Childrens product and services August 2017franchising usa 5#10 2

FranchisingFeature children’s products

august 2017

Tutoring Franchise

Huntington Celebrates 40 years

of Excellent Results

4 Red Flags

That Every Aspiring Franchisee Should Look Out For

Children’s Franchising: Parents Are Paying!

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what’s new!

School of Rock Names Rob Price as CEO School of Rock, a leader in performance-based music education, announced today the appointment of Rob Price as President and Chief Executive Officer. Price will work closely with School of Rock’s senior leadership team to enhance the student experience at each school, expand the global footprint, and establish creative partnerships to maximize the brand’s reach.

David Zucker, Chairman of the Board at School of Rock, said, “Rob has extensive experience helping strong brands fully reach their potential. He has an impressive track record of engaging team members, operators, and partners in support of rapid business growth.”

“As a parent, I’ve seen firsthand how music can shape lives,” said Price. “I look forward to working closely with School

of Rock’s talented franchisees, parents, students, corporate team members, and industry partners to reach many thousands more aspiring rock and rollers. School of Rock is unique, and I’m thrilled to be a part of its important mission.”

Since partnering with Sterling Partners in 2009, School of Rock has grown systemwide sales from $13M to over $65M, student count from 4,000 to over 25,000, and school count from 52 to over 190 in nine countries.

Rick Elfman, Managing Director at Sterling Partners, said, “As we got to know Rob, it became clear his business skills, leadership style, and raw passion for music – he was in a rock and roll band with his wife and three kids – would be a great addition to School of Rock.” http://franchising.schoolofrock.com

Top In-Home Private Tutoring Franchise Surging Through First Half of 2017 The rise in education standards across the globe and everchanging tutoring segment that is expected to surpass $102 Billion by 2018 are driving worldwide growth for prominent brands including Tutor Doctor, the leader in one-on-one inhome private tutoring.

Serving more than 270,000 students in 16 different countries, the private tutoring franchise surpassed the 500-territory plateau at the end of 2016 and is projected to finish 2017 near 600. Through the first two quarters of the year, Tutor Doctor has opened 35 new franchised territories with another 65 on the way to close 2017.

“Our growth is a direct result of worldwide demand for academic success, quality tutors within our system and a terrific network of franchisees who are given the chance to maximize their reach in multiple cities,” said Frank Milner, President of Tutor Doctor. “By purchasing territories, our franchisees are given the freedom to build a strong base of students in many towns in a specific region.

They are able to do so and also keep them coming back thanks to our outstanding educators - now at more than 17,000 - and the evolving challenges of school systems.”

Tutor Doctor now has its sites on continued expansion throughout

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the United States, including major metropolitan cities such as Chicago and Philadelphia, as well as the states of Florida, California, Oregon and Washington. In addition, the company is expecting further growth in the United Kingdom, Australia and Latin America.

Tutor Doctor recently announced a $5,000 discount off its regional franchise fees for veterans and is actively recruiting people to help the company provide academic services to students all over the world.

For more information on Tutor Doctor and its franchise opportunity, visit www.tutordoctoropportunity.com.

Leading Childcare Franchise Discovery Point Unveils “Art of Happy” Campaign Company’s New Brand Campaign Underscores a Unique Focus on Learning and Exploration

recognize that there is an art to making kids happy, and all of our locally-owned centers are dedicated to meeting children where they are to leave both them and their families smiling.”

Discovery Point, a leader in the childcare industry with nearly 50 centers in the Southeast, announces “Art of Happy,” an ambitious new brand direction that highlights the company’s industry-leading programs and deep commitment to children.

“We’re dedicated to giving every child we care for a chance to learn and grow, and the Art of Happy campaign captures that commitment – it and appeals to parents and franchise owners alike,” Clark adds.

The new branding will also appear in promotional materials for Diane’s Devotion, a philanthropic program named for Discovery Point cofounder Diane Clark. Each year, Discovery Point centers partner with local charities in honor of Clark, and each center will encourage its community to celebrate the “Art of Caring.” www.discoverypoint.com

Designed to frame happiness as an art, Discovery Point’s new campaign underlines the importance of tailoring childcare to individual needs of kids.

It also emphasizes learning, play and exploration, as well as the ways these activities shape children’s well-being.

“There’s no one-size-fits-all approach for children,” explains Cliff Clark, president and CEO of Discovery Point.

“That’s why we chose this theme for our new campaign. At Discovery Point, we

Biographer Shapes Pioneer FRANCHISOR’S Story into Children’s Book Martha Matilda Harper, an entrepreneur who created modern retail franchising, is the central character in Jane Plitt’s new “Martha’s Magical Hair,” a children’s picture book, designed to inspire children to think about going into franchising.

The book features an interactive approach to introduce franchising as a means to empower people.

“Harper transformed her life and the lives of other poor women by using business for social change,” explained Plitt, an entrepreneur herself and author of Harper’s biography, “Martha Matilda Harper and the American Dream.”

