 APRO: The Official Voice of the Rent to Own Industry
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Rent-to-own franchises - ColorTyme Rent-To-Own
Jim Deering (jdeering@colortyme.com) 800/411-8963 or 972/403-4905; fax 972/403-4923
Type of rent-to-own business: Furniture, appliances, electronics
Company-owned stores: 0
Franchise-owned stores: 214
Expansion plans: “We are expanding nationally right now,” says Jim Deering, director of franchise development. “We have areas of opportunity and room for expansion in nearly all states.” And yet, ColorTyme is represented in 34 states and climbing. As Deering says, “We can offer development opportunities in areas where our franchisees are comfortable operating.”
Type of franchise owner they’re looking for: Small business operating experience is almost a necessity and RTO experience is highly regarded. Capitalization is critical and “that’s why we offer franchisor backed financing” Deering says. Ideally, he says the right candidate will have at least $140,000 in cash availability with a net worth of at least $400,000. “The franchisees’ initial cash position coupled with our financing produces a winning combination.
Why they’re different: Flexibility and support. ColorTyme provides the “room” for the franchisees to operate as their sign says: “Hometown ColorTyme Store”. That combined with a 100% franchisee support focus from the headquarters provides the ColorTyme franchisee with the greatest potential for success.
What they’ll do for you: “A lot”, according to Deering, citing things that the company can help with, such as purchasing, accounting, payroll processing, legal assistance and human resources. They’ll help out with 100 percent inventory financing and store opening assistance, including the installation of everything. Training for the franchisee and their managers is state-of-the-art. ColorTyme has huge buying power. “We provide our franchisees with pricing they simply could not achieve on their own or through the buying groups. We have a complete franchise program” says Deering.
License master franchise rights: No, but will offer Multi-unit store development areas.
Selling primary multiple store location agreements: Yes
Selling franchise agreements for just one store: Yes
Active franchisee advisory board: Yes. It has 10 members; with franchise members that have from one to 40 stores. The FAC also acts as the approval body for advertising fund expenditures. Members are elected for two-year cycles, with about half of the council rotating in/out every year.
Net worth of candidate: At least $400,000.
Franchise fees: $25,000, although you can get a $1,000 discount for every year of RTO experience, up to a $10,000. There is also a second store discount of $5,000 and a third store discount of $7,500. A big plus is the franchisee does not have to contract up-front for the multiple units to get the discounts.
Royalties: 5 percent
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ColorTyme Rent-To-Own |
2012 APRO Dave Egan
Legislative Conference
April 17-19, Washington, D.C.
Mark your calendars!
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RTOHQ: The Magazine
RTOHQ: The Magazine is the Association of Progressive Rental Organizations' award-winning rent-to-own industry magazine, and it's available here. | |||
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CLICK HERE FOR OUR DIGITAL RTOHQ: THE MAGAZINE
RTOHQ: The Magazine’s upgraded digital format APRO's new, mobile-ready magazine is now available in addition to our print edition. The digital format provides the same informative content as our printed magazine, but also offers tools to make the reading experience more enriching. Access the table of contents page with one click or tap. Get additional information from advertisers by clicking on the links in their ads. The interface is easy to navigate and requires no special app—read our magazine on your computer, digital table or smartphone. Click here to access the digital version of RTOHQ: The Magazine November-December 2011.
Marketing Matters This year marks the launch of a marketing campaign initiated by APRO to build the rent-to-own customer base. It will be a multi-year endeavor employing multiple strategies. In this and upcoming issues of our magazine, we will address the many facets of marketing that affect our industry.
Striving for an A with the BBB by William E. Freeland Consumers often refer to the Better Business Bureau's ratings to help them make rental and purchasing decisions. National Rent-to-Own's human resource manager outlines the steps every RTO company should pursue to help earn an A+ from the BBB.
Creating an Extraordinary Customer Experience by Bill Keese Apple does it. Southwest Airlines does it. Can the rent-to-own industry also garner a national reputation for exceptional service and, in the process, attract new customers?
BB and BBQ on Beale Street Memphis' reputation for tremendous food, groundbreaking music and Southern charm is well deserved. It's not too early to start planning your trip there next July for APRO's 2012 Rent-to-Own Convention and Trade Show.
Card Talk by Ed Winn III Credit and debit card payments are on the rise in rent-to-own. So are the risks in keeping such transactions secure.
Rent-to-Own Families, Part VI by Kristen Card No, you're not seeing double, or are you? Our latest profiles of kindred colleagues include two sets of twins-the Botkins and the Kimbles. And in Kansas, a son and daughter help their dad keep business running Strong.
Future issues of APRO's magazine will be available in this same new format. Click here to access past issues that are not yet archived in the new interface.
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Association of Progressive Rental Organizations 1504 Robin Hood Trail Austin, Texas 78703 800/204-2776, ext. 103 Fax 512/794-0097 |