The Franchising Model or the Master Servant Model

McDonald’s is an extraordinarily successful franchise system. If you are lucky enough to own this franchise it would be a licence to print money. To an extent so is KFC, Subway, Gucci, and many other world-renowned brands. What these recognizable brands have in common is that they sell products that consumers want. If you are hungry for Big Mac, a Whopper simply will not do. If you want a Gucci handbag, Prada probably will not cut it. So, if you are a franchisee of one of these businesses you are more than likely going to make money.

But there are rules.

Firstly, there is a term. A franchise term, perhaps runs for 5 x 5 years and if you have been a good boy or girl in the first 5 years, you will be granted another five years. Other rules might be, what the store will look like, what oil to fry the chips, how to stock the displays and even what clothes to wear. But that’s ok, if you are going to make money by just following a few rules. After all these companies have decades and decades of expertise in their specialized field. If they tell you that a T-shirt with short sleeves sell more burgers, they are probably right.

In a previous life I was a franchisor. Back before the FCA (Franchising Code of Australia) was released. I remember developing two sites in Sydney. One in Paramatta and one in Penrith. Then I advertised and found a franchisee to take them over for around 75k each. I did that with confidence time and again, because in those days there was nothing around like it in the shed industry.

By the turn of the century, we went from franchising to licensing shed software and we could command a $15,000 entry fee. Then as every dog and his master started developing shed software. By 2015 that entry fee was down to $3,500. Today with Next Gen software, that’s perhaps ten times smarter that the last one we developed we charge $59/month.

There is nothing more constant than change, what used to start of the art yesterday is redundant today, that goes for software as well as for business models.

Today there is any number of franchisors of shed businesses. These are people that probably have never seen a tin shed, corporates that decided that the best way to sell, their tin was through franchising sheds. When the consumer goes shopping all he sees a tin shed. He or she does not get this burning feeling in their belly that they just must have a Fair Dinkum, Ranbuild or Wide Span shed. I mean its not a choice between a Big Mac or a Whopper, where it really matters.

So how does the consumer make their buying decision? Salesperson, advertising, price, next door neighbour got one, Australian steel? Hum, maybe not, if they got a price from Best Sheds. Its never the product itself, is it? it’s a tin shed, a commodity product. And hate to break it to you, but its not the brand of the shed either.

So, what’s in it for you to become a franchisee of any brand? Product range? everybody has product range. Material? everybody sells the same crinkly sheets that come out of the same factory. Software, there is a ton of software out there. Fear of running your own race. What’s in for you to be a franchise of any system?

What’s in it for the franchisor? Control is obvious. They can get rid of you if you don’t adhere to their rules and regulations. They can stop you from using other products that they do not supply or manufacturer. They have no incentive to innovate new and better software or product because they have capture audience, you. They have no obligation to keep you competitive, they can charge you whatever they want, or tell you where you need to buy from. In fact, if you leave, they can even stop you from earning a living in your own back yard in the same industry. So, what is the attraction of you being a franchisee of any brand?

After more than 40 years in the industry and having bean a franchisor for a couple of decades I concluded that there needed to a better way, a fairer way to trade in sheds, so we decided developed a direct link between you and all of the suppliers of crinkly sheets in Australia. That link is called Quotec Live.

We have turned the franchise model on its head. With Quotec Live, you are the master, we are the servant. That spells FREEDOM.

With Quotec: –

  • There is no upfront fee, you subscribe to the Quotec software for $59/month, cancel any time
  • You can use whatever business name you have built your goodwill into
  • There are no contacts, no franchising, no rules, and regulations. Simply pull the plug, if we are not right for you.
  • You can use whatever supplier you like. Stramit, Lysaght, Metroll, or whoever. Use all of them at the same time if you like and compare costs on each quote you do.
  • You can be a single user, or multi user. You can start your own shed empire with Quotec.
  • You can get a special one-off design. A triangular shed perhaps?
  • You can use Quotec within your existing business as a secondary solution, we don’t mind that.
  • You will receive unrivalled support from people who know what a shed looks like, how it feels and how its erected.

We are a family business in sheds for decades. We have erected them, we have designed them, we have manufactured them…we know sheds. We can help you.

Act today pleased TRIAL QUOTEC LIVE free of charge for seven days. If you want to have a private conversation, call me John on 0410666812 and we will talk.