According to Plitt, in 1888 Harper

launched her healthy hair and skin salon for women (and later men) in Rochester,

Books may be purchased at www.marthamatildaharper.org or on Amazon for $8.95

N.Y., and promoted the business with

her ravishing floor-length hair. She also

designed the first reclining shampoo chair.

Key leaders applaud “Martha’s Magical

Hair.” Franchise attorney Steve Feirman of Nixon Peabody in the District of Columbia said the book “deserves a spot on the bookshelf next to Goodnight Moon.”

Debra Jacobs of the Patterson Foundation said, “Any parent interested in instilling the power of possibilities … will be turning the pages.”

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H unting ton Lea r ning C enter

Tutoring Franchise Celebrates 40 years of Excellent Results Now in its 40th year, Huntington Learning Center has a lot to celebrate. The top tutoring and test prep franchise, which offers individualized instruction for children from kindergarten to grade 12 on basic skills and provides test preparation for the standardized SAT and ACT tests, is continuing to thrive.

Not only does the average Huntington franchisee earn over 63% more than its closest competitor, Huntington also climbed to #63 on Entrepreneur’s Franchise 500™ this year (it was #198 last year). On top of that, franchisee satisfaction with Huntington appears to be high, as Franchise Business Review named Huntington a top 50 franchise based on franchisee satisfaction and a top 50 franchise for women.

However, all the revenue and awards come second to the real measure of success for the company and that is watching students who are struggling in school suddenly rise to the top of their class because of the help they receive from Huntington Learning Center.

Eileen and Ray Huntington started Huntington Learning Center in 1977 when tutoring centers did not yet exist. Prior to starting the business, Eileen Huntington was teaching at the high school level and she regularly saw students who couldn’t keep up in school. Ray, who has a PhD in statistics, was employed in the business sector as a business analyst for A T &T. The couple realized they were in the perfect position to help these kids, as well as children and families all across the country.

“Our mission is to give every student the best education possible,” says Eileen Huntington, co-founder and CEO of the family-owned and operated business. “We change kids’ lives every day. It’s extremely rewarding. When I see the excitement on the faces of our students when they realize they can do it – there is no greater reward.”

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The Huntington Approach Using Huntington’s 4-step diagnostic prescriptive approach, the learning center analyzes a student based on in-house testing and then uses its proprietary software to develop an individualized learning program for the child so they can be successful in school.

“That’s one of the reasons for our success,” Huntington explained. “As a franchisee, you do not need to be an educator to run this business.”

Once the learning center has the child’s diagnostic test results, the software automatically creates the learning program for the child from over 700 pieces of curriculum it has developed.

The documented student results have been profound. On average, Huntington students increase over a grade levels each in reading and math over a three-month period.

“We don’t just tutor for tomorrow’s test,” Huntington explains. “We give students the skills, motivation and confidence to succeed.”

College test prep results are equally impressive. Average SAT scores increase 200 points after a two-and-a-half month program, while ACT scores increase an average of four points.

“College admission today is extremely competitive,” Huntington noted. “You wouldn’t have your child go out and start driving a car without driving instruction.

Why have your child sit down and take these tests without preparation?”

Students who perform their test preparation with Huntington Learning Center also receive millions of dollars in scholarships, which is another source of pride for the company.

franchisees who want to be involved in their community, and want to be active participants in their franchise, Darlene Viering, vice-president of sales noted.

Potential franchisees have to hold at least a Bachelor’s Degree and have to be comfortable going into schools and talking to educators and also have to be comfortable marketing the business.

They also need to have a passion for kids and education, although no previous education experience is required. “Our franchisees want a business that is both personally and financially rewarding,” Viering said. “Many of them tell us that joining Huntington was the best decision they ever made.”

Much like it does for students, Huntington Learning Center focuses on education for its franchisees, starting with four weeks of initial training at the company’s corporate headquarters in New York. They will also spend time working in one of the company’s 35 corporate-run learning centers in the greater New York area. The franchise also provides access to its online training system, which is available at all times, plus they provide training in the field multiple times per year.

But training is only one part of a multipronged support system that helps ensure franchisee success. A national call center answers all incoming calls from parents making their initial inquiries and funnels those calls to the appropriate franchisee. To help franchisees with the initial meeting with parents, the company provides training to them in the form of a team of conference coaches that coach them in how to present Huntington Learning Center to parents.

Franchisees also have constant access to the company’s franchise business consultant team, who visit the franchisees frequently.

for opening a Huntington Learning Center is from $110,000 to $225,000, Viering noted, this gives franchisees the opportunity to borrow a large portion of the initial investment if required.

On top of all that, the franchise also provides customized marketing materials.

“Our franchisees don’t have to create anything from scratch,” Viering said. “The proven system is in place – they just need to follow it to be successful.”

When helping a franchisee open a learning center, the company focuses on controlling the variable costs to keep them as low as possible. This means a franchisee doesn’t need that many new students per month to remain profitable.

One of the most important elements of support for franchisees is Huntington Learning Center’s seasoned management team, who have an average tenure of 15 years.

Future Outlook With 40 years under its belt, Huntington is firmly committed to continued growth.

While the franchise already has a large footprint in the country, it has spots available nationwide.

