The following article excerpt was featured in the July 1999 issue of Successful Franchising.

What to Expect as a New Franchisee

        Can anything prepare you for running your own business? Despite the very best efforts of the franchiser – all the training, onsite visits, and pouring through company manuals – no one can ever anticipate all of the challenges incurred when opening a new business. Franchisers have a proven business system, not a crystal ball. But while they may not foresee every possible mishap, good franchisers will undoubtedly offer support and, most likely, have a solution.
        In 1978, Randy and Wanda McGarity opened an independent carpet and upholstery cleaning service out of a bedroom in their home in Spartanburg, South Carolina. A two-man operation, Randy’s Carpet Care soon generated a sizable client base with a primary focus on commercial properties.
        The McGaritys worked hard to make the business a success. Randy devoted long hours, traveling all over the county to provide service to his customers. When in the office, he dealt with administrative duties and developed marketing materials to expand the company’s client base. Despite the number of hours the McGaritys worked, they could not attract the volume of business necessary to significantly increase revenues.
        Because the McGaritys were constantly looking for ways to expand their business, they began to recognize certain limitations to being independent. How would they market and manage the business long term? How could they educate themselves about the latest technology and training within the industry? What new services should they offer in the future? How could they expand their service area into markets outside of Spartanburg? "We needed a means of expansion without losing control of our future," says Randy. "We needed support."
        In 1994, after 16 years as independents, the McGaritys began to investigate obtaining a franchise license from SERVPRO Industries, Inc. SERVPRO offered franchisee training and support that interested the McGaritys and was willing to work hand-in-hand with them to convert the existing business into a franchise. The McGaritys learned that as a SERVPRO franchisee, they would gain access to vast training and marketing resources from corporate headquarters as well as working relationships with franchises all over the country. After much consideration and research, the McGaritys decided to convert their business to a SERVPRO franchise.
        The McGaritys gained access to an in-depth business plan allowing them to operate a better cleaning and restoration firm. The plan offered staffing, cash flow, and operations procedures plus provided strategic marketing guidelines and demonstrated how to entice new business from existing clients. Most importantly, the plan offered financial management advice that helped the company grow at a profitable, but controlled pace.
        Five years later, the results of the conversion are astounding. During their first six months as SERVPRO franchisees, the McGaritys had increased the previous year’s revenues by 50 percent. After growing each year, revenues have soared to over $1 million dollars in 1998. The McGaritys now own five SERVPRO licenses and have plans to hire more employees and move into a larger facility in Spartanburg. "It was definitely the right decision," says Randy.
        "Not only have our revenues increased dramatically, but through SERVPRO Corporate and fellow franchise support, our future is more secure."

Reprinted with permission from Successful Franchising, July 1999