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Listing ID: 3158172

Triad NC Direct Mail Franchise For Sale

North Carolina, United States

$ 115,000

Revenue: $ 312,771

Cash Flow: $ 28,015

Business Description

Selling Company is a franchise that specializes in direct mail marketing campaigns and is located in central North Carolina. The company arranges (does not print) the production and mailing of high-end advertisement postcards as lead-generation tools. Company's clients are primarily home service providers, home improvement professionals, retailers, restaurants and arts and entertainment clientele. Targeted recipients of the postcards are high-income, upscale, actively-spending home owners in the local area.

The new owner (or operator) should be an ambitious, self-starter salesperson. Recurring clients now generate a positive cash flow, but there is significant room for growth. As revenues have climbed to over $300,000 annually, the company is now covering fixed costs associated with direct mail campaigns and is on the verge of offering a generous profit margin. This is a chance to get into a proven franchise having the preliminary hurdles associated with starting a business already cleared!

Property Details

Years Established:

5

Other Details

Premise Details:

This business offers the owner the option to work from home. A small one- or two-room office space would suffice unless the business was expanded to include multiple employees. As the current owner works from his home, there is no leased space to transfer.

Competition:

The economic revival will lead to an increase in consumer spending, resulting in stronger growth in advertising and promotional expenditures, including direct mail activities. Total advertising expenditure is forecast to increase annually at .9% for the next 5 years and is expected to reach nearly $370 billion by 2024. A subset of the Total Advertising Expenditure is Direct Mail Expenditure. Definition: Direct mail advertisers distribute advertising materials (e.g. coupons, flyers and samples) or specialty items (e.g. key chains, magnets and pens with custom printed messages) by mail or other methods of direct distribution. The Direct Mail expenditures are expected to be a robust $10.8 billion this year.

Expansion Potential:

For the years 2017 and 2018, revenues have grown 17% and 20%, respectively. This was achieved despite the current owner splitting his time between this business and his charitable work (see Reason For Sale). A focused effort on the business is the best strategy to drive growth – someone working the market to bring new clients to the table. One specific strategy that might assist in revenue growth would be to expand the number of clients in a particular service sector. Currently, the business strategy employed at The Company is to allow only one client per service sector (i.e., home repair or lawn maintenance or restaurant). Most franchisees allow two advertisers per service category. In the NC territory, there are a number of businesses that would entertain the idea of joining as clients, but are shut out because they were not the first to sign up. A second strategy to consider for growth of revenues would be adding an additional production run of the postcard packages. Currently, postcard runs happen four times per year – on a quarterly basis. Many other franchisees run five productions – maybe a seasonal-specific offering. There are definite benefits to the publisher taking on this additional run, the primary of which are the meaningful discounts offered by suppliers and vendors against costs. If employed and successful (lead generation remains comparative to quarterly runs), this would provide a significant boost to revenues - and even more so to bottom line performance.

Operation Details

Employees:

1 FT

Trading Hours:

Monday-Friday 8am-5pm

Support & Training:

Will train for 4 weeks @ no cost. While the postcard packages represent over 95% of their business, the Company offers several other services in addition to the mailers: · additional smaller print and mail services; · Lead Tracking Services to assist the clients by tracking which advertising services are most successful at generating leads; · Mailing List Generation – creating specialized or specific mailing lists for clients to use for any promotional mailers; · Graphic Arts Services to assist in creating professional advertisement campaigns.

Relocatable:

Business Relocatable

Miscellaneous

Reason For Selling:

The current owner is changing his life path and pursuing a non-profit/charitable profession. The transfer will not prevent the current owner from assisting a new owner transitioning into the business.

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