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Flying down to Los Angeles today to buy a WDR franchise

Will Reed

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Jun 3, 2010
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I will be purchasing a www.911restoration.com franchise tomorrow for my area. WDR is my next big step out. After attending Connections at Las Vegas last year and meeting and talking with a lot of people I knew that WDR would be my next big venture.

In my local area there is a ServPro, Service Master, Rainbow international, and a klean rite for franchises. There are a 3-4 independents. Their online marketing seems to be pretty weak, when you do a search for Missoula water damage https://www.google.com/webhp?sourceid=chrome-instant&rlz=1C1SAVC_enUS508US519&ion=1&espv=2&ie=UTF-8#q=missoula+water+damage You only get 3 locations for google places.

Sometimes it only takes 1 job to make your whole year. Last month a toilet ran continuously all night in a high school and flooded a gymnasium. It was estimated it would take 2-3 weeks to dry out and the bill would be over $100k. Industry average net is 60% of gross in this industry after paying labor, insurance, franchise fees, and marketing. During winter of 2014 a boiler room had pipes burst and the same thing happened in another high school.

I was contacted by 911 restoration because they said they were getting 5-10 leads a week from their nation wide based marketing but had no one here to do the work. Once I sign on with them they will do more localized marketing so the number of leads should go up even more. That is the #1 thing I am wanting from a franchise is work sooner rather then later. I know from building a carpet business from the ground up you start out dead slow and build your way up. I am hoping to get a good start with this business and from talking to other 911 restoration franchise owners it sounds like I will. One guy I talked to in Michigan said he worked as an independent for 8 years before signing on. After those 8 years he has 2 vans and 2 employees and worked directly with his guys on the jobs. 1.5 years later he now has 4 vans 8 employees and delegates most of the work. His slowest month was 47,000 gross. His area has 1M people and my area only has 150,000 people so I don't expect to do as well as him.

So what I'm looking at is 5-10 leads a week without localized marketing and an average nation wide ticket price of 3500-5000 according to their database. I only need one job a month for the business to pay for itself. I don't expect to see much personal return until about 6 months from now as most of my profits will be going into buying more equipment and vans.

I'll be taking a tour of 911 restoration's corporate office tomorrow during my orientation and will post a few pictures here. I'll also be using this thread to update my experiences with this franchise here. The initial franchise buy in is $28,850 and I'll probably buy another 15-20k in equipment.
 

Gasoline

EcoTech Carpet Clean: The Green Choice
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After the initial buy in, how much are franchise fees? Do you pay monthly?
 

Will Reed

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Jun 3, 2010
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Missoula, Montana, United States
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With that 10% how much do they put into advertising?

Do they have everything already produced?
I'm sure I will find out. The independent guy that bought a 911 franchise that I talked to over the phone said they quadrupled his business in less then 2 years after he had been in business for 8 years. If your annual gross gets to over $1m the franchise fee drops to 6%.
 

ohhundred

Active Member
Feb 14, 2012
383
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CA
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David K
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United States
I will be purchasing a www.911restoration.com franchise tomorrow for my area. WDR is my next big step out. After attending Connections at Las Vegas last year and meeting and talking with a lot of people I knew that WDR would be my next big venture.

In my local area there is a ServPro, Service Master, Rainbow international, and a klean rite for franchises. There are a 3-4 independents. Their online marketing seems to be pretty weak, when you do a search for Missoula water damage https://www.google.com/webhp?sourceid=chrome-instant&rlz=1C1SAVC_enUS508US519&ion=1&espv=2&ie=UTF-8#q=missoula+water+damage You only get 3 locations for google places.

Sometimes it only takes 1 job to make your whole year. Last month a toilet ran continuously all night in a high school and flooded a gymnasium. It was estimated it would take 2-3 weeks to dry out and the bill would be over $100k. Industry average net is 60% of gross in this industry after paying labor, insurance, franchise fees, and marketing. During winter of 2014 a boiler room had pipes burst and the same thing happened in another high school.

I was contacted by 911 restoration because they said they were getting 5-10 leads a week from their nation wide based marketing but had no one here to do the work. Once I sign on with them they will do more localized marketing so the number of leads should go up even more. That is the #1 thing I am wanting from a franchise is work sooner rather then later. I know from building a carpet business from the ground up you start out dead slow and build your way up. I am hoping to get a good start with this business and from talking to other 911 restoration franchise owners it sounds like I will. One guy I talked to in Michigan said he worked as an independent for 8 years before signing on. After those 8 years he has 2 vans and 2 employees and worked directly with his guys on the jobs. 1.5 years later he now has 4 vans 8 employees and delegates most of the work. His slowest month was 47,000 gross. His area has 1M people and my area only has 150,000 people so I don't expect to do as well as him.

So what I'm looking at is 5-10 leads a week without localized marketing and an average nation wide ticket price of 3500-5000 according to their database. I only need one job a month for the business to pay for itself. I don't expect to see much personal return until about 6 months from now as most of my profits will be going into buying more equipment and vans.

I'll be taking a tour of 911 restoration's corporate office tomorrow during my orientation and will post a few pictures here. I'll also be using this thread to update my experiences with this franchise here. The initial franchise buy in is $28,850 and I'll probably buy another 15-20k in equipment.
What part of Los Angeles are there offices at?
 

E Tes

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Jan 22, 2014
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10% isn't bad.... I would pay 250.00 for my average wdr job of 2500.00 every week!! Great deal if they get you the leads
 

E Tes

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Jan 22, 2014
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Did they give you any equipment requirements??? Like minimum amount if equipment so many # of dehus and air movers ? Do you have to wrap ur trucks with their stuff?
 

Mike Krall

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Apr 24, 2013
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You're not going to be doing carpets anymore? Do you have to buy their products?

I passed up on a WD bid once because I didn't know anything about the process. Was $10k for a couple of days work.
 

Will Reed

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Jun 3, 2010
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Missoula, Montana, United States
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Will Reed
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United States
Did they give you any equipment requirements??? Like minimum amount if equipment so many # of dehus and air movers ? Do you have to wrap ur trucks with their stuff?
I think I saw they recommended starting out with 4 dehumidifiers and 15 air movers. They've started out a lot of new franchises so I'm sure they know what they are doing and will follow their advice. I'm good at not reinventing the wheel.

I can buy the products through them or a distributor if I want. I was told it is probably cheaper through them since they have more buying power but I was free to buy from whoever I wanted. I would prefer if the equipment I bought had 911 branded logos on it for more branding purposes and for equipment tracking to cut down on theft or loss. I like how Servpro has all their equipment green for example. Wraps on vans or trailers is also mandatory.
 
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Dennis Anderson

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Jul 16, 2012
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Will, Good for you. I think you will do well, as you seem to have the drive! Maybe you'll be the first person here to pay themselves more than a Doctor! I'm sure you're having an attorney look over the documents before you sign, right?
 

Will Reed

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Jun 3, 2010
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Missoula, Montana, United States
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Will Reed
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United States
I'm still doing carpet cleaning. I will keep my experiences with this franchise updated here so that you guys will know if its any good or not. I've talked to a few franchise owners and they've been really happy so far.
 
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Johnny Bravo

Hacking my way though life, one room at a time.
Apr 25, 2011
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I'm still doing carpet cleaning. I will keep my experiences with this franchise updated here so that you guys will know if its any good or not. I've talked to a few franchise owners and they've been really happy so far.
Will where you staying at? I'm 10 miles from Van Nuys right now.
 

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