Huntington also prides itself on being a family-owned and operated business.

“Now, the second generation is in the business,” co-founder Eileen Huntington said during a recent interview. “Our daughter Anne is very involved and committed to carrying on our mission.

Many of our franchisees run their franchises as a family business and they’re being passed down to the second generation. When people buy a franchise, they bring their adult children into the business. We’re very excited about that.”

The New Jersey-based company started franchising in 1985 to take the concept to the rest of the country and currently has 300 locations in 39 states nationwide.

If a qualified franchisee needs help getting started, Huntington Learning Center also offers in-house financing for them. They can borrow up to $100,000 directly from the company.

With the next generation taking a leadership role, Huntington Learning Center will be around for a long time helping students prepare for college and get a boost to their education as well as helping the next generation of entrepreneurs realize their dream of business ownership.

Huntington Learning Center looks for

Considering the initial investment range

www.HuntingtonFranchise.com

Franchisee Fit and Franchisor Support

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children’s PRODUCTS FRANCHISING FEATURE

It would be a safe bet to argue that the biggest consumers are children.

Though they have no income, or financial security, they dominate buying power in the American economy.

Parents want the best for their children and children want everything. It all starts at the womb with pregnancy. There is now an entire market geared directly towards moms-to-be that generates enough profit on its own. Once the baby is born, they

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have so many gadgets and protocols that the market is swamped with baby specific products.

The overwhelming demand continues to grow as children get older, between video games and toys, it’s an ongoing industry that is always changing and profiting.

There are a variety of options for franchising if kid’s products is within your radar of interest. If you are young at heart or would like to work alongside children, this type of business might be your best bet.

Of course, children’s business is not limited to products but also extends to a breath of services that range from learning services to recreational options to daycare

supervision. The needs and desires of parents and children is exceptional hefty.

Products Toy Stores There is the obvious product that is associated with children and them alone: toys. However we live in a high passed industry with rapid technology that creates more toys and makes these toys more accessible. Child’s play is not limited to toys, but includes video games, ipods, apps and the list goes on as developments continue.

There is something to be said about running or owning a toy store; it’s a great passion to consider. Research the different

“For someone who is passionate and is a child at heart but also looking for an easy way to generate profit, a children’s service would be a great fit.”

options and local competitors. Some toy stores have high product range, while other specific in certain products. The more services and options available, the better.

Inquire whether or not a franchise offers marketing and what brand names they carry on site. The only downfall would be a heavy start up investment, because location and property would cost a pretty penny. While the beginning might pack a hefty punch, the profit is evident. Toy retail sales revenue in the US, generated over 20 billion dollars in 2016. Kids continue wanting toys, and parents keep buying them.

A current competitor with the toy market is thrift stores and online venues.

Children’s products are more accessible than ever, and parents are recognizing through time that some products are short lived. So before investing in a big ticket item, they will search the web for handme-down options. If it’s a field you are considering, look at thrift store chains and research the flea markets in the area.

do not tend to stray from their trusted and established name brand and name brand equipment is expensive, therefore generating profit.

There is no necessary training needed to franchise a sporting equipment business, but it would be great to have a passion for sports and fitness. Someone who coaches or follows sports might have more of a dedication to the field and enjoy the product.

Consider if the franchise has service options available and trade in options or if they have any affiliation to any professional teams. The more the merrier, making your franchise the one stop shop would be the best option in this type of

field. Kids might change preferences, but they must remain loyal to your location.

Services Learning Services With two working parents at the office all day, it’s a lot more difficult to help kids with all the homework they bring home. Learning services not only provide homework services but tutoring as well.

These services have almost become mandatory for a lot of children, and some parents utilize them as after school programs.

Sports Equipment Of course sports equipment is not exclusively for children, but they tend to dominate purchasing power. Kid’s grow and therefore they are constantly changing equipment. Again, more things are easily accessible and that includes sports.

The reason to consider a franchise could be narrowed down to one reason: name brands. In the athletic world, people

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is beneficial in that area. You need a lot of young families to get started, or consider setting up next to a school.

Working with and speaking with schools in the area to see if children are in need of extra learning facilities could help you get a feel for the necessity of your community.

There could be a few local competitors on a smaller scale, with at-home tutors or free programs offered at the school. It’s best to get inside the schools and see what is offered, before setting up shop.

Recreational

“Working with and speaking with schools in the area to see if children are in need of extra learning facilities could help you get a feel for the necessity of your community.”

With a better understanding of learning disabilities and the variety of approaches to learning, more and more children need access to learning services. Parents of course want what is best for their children

and will utilize any service available for their children’s education.

There are different types of learning franchises, one that mixes social programs or sports programs with homework completion or academic lessons. Some focuses on one subject, while others offer tutoring in a variety of subjects. Some learning services are specific to learning disabilities, while others offer programs for advanced students.

As someone interested in this type of franchise, there is a lot of research to consider beforehand. Again, the more programs and variety, the better, because it appeals to a larger customer base. But one of the most important factors to consider is credentials.

Does the center have a good reputation?

