California: Striking moving industry gold

When picturing California, many see warm sun shining, surfers stealing early morning hours to catch the first wave, and, of course, movie stars. But what about expanding a rapidly growing franchise moving company in the Sunshine State?

CAgoldBack in 1849, people flocked to California for the potential of striking it rich in gold, and we’re doing just the same. California has experienced its challenges in its effort to expand the TWO MEN AND A TRUCK® brand, much like the first pioneers did to reach the other side of the treacherous Rockies to mine gold, but trust us, it’s worth it.

Why is California so different from other states? To start, it ranks first in its north/south span, and it has both sunshine and snow. But how are the people and businesses different? We started on a journey to find valuable statistics and applied them to what we’ve already learned.

The obstacles:

  • Finding people who encompass desire, passion, and grit to succeed
  • Business location/rent/utilities
  • Regulations

The rewards:

  • California is the first state to ever reach a trillion dollar-economy in gross state product
  • The city of Los Angeles is ranked the fourth largest economy in the United States compared to other states
  • The state motto is “Eureka!” A Greek word meaning “I have found it!” The motto was adopted in 1849 and originates from the discovery of gold in the Sierra Nevada.

For California to be the first state to ever reach a trillion dollar economy, and have a city with the largest economy, that’s a pretty big deal. We now see why they have the motto “Eureka!”

Potential! Opportunity! Revenue! Growth! People! It’s not on what we need to educate; it’s what we need to learn from future franchisees. How can we help you determine if these are things you want to capitalize on as an individual? When looking at a business, does it provide you the lifestyle you are seeking? Being a business owner isn’t easy, and you will need to work for the success you achieve; however, this fantastic opportunity is available, waiting to be capitalized upon.

What we’re talking about is a $15.5 billion industry with a low concentration of providers. Moving is not a fad and will never go away or be outsourced abroad. With recent profit recovery and increased demand, people are now starting to see what we’ve known all along and are entering the moving industry. But, again, it’s not easy. And challenges will arise, but we have the tools and resources in place to help you succeed.

If you are interested in turning a challenge into a great business opportunity and want to learn more, visit our website.

Time to move into the moving industry

Two Men and a TruckI know what you’re probably thinking. The moving industry… Why? With the country’s recent economic struggles, this business sector might not be the first to jump out at you; however, it should be. The moving industry is expected to grow over the next five years, bringing in more than $17 billion in revenue. 2014 will see over 14,000 companies within the industry, raking in increased profit margins of 5.2 percent (IBISWorld, January 2014). It’s an evolving industry, creating a vast array of possible employment opportunities and even more revenue.

The trends following the industry aid in this projected growth and show no current signs of stopping.

Housing Market

Although the housing market took a sour turn in 2009, it’s back on the rise in 2014. As this market continues its impressive trajectory, the amount of people needing moving services does, too. This year, the average household disposable income as well as housing starts are projected to increase. This increase in extra cash, coupled with people’s desire to move from their old homes into new ones, will create a greater need for moving services. The increase in housing starts is huge, as typically people who are downsizing don’t often seek extra assistance that will rely on extra costs. This year will see a strong increase in housing starts, ultimately making moving services a hot commodity.

Business Moves

Just as couples and families experience growth and the need to relocate, so do businesses. More and more major brands are experiencing growth, forcing them to adjust their business structures to accommodate expansion needs. Business move profits are expected to increase by 4.1 percent throughout 2014. These business to business moves will allow you to have an enhanced profit and in conjunction, an enhanced revenue.

TWO MEN AND A TRUCK®’s corporate office in fact recently sought a business move. We reached over 100 employees, resulting in the need for a larger space to accommodate this growth. The office is currently under construction as a 20,000 addition is being connected to the existing building, areas on the inside are being expanded, and movers are shuffling in and out with new furniture, all while employees are going on about their daily routines! The company may have had a slight bias, but it’s a pretty safe bet as to what moving service they used.

To further answer the why about getting into the moving industry, why not? These current trends are expected to grow throughout the upcoming years and will provide promise for those who are part of it. In a nut shell, the moving industry will see $15.5 billion in revenue and $805 million in profit, with the expectation of these numbers to rise over the years (IBISWorld, January 2014).

TWO MEN AND A TRUCK® knows all about this growth. The company ended 2013 with 18.8 percent growth over 2012 and more than $300 million in revenue. We know and understand these current trends. We’re excited for the increases that are forecast for the future and we show no sign in stopping anytime soon. So, why not be a part of the industry?

For more information on starting your own TWO MEN AND A TRUCK® franchise location and the performance information available to prospective owners, click here.

For the love of business: Making the most of marriage and franchise management

It’s February. The month when northerners begin to experience winter battle fatigue, when New Year’s resolutions have elapsed, and when candy company Necco produces 100,000 pounds of candy hearts daily in order to meet the holiday’s demand. That’s right, we are smack-dab in the middle of the month which invokes Saint Valentine and all things love. And while millions of Americans are selecting the perfect card for their sweethearts, and while children are carefully addressing commercially exploited card sets for their pint-sized friends, some married couples across the nation are considering a much more serious commitment – owning a business together.

DSC_5858 2The TWO MEN AND A TRUCK® franchise system boasts several successful businesses franchised by lovebirds. One very brave couple took on three of the most life-changing (and stressful) events in a matter of 10 months. A marriage, a cross-country move, and the launch of a business in less than a year would be challenging for anyone; too much to consider for many. But this passionate and practical couple truly made their experience look like a breeze.

