Becoming a Jack’s Paint & Hardware Franchisee
Do you have what it takes to be a Jack’s Paint franchisee?
To be a successful Jack’s Paint & Hardware franchise owner you will already have a driving urge to start your own business and work hard to make it a success. You will understand the importance of offering outstanding service and building your business around serving customer’s needs.
You will know the value of communication and people skills and be prepared to spend time and energy cultivating customer loyalty. You will also want to utilise these skills to build a successful team in your own business.
To achieve these objectives, it will be necessary for you to be a “hands on operator” and you will therefore be required to actively operate and manage the business daily.
Most likely you will already have some previous experience in the paint and hardware and / or building industry or previous business management experience within a corporate environment.
The qualities you require to become a successful franchisee are
- Hard work
- Sound business sense
Combine these with the support and years of experience offered by Jack’s Paint & Hardware franchisor, and you are ready to take advantage of an outstanding business opportunity.
Here’s what some of our current franchisees have to say about Jack’s and the franchise model…
The Application Process
- Enquiry received and appointment set for informal interview.
- Franchise application form issued for completion by prospect.
- Determine if prospect is a new site / operation or a conversion of existing hardware-type store.
- Conduct relevant credit and reference checks (personal and legal entity if applicable).
- Prospect to complete all Jack’s credit applications and credit rating established.
- Verify / proof of available unencumbered cash requirements.
- Issue written communication re next steps as well as Confidentiality & Non-disclosure Undertaking.
- Issue Disclosure Document and Franchise Agreement – 14 days business assessment period applies.
- Verification/authorisation of proposed site.
- Franchisee signs franchise agreement (if proceeding) and pays initial franchise fee – 10-day cool off period applies.
- Franchisee decision and Undertakings Letter to be signed.
- Store design and set-up / conversion process.
Franchise opportunities are available in the following areas / provinces???
- KwaZulu Natal
- Eastern Cape
- Western Cape
- Northern Cape
- Free State
- North West
The prospective franchisee – in the case of new set-ups (Greenfields) only – is required to pay an initial franchise fee. This amount is payable on signing of the franchise agreement.
Store Size and Set Up Costs
Jack’s Paint & Hardware operates on a model of setup cost based on the average size store of 400m². Conversion costs for existing businesses are determined per conversion application. The franchisor will provide further information in this regard once the initial enquiry has been received and reviewed.
Both new operations as well as conversion store franchisees are required to pay a monthly management service fee (MSF) based on a formula. The MSF is payable on or before the 7th (seventh) day of each month and is paid in arrears. This ongoing fee is paid in lieu of ongoing services provided by the franchisor and includes but is not limited to the following:
- Ongoing use of the trade names and trademarks of Jack’s Paint & Hardware Franchise.
- Regular visits by qualified Head Office representatives to ensure business standards, policies and corporate identity are maintained and quality of service is always of the highest level.
- Ongoing research and development in all aspects of the business format system as well as product range and services.
- Ongoing training for the franchisee and the franchisee’s employees (in some instances franchisees may be required to contribute to training costs but the franchisor will endeavour to always negotiate competitive rates with the training service providers).
- Ongoing negotiation with current suppliers for the best possible deals and discounts as well as negotiation with new suppliers.
Management service fee calculation for new stores:
New (Greenfields) franchisees pay a monthly MSF which is based on the square meterage of retail space (excluding office space, yard etc.) for their site. The fee escalates by 10% (ten per cent) per annum.
Management service fee calculation for conversion stores:
For the most part, conversion store franchisees pay a monthly MSF linked to a growth model. These operators are given the choice between paying the Rand per square metre fee or alternatively contributing a percentage of the rebates they earn from our registered suppliers. At the point where the rebate contribution is equivalent to the Rand / square metre amount, the franchisee has the option of converting to the latter fee structure.