Are the people teaching the students qualified? Contact an owner of a franchise and ask them how it works within the community. You should consider the statistics of the location and if the market

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Kids obviously love to play, and the franchising world has taken that into consideration in many ways. Active play is not limited to sports; there are franchises with video game options, or trampoline and ball pits, or indoor parks and water resorts. If a kid has had an idea of fun, there is a franchise for it.

The great thing about recreational franchises, if you have a particular passion or if your children really enjoy an activity, you can turn that desire into a business and a profit. There are so many options to choose from, you can consider what best suits you and your family.

Researching what options have the best work life balance as well as reputation and credibility would be a great place to start your business plan. Also, really broaden the range of search because there is a plethora of options available.

The weather and location can also play a factor. If the area is usually located outside, it would have to be in warm climate and an indoor facility might get more profit in a rainy or cold territory.

Childhood products can be a very profitable and extremely fun business. For someone who is passionate and is a child at heart but also looking for an easy way to generate profit, a children’s service would be a great fit.

ABOUT THE AUTHOR: After receiving an English Degree, followed by a Journalism Diploma, Gina

Gill became a freelance journalist in 2008. She has

worked as a reporter and in communications, focusing on social media. She currently works as a community information officer with Epilepsy Society, while pursuing her writing career at the same time.

Click here to find out more...

FRANGUIDE.COM 703-424-2980 FIND YOUR FRANCHISE WITH FREE GUIDANCE FROM INDUSTRY EXPERTS

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Rick Bisio, A Franchise Coach

Thinking of Owning a Kid-Focused Products and Services Franchise?

Consider This…

One of the more popular franchise sectors aspiring owners have pursued recently are products and services for children. These include learning centers, after-school care and athletic and recreational camps.

These include popular brand names such as Soccer Shots, Little Gym, Primrose Academy and others. This is a growing industry with an established customer base that continues to increase each year.

The latest U.S. Census estimates more than 20 percent of the population (approximately 74 million) is under the age of 18. The number is projected to grow to over 80 million by 2030. People are now having children later in life, in their 30’s rather than their 20’s, which often means they are more financially stable and can spend a greater amount of money on their children’s development.

According to IBIS World, child education and developmental center franchises have grown by five percent over the last five years and total more than $3 billion annually. This can be a very profitable business investment for many franchise owners out there.

As a franchise coach, I talk to many people who are passionate about working with kids. They are interested in

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“If you want to be active in your own child’s schedule, then be careful about getting into a children’s service or educational business.” children’s products and services businesses because they have children and like working with them, therefore they want to be in a business that deals with children.

While I think that it is great to pursue your passion in life, passion should not be the primary reason to open franchise. This is one of the most frequent misconceptions I encounter when working with people looking at franchise opportunities, and it’s even more prevalent with those interested in children’s products and services businesses.

For example, if you own a children’s education franchise, you are not going to be teaching children. Your job as an owner will to be out in the community building relationships with individuals who can refer business to you or people who will directly engage in your service.

You will interview, hire and manage people to handle the responsibility of teaching. As a franchise owner, you will do things such as managing schedules and payrolls, motivating others and conducting team meetings. If you want to build a successful business, those are some of the things you need to do.

I absolutely understand the desire to work in an area you love and I encourage people to pursue jobs in that field. When it comes to franchise ownership, however, I make sure to explain that it’s going to take a strong business acumen and specific skills to succeed. Before discussing options, we thoroughly dissect the individual’s skill set and how their skills can translate into successful business ownership. Then, we try to find specific franchise businesses in any given field that have the best skill set match for that individual. Prospective business owners can predictably increase

their potential for success by making sure the business is a strong fit with their skills and lifestyle objectives.

Another thing I caution people to think about when pursuing franchise ownership options in the child products and services field is to consider the hours of operation and the impact it could have on their family’s schedule. Many of these businesses have hours that require owners to work on weekends and other times when kids are out of school. If you want to be active in your own child’s schedule, then be careful about getting into a children’s service or educational business. Always be aware that it is a natural conflict that needs to be addressed when operating a business such as this while also focusing on your child’s activities.

author of The Educated Franchisee.

Bisio is a leading franchise coach with FranChoice, the creator of the FDD Exchange and the Franchise Glossary and the co-host of Rick Bisio’s Franchise Focus. Since becoming a franchise coach in 2002, Bisio has assisted thousands of aspiring entrepreneurs nationwide explore the dream of business ownership. Prior to joining FranChoice, he was the director of international development at AFC Enterprises, the parent company of Popeye’s Chicken, Church’s Chicken, Seattle’s Best Coffee and Cinnabon, establishing locations in more than 30 countries. educatedfranchisee.com

Children’s products and service franchises are a great opportunity for potential business owners. The initial investment costs can be relatively inexpensive and the moments/successes you enjoy as an owner can be a particularly enjoyable and fulfilling experience. It is also a growing business with increasing demand for their services. There are several important factors potential franchisees must consider, however, before determining if this is the right path for them. The children’s products and services industry might be a great choice for if you do the proper research and have the necessary skill set.

