Transcript The Industry's Grout & Tile Care Leader!

The Industry's Grout & Tile Care Leader!
The Benefits of Franchising
Franchises are proven turnkey business models with much lower unforeseen expenses
than independent operations. Re-inventing the wheel can be very costly!
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A proven business model and brand
Reduced unforeseen costs
Validated operational procedures
Established market presence and position
Tested marketing, advertising and promotions
Established suppliers with national collective buying power
Comprehensive training program
Quicker start-up to optimum revenues
Ongoing marketing and management assistance
Brand value and ability to sell business for top dollar
Method For Choosing a Franchise
Business professionals suggest that you consider several key factors when choosing
a franchise. Those key factors are:
• Overall demand for the product or service
• General industry segment stability and growth
• Franchisor’s experience in the industry
• Specific brand appeal and equity
• Brand strength within their niche
• Extent of direct competitive pressure
• Franchisor’s track record of success
Most important according to experts…
• Quality of the franchise training and support
• Your personal ability to operate the business
The Popularity of Tile & Stone
The Grout Doctor’s niche providing tile, grout and stone care by highly qualified
specialists is expected to stay in high demand. The Floor Covering Weekly 2010
annual statistical report states:
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Ceramic tile consumption totaled 1.85 billion square feet
Ceramic tile manufacturer sales totaled $1.85 billion
Residential replacement and repair tile end use began to trend up in 2008
Replacement and repair went from 29% in 2007 to 29.9% in 2008
Replacement and repair made up 30.2% of ceramic tile end use in 2009
This trend is expected to lead the tile industry’s growth in 2011
Ceramic tile remains the most important hard surface flooring material on both a dollar and
square foot basis with a 24% market share, second only to carpet
Per capita consumption of tile was 5.8 square-feet in 2009 in the USA. More mature markets such as Spain,
Italy, Brazil and China have 36.4, 26.0, 35.8 and 24.3 square feet per capita respectively. This indicates the
growth potential for ceramic tile in the USA can increase 3 to 7 times, leading the way for a very healthy
future for all the participants of the ceramic tile industry!
The Grout Doctor Knows Tile
With successful operations since 1992, The Grout Doctor® is the largest, longest
established and most experienced franchise organization dedicated to grout care.
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Country’s leading grout and tile maintenance provider
Network includes 73 franchises in 29 states
Unequaled system of network support
Reputation creates superior customer referral rates
No other company in the business has more rankings to date. Recent Grout Doctor rankings include:
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Franchise Business Review's Franchise 50 Satisfaction Award for 2010 , 2011 and 2012
Franchise Business Review’s Top Low Cost Franchise List for 2011 and 2012
Entrepreneur Magazine's Annual FRANCHISE 500 for 2010
Military Times Edge ranked “Best” for Veterans seeking a franchise for 2012
G.I. Job Magazine’s Military Friendly Franchise for 2010
World Franchising Network’s Top 50 Franchises for 2011
Easy to Execute Operational Model
The Grout Doctor® has an easy to execute business model that is “family friendly”
with no experience required. As a result, franchisees come from all ages, genders
and work experience because of plug and play features like:
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Low initial investment with flexible schedule
Fully integrated administrative and financial functions
Uncomplicated home-based business with no accounts receivables
Flexibility of a mobile service business
Employees optional
The Grout Doctor® system is designed to accommodate anyone looking for work-life balance. As a result…
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73% of all Grout Doctors are married
41% have families with children less than 18 years of age
39% of all Grout Doctors are husband and wife teams
16% have other family working in the business
Superior Hands On Training Program
Our extensive initial training includes "hands-on" service and estimate training both in
the field and in our specially designed Grout Doctor training center.
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Customer relations training
Estimation, measuring and restoration
Product and service information
Purchasing and troubleshooting
Sales and customer service
Local advertising and marketing training
Time and territory optimization software
General competition education
Applicable lien and contractor’s laws
Superior Hands On Training Program
The Grout Doctor® Training Center in La Fox, Illinois.
