Are you a Business Owner?
Set up your Private Seller Account and create your listing todayGet Started Here
This is a new/green-field franchise territory for sale, not an existing territory re-sale.
PRODUCE A YEAR ONE PRE-TAX PROFIT OF £60K+ WITH OPEN DOOR
The Open Door brand was established in 2012. Specialising in property auctioneering, its pilot franchise produced a year one turnover of £197,000 and an operating profit of £114,000. It has since sold 500 properties in four years and has set-up four franchise offices in the past 12 months.
Open Door’s success demonstrates that property auctions are one of the fastest growing areas of the UK property market, with a 63% increase in revenue in 2015.
According to Home.co.uk, Open Door’s head office takes an average of six-to-eight weeks to sell a property in the UK.
Competing directly with high street and online agents, Open Door sells 75% of properties in their first auction, achieving an average of 7-10% above the guide price.
Its franchise model was launched in August 2015 and works at a local rather than a regional level making personal relationships, financial security and speed of sale the primary attractions for customers.
Open Door has put together an attractive franchise package which is designed to outperform competition in a highly-populated marketplace.
SIX REASONS TO CHOOSE OPEN DOOR
1.Consumer behaviour. Auctions are becoming an increasingly popular way of buying and selling property. People are dissatisfied with the traditional way of buying and selling property.
2.No national competitor. We are the only property auction franchise operating at a local rather than a regional or national level. We, therefore, offer a genuine alternative to conventional estate agents.
3.Low start-up costs. We do not require franchisees to have a high street presence, saving £1000s of pounds in the process. We also believe in an owner-operator model which reduces overheads and boosts profit margins.
4.Multiple revenue streams. There are multiple revenue streams available to Open Door businesses including auction entry and buyer fees, sales commission and third-party referral fees (i.e. to solicitors).
5.Efficient operations model. We operate a refined business model that, when executed properly, can produce a year one pre-tax profit of £60-62k. Based on proven numbers, this can increase to c.£150k by year three.
6.High-quality, dedicated support team. While all franchise propositions offer ongoing support, very few combine property knowledge with FTSE 100 consulting experience and/or trade body qualifications. This knowledge and experience is shared across the franchise network.
THE FRANCHISE PACKAGE
In addition to the knowledge and expertise mentioned above, Open Door offers the following as part of its franchise package:
• Exclusive access to a franchise territory mapped by BFA-affiliated suppliers.
• Direct access to high street lenders who can cover up to 70% of start-up costs.
• Support producing and tracking against a tailored business plan.
• Intensive induction training by the founders and entry for trade body qualifications.
• Ongoing marketing and sales support from the head office team including ongoing visits.
Further information is available as part of the Open Door franchise prospectus but, in brief, the key financial metrics are as follows:
• Joining and training fees = from £9,995 to £19,995 depending on selected package.
• One-off cost requirements = £2,000.
• 7 months’ cashflow requirements = £20,000.
• Target year one turnover = £153,000.
• Target year one pre-tax profit = £60-62,000.
WHO IS OPEN DOOR LOOKING FOR?
We are looking for likeminded, astute individuals who can replicate Open Door’s brand values and customer service within their local market. If you fit the following description, you are likely to be a good fit for our business:
• At least three years’ professional experience.
• A passion for selling and willingness to work hard.
• Demonstrable business knowledge or flair.
• Highly personable.
• Determined to succeed.
If you are interested in becoming part of a property revolution and learning about our business model in more detail, please complete the form below and we’ll be happy to arrange a follow-up conversation at your own convenience.
If you own a business and are considering selling, visit our Sell a Business section. Limited Free Trial available.Sell Your Business