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Re-Bath Franchise ProfileHome Based Franchises > Home Repair Services |
What is the Initial Investment for a Re-Bath Franchise?
To open a Re-Bath franchise, you will need to consider an initial investment ranging from $276,300 to $609,625. This includes a franchise fee of $50,000. It's essential to prepare for additional costs, which may cover equipment, inventory, and working capital. Understanding these financial commitments is crucial for aspiring franchisees to ensure they have the necessary resources to launch successfully.
What are the Financial Performance Metrics for Re-Bath?
Re-Bath franchisees can expect an average annual revenue of approximately $3,926,220 per unit, with a median revenue of $2,491,961. The lowest reported annual revenue is $257,200, while the highest reaches $28,788,396. With a breakeven time of just 12 months, the investment payback period is also estimated at 12 months, indicating a potentially lucrative opportunity for franchisees who effectively manage their operations.
What Ongoing Fees Should Re-Bath Franchisees Expect?
Re-Bath franchisees are responsible for ongoing fees that include a royalty fee of 5% of gross sales and a marketing fee of 2%. These fees contribute to the overall support and branding efforts provided by Re-Bath, helping franchisees attract and retain customers. It's important for potential franchisees to factor these costs into their financial planning to ensure sustainable profitability.
What are the Required Financial Qualifications for Re-Bath Franchisees?
To qualify for a Re-Bath franchise, prospective owners must demonstrate a net worth between $250,000 and $500,000. Additionally, having liquid cash available within the initial investment range is crucial. These financial qualifications help ensure that franchisees are prepared to handle the operational demands of running a successful Re-Bath location, ultimately contributing to the brand's overall growth and stability.
Re-Bath Franchise Financial Requirements
Below, you’ll find an overview of the initial investment needed to launch the business, along with the ongoing fees required by the franchisor to maintain operations over time.
The minimum total assets (minus liabilities) you must possess.
Net Worth Required:
The estimated period to recoup your total investment.
Investment Payback:
The initial fee paid to join the franchise system.
Franchise Fee:
Ongoing percentage of revenue paid to the franchisor.
Royalty Fee:
Regular contribution toward the franchise’s advertising fund.
Marketing Fee:
The estimated timeframe to recover your initial costs.
Breakeven Time:
The total amount required to launch the franchise.
Initial Investment:
The minimum liquid capital you must have on hand.
Cash Required:
The typical yearly revenue generated per franchise location.
Average Revenue:
The middle value of yearly revenue among franchise locations.
Median Revenue:
The largest reported annual revenue among franchisees.
Highest Revenue:
The smallest reported annual revenue among franchisees.
Lowest Revenue:
A broad sector defining similar types of franchise businesses.
Industry:
A more specific division within the broader industry.
Category:
The key individuals guiding the franchise’s strategy and growth.
Leadership:
The official business address of the franchisor’s headquarters.
Corporate Address:
Available financing options to help start the franchise.
Funding Year:
The main organization that owns the franchise brand.
Parent Company:
Re-Bath Franchise Unit Growth Summary
A breakdown of corporate, franchised, and total units, with yearly net changes.
Total Units
Franchised Units
Corporate Units
| Units | 2021 | 2022 | 2023 |
|---|---|---|---|
| Total Units | 110 | 124 | 136 |
| Net Change YoY | 14 | 12 | |
| Franchised Units | 110 | 124 | 136 |
| Net Change YoY | 14 | 12 | |
| Corporate Units | 0 | 0 | 0 |
| Net Change YoY | 0 | 0 |
Franchise Overview
Re-Bath is a leading bathroom remodeling franchise that specializes in transforming outdated bathrooms into beautiful, functional spaces. With a focus on quality and customer satisfaction, Re-Bath provides a wide range of services, from tub and shower replacements to complete bathroom renovations. Established with a commitment to excellence, Re-Bath has grown to become a trusted name in the home improvement industry, offering franchisees a solid business model and a recognizable brand.
Investment Details
The initial investment to open a Re-Bath franchise ranges from $276,300 to $609,625, making it accessible for aspiring entrepreneurs looking to enter the home improvement sector. The franchise fee is set at $50,000, with ongoing royalty fees of 5% and a marketing fee of 2%. With a required net worth of $250,000 to $500,000, potential franchisees should be prepared for both the upfront costs and the financial commitment necessary for long-term success.
Financial Performance
Re-Bath franchises average annual revenue is approximately $3,926,220, showcasing the strong earning potential within this business model. The median annual revenue stands at $2,491,961, highlighting a significant opportunity for profitability. Franchisees can expect a breakeven time of around 12 months, with an investment payback period also estimated at 12 months, making it an attractive option for those looking to generate a quick return on investment.
Franchise Growth
The Re-Bath franchise has demonstrated consistent growth, increasing from 110 franchised units in 2021 to 136 in 2023. This upward trend indicates a strong demand for bathroom remodeling services and an expanding market presence. With no corporate-owned units, the focus remains solely on franchised locations, allowing franchisees to benefit from a collaborative network while contributing to the overall brand growth.
Operational Insights
Franchisees can expect operating expenses to be around $1,080,000 annually, which includes costs for rent, utilities, marketing, and salaries. The average gross profit margin is approximately 50.7%, allowing franchisees to maintain healthy profit margins while covering operational costs. Understanding these financial metrics is essential for franchisees to manage their businesses effectively and optimize profitability.
Support and Training
Re-Bath offers comprehensive support and training for new franchisees, ensuring they are well-prepared to launch and operate their businesses successfully. This includes initial training programs, ongoing operational support, marketing assistance, and access to proprietary systems and resources. By equipping franchisees with the necessary tools and knowledge, Re-Bath fosters a collaborative environment that promotes growth and success within the franchise network.
Frequently Asked Questions
The initial investment for a Re-Bath franchise ranges from $276,300 to $609,625, which includes the franchise fee and other startup costs.