Superior Hands On Training Program
The Grout Doctor® Training Center in La Fox, Illinois.
Superior Hands On Training Program
The Grout Doctor® Training Center in La Fox, Illinois.
Fully Integrated Software Support System
The Grout Doctor® provides the industry’s finest software which includes everything
you need to manage your business effectively.
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Web accessible from anywhere, 24/7
Call and Job geographic mapping and reporting
Complete client history database
Advertising campaign tracking
Integrated media efficiency analytics
Sales conversion and revenue reports
Detailed estimates and invoice records
Comprehensive territory management interface
Sales and revenue reporting
Fully integrated accounting software …and much more!
Online Advertising and Print Center
The Grout Doctor® also provides our network an exclusive online 24/7 advertising and
print center, with easy to use editing capability that provides you easy ordering or
downloading of professional materials that include:
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High definition consumer advertisements
Full color business and coupon cards
Tri-fold brochures
Full color glossy residential postcards
Professional signage
Numerous promotional pieces
Full color vehicle magnets
Realtor marketing postcards
Customized Interactive Media Design
Convenient online interactive editing of postcards, coupon ads, brochures, signs,
business cards and much more.
Comprehensive Call and Job Tracking
Easy Access Client Tracking
Highly Effective Business Controls
Online Wholesale Supply Center
Easy to use 24/7 online ordering center with exclusive wholesale pricing, low costs and
immediate shipping.
Premium Proprietary Product Line
The Grout Doctor® uses professional proprietary, premium grade, environmentally
safe products developed to meet the specific needs of our industry. All have been
tested through field experience and refined to exact specifications.
• Grout Doctor Cleaners are designed to loosen and emulsify soils and stains to facilitate soil
removal, dissolve calcium carbonate and remove the embedded soil layer. Our professional
grade cleaners are designed to renew the surface of your tile, grout and stone.
• Grout Doctor Grout & Stone Sealer is a professional grade, water-based sealer that
penetrates to offer the very best protection for stone, tile and grout from oil, spills and dry
soils. Our sealer offer superior protection to preserve the beauty and life of your tile, grout
and stone surfaces.
All Grout Doctor® products are 99% green right from the bottle!
Consumer Grade Product Line
The Grout Doctor® has also developed a maintenance product line to be used by
consumers in conjunction with the professional services offered by The Grout
Doctor®.
• Grout Doctor Stone Cleaner & Protector is formulated specifically for everyday cleaning of
all stone surfaces and does not contain harmful mineral dissolving agents contained in
most surface cleaners. The built-in sealer rejuvenates the shine and refreshes the stone
finish and can also be used on ceramic and porcelain tile surfaces.
• Grout Doctor Shower Cleaner uses amazing advances in high tech surfactant technology to
cut grease without the addition of solvents. It is ideal for ceramic, porcelain and quarry tile
floors or walls with mineral scale and soap scum residue or remove embedded stains.
• Grout Doctor Neutral Cleaner has incredible cleaning power, excellent degreasing qualities
and assists emulsification and removal of soils and residue on natural stone, ceramic,
porcelain and quarry tile. It moves grout toward a neutral state, improving bonding and
performance of grout sealers. Since Grout Doctor Neutral cleaner has no acids, it will
prolong the life of grout sealers and colorants.
Product Line Passive Revenue
The Grout Doctor® provides passive revenue for all retail product purchased by your
clients from our website. Every time a customer purchases product you will receive
between 20 – 40% of the sale.
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Additional passive revenue stream
Applies to purchases within your territory
Applies to all purchase using your specific promo code
Best practice is to give out free samples with each job
Product marketing materials available online
Accounting and commission checks are issued quarterly*
*NOTE: You will be responsible for any sales tax that may be due for direct retail product sales.
Exclusive Business Document Library
Private Intranet site offers many features including extensive document library and
helpful links.
