So What Do You Need To Know About The Sign Business?
Q? How big is the trailer and what size vehicle will I need to tow it?
A. The trailer is eighteen feet over all and weighs about 4,500 lbs. with all the equipment installed. The tongue weight is approximately 500 lbs. Most medium sized pickups will tow the trailer, however we recommend a full size three-quarter or one ton pickup or van to better handle the day to day chores of your On-Site Graphic business.
Q? Why should I consider a mobile On-Site Graphic business over a more conventional sign shop?
A. There are many auxiliary reasons that you will discover as you pursue this opportunity further, but touching on the major points – first there is the lower overhead of not having to pay rent on a retail property. Secondly, the trailer out in the community gives you exposure without the cost of advertising. This exposure is many times more effective than advertising. With our Island Reflections Inc. business grew 33% the year that Tim added the trailer. Growth up to that point ranged from 3 – 6% with advertising. The growth experienced would have required a tremendous advertising expense if it where not for the trailer.
Q? Will I be able to do other sign work, i.e. can I be a full service sign shop?
A. Since we are not a franchise you can branch out in any direction you chose. If you have adequate garage space for sign layout and construction you may want to go in this direction. Our caution is that in the current market, simple vinyl signs and lettering have the very best margins. In our corporate owned business we do complex signs, however it takes away from our high margin vinyl work.
Q? Why isn’t On-Site Graphics a franchise?
A. Been there done that. The cost to create a franchise that would be available in a reasonable number of states is exorbitant. We would have to pass the expense over to the franchisee at some point. This is one reason franchise fees have risen so dramatically over that past several years. We feel that a business of this size would be overly burdened by monthly fees or percentages of YOUR profit. Franchises do offer needed support for the new business owner and we do as well, but on an as needed basis. We have recurring training scheduled during the slow months and if you need more immediate help we will consult either over the phone or in person for a set fee. You will get what you need when you need it, and you do not have to continue to pay for what you might not get any value out of.
Q? Is this a business that anyone can make work?
A. One thing that you should be aware of is that not every one is suited to running their own business and not every business is suitable for the person that is a viable candidate for their own business. In the process of working with you during the sale of an On-Site Graphics business we will be sizing up your personality and abilities to see if we think you will be a successful On-Site Graphics owner but will enjoy being in this business as well. The business is a mix of technical/computer skills as well as sales/people skills. You will need to be well versed in both to take this business to the highest level. It is our desire to work with the right people. Please be assured that if we do not feel that this business is right for you we will not offer it to you.
Q? So you charge a one time fee for the business and make your money upfront, why should you care if I succeed?
A. We have a desire to build something of value here for all the business owners. This means having enough trailers to do things that require economy of scale. If you are not successful we can not use you as a reference to other customers. Because of this we want to create a long string of successful customers and we have taken every step that we can think of to assure that this is the case for you as well.
Q? What kind of permits do I need to have to operate in my state of ______? Town?
A. Some of the basics are a federal tax ID (EIN) a permit to make retail sales which will be either on a state or town level or in some cases both. In any case it will take a little bit of research on your part to meet all of your states requirements. The Pre-Launch Manual that you will receive with the down payment on your On-Site Graphic business will direct you on how to meet all of these requirements. We also direct you to local sources that can assist you with this important task.
Q? What if someday you decide to make this a franchise?
A. The legal structure of this business allows for that eventuality. At a certain number of trailers it may be beneficial to convert to a franchise and it will add value to your business. On-Site Graphics would only consider it if the majority of the owners were in favor of it. The terms for existing owners would be made very favorable, they would have to be; because of the business structure participation would be strictly voluntary. The way your business purchase has been set up both you and On-Site Graphics has full flexibility for the future.
Q? If I want to sell this business is there any thing in the way of doing that?
A. No, but we do stipulate that we be notified and that the new buyer agrees to the same operation standards that you agreed to at the initial purchase. This is to protect you from anyone else that may have a business adjacent to yours and wants to sell it. This could impact your business and there would be little recourse for us to affect a cure.
Q? Is all this too good to be true?
A. No, we have taken care to set this up for you to succeed. We have also taken care that we will succeed as well. The down side is that we all have to work pretty hard for it to work. The sad truth is that hard work is not always rewarded the way it should be in the corporate world. If you do not mind putting in a solid day’s performance, then you should be working your own business to reap the full rewards of your effort. You of course can fail at this business, pick the wrong area, not work up to your full potential, and over extend your financial abilities. We have tried to give you a road map around these kinds of pitfalls; it is however still up to you to. You have to decide that you will make your On-Site Graphics Business a success.
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"Un-Franchising"
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On-Site Graphics Customers
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