Episode Transcript
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It's time for another episode of the
Franchise Business Radio Show, broadcasting live their
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probos is channel studios in Atlanta,
sponsored by franchise intellect. Knowledge of the
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franchise community for franchise selection. More
Info at franchise intellectcom, also made possible
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in part by franchise dot city,
a better way to buy a franchise.
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More Info at franchise dot city.
And France, serve the world's largest franchise
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consulting and expansion organization. More Info
at Frand servecom. Now here's your host,
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certified franchise consultant, Pamela Curry.
Good Day, it's Pamela Curry,
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hosts a franchise business radio, a
platform spring together franchise professionals to connect,
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educate and collaborate to serve the franchise
community and those considering franchise ownership. Today
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on Franchise Business Radio we have two
two professionals from closet and George concept and
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more space plight. I'd like to
go ahead and welcome Bob the list.
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President, CEO, Bob, welcome
to franchise business radio show. Oh Hi,
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Pam, thanks very much for having
us on your show. Pleasure to
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have you and it's my understanding we
have a fellow colleague, Adam, and
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Adam did this is a tongue twitter. Adam Ed invendor had. Did I
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say that correctly? For no creation, excited to have you. Yeah,
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we're just joking earlier and that the
very German name and I feel like I
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should be at a German brewery or
October fest, if that's happening this year.
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But exactly that's that is definitely the
plan. And and Adam, your
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role with clause and seorage concepts and
more space place is EPA franchise development at
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that correct? Correct that you were
on the franchise conception. Wonderful. Let's
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go ahead and dive in. For
our listeners, I'd like to go ahead
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and give them an understanding of who
is closet and seorage concepts and more space
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place. Bob, I know that
he founded the company in one thousand nine
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hundred and eighty seven in the Philly, southern New Jersey area. Would you
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like to explain a little bit more
about your concepts and what it is you
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do? Sure, thanks, Pim. As you said, I founded the
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company in one thousand nine hundred and
eighty seven in southern New Jersey serving the
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Philadelphia Metro area, began to grow
locally and then franchise the business. In
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two thousand began to expand in various
states in the country through franchising, and
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then in two thousand and thirteen we
had an opportunity to acquire, in a
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friendly acquisition, a competitor called more
space place, and those markets were not
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in any conflict with the quaw it
in storage concepts markets. So we've been
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able to operate both brand identities without
having to change anyone's name and start over
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their branding. The business is essentially
the home improvement, home furnishings, home
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decorating business. We come into people's
homes, we measure spaces within the homes.
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Typically it's closets, garages, Pantreyes, Code Closets, etc. And
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also we're very big in the Murphy
Wall bed business, so will measure spaces
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in bedrooms for people who want to
add additional sleeping space in their home.
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Excellent. I Yeh, I noticed
that. I was in check out your
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website, beautiful website by the way, and yeah, absolutely, your private
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help company forty three locations, free, company owned and forty franchise, all
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in eighteen states. So definitely receiving
the Nice growth and an emerging, emerging
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brand. Congratulations. Thank you.
Yeah, in addition, I know,
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I know it's in you are a
member of the International Franchise Association and just
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for those third periods, headquartered in
West Berlin, New Jersey. Before out
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of my I'll come over to you
in a second, but before we do
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that probably should we just kind of
staring with us the state of the whole
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improvement home furnishing industry before covid and
what it looks like now. It's a
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great question, given the challenging times
that the country is going through. With
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covid nineteen, our business has always
been very strong throughout I wouldn't say it's
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recession proof, but it's certainly recession
resistant because when times are very good in
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the economy, people tend to spend
money on their homes, their homes appreciate
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and value, they feel more comfortable
making improvements and investments in their homes,
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and when times are not as good, they tend to stay in their home,
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they don't sell and move as much, they stay in their job,
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etc. So we tend to do
very well in both types of an economy.
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Covid of course, initially had a
very negative impact on our business as
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in many states we were shut down, we weren't allowed to operate our show
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rooms. But coming out of those
lockdowns, our business has exploded and if
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you're familiar with what's going on in
the housing industry in general, you're you're
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hearing the same thing we're experiencing.
Our sales are dramatically increased thirty, forty,
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fifty percent month over month a year
ago. So we're going through an
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explosive growth period right now. That's
great to hear that. I was condemn
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tap start living in this bipolar environment
either thriving or dying, and to thriving
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is where you want to be.
Absolutely. You're management a team is you
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know, as very deep experience and
obviously we've got to added on the line
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with us as well, and I
know Adams just join your company in September.
