Build It franchise Yes/No

[mr_norris]

What does a Build IT franchise cost nowdays ?

A lot of money:

Minimum trading area required: 1800sqm (including yard of 1000sqm)
Capital (unencumbered): R1 500 000
Equipment cost: Minimum R1 200 000
Minimum 30% deposit required by finance company
Financial: (related to size of store and stockholding)
Working Capital: Minimum R400 000 (cash)

Source.

 

[Pixelbender]

If you go the Franchise route, you will get customers that already love it or hate it.

You will have no say in the products that gets imported and you will have to part with an advertising fee and also not have any say as to where that money is going. While they may use it for dstv ads, your market "probably" only listens to radio, read newspapers (or not), or watch sabc...

Thanks for the feedback.

My dad is totally onboard and 100% committed.

My only concern is, is it worth it to fork out the huge franchise fees or is it better to go at it solo?

If we go at it solo (non-franchised), would we be able to compete with the big franchised shops or is going under their umbrella a better option?

 

[skeptic_SA]

OT. But if I had 2 bar unencumbered laying around... It would be a small Bottle Store for me thanks. Its one of the few business that flourishes more as the economy worsens. Not that I advocate drinking to forget your woes... It just happens that way.

 

[sbu22]

OT. But if I had 2 bar unencumbered laying around... It would be a small Bottle Store for me thanks. Its one of the few business that flourishes more as the economy worsens. Not that I advocate drinking to forget your woes... It just happens that way.

The margins on the bottle store front are too small ( looked it up )

After a lengthy talk with the old man and discussing all the points raised here, we abandoned the build it franchise route.

We started a housing project instead (low income earners can afford;300-400k range, and the response has exceeded expectation.

My biggest regret is not starting this project sooner...dammit

OT. But if I had 2 bar unencumbered laying around... It would be a small Bottle Store for me thanks. Its one of the few business that flourishes more as the economy worsens. Not that I advocate drinking to forget your woes... It just happens that way.

The margins on the bottle store front are too small ( looked it up )

After a lengthy talk with the old man and discussing all the points raised here, we abandoned the build it franchise route.

We started a housing project instead (low income earners can afford;300-400k range, and the response has exceeded expectation.

My biggest regret is not starting this project sooner...dammit

 

[Pixelbender]

So, in 21 days you started a housing project and it's on the brink of success?

The margins on the bottle store front are too small ( looked it up )

After a lengthy talk with the old man and discussing all the points raised here, we abandoned the build it franchise route.

We started a housing project instead (low income earners can afford;300-400k range, and the response has exceeded expectation.

My biggest regret is not starting this project sooner...dammit

 

[sbu22]

So, in 21 days you started a housing project and it's on the brink of success?

Its been 14 months. Please check the dates first before making snide comments. My initial post was in march 2015, but to you only 21 days have passed.

 

[Pixelbender]

Sorry, I wanted to congratulate you, wasn't a snide comment. Some people move fast in this world.

Its been 14 months. Please check the dates first before making snide comments. My initial post was in march 2015, but to you only 21 days have passed.

 

[sbu22]

Sorry, I wanted to congratulate you, wasn't a snide comment. Some people move fast in this world.

" So, in 21 days you started a housing project and it's on the brink of success?"

Where do you get the 21 days from?

And its a snide comment and u know it. I've misread the OP dates on a thread before too, so I don't hold it against you.

Ps: A dash of the Flash power(speed) than maybe just maybe, I could manage it all in 21days Lol.

 

[boxerulez]

If you go the Franchise route, you will get customers that already love it or hate it.

You will have no say in the products that gets imported and you will have to part with an advertising fee and also not have any say as to where that money is going. While they may use it for dstv ads, your market "probably" only listens to radio, read newspapers (or not), or watch sabc...

In Build It you can buy from anywhere. There are incentives to buy from listes suppliers and even bigger incentives to carry only buildit branded goods.

Spar generally support local business. (ZA) very little is imported directly without a South African middleman.

 

[dd1313]

" So, in 21 days you started a housing project and it's on the brink of success?"

Where do you get the 21 days from?

And its a snide comment and u know it. I've misread the OP dates on a thread before too, so I don't hold it against you.

Ps: A dash of the Flash power(speed) than maybe just maybe, I could manage it all in 21days Lol.

Well done on your work so far !.Any tips on how to enter the propery development field ?

Thanks

 

[Goliath]

We have a Build It about a km up the road and a Power? has just opened nearby, I have quality issues with both and rather travel 10km to Builders for a wider choice (Builders also stock some budget rubbish though ).

The Build IT here in Stellenbosch is significantly cheaper than Builders Express in almost all items, was at Builders Express this weekend and some of the items just sooo much more expensive, but they do have bigger variety..