Keep The Family Gathering Tradition Going

I’d like to talk to you frankly about a threat that millions of senior Americans and their families are facing today.

It’s a conundrum that threatens to disrupt our American way of life and dismantle the very customs and traditions that weave together the fabric of an American family.

Does your family center on Sunday dinners and holiday gatherings at Grandma’s house?

It’s the place where your entire family assembles.

It is where Uncle Bob subjects everyone to his current views on politics…

…where son Jeff and daughter Mary debate the pros and cons of allowing children access to the latest technologies…

… and where newlywed granddaughter Melissa announces that there will be a new addition to the family in 8 months.

In short, Grandma’s house is the platform where family happens.

Unfortunately for thousands of seniors today, maintaining the ability to provide the family this vital platform is jeopardized due to lack of finances.

Twenty years of economic turmoil began with two stock market collapses, then a great recession, and then ten years of close to zero interest earned on savings accounts has robbed seniors of the golden years they had planned for.

Help is on the way

 

If you find yourself among these seniors struggling to maintain your way of life, I have some good news.

You might be living in the solution to your financial issues.

You see…

liberating some of the equity in your home and turning it into cash could provide you the ability to maintain a life that you love.

Reverse Mortgages Work

 

Believe it or not, sometimes (not very often, but every once in a while….) Uncle Sam actually gets something right… 

Almost 30 years ago, a government insured program was created to help seniors pull out some of the built up equity in their homes through a loan without having to make a monthly payment.

The program is called a “Home Equity Conversion Mortgage” (commonly referred to as a “reverse mortgage”) and since its inception, millions of seniors have used the FHA guaranteed reverse mortgage to maintain their standard of living.

If you’re able to qualify for a reverse mortgage then it is absolutely your 1stoption.

As I mentioned in an earlier blog, we don’t originate reverse mortgage loans but we can point you in the right direction.

Is a Reverse Mortgage Your Only Option?

 

Nope.

In some cases, “It’s Still Your Home” could be the solution.

If you didn’t qualify for a reverse mortgage, chances are that you were advised to just sell your home and move.

I saw this happen regularly during the time I spent in the reverse mortgage industry.

But why should you move?

If the only option available is to sell the house, then why not rent it back after selling to an investor?

Why not stay in your home rather than looking for and renting another?

The title won’t be in your name anymore but It’s Still Your Home’s, and isn’t the main goal to remain in your home by any means possible? With our sale leaseback program, you can.

How Home Sale Leasebacks Work

The process is actually very simple:

  • First, we will come to an agreement on the price of your home and buy it.
  • We then rent your home back to you for as long as you’d like to stay in it.

That’s it, no hidden agenda, no empty promises and no scams. We have an entire program in place to help seniors like you stay in the home that you love.

To best explain the program I invite you to contact me at 800-407-5696 or click the picture below to fill out our contact form.

We’ll have a 10 minute conversation and I can tell you right then if the program will work for you or not.

If you are a candidate for the program, I’ll do everything in my power to help you maintain your American lifestyle by keeping you in your home.

 

A meaningful career opportunity and a great source of income

Notes Section

The need for professional tutoring services continues to grow.
The tutoring industry shows no signs of slowing down. As the sheer number of students continues to grow, so too does the number of concerned parents seeking tutoring for their children. According to the National Center for Education Statistics, today the U.S. has a total of 55 million students in public and private elementary and secondary schools, and the total number of students is projected to reach over 57 million by 2018.
In this interview we talk with Huntington Learning Center to see how Boomers & Seniors can obtain a meaningful career opportunity and a great source of income

