Entrepreneur Podcasts | 11 Most Common Ways To Fund A Franchise – Episode 1 – Part 2

Audio Transcription

• Get ready to enter the Thrivetime Show!

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  00:04

  Look, look, as a father of five, that’s where I’mma dive. So if you see my wife and kids, please tell them hi. It’s C and Z up on your radio. And now 3, 2, 1, here we go.

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  00:15

  We started from the bottom, now we’re here. We started from the bottom, and that’s where we’re at. OK, now we’re moving on to the third option here. This is low-cost franchises. There are many low- they’re not, I mean, now it’s kind of a new trend almost.

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  00:30

  But now there’s many low-cost franchise opportunities out there that offer the ability to buy a business, to buy a business model, to buy a business system, to buy a franchise. But it’s at a very low cost. Can you walk me through a little bit about what this is all about, maybe the kinds of opportunities that are out there?

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  01:07

  Yeah, there is a tremendous number of opportunities in the lower investment categories. And there are more and more coming up all the time as various types of business go into franchising. There’s always been low-cost franchising.

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  01:20

  Oh, really?

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  01:21

  Yes, at least the 30-some years I’ve been involved. There’s always been lower-cost franchise opportunities. They’re not all super expensive. The growth in our economy around service business is really what drives that because service businesses typically have a lower threshold for investment and also have typically higher gross margins and net profit. So those are where you’re going to see a lot of the service business.

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  01:44

  Service businesses. Service business. Can you give me an example of the kinds of service business, not the specific franchise, but maybe the kinds of services like

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  01:52

  carpet cleaning or landscaping or what kind of? Carpet cleaning, landscaping, you know, personal services, pet walking. Pet walking? You know, there’s all kinds of crazy businesses out there today that are franchised.

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  02:04

  Is that really a business?

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  02:05

  Pet care, those type of things. Services, you know, business B2B services, business to business services. Coaching services, our franchise concepts, are low investment ranges with high gross margins, but they’re in a service sector where you’re providing a service to those individuals. So more and more of that’s taking place where service businesses are.

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  02:25

  Is there really a business out there where you can, it’s a franchise based on pet walking? There’s actually one based on cleaning up the waste from pets. Really? I would not have thought about that. The example here, just an example, there was recently a franchisee that I heard about who bought eight oxy-fresh units, you know the carpet cleaning. And I thought that was really exciting that this guy was able to get eight separate units of something that’s a lower cost. And he bought eight. And he just thinks it’s the best thing in the world. And so I think that’s a really neat. If you’re watching this and you’re going, well, I could never spend $600,000 to open up my own restaurant or to whatever these things are, there’s a lot of low-cost opportunities out there. Now, the fourth one is 401k rollovers. In order to take advantage of this opportunity, you must have some money in the 401k, and you must work with a tax professional to really help you handle the details here. But can you walk me through, just in general, or I guess in synopsis, what a 401k rollover style of funding is all about?

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  03:27

  Yeah, fortunately, the regulators and the government have worked very hard over the last several decades to create funding opportunities for people to go into small businesses and franchises because it’s what’s fueling the economy. So one of the things is people had a lot of money tied up in these 401ks. They couldn’t get to them unless there was penalties and interest. So what they’ve done is they’ve created an environment where you can roll over all or part of your 401k into your own C-corp, C-corporation, and set that funding up to actually be the capital that launches the business. The good news is there’s no penalty, there’s no interest, and you get to be able to take that money that you rolled over and invest it back into your own 401k with a profit, meaning higher numbers, so you get to actually become the banker at the same time.

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  04:17

  If I’m watching this right now and I’m going, this sounds fascinating, that’s me. I’m somebody who has some money in a 401k, I’ve always wanted to buy my own franchise, and I’m going, well, that’s a good idea. Where should I start? Can I call you? Can I call, who do I call to kind of get going if I’m thinking, geez, I never thought about that. What kind of people do I call to start?

