Shortcut to shop success

Shortcut to shop success

By: Linda Whitney

MANY of us dream of setting up a shop, and if you are really serious about it, a franchise can help you do it.

Getting into retail with a franchise can beat setting up shop alone. For one thing, you start with a name that shoppers already know.

'You don't need to spend time building up your own reputation when you start out with a name such as ours over the door,' says Steve Hyams of hi-fi retail franchise Bang & Olufsen.

The best retail sites are often only available to companies with a successful trading record, which an established franchise can provide. 'Many commer- cial landlords prefer to deal with a well-known brand,' says Mr Hyams.

He is looking for more franchisees with £250,000 to invest, and he prefers people with sales experience rather than hi-fi buffs.

Another factor is that you can get discounts on wholesale prices that are not available to individual traders.

'Head office negotiates the price of some items on a group-buying basis, so franchisees benefit from the discounts,' says Ann Simpson at Snappy Snaps, which is looking for more franchisees for its High Street centres offering photo and digital image processing.

'Most of our franchisees are career changers. Some have been professional photographers, but many more are keen amateurs,' says Mrs Simpson, who is looking for people with £45,000 to invest.

'We look for people with a passion for motorcycling,' says Hannah Marsh of GirlsBike2. Its franchisees sell motorcycle gear designed for women sized six to 26.

It's a growing business as 15per cent of motorcycle licence holders are now women, and numbers are increasing. Investment is from £55,000.

Not all retail franchises mean being behind a counter.

Pauline May franchisees sell specially designed clothing to residents at care homes and hospitals.

'It means you do not have to meet the overheads of a shop,' says Pauline Sargeant of Pauline May, who require an investment of £25,000.

Franchisees with Snack In The Box deliver boxes of Cadbury's chocolates and snacks to workplaces. 'A link with a well-known name can open doors to individual operators,' says the company's

Matthew O'Neil. A £21,750 investment gets you 150 customers and £6,000 worth of goods, or you can take the vending version of the franchise, where £38,740 allows you to install 75 vending machines.

Its sister franchise Dinky Deli involves selling sandwiches, wraps and salads from a specially adapted van.

Investment is £16,760.

BANG & OLUFSEN 01189 692 288, Snappy Snaps 020 8741 7474, GirlsBike2 01462 434 350, Pauline May 01535 661 362, Snack In The Box and Dinky Deli 0239 241 5000..

‘RETAIL WAS A NATURAL CHOICE’

NICK BOURNE left his job as a police community support officer in Dorchester, Dorset to get into retail with a Cash Generator franchise in nearby Weymouth. ‘I always enjoyed buying and selling,’ says Nick, 42. ‘I like trading on eBay, so retail was a natural choice.’

Cash Generator franchisees run High Street buy-and-sell stores, dealing in goods that are new, second-hand or ‘graded’, the trade terms for items such as ends of ranges, or repaired goods. Other services include cheque cashing, foreign currency and modern-style pawnbroking.

‘My previous job helped develop the people skills you need in retailing,’ says Nick. He opened the franchise in October 2006. ‘There was a lot of training involved, and it took a lot of hard work and long hours – especially in the first year,’ he says. Within a year the store’s turnover was more than £1 million.

‘The key is to look for a retail service that is in high demand and that no one else is providing in your area,’ says Nick. ‘Check what the competition is offering.’

Daniel Lewis of Cash Generator says: ‘Retail suits people with good communications skills and a positive attitude. We can train you in the rest of the skills you need.’ The investment required is from £49,000.

Cash Generator 01204 574 444.