Rick Bisio recently published the third edition of his Amazon-bestselling

Rick Bisio

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Darlene Viering, Vice President of Sales, Huntington Learning Center

What to Consider

When Investing in a Tutoring and Test Prep Franchise Franchising USA

A tutoring and test prep franchise can be a great investment. It’s a $4.3 billion industry and is expected to reach $5.4 billion by 2019. And students in the United States are lagging behind many other countries.

According to OECD’s PISA (Programme for International Student Assessment), the United States ranks 26th in math, 21st in science and 17th in reading. At the same time, the college entrance process is getting increasingly competitive.

According to the College Board, only 43% of SAT takers in 2014 met their College and Career Readiness Benchmark.

While investing in any children’s educational franchise can be extremely

rewarding both personally and professionally, it does require a significant investment of time and money. Before making that leap, here are some of the questions you need to ask yourself: • Do you need to be an educator? If you are going to be spending your time helping struggling students succeed and helping competitive students achieve even more, you certainly should have an interest in education. It’s important to note that many children’s educational franchises do not require previous educational experience. If you choose one with a proven curriculum and system in place, you do not have to be an educator to be successful. You will need to hire teachers/tutors who are willing to follow the system. Be sure to choose a brand with a history of keeping up to date with

changes and developments in education, such as No Child Left Behind and Common Core Standards.

• Has the system been vetted? Look for a proven system with data on measurable results. While a new franchise concept may be tempting, you can minimize your risk by joining a proven system that has results that you can share with school personnel to give them the confidence to refer students to your program, and to parents to give them the confidence to invest in their children’s’ futures and sign their children up.

• Will I be able to follow the system? If you are the type of person who wants to strike out and invent something completely new,

franchising may not be for you. Yes, you need to be motivated and have the initiative in order to succeed, but the risk is minimized when you join a proven system and execute it flawlessly.

• Do you like working with children? Of course, children can be challenging at times. But if you do not truly enjoy working with children and seeing them grow personally and academically, look for a different opportunity.

• Are you currently active in your community? A key to success in a children’s educational franchise is being involved in the community. This means participating in local events and joining the Chamber of Commerce. It means visiting the schools and partnering with them.

• Are you strictly a 9-5’er?

Your franchise must be open a good number of hours when school is not. Particularly in the first 1-2 years of starting up a new franchise, you will want to be present to develop relationships with the parents and children, to train and oversee your teachers and administrators and to ensure that standards are being met.

• Does the franchise leverage and integrate current technology?

Advances in technology are a part of our everyday lives and they should be a part of the tutoring and test prep franchise you are considering. That does mean that the franchise needs to lose the personal one-to-one touch that can make a huge difference in a student’s life. But technology needs to be an integral part of delivering student outcomes.

• What kind of training is offered? You want to find a franchisor that offers training both when you’re first opening your franchise and on an ongoing basis for the life of your franchise. You also want there to be an opportunity to keep you well-trained as well as your staff.

• Does the franchise have extensive operational and marketing support? A key

Darlene Viering

advantage of owning a franchise versus striking out into uncharted territory is the support system that’s in place, especially in operations and marketing.

There should be systems in place for running your center on a day-to-day basis. In the marketing area, look for advertising and communication templates already developed that you can simply personalize to your market.

Is there a website? Is there a call center?

There should be a calendar of activities that includes critical action dates. The time you will save by not having to create these from scratch could make the difference between success and failure.

Taking a hard look at your skill set and what you enjoy doing, as well as asking the right questions of the franchisor and other franchisees of the business you are considering, will help you make a decision that’s truly right for you.

Darlene Viering is the Vice President of Sales for Huntington Learning Center, the #1 revenue-producing tutoring and test prep franchise for the K-12 market. There she leads franchise development as well as Huntington’s national call center. Founded in 1977, Huntington Learning Center’s mission is to give every student the best education possible. The company prides itself on personalized attention and proven student results which leads to franchisee profitability. www.HuntingtonFranchise.com

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Christopher Conner, President, Franchise Marketing Systems

Children’s Franchising:

Parents Are Paying!

I have kids. My daughter is four years old and she has me completely wrapped around her finger. When she asks me to buy something and looks at me a certain way, I typically pay the bill happily.

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This dynamic could be part of the trouble we have with the most recent generations work ethic and other concerns, but regardless this translates to good business for people selling just about anything to kids and families.

Children’s Franchises have been part of the mainstream franchise community for the past decade. The majority of the market was made up of product-based businesses which sold items to the public and did so from a retail location. As the market has evolved, so too have children’s franchises offering a wider range of

services and products and through a

myriad of different types of business models.

What is fun about the children’s franchise market segment is that the category tends

to be quick to move towards new consumer trends and industry opportunities.

Kids can be easily swayed with good

marketing and advertising and parents dollars are soon to follow. In addition, when advertising convinces parents

that something might be good for their children, spending is soon to follow.

“Spending on children tends to be an economyresistent market as parents will cut spending on their kids only when absolutely necessary.”

