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What is a Franchise Model and Which One Does SD Use?

Basics of the Franchise Model; Breaking Down the Definition

Once called the greatest business model ever developed, the franchise model has been around since the medieval ages. Middle age governments granted high church officials a license to maintain order and assess taxes—the feudal equivalent of a franchise. These franchisees held the right to hold and organize markets and other business-related activities. They even paid a royalty to the lords in exchange for a monopolized commercial venture. This primitive version of the franchise model has been upgraded over the years. Now resembling household names like Starbucks, The UPS Store, and Splash and Dash Groomerie & Boutique.

The definition of a franchise model is when a party develops a product or service (franchisor) and grants another party (franchisee) the rights to carry out this product or service, with a trademark or brand, according to an identified system, within a territory or unit location, for agreed upon terms. A franchise has a proven track record of success and a relatively easy pathway to become a franchise business owner.

Franchise business will have a 3.1 percent growth in job output, according to the Franchise Business Outlook: 2016. By the end of 2017, 9.1 million individuals will be employed by a franchise owner. The franchise sector will also account for $994 billion dollars in revenue growth. With 795,932 establishments operating under a franchise model in the U.S., it can be overwhelming for prospective investors. Franchise sectors fall across over 300 business formats with the most popular franchise being the automotive, business services, and the pet industry.

Franchise Model Vs. Other Businesses  

A franchise business provides a detailed framework of how potential owners operate. Almost like a business ‘blueprint.’ The franchisee signs a franchise disclosure document which outlines very specific rules that must be followed. A franchise fee and ongoing royalty fee is paid. In return, franchise units receive marketing materials, established brand, training & support, and proprietary software and technology.

  • A non-franchise business opportunity is similar. In this case, a business ‘blueprint’ is provided but is not as technical and detailed as a franchise agreement. A smaller contract is signed that outlines certain provisions like inventory and sales methods. There is also less regulation with this model. A mall-kiosk is a good example of this business format. Varying business opportunities have different ways of handling fees but many require investors to pay an initial fee, without any ongoing royalty fees.  
  • Independent business is a business schematic which is completely built by an entrepreneur. The concept, business model, operational systems, inventory, services, and every other tedium involved in owning a small business is developed by a single party. Solo businesses are not responsible for any fees aside from their own operational costs.
  • The term franchise model helps provides context but not every franchise fits into a universal description. Every franchise has a different franchise agreement and diverging methods of business, making them difficult to categorize. The best way to understand franchising is to examine how franchisors allow their franchisees to use their trademarks and brand to distribute products and services.

Types of Franchise Models

Business Format Franchises

This franchise model is the most typical format, accounting for 80% of the franchise sector. With this model, a franchisor sells the rights to the brand & trademark and business systems & processes to the franchisee. The franchisee develops this package to provide services and products to customers. Franchises are typically proven in the marketplace as a business prior to franchisors selling the franchise rights.

Single-Unit Franchise Model

A single-unit franchise model system is when one person buys a brick-and-mortar location from a central company. The franchise owner operates the store on the terms of the company’s rules. Owning one store at a time is a good decision for first-time small business owners. Once a store has been proven successful, then an owner can expand and open another location.

Area Developer

An area developer franchise model allows entrepreneurs to develop a package of locations in a domestic area. Panera Bread uses this model. The franchisee agrees to open an agreed number of businesses within a specific amount of time. The area developer is regulated by stipulations of the parent company. A typical contract mandates a franchisee to develop an area within five years.

Master Franchise

When a franchise model expands abroad, spreading into international territories, a master franchise model is used to proliferate the business. This method allows a system to discover franchisees interested in opening overseas locations. The master franchisor handles training and support of newly established areas. Master franchisers often establish a training center and headquarters to expedite the expansion process.

Product Franchises

A product franchise model revolves around manufacturers controlling the retail stores that distribute their products. This form of contract—licensing—allows stores owners to use a trade name or trademark. Store owners pay a fee to the manufacturer for the rights to use the trademark for signage and advertising. For example, a computer store that sells Apple products has bought a license to sell these products.

Manufacturing Franchise

In this franchise model, a franchisor allows a manufacturer to produce and sell products using its name and trademark. One of the biggest examples is the franchising agreements that Coca-Cola Company makes.

What Model does Splash and Dash Use?

Splash and Dash Groomerie & Boutique has a unique business model. The pet franchise operates as a duo of grooming salon services with retail capabilities. This provides revenue from both services and products. Additionally, the business model takes advantage of the membership program offered. The membership allows franchise owners to collect from a recurring revenue stream. Armed with cutting-edge proprietary software, helpful support & training, and corporate marketing campaigns, owners of Splash and Dash locations are set up for success.