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Of Two Thousand and twenty that I
know he's brings on tremendous amount of
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franchise mist experience. Your team,
Adams. As for our listeners, it's
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our saying that you start to vp
a franchise development for Primo hogies and it's
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a similar positions with Duncan brands,
also remixt in our national equizos and you
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also involved with the International Franchise Association
and has your certified pressures and executive certification
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there and as well as being a
member of the International Council of Shopping Center.
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So Games commercial real estate side of
things, it's alred to say work
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closely with franchise owners on real estate
business grows strategies, benchmarking performant and I
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know you're fairly new to team.
A talk trip a little bit about that,
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because whatever you have a store prime, there are a lot more moving
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parts right real estate. I mean
that's a big one. Site selection.
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Could you give us some insight sare
yeah, absolutely, it's thank you for
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the introduction of the badios. GOING
TO BE Industry for for court from times
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with two thousand two and all of
us done on the franchise devolvements, mostly
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those in the restaurant industry where,
as you know, restaurant franchise and you
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location, location, location rights,
is very heavily involved in the real state
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selection and real state strategies. But
I think they that experience those very well
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for this industry as well. Specifically. Even know, for indoctor wells saying
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about how the industry is doing in
home improvements right now. I think it's
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a fantastic time to leverage some of
the real estate going on right now in
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terms of the folks that maybe are
making it work quite as well as the
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home improvement industry and leverage those those
pieces of real estate and help or franchise
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used to move into maybe better show
rooms and make those beings models work a
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little bit better. That's that's great. And Location, location, location,
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they get. It's interesting. I
frequently well, we'll share with your candidates
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that I'm working with that. Yes, there's often a performance gap within a
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franchise system, and not to over
some I've but often it comes down to
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one of two things. The operator
maybe not following the system like they should
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or be they landed themselves in the
wrong market. So location, location,
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location, as always, a big
piece of the puzzle. I'd like to
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bother. Want to talk a little
bit about your products and services that you
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offer, as well as that can
band levels. How would you classify this
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type of home improvement and the can
man level that are out there? Could
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get elaborate a little bit more on
that, I'm sure. PAMP. Thanks
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and, as we all know,
more and more people are working from home
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or working remotely. Quite often,
if you're in a suburb suburb area of
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a major city, people aren't going
into the cities like New York or Philadelphia,
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certainly on the west coast, so
they're spending more and more time at
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homes, in their homes. Quite
often you have children now being educated from
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home in remote learning. And on
top of all of that, people are
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not traveling, they're not going on
vacations. There's are as we all know
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are traffic is down fifty percent or
greater, depending on the the time of
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year, and all of those things
combined mean that people have more disposable income
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to spend on their homes. So
right now their focus areas tend to be
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closet is still number one. There's
something safe and something comfortable about having your
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closet organized from a psychological standpoint.
That that's always been there, but certainly
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people are feelings stressed now in their
lives in general and as a result,
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closet is still number one. Home
Office, as you might imagine, is
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very popular right now. We're doing
a tremendous amount of Home Office work and
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in many cases that Home Office system
is being combined in or combined with a
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Murphy wallbed system, so you're taking
a room that was a bedroom and putting
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a home office in that room along
with a fold down murphy bed that folds
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back up into the cabinet when it's
not being used, and it makes the
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room multi function and very accessible for
whatever you might have going on in that
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area. Absolutely, it's interesting you
should say that, because one of the
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first things that I take on mind
was it's a stress reliever, and a
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lot of us are looking for that
right now. Brilliant, though, the
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multifunctional room and, yeah, really
capitalizing on the space you have in your
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home, since you're going to be
spending so much more time there, especially
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these days. Let's go to the
other side of the equation. I would
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say there's two sides of the business
equation. One side of the equation is
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is really the business model itself.
Are Really having those proven methods of operations
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in place and as a prospective franchise, that's really what your life has seen.
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The rights to obviously your license rights
to brand as well, but it's
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license seen the right stuff business rescue
book and receiving the train and the support
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and help the site selection and all
of those other things that go along with
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it. But we talked about why
closet and storage concepts and more space place.
