Five things to consider when reviewing a franchising agreement

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Making the investment into a franchising business can be a thrilling time, as you’re buying into a brand with a proven business model and giving yourself a chance at business ownership within this framework.

Instead of starting from scratch with your own idea, you buy into an established brand where people recognize the name as you work to grow your operation in a new area. Like any business venture, it’s important to do extensive research and have a complete understanding of what your investment is going toward.

At TWO MEN AND A TRUCK, tour goal is to be as open and honest with potential franchisees about what they are buying into so there aren’t any surprises or questions after they’ve opened. Whether you are thinking of franchising with us or you’re buying into a different franchising model, there are some important questions you should ask when reviewing a franchising agreement.

1. What fees will I be charged?

This is a crucial question to ask right out of the gate, as it’s important to know what you’re getting. In franchising, some of the common fees you will see include the initial franchise fee, a transfer fee, a renewal fee, advertising fees, royalties, technology fees, and training fees. In some instances, a franchise may be required to use certain vendors with their own expenses. Make sure to review all of these details when making your financial projections.

2. How long does the agreement last, and what are the terms of renewal?

More often than not, franchise terms generally fall within the range of five to 20 year category. Make sure to verify with your franchisor that the agreement is long enough to cover your initial investment.

3. Is the agreement one-sided?

Often times, franchise agreements can contain provisions which on the surface, can seem to favor the franchisor, such as the ability of the franchisor to make enforceable changes to policies at any time. By investing in a franchise, the brand is your most valuable asset. You do not want the hard work you have put into your franchise to be undermined by the actions or inactions of a fellow franchisee. Franchise agreements must be strong to protect your investment.

4. Do I have the exclusive rights to the location I am purchasing?

Make sure you know what your investment is getting you – there are a variety of ways that a company can divide franchise territories, and territories aren’t always exclusive.

5. Is the franchise agreement negotiable?

If you research and find out that your agreement is negotiable, it should raise concerns. It is important to make sure your franchise agreement is uniform because this ensures that you and your fellow franchisees are operating under the same terms. This also guarantees the brand you invest in will retain its quality and value.

If you’d like to learn more about what franchising with TWO MEN AND A TRUCK is like, check out the video below!

TWO MEN AND A TRUCK® is the first and largest franchised moving company in the United States. Let us help move you forward! For more helpful tips and information on moving services subscribe to our blog and like us on Facebook.

A strong impression of TWO MEN AND A TRUCK sparked multi-unit franchisee’s interest in the brand

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Multi-unit Franchisee Curtis Newman’s main goals day-to-day are trying to grow his multiple TWO MEN AND A TRUCK® locations by providing the best customer service possible for his customers.

It’s the goal for all of our franchisees, but Newman was on the other end of this years ago – and it paved the way for where he is now. Newman, originally from Iowa, was familiar with TWO MEN AND A TRUCK and had seen the trucks around.

Continue reading

Franchisees use resources to give back to their communities during COVID-19 outbreak

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The business world is full of uncertainty right now as business owners determine how to navigate through the COVID-19 pandemic while keeping the safety of their team members and customers a top priority.

For our TWO MEN AND A TRUCK franchisees, they are doing the best they can to balance customer needs and giving team members hours, all while taking the necessary precautions and safety measures issued by the CDC and our government. It’s a tough task, but one they are taking head on as we work through new obstacles daily. Continue reading

TWO MEN AND A TRUCK: The Story of the Stickmen

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It was an idea that was simple enough – a local moving business for two high school students in the Lansing, Mich., area to make some extra spending money for fun.

That idea turned out to be something more than just a high school job; it turned into the nation’s largest franchised moving company. TWO MEN AND A TRUCK’s humble beginnings started with an idea by Founder Mary Ellen Sheets, and has since grown into a franchise leader in the moving industry, operating in 44 states, four countries, and with over 350 locations. Continue reading

Franchisee Success Stories: Jonathan Harshaw

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When Jonathan Harshaw signed his first franchising agreement with TWO MEN AND A TRUCK, he brought a diverse business background that helped him find success quickly.

“I had always been in businesses that were business to business, not business to the general public,” said Harshaw, franchisee of the TWO MEN AND A TRUCK Denver and Boulder, Colo., locations. “So all of a sudden, things like putting together a marketing strategy for the general public was an entirely new operation for me.” Continue reading

Starting your own business vs. joining a franchising opportunity

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-Written by Erik Sargent

If you’re an individual or part of a group looking to start a business, there’s endless thought and planning that needs to happen in order to ensure you’re making the best, and smartest, move.

Will the business be profitable? Is there long-term success? Are you starting from scratch, or are you joining a brand through an avenue like franchising? These are all things you need to consider before you start investing your own money. Continue reading

TWO MEN AND A TRUCK franchisees reflect on Movers for Moms® as Mother’s Day approaches

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Written by Erik Sargent

Being a TWO MEN AND A TRUCK franchisee is more than just building a successful moving franchise in cities across the globe – it’s about giving back to the communities they operate in, and making a difference for the people who live in these areas.

Founder Mary Ellen Sheets set this tone from day one with the company, and it’s a sentiment that is still carried out today. Of the many ways TWO MEN AND A TRUCK and our franchisees give back each year, perhaps none is bigger than our Movers for Moms® campaign. Continue reading

Multi-Unit Franchisee John Judson awarded this year’s Moving People Forward Award

“Moving People Forward®” means many different things in the TWO MEN AND A TRUCK® family, but you’ll have a hard time finding someone who exemplifies this motto more than Franchisee John Judson.

Judson’s fingerprints are all over the TWO MEN AND A TRUCK network, in fact for the last 25 years.  He’s part of a larger franchisee network- The Big Picture Group, which franchises in Illinois, Maine, Massachusetts, Missouri, New Jersey, and South Dakota. Under his leadership, countless people have gone on to advance their careers, and a large number of TWO MEN AND A TRUCK franchisees got their start working at one of Judson’s locations. Continue reading

TWO MEN AND A TRUCK hosts 29th Annual Meeting in beautiful Colorado Springs

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-Written by Erik Sargent

With the calendar hitting March, that means another year of the TWO MEN AND A TRUCK Annual Meeting as the company held its 29th edition of the conference last week at the Broadmoor Resort in Colorado Springs, Colo.

Making a return trip to Colorado Springs after hosting the event there in 2017, attendees were welcomed into the snowy Rocky Mountains for four days of discussing the direction of the company, new goals for the system, and learning about new developments that will be unfolding in the upcoming years. Continue reading

Success stories show why TWO MEN AND A TRUCK franchising is worth the investment

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-Written by Erik Sargent

As a potential business owner, you want peace of mind that the investment you make is not only worthwhile financially, but will provide you with a satisfying and rewarding ownership experience.

At TWO MEN AND A TRUCK, tour goal is to provide potential franchisees the transparency on what they can expect if they join our award-winning franchising family. When joining TWO MEN AND A TRUCK, you can quickly see the family feel and emphasis put on customer service and supporting our communities above all else. Continue reading