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  04:37

  Well, we mentioned tax professional, but typically that’s not where you would start. There actually has become an industry that’s built around managing that for people. Really? So we actually have two or three funding partners that we work with that will give individuals the opportunity to be informed and educated about how to use their 401k in a safe environment in order to accomplish it. Then they manage it for you on an ongoing yearly basis.

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  05:03

  Really? So it meets the tax requirements. Is there a particular particular companies that you might recommend or could somebody call your office directly or how would they find out about this particular thing? I think this is something that people don’t realize how amazing this opportunity is.

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  05:17

  Yeah, there’s a number that come to mind. There’s one called Fran Fund. There is a company called Guidant. And there’s a Benetrans company. Those are the top three in the 401 management and rollover funds.

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  05:29

  The number of new customers that we’ve had is up 411% over last year. We are Jared and Jennifer Johnson. We own Platinum Pest and Lawn and are located in Owasso, Oklahoma. And we have been working with Thrive for business coaching for almost a year now.

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  05:45

  Yeah. So, what we want to do is we want to share some wins with you guys that we’ve had by working with Thrive. First of all, we’re on the top page of Google now. Okay? I just want to let you know what type of accomplishment this is. Our competition, Orkin, Terminix, they’re both $1.3 billion dollar companies. They both have 2,000 to 3,000 pages of content attached to their website. So to basically go from virtually non-existent on Google to up on the top page is really saying something. But it’s come by being diligent to the systems that Thrive has, by being consistent and diligent on doing podcasts and staying on top of those podcasts to

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  06:22

  really help with getting up on what they’re listing and ranking there with Google.

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  06:27

  And also we’ve been trying to get Google reviews, you know, asking our customers for reviews. And now we’re the highest rated and most reviewed Pessimon company in the Tulsa area. And that’s really helped with our conversion rate. And the number of new customers that we’ve had is up 411% over last year.

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  06:45

  Wait, say that again. How much are we up?

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  06:48

  411%.

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  06:49

  Okay, so 411% we’re up with our new customers.

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  06:54

  Amazing.

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  06:55

  Right. So not only do we have more customers calling in, we’re able to close those deals at a much higher rate than we were before. Right now our closing rate is about 85% and that’s largely due to, first of all, our Google reviews that we’ve gotten. People really see that our customers are happy, but also we have a script that we follow. And so when customers call in, they get all the information that they need. That script has been refined time and time again. It wasn’t a one and done deal. It was a system that we followed with Thrive in the refining process. And that has obviously, the 411% shows that that system works.

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  07:32

  Yeah, so here’s a big one for you. So last week alone, our booking percentage was 91%. We actually booked more deals, more new customers last year than we did the first five months, or I’m sorry, we booked more deals last week than we did the first five months of last year from before we worked with Thrive. So again, we booked more deals last week than the first five months of last year. And it’s incredible, but the reason why we have that success by implementing the systems that Thrive has taught us and helped us out with.

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  08:03

  Some of those systems that we’ve implemented are group interviews. That way we’ve really been able to come up with a really great team. We’ve created and implemented checklists. Everything gets done and it gets done right. It creates accountability. We’re able to make sure that everything gets done properly, both out in the field and also in our office. And also doing the podcast like Jared had mentioned, that has really, really contributed to our success. But that, like I said, the diligence and consistency in doing those and that system has really, really been a big blessing in our lives. And also, you know, it’s really shown that we’ve gotten a success from following those systems.

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  08:47

  So before working with Thrive, we were basically stuck. Really no new growth with our business. And we were in a rut, and we didn’t know.

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  The last three years, our customer base had pretty much stayed the same. We weren’t shrinking, but we weren’t really growing either.

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  09:03

  Yeah, and so we didn’t really know where to go, what to do, how to get out of this rut that we’re in. But Thrive helped us with that. You know, they implemented those systems, and they taught us those systems. They taught us the knowledge that we needed in order to succeed. Now it’s been a grind, absolutely it’s been a grind this last year, but we’re getting those fruits from that hard work and the diligent effort that we’re able to put into it. So again, we were in a rut, Thrive helped us get out of that rut, and if you’re thinking about working with Thrive, quit thinking about it and just do it, do the action, and you’ll get the results. It will take hard work and discipline, but that’s what it’s gonna take in order to really succeed. So we just want to give a big shout out to Thrive, a big thank you out there to Thrive.