Robust Ongoing Operational Support
For more than 20 years, The Grout Doctor® has been refining what is the industry’s
leading support system. Our support system includes:
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Proprietary Franchise Management Software
Proprietary Grout Doctor Professional Product Line
Proprietary Grout Doctor Consumer Products
Other Product Discounts
Online Advertising and Print Center
Toll-Free Technical and Marketing Support
Discounted Advertising Programs
Personal Coaching and Support Calls
Informational Newsletters
Periodic Teleconferences
Annual Conventions and Awards
Extensive Intranet site
Statistical Data and Analytics
Continuing Education
The Grout Doctor® Core Services
The Grout Doctor® network provides eight services that have proven to be the core of
our revenue and the focus of our national business model. All Grout Doctors provide
the following cores services:
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Grout Cleaning
Grout Sealing
Grout Repair
Regrouting
Grout Staining
Recaulking
Tile Repair and Replacement
Grouting
The Grout Doctor® business model also provides for additional optional services designed to maximize
revenues and increase territory efficiencies.
The Grout Doctor® Optional Services
The Grout Doctor® provides our network with optional and supplemental services
designed to generate additional and recurring revenue.
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Cleaning and sealing or refinishing of Saltillo tile or pavers
Cleaning and sealing of natural stone
Minor wall repairs
Shower door removal
Accessory installation
EnduroShield® permanent protective coatings for glass, stainless steel and
ceramic and porcelain tile
The following supplemental services require additional training, certification and a minimum of three months
of operation. These service may change periodically in accordance with the current operations manual.*
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Natural stone restoration and polishing of marble, travertine, terrazzo and limestone
Custom fiberglass inlays for installation over cracked tub and shower basis
Porcelain and fiberglass chip repair for tubs, sinks, toilets and tile
*Training fees apply. See FDD.
Dedicated Development Team
The Grout Doctor’s dedicated development team is completely devoted to your
success immediately following your franchise Award. Senior corporate staff include:
• Dennis Baran
 Shareholder, President, Director of Training
• Micki Baran
 Shareholder, Director of Franchise Support Services
• Regina Fischer
 Shareholder, Secretary/Treasurer, Director of Finance and Franchise Administration
• Daniel Start
 Shareholder, Director, Technical Support
• J. C. Sneyd
 Shareholder, Vice President, Director of Franchise Sales and Marketing
• Jeanine Sneyd
 Shareholder, Director, Assistant Secretary
Comprehensive Start Up Package
The Grout Doctor® provides you with strength from the very start. Our comprehensive
start up package includes:
• 80 hours of one-on-one hands-on training
• All equipment and tools of the trade needed
• Thorough media analysis and marketing materials
• Personalized advertising plan and media package
• Exclusive products and supplies
• Extensive Training Manual
• Impressive logo wear
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• 50% Franchise Fee discount for Veterans!
• ZERO royalties for the first month and 50% discount next 2 months
• Up to $1000 vehicle wrap allowance (if ordered within 30 days of opening)
• 10% Initial advertising allowance
Estimated Initial Investment
Below you will find the typical The Grout Doctor® investment for the initial three
months. Every scenario is different therefore your personal results may vary:
Franchise Fee
Expenses During Training
Advertising
Vehicle
Telephone/High Speed Internet
Computer System
Insurance, Liability
Insurance, Auto
Equipment, Tools and Office Furniture
Initial Inventory
Forms and Office Supplies
Licenses
Data Center Fee
Additional Funds
$7,500 to $22,500*
$150 - $2,000
$6,000 - $9,000
$0 - $1,000
$0 - $100
$0 to $500
$300 - $500
$330 to $600
$0 - $500
$250 - $500
$0 - $50
$0 - $200
$375 to $465
$1,000 to $2,000
TOTAL
$15,905 - $39,915*
*INVESTMENT STATEMENT: Low franchise fee and total estimate is base on “First in State” or Veteran discount. The amounts above are estimates.