When the kids market in franchising first started to gain market traction, retail was the primary focus. Brands such as USA Baby and Children’s Orchard hit the market in the 70’s and 80’s along with a wide range of other brands in the retail segment. Through the 80’s, 90’s and early 2000’s, more and more children’s retail franchises hit the market and had success scaling their brand into new areas. Today, the children’s segment of franchising is dominated by education, development and entertainment concepts. Entertainment franchises include the trampoline

franchise market, kids parties and other service models with a focus on providing environments for children and families to have fun.

What might be incredible to some is how much money a typical family might spend on a child’s birthday party or special event; in some markets it isn’t uncommon to see birthdays where parents spend $1,000 to $2,000 on a party. No segment exhibits this characteristic more than the incredible trampoline franchise segment. The market was started by Sky Zone initially and today newer trampoline franchise brands have captured significant growth such as Launch Trampoline and Big Air who have models that produce average revenues per unit in excess of $2 Million to $3 Million.

The parks are big, elaborate and offer an amazing experience to the families that visit, it’s no wonder people have been excited to invest in this market segment.

Current market research indicates there are 450 current trampoline parks in the U.S. with an additional 500 to be opened in the coming five years.

The largest category of growth in children’s franchising is the education and development market. This market was originally headlined by large tutoring franchise brands such as Huntington and Sylvan. Over time, the market transitioned more to modern education practices with franchises in Montessori, early childhood development and specialized education utilizing STEM. Brands such as Primrose, Mathnasium and Kumon developed education and development models that were effective and resulted in enormous franchise growth globally.

Today, the movement for a mobile, workshop based model has become a significant portion of the children’s franchise market with brands like Bricks 4 Kidz, Tutor Doctor and Mad Science Group leading the way. New brands such as Montessori League Academy and Kids Learning Tech are examples of the countless new franchise innovations which deliver specialized childhood development programs through franchising. Ultimately, in today’s ever more competitive landscape

Chris Conner

for education and the fight to get into the top colleges and universities, parents are investing in their children’s education from the age of 3 or 4 on. This willingness to spend on children’s development early has helped support the growth and expansion in this category and doesn’t look to be slowing down any time soon.

Spending on children tends to be an economy-resistent market as parents will cut spending on their kids only when absolutely necessary. Certainly the willingness to spend on both entertainment and education for children increases rapidly when the economy is performing well, making the children’s franchise segment exceedingly attractive to investors. If you are like me with your own children, and spend at a moment’s notice on your children’s behalf you can understand why businesses with the right products or services enjoy a virtually endless market opportunity.

Christopher Conner is the President of Franchise Marketing Systems and has spent the last decade in the franchise industry working with several hundred different franchise systems in management, franchise sales and franchise development work.

His experience ranges across all fields of franchise expertise with a focus in franchise marketing and franchise sales but includes work in franchise strategic planning, franchise research and franchise operations consulting. www.franchisemarketingsystems.com

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CH I L DREN’S PRO DUCTS fr anchising fe at u r e

Marc Collopy, Co-founder & Executive Vice President of Sales, Rockin’ Jump

4 Red Flags That Every Aspiring Franchisee Should Look Out For “Am I making the right choice?” We’ve all reflected on this question at some point in our lives, but for prospective franchisees and small business owners, the stakes are much higher.

After all, between 2006 and 2010, about 20 percent of franchises failed.

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Everyone is afraid of the unknown to some extent, but business owners face an entirely different set of anxieties. No matter how well things may be going, it’s in every business owner’s nature to worry about the “what if” scenarios. What if the market crashes and your company can’t survive?

What if a new competitor lures away your customers? What if new regulations hinder your ability to do business?

Even when you’ve done your research and it looks like a good plan, you can’t help but worry whether you’re making a mistake or missing a red flag. Some red flags, after all, are right in front of you, while others are recognizable only in the rear view mirror. So before signing on the dotted line, really examine the deal to ensure

you’re not driving right into the danger zone, and look out for these four red flags:

1

The franchise is pressuring you to close.

You know the feeling when a used car salesperson is pushing you to close the deal without giving you any time to think it over? You should never feel that way with your franchise.

Franchises that push their franchisees to close deals immediately are usually only looking for quick profits from franchise fees — they don’t have a franchisee’s best interests in mind. They’re not interested in

“If the franchise’s team members aren’t willing to help you, it either means they’re inexperienced or they just don’t care enough about their franchisees — both of which are red flags.” and are willing to help. From financing and choosing a location to marketing and hiring, your franchise should offer some form of support to help you learn and grow — after all, the franchise succeeds when you do.

If your franchise leaves you high and dry and expects you to figure everything out on your own, that’s a bad sign. If the franchise’s team members aren’t willing to help you, it either means they’re inexperienced or they just don’t care enough about their franchisees — both of which are red flags.

Always ask as many questions as you can before closing the deal so you get a good idea of how you’ll be treated once you open the store. Good franchises will be able to provide plenty of information about fees, support systems, regulations, and requirements to put your mind at ease.

3 growing with you over the long run, and they typically don’t vet their franchisees well, either. This amounts to a recipe for disaster, so if your gut is telling you something is off, it probably is.