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  09:44

  We wouldn’t be where we’re at now without their help.

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  09:48

  Hi, I’m Dr. Mark Moore. I’m a pediatric dentist. Through our new digital marketing plan, we have seen a marked increase in the number of new patients that we’re seeing every month, year over year. One month, for example, we went from 110 new patients the previous year to over 180 new patients in the same month. And, overall, our average is running about 40 to 42 percent increase month over month, year over year. The group of people required to implement our new digital marketing plan is immense, starting with a business coach, videographers, photographers, web designers. Back when I graduated dental school in 1985, nobody advertised. The only marketing that was ethically allowed in everybody’s eyes was mouth-to-mouth marketing. By choosing to use the services, you’re choosing to use a proof-and-turn-key marketing and coaching system that will grow your practice and get you the results that you’re looking for. I went to the University of Oklahoma College of Dentistry, graduated in 1983, and then I did my pediatric dental residency at Baylor College of Dentistry from 1983 to 1985.

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  11:01

  Hello, my name is Charles Colaw with Colaw Fitness. Today I want to tell you a little bit about Clay Clark and how I know Clay Clark. Clay Clark has been my business coach since 2017. He’s helped us grow from two locations to now six locations. We’re planning to do seven locations in seven years and then franchise. Clay has done a great job of helping us navigate anything that has to do with running the business, building the system, the checklist, the workflows, the audits, how to navigate lease agreements, how to buy property, how to work with brokers and builders. This guy is just amazing. This kind of guy has worked in every single industry. He’s written books with Lee Crockerill, head of Disney with the 40,000 cast members. He’s friends with Mike Lindell. He does Reawaken America tours where he does these tours all across the country where 10,000 or more people show up to some of these tours. On the day-to-day, he does anywhere from about 160 companies. He’s at the top. He has a team of business coaches, videographers, and graphic designers, and web developers and they run 160 companies every single week. So think of this guy with a team of business coaches running 160 companies. So in the weekly he’s running 160 companies. Every 6 to 8 weeks he’s doing Reawaken America tours. Every 6 to 8 weeks he’s also doing business conferences where 200 people show up and he teaches people a 13 step proven system that he’s done and worked with billionaires, helping them grow their companies. I’ve seen guys from startups go from startup to being multi-millionaires, teaching people how to get time freedom and financial freedom through the system. Critical thinking, document creation, organizing everything in their head to building it into a franchisable, scalable business. One of his businesses has like 500 franchises. That’s just one of the companies or brands that he works with. So amazing guy, Elon Musk, kind of like smart guy. He kind of comes off sometimes as socially awkward, but he’s so brilliant and he’s taught me so much. When I say that, Clay is like, he doesn’t care what people think when you’re talking to him. He cares about where you’re going in your life and where he can get you to go. And that’s what I like him most about him. He’s like a good coach. A coach isn’t just making you feel good all the time, a coach is actually helping you get to the best you. Clay has been an amazing business coach. Through the course of that we became friends. My most impressive thing is when I was shadowing him one time, we went into a business deal and listened to it. I got to shadow and listen to it. When we walked out I knew that he could make millions on the deal and they were super excited about working with him. He told me, he’s like, I’m not going to touch it, I’m going to turn it down. Because he knew it was going to harm the common good of people in the long run. The guy’s integrity just really wowed me. It brought tears to my eyes to see that this guy, his highest desire was to do what’s right. And anyways, just an amazing man. So anyways, impacted me a lot. He’s helped navigate. Anytime I’ve gotten nervous or worried about how to run the company or navigating competition and an economy that’s like I remember we got closed down for three months. He helped us navigate on how to stay open, how to get back open, how to just survive through all the COVID shutdowns, lockdowns.

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  14:18

  I’m Rachel with Tip Top K9 and we just want to give a huge thank you to Clay and Vanessa Clark.