Your costs will most likely vary. They do NOT in any way imply or guarantee that you would get the same results using our franchise system. Actual
results vary from unit to unit and we cannot estimate the results of any particular franchise. We make no representations, expressed or implied,
regarding potential expenses of your business. We have not suggested, guaranteed or warranted your total initial expenses. We cannot reliably
predict what you will spend over the initial period. How much you spend depends almost entirely on the factors outside our control, including your
general business ability, how closely you follow our system, your location, competition, and how good a businessperson you are. The business
realities are that no one, including us, can make a reliable estimate your total expenditures.
NOTE IN THE STATE OF MARYLAND: Initial Total Investment - $23,405 - $47,415, Initial Franchise Fee - $15,000 -$30,000 (100,000-200,000 households).
Historical Financial Data
Standard Franchise Average Monthly Sales*
Level
$10,001 or Above
$7,501 to $10,000
$5,001 to $7,500
$5,000 or below
Number
of Franchisees
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of Total
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29.79%
21.28%
25.53%
23.40%
Average $8,449 per month or $101,388 per year.
Average Job Price: Standard Franchises $402
Non-Standard Franchises $433
*HISTORICAL DATA STATEMENT: The average gross sales figures included in this analysis and additional statistics are based on 38 standard franchises operating from January 2011 through
December 2011 and were open for two years or more. The figures in the sales reports have not been audited and we have not undertaken to otherwise independently verify the accuracy of
such information. WE DO NOT FURNISH AND/OR AUTHORIZE OUR SALESPERSONS TO FURNISH ANY ORAL OR WRITTEN INFORMATION CONCERNING THE ACTUAL OR POTENTIAL SALES,
INCOME OR PROFITS OF THE GROUT DOCTOR FRANCHISEES. Your results will vary from the example we are illustrating here. You may do better
or worse. They are not exact amounts and they do NOT in any way imply or guarantee that you would get the same results using our franchise
System. Actual results vary from unit to unit and we cannot estimate the results of any particular franchise. We make no representations,
expressed or implied, regarding potential earnings of your business. We have not suggested, guaranteed or warranted that you will succeed in
the operation of a Franchise or provided any sales or income projections of any kind to you. We cannot reliably predict what results you might
achieve. How well you might do depends almost entirely on the factors outside our control including your general business ability, your
resources, how closely you follow our system, your location, competition, and how good a businessperson you are. The business realities are
that no one, including us, can make a reliable estimate of what sort of results you may achieve. We cannot guarantee your success, and we do
not authorize any sales, cost or income projections, estimates or otherwise of any kind to you, nor should you rely on any projections or
estimates of any type from anyone.
The Grout Doctor® is Your Right Choice
The Grout Doctor® provides a level of territory development and support absolutely
unequaled in the industry!
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Uncomplicated home-based business
Flexible schedule
Employees optional
Low competition in the segment
Minimized initial financial investment
Flexibility of a mobile structure
Personalized advertising and media package
Proven marketing and advertising tools and techniques
Highly effective proprietary product line
Your Right Choice Continued…
The Grout Doctor® provides a level of territory development and support absolutely
unequaled in the industry!
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The industry’s finest proprietary territory optimization system
Unlimited toll-free technical support hotline
24/7 ordering of media, materials, products, documents and more
Personal and company-wide statistical data and analytics
Network newsletters
One-on-one support calls
Teleconferences
Annual conventions
Business coaching teleconferences ... and much more!
Grout Doctor Opportunities
The Grout Doctor® is currently granting franchises to qualified candidates in available
territories throughout United States.
Average Total Investment
$20,405 - $39,915*
Households Per Territory
100,000 to 150,000
Franchise Fee
$7,500 - $22,500 ($0.15 per HH)*
Royalty Fee
6% - 9% declining percentage
ZERO royalties first month, 50% discount next 2 months
Ad Fund
ZERO (future rights reserved)
Additional Franchises
50% discount
*Note in the State of Maryland: Initial Total Investment $23,405 - $39,915, Initial Franchise Fee $7,500 - $22,500.
See FDD for full details. Figures include franchise fee, grand opening marketing and required working capital. Low
estimate is based on “First in State” or Veteran discount.
The Industry's Grout & Tile Care Leader!