Standard Business Expenses you may need to consider with a Kwik Fix franchise
Business Name Registration
This cost will vary from state to state, but it's only a small amount (visit the website of your local state Department of Fair Trading (or equivalent) for cost details.
Business Insurances Franchisees need to have the following insurances:
- Comprehensive Vehicle Cover (for the van)
- General Equipment Insurance (to cover tools and stock in the van)
- Public Liability Insurance (a necessity for every business)
- Good in Control Insurance (is usually included in your Public Liability Insurance designed to cover you for loss or damage of property in your control)
- Income Protection Insurance (workers compensation for the self employed).
The cost of these insurances may vary from location to location.
Specific Licence Fees For example, any kind of
automotive repairer operating in New South Wales or ACT must hold specific licences according to a state government body (the Motor Vehicle Repair Industry Authority). Similar bodies may come to exist in other states or territories. Kwik Fix works with these statutory authorities to ensure a full understanding of our business and compliance with all necessary regulations.
Home Business Permits Permits to operate a business from a home base (even though all repairs are done at the customers premises) may be required by some local government authorities.
Vehicle Franchisees are required to provide their own late-model white commercial van. Most makes of vans are acceptable. Pre-loved vans are also acceptable providing they are reliable – remember you will be operating a
mobile franchise service and the body of the vehicle must be in good order – remember you area "Vehicle Presentation Specialist". Kwik Fix is structured so that you are able to commence your business with the least amount of overheads, you can not make anymore money out of a new van than you can out of a second hand one, our suggestion is to minimise your stress in the initial trading years by minimising your overheads.
What area will I own? Your Kwik Fix territory is exclusive to you, therefore you do not compete against your own fellow Kwik Fix franchisees. Territories are allocated according to a minimum number of potential trade customers (motor dealerships and car rental/leasing agencies) in an area defined by a geographical boundary.
Because most businesses prefer to deal and support other local businesses, we prefer you to own an area in the vicinity of where you live.
Kwik Fix car maintenance franchise has a stepped pricing structure based on capital territories and rural territories. New City Territories Defined by locality to major capital cities throughout Australia. The territory has not been previously traded by a Kwik Fix franchisee.
Cost: $49,950 inclusive of GST.
New Rural Territories Defined by territories that are not local to major capital cities throughout Australia. The territory has not been previously traded by a Kwik Fix franchisee.
Cost is based on the number of potential customers in the territory, as resourced through Yellow Pages Online:
Up to 29 Potential Customers $34,950 inclusive of GST
Over 30 Potential Customers $39,950 inclusive of GST
Pre-Loved Territories No territory definition, can be in major capital cities throughout Australia or rural territories. Condition being that the territory has previously been traded by a Kwik Fix franchisee and subsequently abandoned (for example, a franchisee has left the system without selling the franchise).
Pre-traded with-in last 4 years $34,950 inclusive of GST
Pre-traded over 4 years ago $39,950 inclusive of GST
Regardless of the cost of the franchise, they are ALL INCLUSIVE. There are NO HIDDEN COSTS.
How will Kwik Fix help me to get started in my area? During your last week of training, you will make telephone contact with your potential customer base obtaining names of all key decision makers in advance (Kwik Fix has found over the years in dealing with motor vehicle dealerships that there is more than one way to gain work from a dealership, and identifying all the key decision-makers in advance provides a terrific advantage).
National Office will then customise a letter on your behalf to each individual key decision maker in every yard. This letter allows the key decision makers to be made aware that a Kwik Fix franchisee will be establishing themselves in their area soon and provides them with a written overview of the services which you are able to provide – this has proven to be a great ground breaker fora new franchisee when canvassing the yards.
On completion of training, a one-week hands-on support program is provided to a new franchisee in their own territory, assisting the new franchisee with the set up and blending in to their potential customer base.
When you're starting new into a business whether it be supported by a franchise system or not, the last thing you need is to be stressing about money. Kwik Fix guarantees you a minimum weekly income (this guarantee ensures you take home a minimum of $500 per week for the first five weeks after training) *conditions apply, this means you can initially concentrate on establishing your customer base by marketing your business on a personal approach and demonstrating the services you are able to provide by doing quality work (not quantity).
Your Success is our success.24-Apr-2008