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THE INTERFACE FINANCIAL GROUP® provides specialty financial services for expanding companies. INTERFACE franchisees focus on "purchasing receivables'" in order to accelerate their clients' cash flow.
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LIQUID CAPITAL is an international network of franchise owners who help small- and medium-sized businesses grow and succeed through factoring - a specialized financial service providing immediate funding on credit-worthy account receivables.
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FASTSIGNS Centers use state-of-the-art computer technology to create custom signs, graphics, banners, trade show exhibits, vehicle graphics and much more. A pioneer in the sign industry, FASTSIGNS has continued to grow by optimizing its systems and expanding the scope of its products and services.
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With over 20 years of experience, Pop-A-Lock is America's largest locksmith, car door unlocking, and roadside assistance service and the market leader in the mobile security industry.
Franchisor Programs Offer Great Incentives for Prospective Veteran Franchisees
USA Today's Top 50 Franchises for Veterans in 2012
Friday, June 01, 2012
By Rob Bond, Annie Barbarika, and Tu-Anh Dang-Tran
Below are the results of the third annual survey that we have done regarding programs for our veterans and it is exhilarating to report the increased level of enthusiasm and support on the part of the franchising community. An ever-increasing number of franchisors are aggressively trying to recruit veterans through the creative use of various incentives and by taking full advantage of veteran role models already within their franchise system. It is encouraging to note not only the increasing percentage of veterans that either own a franchise or manage company-owned stores, but also how many veterans are among the management ranks of the franchisor system itself.
The website Franchises4Vets.com lists approximately 400 franchise programs, all of which are anxious to recruit veterans. We suggest that you take the time to go to the website and review those companies that provide a level of interest to you. By clicking on the link at the bottom of most of the profiles, you will be taken to a more expansive site (WorldFranchising.com) that provides more in-depth information on particular companies. For the most part, the incentive programs outlined on the veterans' website reflect a reduction in the franchise fee, which can range from a few thousand dollars to over $40,000. Several of the more impressive programs are noted below:
| Company | Savings on Franchise Fee |
|---|---|
| CiCi's Pizza | $30K (100%) + 50% Royalties Year 1 |
| Gotcha Covered | $59K (100%) |
| Guava Healthcare | $35K (100%) |
| KidzArt | $10K (100%) (First 10) |
| Port of Subs | $5K - $10K (100%) |
| TeamLogic IT | $40K (100%) |
| VR Business Brokers | $39K (100%) |
| Appleton Learning | $25K off $35K |
| Arby's | $18.7K off $35K |
| Auntie Anne's Hand-Rolled Soft Pretzels | $10K off $30K |
| Cleaning Authority, The | $20K/$25K off $40K/50K |
| Denny's | $20K off $40K/$40K off 40K for 2nd Unit |
| FASTSIGNS | $8.3K off $20.7K |
| Granite Transformations | $12.5K/37.5K off $25K/75K |
| Huddle House Restaurants | $12.5K off $25K |
| Hungry Howie's Pizza | $10K off $20K |
| Juice It Up! | $10K off $25K |
| Kitchen Tune-Up | $35K off $40K |
| Meineke / Maaco | $7.5K/$10K off $30K/$40K |
| NYPD Pizza | $15K off $30K |
| Pak Mail | $15K off $30K |
| Rainbow Station | $40K off $80K |
| ServiceMaster Clean | $4K/10K off $25K/65K |
| Sign-A-Rama | $40K off $40K (1 only) |
| Solara 360 | $12.5K off $25K |
| U.S. Lawns | $10K off $29K |
| Wireless Zone | $10-15K off $20-30K |
By comparison, there are numerous household-name franchises that may not offer steep discounts in their franchise fee, but which have been around for a long time and have a demonstrated ability to fully support their franchisees throughout their career. 7-Eleven, for instance, provides savings of up to $35,000, as well as financing of up to 65% of the investment. Little Caesars has a highly focused program specifically for disabled veterans: they offer up to a $55,000 reduction in the total initial investment. Liberty Tax will finance their entire franchise fee over four years and requires no money down. Snap-On Tools offers a $20,000 discount on the initial investment of $80,000. 25% of RadioShack's senior management has a military background. Fantastic Sams offers various incentives worth up to 45% off the initial license fee of $25,000.
It should be noted that a prospective franchisee should not place an over-riding premium on the short-term savings in the front-end investment. One should look primarily at the product or service being offered and the franchisor's ability to deliver on its promises to fully train and support the franchisee over the long term. Saving even $50,000 today by investing in a marginally competitive franchise that has no staying power would be a terrible mistake. Remember that franchising is a long-term investment that requires the utmost in due diligence. The single most important variable, has been proven to be the happiness of existing franchisees within their system. Therefore, you should call as many of them as possible. To the extent that a franchise has military veterans in its system, you should take full advantage of your common experience and get their insights. Two franchisors on the site have an exceptionally high percentage of veterans - Pet Butler has 32% of its 94 franchisees and WIN Home Inspection has 25% of its 168 franchisees. So remember to do your homework!