The company’s uniqueness also comes in the form of passion. Passionate entrepreneurs who love animals are drawn to the franchise model. The company seeks out individuals who want to work alongside animals and have a knack for business. The combination makes for a successful franchise model that is expanding quickly!

“I always wanted to own a business in a franchise environment in which the store portrays an upmarket image backed up by solid support from the corporate office guiding me to achieve business success. Splash and Dash provides the creativity and motivation for my business to grow and prosper.”

–Steve D, Franchise Owner

To learn more about the amazing happenings at Splash and Dash Groomerie & Boutique, click here!

 

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America’s Most Dog Friendly Cities That Need A Splash and Dash

Finding the Most Dog Friendly Cities to Open a Small Business

A few years ago, most pet owners had to withstand only having access to big-box pet stores. Now, pet businesses are blossoming. With 85 million households owning a pet, most major dog friendly cities are welcoming the luxuries of designful business models helping to meet the demand.

So, what cities make a good location?

Finding the best city to open a Splash and Dash Groomerie & Boutique depends on pet friendliness. Of course, with more dogs, comes more business. With the help of WalletHub, we’ve narrowed the most dog friendly cities in America down to ten. These are great places to own a dog, or open a pet franchise. Variables like veterinary costs, pet businesses per capita, and dog parks per capita are taken into consideration to rank each city. You could be living in a pet gold mine right now and not even know it!

Here are the top ten dog friendly cities in the United States of America.

10. Las Vegas, Nevada

Pet Budget Rank: 63

Pet Health & Wellness Rank: 15

Outdoor Pet Friendliness Rank: 9

Total Score: 56.73

Believe it or not, the Entertainment Capital of the World comes in 10th place in the ranking of the most dog friendly cities.

Vegas has 20 dog parks and its position in the Mojave Desert makes for warm weather year-round. The city also has two hiking trails for your dogs to explore, where you can escape the allure of gambling, for awhile at least. 45 restaurants have identified themselves as dog friendly, like the Lazy Dog Restaurant & Bar where you can get an awesome brunch without feeling the guilt of leaving your dog at home.

9. Atlanta, Georgia

Pet Budget Rank: 24

Pet Health and Wellness Rank: 5

Outdoor Friendliness Rank 75

Total Score: 56.73

Atlanta has a draw for tourists which makes the city a fun place to visit or live as a pet owner. There are 343 parks, nature preserves, and gardens that cover 3, 622 acres of the city. Of this, there are 8 huge off-leash dog parks with amenities like a pool in Renaissance Dog park. Getting local grub is easy with your dog as with 241 restaurants where dogs are good-to-go.

On top of this, Atlanta hosts some pretty cool events like PUP culture Festival and Puglanta PugFest. Food trucks, live music, and even a Pug kissing booth bring Atlanta natives and their doggies in for the fun.

8. Cincinnati, Ohio

Pet Budget Rank: 24

Pet Health & Wellness Rank: 27

Outdoor Friendliness Rank: 28

Total Score: 57.19

Representing for the Midwestern states, comes Cincinnati with the second most veterinarians per capita and strong numbers of pet businesses per capita. Coney Island might have the hot dog eating contest every fourth of July, but September 15th is the annual Running of the Wieners in Cincinnati. Dachshunds in hot dog costumes run the streets of downtown kicking off “Oktoberfest-Zinzinnati.”

The Ohio city also has eight dog parks, five hiking trails, and 26 restaurants where dogs of all breeds can participate.

7. Austin, Texas

Pet Budget Rank: 54

Pet Health & Wellness: 3

Outdoor Pet Friendliness Rank: 54

Total Score: 58.26

Austin is becoming known as the hip cousin of Dallas, adopting the “Keep Austin Weird” motto to contend with the country’s rebellious places like Santa Cruz. Austin has definitely earned its rank as one of the most dog friendly cities. Bars like the Dog House Drinkery, which is a bar inside a dog park, and 4th Tap Brewing Co-Op encourage pet owners to bring their dogs down for a drink.

In total, there are 315 dog friendly restaurants in Austin. The sunny weather makes this possible with outside-seating being an option almost everywhere. The Texas city also has 15 dogs parks, five hiking trails, and three dog friendly walking tours. For shoppers, there are seven pet friendly stores. If that’s not enough, Austin Doga is yoga studio dedicated to both humans and dogs to stretch out and get centered.