If you’re unsure whether you’re being pressured to close (or if it’s just your nerves talking), try extending your purchase into the future. If the corporate team gets angry and continues to push you to close as soon as possible, walk away from the deal.

2

You don’t get any support.

One of the greatest advantages of opening a franchise is that you have a support system of experts who’ve done it before

You’ve heard bad things about the franchise.

It’s always important to do your research before opening a franchise. Also, talking to other franchisees and reading online reviews allow you to glean insights the company won’t share with you.

Most franchisees are happy to talk about their experiences, and they’ll tell you whether there’s a support system, how transparent and communicative the franchise is with franchisees, whether the customers are loyal to the brand, etc.

Great corporate teams will sometimes even provide contact information for other franchisees and encourage you to speak with them. You can also browse Facebook, Yelp, and other social media sites to see whether the majority of the reviews are positive or negative. While there will

Marc Collopy

always be negative reviews from a few disgruntled customers, if the majority of them seem unhappy with the brand, that’s not a good sign.

4

Similar franchises have failed.

Sometimes, a certain type of company just doesn’t do well in a specific area. Occasionally, that’s due to mismanagement, but if you see a slew of failed businesses similar to the one you’re planning on launching, consider it a possible red flag.

Success can also be dangerous, though. If a powerful competitor is thriving in your area, try to avoid setting up shop too close.

It’s not always a good idea to keep your enemies closer.

As with any business venture, starting a franchise can be risky, so it’s completely normal for you to worry about whether you’re making the right decision. While you never truly know a business’s future, doing your research and understanding what you’re getting into will help your dream franchise beat the odds.

Marc Collopy is co-founder and executive vice president of sales for the Rockin’ Jump trampoline park franchise, a company dedicated to combining exercise and fun in a safe, clean, family-friendly environment.

Rockin’ Jump currently has 35 locations nationwide, with an additional 80 under construction. rockinjump.com/trampoline-parkfranchise

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George Knauf, Senior Franchise Business Advisor, FranChoice

In Pursuit Of Success As I get the opportunity to visit with owners of franchise and independent businesses across the country I see a range of success and different levels of satisfaction with their chosen endeavor. All of those owners started with the same desire to succeed, provide for their family and have an income they control.

Why the different outcomes then?

Often it comes down to their understanding of themselves and the opportunities in front of them as well as how they build a model for their portfolio growth.

Keep in mind that the franchise development people that you will talk to are looking to sell a unit, territory or multiples of those to skilled people that can make them successful. You won’t likely find them talking about your portfolio and how you might see growing it, that is not their job. Their focus is on unit success, not portfolio success.

The first flaw in most plans is that the candidate is working to replace their corporate role with a business that feels like a job and has one location or limited trade area. For example, when they are looking into restaurant franchises they may be looking at a single location. That makes your daily role more of a restaurant manager, not a CEO, and few of those candidates would submit a resume to be a manager of a local fast food restaurant.

Businesses don’t have to feel like your past jobs.

As a franchise owner you have a few superpowers by virtue of your new ecosystem.

• You can leverage money to grow a larger operation faster • You can leverage talent but hiring people that have skills you don’t • You can leverage time by building a team that does the work that makes you money • You can leverage relationships (like

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“When searching for opportunities it is critical that candidates dismiss ego and preconceptions so they can open up their field of view to consider opportunities in full and with their long term portfolio growth goals in mind.” that with a franchisor) to give you advantages

grow your business and, eventually, your portfolio.

• You can leverage buying power and supply chains to lower costs below your competition

If I was to give the most basic of portfolio building success parameters, it would be these:

• You can leverage a brand so that customers know what you do and how well you do it

• Focus less on how you like the business yourself as a consumer and focus on demand and stability. Un-sexy is better than high-sizzle. Nobody checks the stock market before calling a plumber or fixing their car and a lot of people have cars, plumbing, etc., etc.

• You can leverage National employee programs to get the best employees With all these superpowers why would you leave your corporate job to become a single unit restaurant manager?

That is not to say restaurants are bad opportunities, just that starting with a vision of one unit may not fit you. I tell most candidates that wish to venture down the path of restaurant ownership that their goal should be a minimum of 5 units.

When searching for opportunities it is critical that candidates dismiss ego and preconceptions so they can open up their field of view to consider opportunities in full and with their long term portfolio growth goals in mind. If your goal will require 7 units of a particular restaurant, then what is the cost in money and time to hit that goal. Is there, then, an opportunity with another franchise company in a different industry that would give you a better use of money and time?

Also keep in mind that as you grow the systems must allow you to move from running the first unit to overseeing multiple units and eventually stepping into a CEO type role. For some owners that transition could take years, for others it happens in months. While you may find working in your business exciting at first, personally managing the daily operations limits your businesses growth as you only have so many hours in a day. You will have to leverage time and resources to

• Territory based is often better than brick and mortar. Brick and mortar has huge expenses before you open, you can’t move it and it takes a long time to open and make money. Territory based businesses have protected customers, not just lines on a map.

• Area Developer, Area Representative and Master franchise opportunities can be very desirable, especially if in a nonretail service business.