Alicia Sorber Gallegos and Pedro Gallegos married September 2011. Within 10 months their lives were packed into a trailer, and with a solid business plan and a lot of love, the couple set off on the adventure of a lifetime: opening the first southern California TWO MEN AND A TRUCK® location.

IMG_1025 (4)Q: How did you and Pedro meet?

Alicia: We met in college when I was studying abroad in Ecuador. Pedro is from Ecuador and he had just returned from studying abroad at Michigan State, where I went to school. We never met at MSU but coincidentally ended up meeting at an MSU get-together in Ecuador.

Q: Pedro, can you highlight Alicia’s and your educational and professional backgrounds?

Pedro: Alicia has a Bachelor’s degree in Spanish, with a focus in business. Her professional experience has included marketing and communications. She worked in a variety of sales and marketing roles for TWO MEN AND A TRUCK®, and her last position was marketing manager for a group of franchisees with locations is Chicago, St. Louis, and Salt Lake City. I have a Bachelor’s degree in economics, a Master’s degree in finance, and my work background is primarily in corporate finance. Prior to opening the franchise I worked as a financial associate on the valuation team for a large public accounting firm.

Q: Alicia, at what point did you decide to open up a business together?

Alicia: Interestingly, owning a business was something we always wanted to do individually. I became more interested in opening a franchise after working in a start-up environment at the Chicago TWO MEN AND A TRUCK® location. Over time, Pedro and I developed professionally and realized our skillsets complemented each other very well. It made sense to be business partners, and it was a positive decision.

IMG_1005Q: Pedro, why did you select San Diego to open a TWO MEN AND A TRUCK® franchise?

Pedro: We researched the area, and the demographics fit what we were seeking. We were attracted by the fact that there are no other TWO MEN AND A TRUCK® franchises in the area, which has its disadvantages from a brand perspective, but it allows for expansion in our local market. And, let’s be honest. The weather in San Diego is amazing! It was important for us to find a place where we would want to put down roots; San Diego offers a great lifestyle.

Q: Alicia, now that you have been open for 1.5 years, share your biggest challenges?

Alicia: In general, the biggest challenge has probably been managing our expectations and staying patient as we build momentum. It’s hard to know what to expect when you are going into a new market, and there was less brand awareness than I anticipated.

Q: And, Pedro, what has most surprised you about running a business with your spouse?

Pedro: I’m surprised how well we work together. It’s actually been very easy; we’ve learned a lot from each other.

Day 5 in the car and still all smiles

Day 5 in the car and still all smiles

Q: What is your favorite part about running a business with your spouse, Alicia?

Alicia: We get to share the adventure of starting a business and all that comes with it. Less than a year after we married, we packed up all of our belongings in a trailer, drove across the country and started a new life in San Diego. There are stressful and demanding aspects of what we do, but we are genuinely having fun. Starting a business demands a lot of time and energy, so I’m grateful we’re in it together.

Q: How do you divvy up the workload, Pedro?

Pedro: Alicia and I are responsible for different areas of the business: I manage operations and finance, while Alicia oversees sales and marketing. We work hard to stay within our areas of responsibility as much as possible so we don’t step on each other’s toes. With that said, we cover for one another when necessary.

Q: Alicia, what is your advice to spouses opening up a business together?

Alicia: In order to make it work, I think it’s important you share a vision of what you want to accomplish. And you and your employees need to have a clear understanding of who is responsible for what. Opening a business might not be for every couple, but it’s been such an incredible experience for us. I couldn’t have picked a better business partner.

Q: Pedro, how will you celebrate Valentine’s Day?

Pedro: We’ll probably do something low-key, like a nice dinner at home and drinks at one of the restaurants by our place.

In their first full year of business, Alicia and Pedro’s San Diego franchise grossed $765,000, launched local Movers for Military and Movers for Moms® initiatives, and added 20 jobs to the local community. While love may not conquer all, it certainly can be an inspiring and motivating factor in owning a business together. With a strong foundation and managing expectations, love can build a franchise.

For more information on starting your own TWO MEN AND A TRUCK® franchise location and the performance information available to prospective owners, click here.

Who’s Franchising with TWO MEN AND A TRUCK®?

At TWO MEN AND A TRUCK®/INTERNATIONAL, Inc. growth is not expected and certainly not taken for granted. Growth is thoughtfully planned, purposefully funded, and aggressively executed. 2013 was an outstanding year for franchise revenue growth, specifically related to the record number of franchises added to the TWO MEN AND A TRUCK® footprint. This significant progress follows the upward trend of 31 consecutive months of double-digit growth, 33 being historical records.

The infographic below illustrates more of TWO MEN AND A TRUCK®’s growth and who’s franchising with us.

FDInfographic

TWO MEN AND A TRUCK® is the largest franchised moving company both in the United States and internationally. Currently there are more than 260 national locations and 1,600 trucks operating in the U.S.; in total, the company operates 280 locations and 1,800 trucks. TWO MEN AND A TRUCK® has performed more than 4.7 million moves since its inception in 1985. The company has seen consistent monthly growth dating back to December 2009 and more than 28 months of double-digit growth. Each location is independently owned and operated.