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  14:22

  Hey guys, I’m Ryan with Tip Top K9. Just want to say a big thank you to Thrive 15. Thank you to Make Your Life Epic. We love you guys. We appreciate you and really just appreciate how far you’ve taken us.

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  This is our old house.

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  14:34

  Right?

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  14:35

  This is where we used to live a few years ago.

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  This is our old neighborhood.

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  See?

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  It’s nice, right?

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  14:39

  So this is my old van and our old school marketing and this is our old team and by team I mean it’s

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  being another guy.

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  This is our new house with our new neighborhood. This is our new van with our new marketing and this is our new team. We went from four to fourteen and I took this beautiful photo. We worked with several different business coaches in the past and they were all about helping Ryan sell better and just teaching sales, which is awesome, but Ryan is a really great salesman, so we didn’t need that. We needed somebody to help us get everything that was in his head out into systems, into manuals and scripts and actually build a team. So now that we have systems in place, we’ve gone from

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  15:34

  one to ten locations in only a year. In October 2016, we grossed 13 grand for the whole month. Right now it’s 2018, the month of October. It’s only the 22nd, we’ve already grossed a little over 50 grand for the whole month, and we still have time to go. We’re just thankful for you, thankful for Thrive and your mentorship, and we’re really thankful that you guys have helped us to grow a business that we run now instead of the business running us. Just thank you, thank you, thank you, times a thousand.

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  16:03

  The Thrive Time Show two-day interactive business workshops are the world’s highest rated and most reviewed business workshops because we teach you what you need to know to grow. You can learn the proven 13-point business systems that Dr. Zellner and I have used over and over to start and grow successful companies. When we get into the specifics, the specific steps on what you need to do to optimize your website. We’re going to teach you how to fix your conversion rate. We’re going to teach you how to do a social media marketing campaign that works. How do you raise capital? How do you get a small business loan? We teach you everything you need to know here during a two-day, 15-hour workshop. It’s all here for you. You work every day in your business, but for two days you can escape and work on your business and build these proven systems so now you can have a successful company that will produce both the time freedom and the financial freedom that you deserve. You’re going to leave energized, motivated, but you’re also going to leave empowered. The reason why I built these workshops is because as an entrepreneur, I always wish that I had this. And because there wasn’t anything like this, I would go to these motivational seminars, no money down, real estate, Ponzi scheme, get motivated seminars, and they would never teach me anything. It was like you went there and you paid for the big chocolate Easter bunny, but inside of it, it was a hollow nothingness. And I wanted the knowledge and they’re like, oh, but we’ll teach you the knowledge after our next workshop. And the great thing is we have nothing to upsell. At every workshop, we teach you what you need to know. There’s no one in the back of the room trying to sell you some next big get rich quick, walk on hot coals product. It’s literally, we teach you the brass tacks, the specific stuff that you need to know to learn how to start and grow a business. I encourage you to not believe what I’m saying, but I want you to Google the Z66 auto auction. I want you to Google elephant in the room. Look at Robert Zellner and Associates, look them up and say, are they successful because they’re geniuses or are they successful because they have a proven system? When you do that research, you will discover that the same systems that we use in our own business can be used in your business. Come to Tulsa, book a ticket, and I guarantee you it’s gonna be the best business workshop ever, and we’re gonna give you your money back if you don’t love it. We’ve built this facility for you, and we’re excited to see it.

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  And now you may be thinking,

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  what does it actually cost to attend

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  an in-person, two-day, interactive, Thrive Time Show business workshop? Well, good news, the tickets are $250 or whatever price that you can afford. What? Yes, they’re $250 or whatever price you can afford. I grew up without money and I know what it’s like to live without money so if you’re out there today and you want to attend our in-person two-day interactive business workshop, all you gotta do is go to thrivetimeshow.com to request those tickets and if you can’t afford $250 we have scholarship pricing available to make it

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  18:51

  affordable for you. affordable for you.

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  18:53

  And if you can’t afford $250, we have scholarship pricing available to make it affordable for