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What are some of the few point
defections between us? Well, the
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first distinction I would say, is
that in the first similarity, which is
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easier to talk about, is that
in both cases you have physical show room
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that is accessible to consumers, that
is typically open nine hundred and twenty five
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Monday through Friday, Saturday's ten to
two or by appointment, depending on the
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market you're in, and you're displaying
these home improvement home space saving products,
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closet systems, Murphy Wall beds,
Home Offices, as we've been discussing,
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in the show room and you're selling
things from that show room to consumers by
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going out and measuring in their home
the space and designing the product to fit
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in that space. That's the same
in all models. The big differences in
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the closet and storage concepts. Brand. Your manufacturing your own products under our
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templates and our guidelines, but in
your own building we help you set up
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a cabinet making shop. We have
vendors that we have national programs with for
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woodworking equipment as well as raw materials, and you're setting up your own shop
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that you're then building the products that
you ultimately are delivering and installing and consumers
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homes in the more space place brand
we have a centralized manufacturing facility located in
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clear water flower to your orders are
placed there, we manufacture the goods for
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you, ship them to you ready
to install. So you avoid the investments
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that are necessary for the shop,
the equipment, the inventory and we do
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all the work on that end for
the franchise owner. Brilliance. I can
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see how that's complimentary. Like you
said, Oh, it's not competing interest
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there. Right. Then you have
franchise's who really enjoy that side of the
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business, who like the idea of
being handson in manufacturing as well as the
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selling and installation. But you have
other franchise's who would rather focus their energies,
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in their time and their capital on
sales activities, marking the activities and
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they don't really want to deal with
the manufacturing side of it. So we
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can address both of those interest levels. So let's talk about that. The
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ideal candidate, if you're going to, you know, give the profile,
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the idea of Franchise v Guy candidate
their career experience. What are you looking
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for, and I also gets up
to both of you, Bob and Adams,
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whoever wants to take that question.
What are you looking for in a
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perspective franchise? Adam, you want
to jump on that one? Sure,
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yeah, so we look for a
lot of things and the moon focus for
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us who has professional that can build, operate, as well as Shu me
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manage and motivated team. At the
end of the day, it is a
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team efforting our in our business and
with any franchise. She have to be
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that guy that can that can do
that, of that Dolt, as it
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were, to come in and be
able to build a team of not only
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sales people, see a suicide of
the closing storage concepts, but be able
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to build a manufacturing team and install
team as well. So that's that's the
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number one thing, I think that
we look for in franchise. In terms
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of some of our franchise's that are
doing very well with us, their best
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grounds tend to be somewhere in the
manufacturing or in shoos me in that kind
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of home improvements or construction space.
But that doesn't say that someone coming in
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a sales and market and couldn't do
very well with this. So a lot
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of different alvities are we had and
it's up to nail down this one trait
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that's going to make us successful or
good, ideal franchise for us, other
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than being able to come in and
manage a team, build any teams and
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really kind of bring that home for
success and that that's that's her profile.
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Transcend over close and search concepts,
as well as more space site. You
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kind of lived to something earlier Bot
that you know franchise. They enjoy different
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sides of the bit. That then
you would be, I guess, the
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direction that you would send a prospective
franchise based upon very areas of interest,
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which concepts would lend themselves better to
one potential franchise over another. That's a
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good point and I would agree with
everything Adams said and I would only add
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that one of the constants that I
find makes for a successful franchise in our
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networks is a people person, someone
who enjoys being around other people, someone
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who likes interacting with people and at
a variety of levels. So on the
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one hand you're interacting with consumers in
the business to consumer side, of the
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business but, as Adams said,
you're building a team internally where you're motivating
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and managing and letting people be creative, but within the system and following the
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model. I would say that overall, what we look for when we talk
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with a candidate is their comfort level
with a complex business, bringing together all
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those different disciplines, between sales and
installation and running the show room and marketing
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and if you add on manufacturing,
is that too complex for some people and
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some people just are not comfortable in
that manufacturing type of environment, and for
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those types of people we try to
dig into that with them in the beginning
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to try to figure out what makes
the most sense for them between the two
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business models so that they're comfortable because, as we all know, and Pam
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you do this obviously a lot.
You're interacting with people who start a business.
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In the beginning you have tons of
enthusiasm, you have tons of energy,
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but after you get in it for
a while you start to realize that
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there are things about it you like
and things you don't like. It's best
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for us to identify those characteristics in
the candidate early on in the process we
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can point them in the right direction. Makes Sense to talk a little bit
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about. I guess the show room
itself that they're like you said, there
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are some propectives. What is that? How big is the show room?
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But that site selection look quite Adam
that might go more towards you. A
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kind of demographics are we looking for? You know, if they're an ideal
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market that we want? Yeah,
there's, there is. And are on
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the more space place, we look
for generally inline shopping center type of locations
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with with good co tendencies pretendencies.
