| Writing a business plan for a franchised | | | | BlitzThere is a $20,000 franchise fee for |
| outlet of a larger company to get funding or | | | | joining The Car Wash Guys team that is also |
| find investors is difficult because the | | | | provided for in the $65,380 cost.Our target |
| franchisor already has a plan which is | | | | market is anyone owning a dirty car. Our |
| working, but until you are privy to it upon | | | | other markets are:· Aircraft |
| purchase you actually know relatively few | | | | Washing· Boat Washing· Fleet |
| details. The franchisor must keep this | | | | Washing· Graffiti Removal· Concrete |
| information proprietary to insure competitors | | | | Cleaning· Industrial High Pressure |
| do not steal the information, but the | | | | WashingWe will charge $5.00 for a basic |
| franchise buyer needs the information to | | | | exterior wash, $10.00 for an in and out and |
| prepare a business plan to get a loan from a | | | | $37.50 for a mini-detail on cars. Most of |
| bank. Thus a catch 22 exists and is further | | | | our customers will be office workers. |
| exacerbated by the fact there are laws | | | | Fifteen percent of our business will be small |
| against some types of disclosures, which many | | | | and medium sized fleets with five to one |
| franchisors due to the litigious nature of | | | | hundred cars, trucks, vans, etc. Twenty |
| franchising do not wish to disclose based on | | | | percent of our business will be industrial |
| advice from their attorneys. So what do you | | | | type cleaning.We will market with other local |
| do? Well, you do the best you can using the | | | | businesses in a co-op situation. Other |
| UFOC, uniform franchise offering circular or | | | | marketing will be by doing car wash |
| ask the franchisor to send in a business plan | | | | fundraisers for kids groups.Our car wash |
| directly to your banker who, signs a waiver | | | | crews will wear matching yellow uniforms. |
| of non-disclosure and you cannot see it until | | | | They will be clean cut, well spoken, |
| purchase.Yet if you are seeking private | | | | knowledgeable and friendly.We will purchase |
| investors they will want to see a business | | | | our products from the franchisor via modem |
| plan and therefore you will have to try to | | | | and credit cards for next day U.P.S. |
| put one together. I have bought 12 books on | | | | delivery.We plan to eventually expand to up |
| how to write a business plan with hundreds of | | | | to five mobile car wash trucks, each |
| complete business plans inside; none of the | | | | averaging $6,000-$8,000 of gross revenue per |
| samples have anything to do with a franchised | | | | month, in the next five years. Our |
| business. So, below please find a sample of | | | | royalties to the franchisor will be $35.00 |
| an executive summary, which is the most | | | | per day times 21 working days per month |
| important part of any business plan and | | | | ($735.00 per month). Each additional truck |
| probably for the most part all a banker will | | | | will pay $20.00 per day royalties or $420.00 |
| read. Some entrepreneurs accuse bankers of | | | | per month. Car Wash Guys International, Inc. |
| not being able to read and I am in that | | | | will provide the following on going |
| group. I recommend you read this and use it | | | | support:·Training of Managers for Each |
| as a model to develop your own executive | | | | Truck·Regional Directors for Trouble |
| summary for your franchised business outlet | | | | Shooting·Spare Trucks in Case of Break |
| business plan. This particular example was | | | | Downs·Combating Competition (Intensive |
| written for a mobile car wash franchise | | | | Program)·Assistance in Community Support |
| outlet, but serves as a fairly good example | | | | Events·Free Advise (On Any Operational |
| for you.- - - - - - - - - - - - - - -The Car | | | | Matters)·Updating of Manuals and Computer |
| Wash Guys of Fairfax, VA is an owner/operator | | | | Programs·Periodic Newsletter·Upkeep on |
| service firm. This will be a franchised | | | | Major Contract Bidder's Lists·Sales Leads |
| business of Car Wash Guys International, Inc. | | | | (From Their Direct Mail |
| This sole-proprietorship company is in the | | | | Program)·Compilation of Financial |
| mobile car wash business.Our mission is to | | | | Reports·Assistance in Finding Funding for |
| achieve a minimum of 2.5% and a maximum of | | | | Additional Mobile Car Wash Trucks and |
| 10% market penetration while simultaneously | | | | Personal Items (Homes, Cars, Etc.)There are a |
| uniting the entire community. To reach this | | | | couple of small time mobile detailers |
| goal we will use unique local and regional | | | | operating in our exclusive territory. Our |
| marketing tools provided by our franchisor | | | | service, quality and price are much more |
| who has much experience in this field.Our | | | | attractive to our target market. Our |
| franchisor has over twenty years of | | | | operating methods are far superior to that of |
| experience in the mobile washing industry. | | | | our current competition. Generally all of |
| We will purchase from Car Wash Guys | | | | the competition listed in the yellow pages as |
| International, Inc. a turnkey business for | | | | well as those we've talked with and observed |
| $65,380. This purchase will include:· | | | | admit that they have only been in the |
| Truck With Custom Built Truck Body· | | | | business a couple of years are not planning |
| Portable Car Washing Equipment· Computer, | | | | on making it a career. Further observations |
| Printer, Business Software· List Of | | | | indicate that there is far more than enough |
| Clientele, Route and Customer Base· Down | | | | business for everyone.Our long-term goal is |
| Payment of Liability Insurance· Down | | | | to wash cars for one out of every ten owners |
| Payment of Medical and Health Insurance· | | | | in our town. Ten percent market penetration |
| Licensing and Training (80 Hours Total)· | | | | can be achieved if we follow our franchisor's |
| Complete Operations Guide Loaned For | | | | system perfectly. We want to be the #1 |
| Franchise Term· Start-Up Supplies (Wax, | | | | franchise in the entire system. We plan on |
| Soap, Etc.)· Portable Cellular Phone With | | | | renewing our Franchise Agreement every five |
| Credit Card Machine· Uniform Supply for an | | | | years at no charge to us. We will remain in |
| Entire Crew· Personal Planner with | | | | good standing with our franchisor and follow |
| Computer Software Backup· Exclusive | | | | their proven methods of operations in order |
| Territory· Initial In Depth Marketing | | | | to do this. |