• Businesses that can quickly become semi-absentee are preferred over full time roles, gives you the freedom to grow portfolio.

• The business has to fit your model (contact me, I’ll explain how to build your model)

George Knauf

our spouse, family, community, boss and much more. We just don’t call it selling.

The vision of the old school used car salesman is from the past. Sales is now a component of customer service.

• Be involved in your community • Evangelize your business.

• Have the goal of making every customer happy. The client is not always right, but the client is always the client.

• Enjoy what you do with wild abandon!

Nobody can downsize you!

• Spend more time with family, friends and doing the non-work things you love.

What better reason to be successful?

Assembling a portfolio is complex, get assistance from someone that knows how to do it well. We work with executives and investment funds and the complexity of their needs can be daunting, but for years we have successfully built home run portfolios and you can too.

What is your success story, let’s go find it!

• Market, A LOT!

George Knauf is a highly sought after, trusted advisor to many companies; Public, Independent and Franchised, of all sizes and in many markets. His 20 plus years of experience in both startup and mature business operations makes him uniquely qualified to advise individuals that have dreamed of going into business for themselves in order to gain more control, independence, time flexibility and to be able to earn in proportion to their real contribution.

Contact the Franchising USA Expert George’s Hotline 703-424-2980.

• Sell, always! We all sell every day, to

www.myperfectfranchise.com

• The franchisor can be emerging or seasoned, but they have to offer great training, support and franchisee satisfaction. Emerging brands have to be run by seasoned franchise pros.

• You have to follow the system, don’t offer suggested changes for the first year, do what they have proven then tell down the road them what you would do.

You bought it, use it!

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Duke Vukadinovic, FirstSiteGuide

Top 6 Traits

of a Properly Branded Small Business Website “By making your website mobile-friendly, you will provide mobile users with an impeccable user experience, which will help you improve your SEO ranking.”

This doesn’t mean that establishing brand awareness is difficult. Quite the contrary, it is very easy to build exposure. All you need to do is combine several essential

traits that every properly branded small

business website should have, so read on

to learn what they are and how great of an impact they can have on your business.

1

Visual Components: Your Logo, Layout and Colors

Duke Vukadinovic

In this day and age, when the entire world is connected online, not having a website for your small business is certainly not an option. However, creating a website is pretty easy, but it’s another thing altogether to brand your small business.

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It goes without saying that you will

certainly put your logo on your website.

After all, it is your brand’s identity and the icon that people recognize your business

by. However, you need to make sure that it

is placed on every page on your website, as it helps build brand awareness. Make sure that it links directly to your homepage, so

that your visitors can easily go back when browsing.

Your site’s layout and the colors you choose are just as important as your

logo. You should choose the colors that match your logo. The same goes for

your website’s layout – make sure it is

complementary to your logo. These visual

components will help you create a site that perfectly represents your brand.

2

Simple Navigation

If your website visitors cannot find what they are looking for in a matter of seconds, they will simply leave. Therefore, in order to create a seamless user experience for every visitor, you need to make sure that they can easily navigate their way through your site. Not only will simple navigation make it easier for your visitors to browse through your website, it will also make all the content easily digestible and not at all overwhelming.

Your website’s navigation bar should be clearly visible, and the search box should be placed at the top right of your every page. The bottom of your pages shouldn’t be any different, because people should be able to easily go to any other page without having to scroll all the way back to the top.

3

Mobile Responsiveness

Optimizing your website for mobile devices is a huge step towards attracting a higher number of customers, since a majority of people are using their smartphones and tablets to browse websites. By making your website mobilefriendly, you will provide mobile users

with an impeccable user experience, which will help you improve your SEO ranking.

4

The Story of Your Brand

Your brand’s story can help you create a strong connection with your target customers. It can show them that you are the right solution to their problems and make them choose you over your competition.

Introduce your website visitors to the faces behind your brand and let them get to know the real you. Show them exactly who you are and what makes your company different.

5

Social Media Integration

In the age of social media, it is paramount that you integrate social sharing buttons.

Social media are among the most important tools available for helping

you forge strong relationships with your customers. Not only can social media help you raise brand awareness and communicate more easily with your current and potential customers, but it can also help you drive a lot more traffic.

Integrating social media buttons enables your visitors to easily share your content, which additionally helps you with branding. What’s more, it enables your customers to become your brand ambassadors.

6

A Compelling Blog

website, make sure you create one as soon as possible. Update the content on a regular basis and make sure you provide real value. Your blog can help you establish yourself as an expert in your field and it can be one of the most effective tools for communicating with your customers, so you should definitely start using it to your advantage.

These traits of a properly branded small business website should always be in the forefront of your mind. Make sure you check out some useful resources to level up your webmaster skills, as they can help you step up your game.

Having a blog on your website will help you engage your visitors. If you provide them with relevant and compelling content, they will certainly want to come back for more.

Duke Vukadinovic works for FirstSiteGuide. He is passionate about the Internet world and can be of great to help web newbies build many successful blogs in various niches.

If you still don’t have a blog on your

FirstSiteGuide.com

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