That seems to work well for US or
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other big box brands. So when
you look at that beyond the home goods
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store, is turns us to be
a really good dator for us martials Ross
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those types of maybe not everyday occasion
shopping centers, but certainly onces a we
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go on some month type of shopping
center will we can get that visibility.
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As with every other retail player out
there were we're looking for good visibility from
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the road. We're looking for strong
demographics and residential population, a good mix
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at daytime population and get visibility on
signage. So that seems to be a
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good recipe. On the more space
placed for the close and storage concepts,
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it is a little bit different because
we're adding in that manufacturing piece to it.
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So typically we would be in a
light industrial, sort of industrial mix
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type of center that has a good
retail presence on the on the front end.
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So we can have a show attached
to that, to that cabinamaking shop.
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We've also in the past, and
is a good, good example,
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is here in West Berlin, we
have our manufacturing center, but then we
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also have a separate retail show room
that kind of meets the same as the
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more space plates model and that twelve
hundred or two Thou Square Foot Range Shopping
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Center with all the traits I mentioned
earlier. So there is a little bit
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of a mix and we have a
bit of flexibility as we're looking at real
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estate for new franchise. You although
the core demographics as well as the visibility
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and all those things kind of stay
in play, that we have a little
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bit of flexibility keep to what after
excellence, and I am if it take
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for me to assume that with both
both brands that you are looking for the
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active boner operator or to permit them. I am seat what it's allowed there.
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We're really looking for an active owner
operator that doesn't say that we don't
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have a few that have evolved,
as they've been in business longer, into
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in some cases almost fully absentee or
at least partial absentee, but it is
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the minority in our system and certainly
in the beginning I think it's best to
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have an active owner operator from the
beginning. I'm going to give this broad
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question. Why closet and seorage concept
and why more space place? I'll start
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with that one, if you will. I would say that what you said
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earlier, Pam, is critical when
when someone is contemplating starting their own business
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and investing in a franchised operation,
regardless of industry, the experience of the
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franchise or the support staff experience the
years they have operating in the business.
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I would also say that the franchise
or operating company owned stores, as well
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as franchise guys stores, gives them
what I've always called a kind of street
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credibility with the franchise community that they're
actually out there running the businesses as well
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in, of course, noncompeting markets, but they experience what it's like to
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run the business. In our case
we have thirty three years experience as a
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company. I am the founder and
am still the active President CEO of the
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company and we are independently held.
As you said earlier, you have a
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staff here that literally I have staff
members on corporate support staff that have been
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here from the very beginning of the
company, thirty three years. Most of
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the company support staff are here multiple
decades, anywhere from twenty five years to
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fifteen. I added it up once
and it was well over a hundred and
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fifty years of combined experience at the
corporate staff level. And these are all
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people who have been doing this for
decades, who really know how the business
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runs at an intimate level and a
cheer point. Did that deep industry experience
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and have a staff with breaths and
death of knowledge and information, because very,
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very far. Is there anything that
either of you would like to add
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or share? To someone who says, you know, I want to consider
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looking into closet and storage concepts or
more space place, I would just say
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that, believe it or not,
it's a fun business. Not every business
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can be fun, you know,
and I don't want to start picking industries
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that might not be fun, and
certainly forgetting about covid for the moment.
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You know, a lot of businesses
are challenged in ways that we can't even
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begin to imagine in the personal services
businesses, restaurants, etc. But absent
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the current environment, which will of
course at some point end, we're in
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a fun business. Will what we
do is we come in and we help
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people realize their real dreams in their
home. It's a it's a gift to
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themselves quite often and it's the fun
business. And when we're done the the
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impact it has on people's lives is
just dramatic. When your closet was piled
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full of stuff and you couldn't find
anything and then all of a sudden it's
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all neat and organized. You know
the website, as you said, Pam,
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showing those pictures of what can closet
look like or what can a Home
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Office look like? It's dramatic and
it's a fun business. I can see
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that. And just to see the
end result, the before and they after.
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Wow, right, and the stress
relief can be organized and I'm already
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dreaming. I'm dreaming right now.
Get it. It's a prot good business.
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It is. It definitely is and
I appreciate. I appreciate both of
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you being on the franchise at Business
Radio Show, and that's for a little
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bit of fun. Do I dare
bring up the topic of football? I
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do. Tell who are your team? Well, this is a lot of
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my I grew up in Denver coloradous, so I'm a Dun broccos Fan.
