Business Services Industry
Do you want to know a secret?
Entrepreneur, Jan, 1999 by Chieh Chieng
Listen up as top franchisees reveal how they got to where you want to be.
Too often, the idea to start a business remains just that: an idea. Unless the right ingredients are in place, the important transition from idea to reality rarely occurs. But just what are those ingredients, those precise elements that can transform the average Joe into the next great franchisee?
We decided the best way to find out was to go straight to the source - successful franchise owners. We asked them to reveal their secrets, tell us their tales and give us some advice along the way. Read on, and learn what it takes to turn a franchise dream into the real thing.
Names and ages: John Trometer, 29; John Gosik, 52; Judy Gosik, 57; and Gus Trometer, 31
Franchise name and description: My Favorite Muffin & Bagel Cafe offers gourmet muffins, bagels, coffee and sandwiches.
Franchise location: Kokomo, Indiana (with another store in Indianapolis)
Opened: 1996
1999 sales projections: $1 million
Starting slow: Every aspect of Gus Trometer's business has involved his family - mother, Judy, stepfather, John and brother, John. But getting started was a slow process: It took a year for the family to even open the doors of its new franchise. "We dragged our feet on a lot of things because we wanted to make sure we were doing the right thing," says Gus. The family read books on franchising and did a lot of research. "We ate a lot of bagels," laughs Gus. They also spent a lot of time reviewing the building plans and adjusting the architect's work to get the restaurant just right. "It put us back timewise," says Gus, "but I think in the end, we knew more about what we were doing before we opened than many other franchisees in this company."
Taste of success: For Gus and his family, the time spent researching everything from bagels to the retail food market paid off: They had one of the most profitable openings of any franchisee in the system and are currently looking to open additional locations.
In the trenches: "The secret to success is being a hands-on operator rather than being an absentee owner," says Gus. "The benefits are worth it."
Names and ages: Joel Schlachter, 57; Anita Schlachter, 54; and David Schlachter, 28
Franchise name and description: The Schlachters' Maaco Auto Painting & Bodyworks franchise provides exterior work on older and damaged cars. The partners have also worked on cars for the local fire and police departments, as well as supplied cars for the movies FX and Batman.
Franchise location: Nutley, New Jersey
Opened: 1984
1999 sales projections: $1.2 million
Driving force: "We've always loved cars," says Anita about the motivation behind the Schlachters' entry into the automotive restoration field. "We've always gone to antique car shows."
When Joel's handbag manufacturing business began to fail, the husband and wife searched for other business opportunities. After speaking with several Maaco owners from surrounding areas, the Schlachters decided it was the right franchise for them.
A family affair: David, the couple's son, grew up in the business and loved cars. After graduating from college, David decided to join his parents in the family business.
Driven to the top: Success has come consistently for the Schlachters, who have grossed $1 million every year they've been in business. "If you listen to what your franchisor says and follow its policies and procedures, you'll be successful," says Anita. "Those who think they know more shouldn't go into franchising."
Names: Judy and David Greenwood
Franchise name and description: Taco John's is a Mexican fastfood restaurant.
Franchise location: Havre, Montana (with 10 additional restaurants in Montana and North Dakota)
Opened: 1972
1999 sales projections: An increase of 5 percent over 1998 sales
Hunger pangs: After moving from Albuquerque, New Mexico, to Havre, the husband and wife missed the Mexican food they'd enjoyed in New Mexico. Noting a scarcity of good Mexican restaurants in the area, the Greenwoods decided to open a Taco John's franchise to serve the food they missed so much.
Ingredients for success: Judy says creating a good relationship with the franchisor and a balanced franchise contract that protects both the franchisor and franchisee is the best way to cook up a strong business. "We've been blessed with good managers," she adds. "They've allowed us to expand our stores."
Name and age: Taylor Bond, 37
Franchise name and description: Computer Renaissance is a full-service retailer that also builds, repairs and upgrades computers.
Franchise location: Ann Arbor, Michigan
Opened: 1994
1999 sales projections: $4 million plus
Bits and bytes: After working at Domino's Pizza headquarters for eight years, most recently as the national director of market research, Bond felt the entrepreneurial urge. He financed his purchase of a Computer Renaissance franchise with an SBA loan that was eased by his familiarity with the franchise system. In addition to doing extensive market research, Bond made sure he was overcapitalized before buying the franchise.
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