monthly franchise cost is only £400 plus vat no matter how many phones we sell. That also includes our POS material etc aswell.
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Gary
Premium Member
Registered: 22nd Nov 06
Location: West Yorkshire
User status: Offline
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I'd be asking what advertising they are planning on doing for you. TV, Billboards, e c etc
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Brett
Premium Member
Registered: 16th Dec 02
Location: Manchester
User status: Offline
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Just out of curiosity, why does it have to be a franchise? I've never heard of JAG or Go mobile (maybe I should've, dunno). Why can't you setup your own and save the cost?
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LeeM
Member
Registered: 26th Sep 05
Location: Liverpool
User status: Offline
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seems win-win. take on the franchise and become your own boss entirely, it wont cost you anything and theyre refitting it for you. if you're right in your suspicion you'll only have to find a new job anyway
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s4k1b
Member
Registered: 11th Nov 02
Location: West Yorkshire
User status: Offline
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what are your margins? projections?
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fazza
Member
Registered: 7th Feb 08
Location: Plymouth
User status: Offline
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networks wont deal with you as a one man band brett. need to have atleast 15 shops really for them to even talk to you.
Go Mobile have approx 100 shops across the country, although most are in the south of the country
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Brett
Premium Member
Registered: 16th Dec 02
Location: Manchester
User status: Offline
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Fair enough, makes sense 
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LeeM
Member
Registered: 26th Sep 05
Location: Liverpool
User status: Offline
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quote:
Originally posted by Colin
I want to open a kfc in town, I reckon the fat jobless twats round here would make me rich beyond my dreams.
i want to do a burgerking, theres only 2 in blackpool and none within a 20 mile radius of blackpools town centre, the 2 in town are on the prom (no parking at all) and within the pleasure beach (costs £5+ just to get in) then the closest ones are in service stations and stuff. i reckon theres the potential to make money out of it
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Brett
Premium Member
Registered: 16th Dec 02
Location: Manchester
User status: Offline
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The thing with Burger King is, everyone says how great it is and how much they love it over McDonalds, but it certainly doesn't show. Every BK's I know is dead or closed down.
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fazza
Member
Registered: 7th Feb 08
Location: Plymouth
User status: Offline
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thats exactly what im thinking lee.
Shop rent = approx 1200
shop rates = approx 500
Franchise costs = 400
Thats the rough monthly figures before trading, obviously stock etc will vary month by month.
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Gary
Premium Member
Registered: 22nd Nov 06
Location: West Yorkshire
User status: Offline
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quote:
Originally posted by fazza
thats exactly what im thinking lee.
Shop rent = approx 1200
shop rates = approx 500
Franchise costs = 400
Thats the rough monthly figures before trading, obviously stock etc will vary month by month.
Youd have to buy your initial stock i'm guessing?
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fazza
Member
Registered: 7th Feb 08
Location: Plymouth
User status: Offline
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if burgerking did big tasty i would be there!
for now though mcdonalds have the edge for me. only ever go there when the big tasty is on 
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fazza
Member
Registered: 7th Feb 08
Location: Plymouth
User status: Offline
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They would set me up a credit limit gary to which I would use to buy stock yes, and that would be paid on a 30day account with them
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spencer88
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Registered: 6th Oct 08
Location: cornwall
User status: Offline
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quote:
Originally posted by fazza
thats exactly what im thinking lee.
Shop rent = approx 1200
shop rates = approx 500
Franchise costs = 400
Thats the rough monthly figures before trading, obviously stock etc will vary month by month.
+Staff Wages.
+Bills- Elec, gas etc.
+Accountant if needed
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Cavey
Member
Registered: 11th Nov 02
Location: Derby
User status: Offline
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Can't help with mobile phone situations, but the McD's in Crewe were franchised to one guy, he was supposedly making 6 figures a year from them.
This was in the day of unhealthy food being ok for people before the government decided to fuck everything up though
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Colin
Member
Registered: 4th Apr 02
User status: Offline
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There's a Facebook page with thousands of likes begging for a kfc to open in my town. Closest ones a 25 min drive. I know it would be a hit!!
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fazza
Member
Registered: 7th Feb 08
Location: Plymouth
User status: Offline
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wages would be my own. I would do my own books/vat returns etc.
Bills will be approx £150 a month for phone, water and electric(only a small shop) and I would not employ anyone to begin with
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fazza
Member
Registered: 7th Feb 08
Location: Plymouth
User status: Offline
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Spencer you must have heard of Go mobile/JAG
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Twiggy
Member
Registered: 15th Oct 04
User status: Offline
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I love BK, There is none locally to anyone though 
They need to get onto the retail parks like maccys have done.
[Edited on 20-07-2011 by Twiggy]
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LeeM
Member
Registered: 26th Sep 05
Location: Liverpool
User status: Offline
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im off the maccies
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Colin
Member
Registered: 4th Apr 02
User status: Offline
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I don't think I've ever set foot in a mobile shop that's not been owned by a service provider. Are they really going to turn profit? Think you need to question the reason there giving the franchises away else threatening closure, it's obvious to me the reasons probably because it's dead in the water. I'd imagine the majority of phone sales are online nowadays, I've bought my last 3 online anyway. The local highstreets fucked, do you really want to buy into that?
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