The Advantages of Owning a Tree Service Franchise

By Tree Service Franchise Guide

A Tree Service Franchise provides you with a professional image through a nationally recognized brand within an industry that is not as widely known as others, making it the perfect option to thrive in the franchise business. A tree service franchise might be something you would not have thought even existed, but it does, and it does not take much to own one. Having this type of franchise is more than just trimming trees.

Like we’ve mentioned, it’s a relatively new market not many have heard of, so you have the chance of being part of an industry that is generating high income and growing. And you can do this by becoming a tree service franchise owner.

What Do You Need To Become A Franchise Owner?

What Do You Need To Become A Franchise Owner?

With a national brand image within an industry that is not as saturated as others, a Tree Service franchise offers a professional framework that makes it the ideal opportunity in which to succeed.. These franchises are more about handling people and staying calm, and working hard. Do your homework and you’ll be good, but if you don’t, you might miss on a lot of great opportunities the industry offers. 

Afterward, there are a few things to keep in mind and try to accomplish: 

  • Assess yourself
  • Consider costs
  • Speak with an Attorney
  • Share thoughts with franchisees
  • Be willing to work hard

It takes about 450 to 510 days (a year and a half) for a franchise to be truly up and running while paying your royalties. Then you’ll be a franchisor. 

Finances

Your financials will help you determine what kind of franchise is within your reach. Don’t overextend your finances just to get that big famous franchise you want. You might have to settle for something smaller but will, in the long run, be much easier to manage, and that means a better return of investment. As a franchisee, you’ll be paying the franchisor a percentage of your gross sales every month. (A low investment franchise can be easy to finance and run if you give it a shot.)

Industry Knowledge

It’s always preferable to have some sort of experience in the tree service or even landscaping industry, but it’s not a prerequisite. The primary skill any franchisor requires is proper management and experience with the local market, which is why companies are primarily interested in franchising.

Your personality will have to be one that helps you deal with customers but also with local and state bureaucracy, so patience is a must, as well as drive and even innovation. 

If you love the outdoors as well and not having to depend as much on technology and fads, then a tree service franchise is also for you. 

Legal Requirements

One of the first things you need to do after deciding to start on the road of a franchise, no matter what type, is to get a franchise attorney. Somebody to help you go over the legal details of any franchise contract or paperwork involved with starting a franchise. You need legal security for any big investment, especially for opening what is essentially a small business. 

In the U.S.and other nations, the word “franchise” has a particular legal meaning. In the U.S., the federal government defines a franchise as an enterprise relationship in FTC Rule 436, which has three definitions of factors:

  1. The use of a common name or mark 
  2. Significant operating control and substantial operating assistance 
  3. A required payment by a franchisee of more than $500 in the first six months of operation—including initial charges, royalties, publicity fees, training fees or equipment charges.

If the definitive elements of the franchise under the FTC rule form a business relationship, the franchisor must submit a Franchise Disclosure Document (or an FDD) to the prospective franchisee, which provides specific information to the franchisees in advance of selling a franchise. The sales process of the franchisor is also regulated by this rule, in addition to the obligations for disclosure.

Finding The Right Franchise For You 

How to know a franchise is just the right for you? Follow and resolve the next points:: 

  • Set your objectives
  • Identify specific options for franchise
  • Learn more about yourself first
  • Identify the processes thereof
  • Assess documents for franchise
  • Current franchise owners interview
  • Look forward to the day of discovery
  • Enforce the agreement on the franchise

 

Is Owning a Franchise the Right Move For You?

Owning a franchise is the right move as long as you choose the right franchise, and luckily for you, there are many ways you can be sure you made the right choice. One of the first things you should do before buying and owning a franchise, is to be careful with a franchise review websites, because they aren’t always truthful, or more specifically, aren’t giving you the whole picture. 

Is Owning a Franchise the Right Move For You? Discover Why It's Better To Buy and Own a Franchise

The main things to consider when looking for a franchise brand are: 

  • If the brand’s products or services go with your personality and goals. Managing a restaurant franchise is not the same as managing a tree service franchise, not in terms of sales, customer service, investment, and more. 
  • Your skills will also play an essential role in deciding which brand to choose from. Write down in a legal pad all your qualities and skills and maybe even what you want to learn from having a franchise. Don’t go chasing flashy brands, and always go with what you already decided after writing your pros and cons. 
  • Do your research. The franchise’s financial performance, which is available through its Franchise Disclosure Agreement (FDD), is going to be a critical deciding factor as well. That document has the phone numbers and contact info for all of the franchisees, so you can call them up and ask them for objective information about the brand.  
  • Just how much does a brand offer in terms of help starting up? Do they pay for your training? Uniforms? Do they take care of the marketing? Help you with your business loan? Just make sure you don’t go for the cheapest just for the sake of saving a few bucks. That might cost you more in the long run.  