6. Birmingham, Alabama

Pet Budget Rank: 54

Pet Health & Wellness Rank: 21

Outdoor Pet Friendliness Rank: 50

Total Score: 59.37

Birmingham is an extremely affordable place for pet care. Pet insurance is cheap and access to a veterinarian is a smooth process. The southern city is also home to Bruster’s Real Ice Cream with delicious sundaes, tasty for the doggos and you. If you’re hankering for something savory,  Pub 261 is another dog friendly place that serves up southern dishes from fried catfish to pot roast.

Birmingham hosts 64 pet friendly restaurants, three dog parks, and five hiking trails to explore. Dogs of BHAM, a community for dogs in the area, help facilitate rescues and connect local dog lovers.

5. Orlando, Florida

Pet Budget Rank: 27

Pet Health and Wellness Rank: 4

Outdoor Pet Friendliness Rank: 47

Total Score: 59.81

Yes, Orlando has Disney, Universal Studios, and Seaworld. The Sun Belt tucked city also fetches the fifth-best place to own a dog. With more veterinarians per capita than any other U.S. city, Orlando is the big dog for pet health.

Orlando also ties for most animal shelter per capita and most pet businesses per capita. Dog friendly restaurants are as common as sandals here with over 228 places to get a bite with Fido. To work it all off, there are nine dog parks and four hiking trails that are off-leash.

4. San Diego, California

Pet Budget Rank: 85

Pet Health & Wellness Rank: 2

Outdoor Pet Friendliness Rank: 6

Total Score: 60.56

Another Disney and doggie city, San Diego is the kind of place where dogs surf and pet boutiques are so common they’re yesterday’s news. Events like Paw-Micon—dogs dressed as superheroes—and Surf Dog Surf-A-Thon put a Cali twist on the pet owner lifestyle.

Ready for some Baja tacos? San Diego has over 326 dog friendly restaurants where you and your dog can get everything from a kale salad to BBQ. California’s beautiful scenery offers 17 dog parks, four hiking trails, and a myriad of dog boutiques to peruse.

3. Tampa, Florida

Pet Budget Rank: 10

Pet Health & Wellness: 9

Outdoor Pet Friendliness Rank: 19

Total Score: 61.48

The Sunshine state makes the list again, this time further down. Budgeting for your dog is water under the bridge, as Tampa is the 10th best city for pet ownership costs, and one rank lower in health and wellness. It’s also right across the bridge from another ranking pet city, St. Petersburg.  If you keep driving, you’ll hit a third—Miami.

It seems sunshine and dogs go hand-in-hand. Doggie eats are good in this city too, with 109 restaurants like Mad Dogs & Englishmen opening their doors to the canines. Tampa also has 10 dog parks including one dog beach where dogs can cool off in the surf. Since the weather is always permitting, dog festivals happen year-round in this tail-wagging city.

2. Phoenix, Arizona

Pet Budget Rank: 12

Pet Health & Wellness Rank: 6

Outdoor Pet Friendliness Rank: 10

Total Score: 63.54

Phoenix, dubbed The Valley of the Sun, keeps the sunny themes going as second in rankings of most dog friendly cities with 85 percent of daylight hours filled with the sun’s rays.

With over half of Arizona’s yearly visitors’ destination being Phoenix, the city makes some pawesome accommodations for dogs. Events like Strut Your Mutt and the Annual Doggie Street Festival help raise money for homeless pets and provide some fun too. Fashion is huge in the pet world in Phoenix, with 13 pet friendly spots like the Biltmore Fashion Park.

Mountain ranges like the Guadalupe and North Mountain make beautiful scenery for 16 dog friendly hiking trails in Phoenix. There are also nine dog parks and a tour for residents and tourists alike.

1. Scottsdale, Arizona

Pet Budget Rank: 80

Pet Health & Wellness Rank: 1

Outdoor Pet Friendliness Rank: 2

Citizens of Arizona love to participate in dog-centric culture. The citizens of Scottsdale reap the most benefits of this as the number one place healthiest place for a pet to live. Meaning, access to the highest number of caretakers, pet businesses, pet meetups, animal protection laws and more. Scottsdale is also the second in outdoor pet friendliness! Although the city does rank 80th in costs, Scottsdale is still dogtopia U.S.A. this year.

There are six off-leash dog parks in Scottsdale and nine hiking trails cresting the Sonoran Valley. 116 restaurants like 5th and Wine or Snooze an Am Eatery welcome the pooches. Chase Field, home of the MLB Diamondbacks, even has a patio to bring your dogs to summer games. Also, the Lisa Sette Gallery offers art exhibits that welcome all four-legged aesthetes.

This just scratches the surface (or the dog’s ears) of things to do with your dogs in Scottsdale. Explore for yourself and see why this the best dog city in the America!

*All Ranking and Key Metrics provided by WalletHUB

 

 

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