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Although we are not having a great
year, we were hoping to build for
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the second half, and my wife
graduated from University of Nebraska's we're also a
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Nebraska corners who also not started the
years right. What we are looking forward
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to getting building for the second half
of the season. I keep that positive
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attitude. Bob, how I yourself? Well, I grew up in Baltimore
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and so as a colts fan,
and then, of course, I was
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there when the colts left Baltimore in
the it was the early s. So
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my favorite team is any team that's
playing the Indianapolis Colts on any given weekend,
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because once they left they're dead to
me. But, having said that,
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I've learned to love the Philadelphia market. I've been here now for thirty
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six years, I guess, or
so thirty seven years, and the eagles,
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of course, winning the Super Bowl
a few years ago was, you
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know, really exciting, great thing
for the city. So I've and I'm
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a hockey guy, you know.
I know you said football, but I
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grew up very active in hockey.
I coached Youth Ice Hockey for almost twenty
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years played as an adult. So
I I'm a hockey guy. So the
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Philadelphia Flyers are near and dear to
my heart. I get it. I
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00:27:26.329 --> 00:27:30.799
get it since great and admittedly so. I'm from steady Ohio, so I
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think of the Bangals, my bears, but I have officially become an adopted
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eagles fan, so I appreciate that. There also, they are, they
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are where fly, Eagle fly right. We're hoping that will come out of
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this well. Again, thank you
so yes, thank you so much for
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being on the franchise distance radio show. It has been a pleasure getting to
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know you virtually and just sharing about
the franchise opportunity of closet and George Concept,
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along with more space place on great
obviously deliverable to the and consumer,
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but it's even greater important, a
great business opportunity for the right person who
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is considering franchise ownership, and if
that is you, please do not hed
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take to reach out to me.
Pamila Curry, the franchise consultant that represent
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close and George concepts and more space
place, with welcome, getting the information,
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getting you introduced and allowing you to
go through the discovery process to determine
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whether or not you're a good fit
for clause and George concepts or more space
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00:28:51.910 --> 00:28:56.299
place and determine whether or not their
good fit for you, and bringing that
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together. In closing off it,
would you like to share, if some
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wanted to reach out to you,
what would be the best way to the
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00:29:04.660 --> 00:29:11.369
Conte them to contact you? Our
National Corporate Office is one eight hundred eighty
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00:29:11.490 --> 00:29:18.329
six to nine, one nine.
Adams extension, who manages, as you
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00:29:18.410 --> 00:29:22.650
know, our franchise development business.
His extension is zero, zero nine and
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00:29:22.769 --> 00:29:26.920
that's probably the best way, or
certainly through our websites. The websites would
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be closet and storage conceptscom or more
space Placecom, and you can submit inquiries
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00:29:37.039 --> 00:29:41.869
for Franchising through those sites as well. Excellent. Thank you for that again.
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00:29:41.990 --> 00:29:45.789
Thank you for being a guest on
the franchise business radio show. A
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00:29:47.589 --> 00:29:52.619
platforms bring business professionals together to connect, educate and clibreak serve the franchise community
333
00:29:52.900 --> 00:29:59.259
and those considering franchise ownership. If
you're considering franchise ownership, please don't hesitate
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00:29:59.299 --> 00:30:03.900
to contact me, certified franchise consultant, Pamela Curry, at eight poor seven
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00:30:04.299 --> 00:30:08.450
nine seven zero, eight, seven
six five, or you can also email
336
00:30:08.529 --> 00:30:18.369
and me at Pam at franchise intellectcom. Franchise Busts Radio is sponsored by franchise
337
00:30:18.490 --> 00:30:22.000
inmplect, knowledge for selecting a business, as well as franchise dot citty,
338
00:30:22.160 --> 00:30:26.359
a better way to buy a franchise
and also made possible by Franscher, the
339
00:30:26.400 --> 00:30:33.440
world's largest franchise consulting and expansion organization. Thanks to everybody. Have a wonderful
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00:30:33.519 --> 00:30:37.950
guy. Thank you, Pam.
Thank you. Thank you again for joining
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00:30:37.990 --> 00:30:41.990
Paml to curry and her guest for
the Franchise Business Radio Show sponsored by franchise
342
00:30:42.069 --> 00:30:47.950
intellect. Knowledge of the franchise community
for franchise selection. More Info at franchise
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00:30:48.029 --> 00:30:52.460
intellectcom. Also made possible in part
by franchise dot city, a better way
344
00:30:52.460 --> 00:30:56.339
to buy a franchise. More Info
at franchise dot city and friends. Serve
345
00:30:56.460 --> 00:31:00.819
the world's largest franchise consulting and expansion
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346
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