 

Pros Of Being a Franchise Owner

Once you’ve picked the right tree service franchise, then you will start to enjoy all the pros that come with buying a franchise (and there are plenty of Tree Service Franchises for sale), which are plenty, here are the main benefits of owning a franchise and how you can gain profit from it.

1. Part of a growing industry of franchises 

Approximately 4% of the American small enterprises are franchises, generating over 2.1 trillion dollars in turnovers and employing 18 million Americans—The International Franchise Association reports. Franchising is simply one of the main components of the American economy.

The tree service market is around $17 billion, which is rewarding a lot of hard work and provides a wide array of opportunities. If you get a tree service franchise, you’ll require education and knowledge of the tree trimming business, although that is something any tree service franchisee will teach as part of any comprehensive training after buying. 

If you start a tree service franchise, it’s a guarantee you’ll be buying into a reliable and sustainable business model without having a boring day at work, and with significant revenue. The approximate net value of $350,000 is what some tree franchisees are requiring, including an average royalty fee of 3% to 6% of monthly gross revenue. But you’ll see returns faster than other franchises and a steady revenue source.

2. You are protected from competition in your territory 

When buying a tree franchise, you can be in more than one place. A lot of franchises even offer discounts for opening more than one location. Most franchises also offer exclusive rights to each location’s territory right. For example, the cost for a single location might be $49,500 for one and 200,000 inhabitants, but it goes down to $30,000 per location if buying 4 locations in an area with 800,000 residents, and the. tree service will not place another location in that area that isn’t yours. Also, a tree service franchise will help you win the exclusive rights to provide residential, commercial, and government contracts.

3. A schedule of your own

Any suitable tree service franchise offers the opportunity to work outdoors in your working days. The tree services industry offers repetitive sales, large profit margins, scalable growth, and regular hours of business that will not represent a high demand for your time. Another plus is that the tree service industry does not have to compete with the internet, unlike, for example, the retail industry, and there are no automation and robotic dangers.

4. Training and marketing are taken care off

Any good tree service franchise offers comprehensive initial training for the franchisee and their team. The sessions conducted by professional staff include lessons on:

  • Safety and Equipment Usage
  • Public and Employee Relations
  • Budgeting and Business Planning
  • Supplies and Purchasing
  • Bookkeeping and Financial Controls
  • Advertising and Sales Strategies
  • Operations and Daily Management
  • Computer and Internet

Also, Certified Arborists can show you how to provide estimates in hours, and some franchises can offer programs that help you get an edge over your local competition. 

Now, when it comes to marketing, it’s something that needs to go hand in hand with your initial franchise offering plans. You will be aided by the franchisor with branding material, marketing tools, and guidelines, so you can grow your franchise the best way. Marketing and advertising is something you don’t have to be stressed about once you start your franchise journey. 

5. Trusted brand in a growing industry

Some tree service franchises like Monster Tree Service has, within less than a decade, become the nation’s best-regarded, best-suited and best-known tree service franchise with good reason to call itself a regional brand of local experts. (Read our full Monster tree service review here)

By owning or starting a tree service franchise, you can listen to the local needs and apply national resources and experience to your community. 

As we said, the $17 billion industry in tree services is continuously growing. There’s plenty to make money. This type of business is essential and, above all, a highly repeat service offering tree and plant care for communities, houses, shops, and entire cities. The franchise will assist you in negotiating and signing contracts with local governments to ensure a stable revenue stream.

 

Cons Of Being a Franchise Owner

Pros and cons are part of every decision-making in life. However, the truth is, there are just a few cons regarding owning a franchise, but still is essential you consider all sides of the situation, some of the disadvantages of owning a franchise are:

Fees: When paying a franchiser, there is a fee for buying the franchise and also ongoing fees. The entry fees are typically very high, as well as the costs for using the brand name that is set per month/year. 

No freedom: You have no freedom in a franchise system to change the product line, or anything else. Owning a franchise is a strict process, and some rules must be followed to ensure that your franchise license is secured.

 

Have You Considered a Tree Service Franchise?

If you’re ready and set to invest in a tree service franchise, your next step is likely figuring out which one. Just like buying a new car or home, deciding where to invest should not be taken lightly. 

We can help you look for the best tree service franchise, with full transparency and an explanation of what to do to make it thrive. 

Want to find the perfect tree service franchise for you? Stop looking in all the wrong places and start owning a franchise from the most reliable tree service company near you, so you can start building a better future for you, your family, and your finances!

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