Starting a new business comes with many doubts because you are never certain if it will be successful or a good decision unless you are halfway through it, or maybe it goes down quicker than you would ever think.
We are trying to say that doing business is risky, and you will be forced to find safer alternatives compared to others. Of course, without leaving behind the factors of profitability and interest.
Franchises are always great options when it comes to less risk and more safety in guaranteeing your success. However, they are also expensive, and we want to set this record from the very beginning.
Some can be a turning point since everything depends on the type and niche it is specialized in. For example, Fibrenew is a great alternative for both people who are trying to access a more affordable one and find the safe business they’re looking for.
However, is this franchise the actual business opportunity you’ve been looking for? And what about franchising? Is the business model a good idea overall?
We will review all the details about Fibrenew and help you ask the previous questions and others concerning ROI, profitability, and the future.
Starting a New Business: Fibrenew Inception
Every franchise started with a simple business that then transformed into what we know today.
When you’re considering betting your money, time, and energy into one, you need to know as many details and information as possible from it. At least, take the time to know the basics and crucial aspects.
Now, where can we start with Fibrenew?
In the case of this franchise, the truth is that we can’t find much information about its founders, how it started in specific, or why.
Instead, and even if you visit the company’s website, you will have an overview of its history and how things have developed over the years.
The franchise is very secretive and private when it comes to previous details like personal information about the brains behind it.
Therefore, we are “forced” to focus on the first years and how it has turned into a franchise.
Fibrenew is a mobile service franchise that specializes in the repair, restoration, and renewal of leather and other materials such as vinyl, plastic, and fabric.
Fibrenew has a rich history dating back to 1985 when it was first established.
The company claims to manufacture a highly specialized product line and call themselves pioneers in innovative color matching technology and repair techniques.
So far, over 80% of their clients can guarantee and certify this. However, focusing on its history, it didn’t take long for the company to turn into a franchise in the first place.
When it started in 1985, its success allowed Michael Wilson to purchase the first franchise, making him the first franchisee of the company in 1987.
Little did people know that Michael, along with Fran Wilson, would acquire the entire company in 1994 thanks to the growth the company was developing thanks to the franchising idea.
From here on, the franchise grows and provided records based on the years and specific locations established:
- In 1994, Fibrenew started to grow across Canada.
- In 1996, New Zealand was added to the list of countries.
- In 1999, Fibrenew’s first US franchise opened.
- The first building of the company opened in Mexico in 2000.
- By the time 2012 hit our calendars, Fibrenew reached 100 locations in the US.
- In 2019, the franchise in Chile opened.
To this date, 2021, the first franchise in Saudi Arabia opens, and over 270 locations are part of the company.
Is It Worth Becoming a Franchisee?
After all that information, we can start to talk about what you are truly interested in: should you invest in it or not?
First, you must know that franchising is a great option as long as you have the money to invest in it. As we mentioned before, it can be quite expensive regardless of the variations in initial investment depending on the franchise.
Overall, we would recommend it for two reasons: it is safer than other business models and allows you to have assistance in the process.
But here’s when our “no” comes: it isn’t only expensive but also takes time to establish and finally generate ROI and revenue.
If you know you aren’t someone that can invest thousands of dollars and wait for months or even over a year to finally have part of it returned or barely start, you can say ‘adiós’ to this option.
Suppose now that you want to give it a try, and that is completely fine.
In terms of the franchise, Fibrenew is a great alternative because the company has great reviews, reputation, and the services provided are of high quality.
You won’t have to worry about working with a franchise that delivers what it promises to its customers and work towards making sure you do the same once joining them.
What you will need to consider are the investment and requirements:
- Cash required: from $15.000 to $25.000.
- Net worth: there isn’t a minimum to fulfill.
- Total investment: from $87.000 to $100.000.
The initial cost of the franchise depends on your region. Are you in the US, Canada, New Zealand, etc.? And also, in what state or city?
However, on average, people spend about $45.000 for the initial investment, so you need to keep in mind this amount as a minimum.
Now, how does becoming a franchisee work? Do you pay for it and start working right away? If so, why is it so expensive?
Franchising works in a way as if you were establishing a business from zero by yourself, only that you are not alone.
In the case of Fibrenew, you will enjoy the benefits that come from choosing them as your franchise:
- Training and support to learn about services, how to perform them, how to manage the business, and every step required to start operating.
- Access to the franchise’s system to be added to the contributors and be sent some clients by other franchisees that can’t meet the services for personal issues.
- Supplies, vehicles, real estate, and all physical materials are provided.
- If you need to build the local and space, it is also possible. Not only buying when it comes to real estate.
- Website build and intranet assistance.
Authority and legal fees are also included in the investment you have to provide during the first payment.
Keep in mind that starting a new business comes with many permissions you have to get and factors to deal with, which the franchise for you will handle.
Pros & Cons: Our Verdict (And Make Yours)
We love writing about franchises because we know people are trying to find the answer to a very simple yet difficult question: “Is it worth my time and money?”
Of course, our role is to say “yes” or “no” and make it easy for you, which we will do.
However, we are particularly in pro of providing all the information, so our opinion and verdict don’t feel subjective or just because we show some preferences for some franchises.
Also, this helps you to make a decision on your own and have facts, not only someone telling you what you should do or not.
Therefore, look forward to the pros and cons below:
Pros:
- The company has a great reputation, its services are top-notch, and the service and support for franchisees are outstanding.
- You don’t have to start from zero alone.
- You will learn everything required and needed to work with the company as a franchisee.
- Marketing, advertising, assistance, and everything physical and material is provided.
- You have a great percentage of success thanks to the franchise’s reputation and if you’re able to maintain it.
Cons:
- It is expensive, and not everyone can bet on this option. After all, there is still some risk in failing.
- It can take over nine months to get started, which means you won’t get ROI and even less revenue.
- You have to work full-time based on the standards of the franchise.
- Franchisee fees are high and permanent. You will always have less income compared to a personal and completely owned business.
- If you don’t like this niche, you will suffer from working in it.
Considering all this, we would say that Fibrenew is a great alternative, and you should try it if you have set your mind to becoming a franchisee.
More than having problems with the franchise, it is about choosing this business model, and in this case, we wouldn’t choose it over other alternatives, but the franchise in question stays and is more than good enough to put your money in.
If Not This, What Business Model Do We Recommend?
Definitely, one that is less expensive yet offers the same percentage of risk and can provide independence.
It sounds very hard to find one like this, but it actually isn’t.
The problem we personally face with franchises, but we didn’t want to include in the cons because it is obvious, is the fact that we have to go to a store every single day.
It is exhausting and when we think about what is popular and profitable nowadays, don’t digital options come to mind first? Well, for us, this is the case.
Therefore, you can expect us to recommend an alternative related to this instead of going for franchising. But among all the options in this world as well, which one has our attention?
Digital real estate.
Unlike what you might think, this business model isn’t about buying properties and selling them online. Instead, it involves websites, companies, and many users on the Internet.
Before explaining any further, we want to add that even if you decide to franchise over this, you will need digital real estate at some point, although it may not be at full. You will get it soon.
What Is It About?
Creating websites, ranking them, and generating leads. Done, you get paid for this.
This is the basic and way too straightforward explanation, but you wouldn’t understand it that easily unless you had knowledge. So, let’s develop this idea.
Digital real estate is about choosing a niche locally.
Suppose there are many tree trimming companies around. You can choose this niche and contact them to offer your services. Now, what services?
You will be in charge of offering them websites that can generate leads they can convert into clients.
Leads are, basically, potential clients that reach out to the company indirectly and show interest in hiring services or buying products. Your role is to generate them by focusing on organic traffic first (organic means ‘free’ in this case).
The steps to follow are like this:
- You contact the companies or clients you want to bring.
- When they give you the green light and close the deal, you start building their websites.
- You must rank those sites on Google to generate organic traffic.
- This organic traffic must be converted into leads on the sites you built.
- Done. You get paid for each lead generated PER company/client.
If this follows this structure, why is it called “digital real estate”? Because you’re renting the sites, not selling them but rather earning money due to the leads you generated.
It is simple, doesn’t require much investment, and although you have to work hard, it will be from any place in the worth and leads to passive income over time.
Now, just keep in mind you require proper training to understand and perform all the previous steps accordingly.
For it, this #1 training program is our “good to go” if you are truly interested, aren’t you? Just click here!
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