Caring Transitions Website
http://bit.ly/huntingtonboomer

Facebook Page
https://www.facebook.com/boomerincomeideas

Transcript

:00
this is boomer income ideas calm and
0:03
your host Dan Farnsworth I’m welcome to
0:07
this segment of boomer income ideas calm
0:09
you know if you’ve been looking for
0:10
something that will combine truly
0:12
meaningful Civic contribution with
0:15
profit this might just be for you today
0:18
we’re going to be talking with Eileen
0:19
Huntington the CEO and co-founder of
0:23
Huntington Learning Center along with
0:25
Darlene during her vice-president
0:27
themselves and I think you’re going to
0:29
want to stay tuned for this I was a
0:34
chemical and biomedical engineer my
0:36
background was in English and
0:38
communications and a minor in politics I
0:39
was really really burnt out from my
0:41
corporate job before I became a
0:43
franchisee I was a career educator and I
0:47
wanted to be something that would really
0:48
make me happy when I was in eighth grade
0:50
my math grade started to lower so my
0:53
parents looked in Huntington to help me
0:55
we were looking for answers we were
0:57
looking for any sort of help that we can
0:59
get after I went to Huntington I became
1:02
an honor student and itself off first of
1:05
all I do think of family because my
1:06
husband and I bought the business as a
1:09
family proven passionate and profitable
1:12
passion passion for students accessible
1:15
passion for me to continue to make the
1:17
service
1:18
possible center it can be this is really
1:20
a proven process or we’re changing life
1:23
there’s nothing better than that
1:28
so Darlene and Eileen thanks for joining
1:30
me today thanks for having us and you
1:33
know I think we’re going to have a great
1:34
conversation because I’m big fans of
1:36
yours it’s it’s rare to come across an
1:39
opportunity that can find a truly
1:42
meaningful environment with profit and
1:45
that’s exactly what you have at the
1:47
Huntington Learning Center so thanks for
1:49
joining me and Eileen let’s start off
1:51
with you I know that you started you
1:54
co-founded this this company in 1977 and
1:57
give us a little bit of philosophy about
2:00
how you went about doing that or why you
2:03
went about doing that well in looking at
2:06
why we started I was working on the high
2:08
school level master’s degree 30 credits
2:11
on tenure rein was working in business
2:15
research and we decided to take our
2:17
future into our own hands so we said
2:20
well what would we be good at and I
2:22
really still have students that I was
2:24
working with you know we’re struggling
2:26
in study skills and reading and said we
2:30
maybe maybe we should do a learning fair
2:33
because that there’s none around so we
2:37
opened the the first Center Huntington
2:39
Learning Center back in 1977 so it’s a
2:43
40th anniversary so it’s really pretty
2:44
exciting
2:45
that all of a sudden it’s 40 years where
2:48
the years ago is unbelievable and you
2:51
know today we are a leader in the
2:54
tutoring and test prep business and that
2:57
business we deal with students from
2:58
kindergarten through grade 12 in basic
3:01
skills reading writing math study skills
3:04
we also deal with exam prep high school
3:08
entrance as well as SAT and a CT and we
3:13
get tremendous results with the students
3:15
that we work with excellent
3:18
Eileen didn’t you just win an award for
3:20
being in the top 25 entrepreneurial
3:23
women career and I think your daughter
3:25
Ann just won an award is that right
3:28
yeah she does she’s not for an award
3:30
also so it’s very is
3:32
you know it’s very exciting to see the
3:33
you know the awards we’re getting in the
3:36
recognition we’re getting out in the
3:37
marketplace I mean we were number six
3:40
six Erie on in the franchise five
3:43
hundred so we were really really excited
3:46
about that to see how we make a
3:50
difference in in in franchisees life and
3:53
Aaron sighs it’s a win-win parole
3:56
excellent Eileen Ally Lee Huntington and
4:03
started Huntington Learning Center well
4:10
we have centers throughout communities
4:12
and wall of our all of our centers are
4:14
involved directly in the community with
4:15
local schools and local community
4:17
organizations we donate scholarships to
4:20
the local schools we’re involved in
4:23
those organizations where we participate
4:25
in those organizations it’s really part
4:26
of the culture of Huntington Learning
4:28
Center is part of a culture of the
4:30
franchise organization to really be
4:32
involved in that community you know
4:38
we’re going to talk a little bit about
4:39
the business aspect of it but I want to
4:41
talk a little bit more about the
4:42
philosophy and I’ve got a personal story
4:44
that I’m going to share with you in a
4:46
couple of minutes but I love your your
4:48
motto proven passionate and profitable
4:51
again tell me a little bit about that
4:53
philosophy because you’ve been able to
4:55
kind of merge this idea of having
4:57
something that’s really meaningful and
4:58
when I say that when you’re when you’re
5:01
developing young minds to take them to
5:03
their fullest potential so that they can
5:05
actually compete in the future in a
5:07
global environment I think that’s just
5:10
as important as a strong military as far
5:12
as what we’re going to be needing in the
5:15
future for our future leaders in our
5:17
future generation so you’re you girls
5:20
are at the at the forefront of that and
5:22
I really respect that I couldn’t agree
5:25
with you more I think what we do we’re
5:28
very passionate about it I say to
5:30
franchisees and prospective franchisees
5:33
that I wouldn’t be doing this if I was
5:37
making a widget to see the the results
5:41
we get with students is unbelievable Dan
5:44
I’ll give you an example
5:45
I got an email yesterday from one of the
5:48
Centers and it’s the time right now for
5:51
college acceptances and this young man
5:54
got into five of the colleges that he
5:56
applied to he did get a 35 on the a CT
5:59
and he got a million dollars worth of
6:04
scholarships why his school gave him a
6:08
free ride well when you see that
6:12
happening you you just say look at the
6:15
difference we’re making in the child’s
6:17
life and in the family’s life and we get
6:20
hundreds of millions of dollars of
6:22
scholarships for kids each year on our
6:24
exam prep programs the results that we
6:27
get there are average essays SAT is over
6:31
200 points increase and our AC T is a
6:34
four point increase that’s average and
6:37
we’re to do a whole lot better than that
6:40
but that’s changing a child’s life a
6:42
family’s life and as you said it’s even
6:45
changing the nation’s life well I I can
6:47
attest then I’ll tell you a little bit
6:49
about my personal story I have two sons
6:51
one of them about the second grade had a
6:54
difficult time with both reading and
6:57
math and so we took him to a learning
7:01
center and that changed everything and
7:04
that young boy is now 40 incidentally he
7:08
has a very successful career as an
7:11
airline pilot captain with a major
7:13
airline and had it not been for that
7:16
chain you know in second grade rather
7:19
than announcing this is your captain
7:21
speaking he’d probably be saying would
7:23
you like fries with that meal I totally
7:26
get it
7:26
yeah that’s that to me is how important
7:29
this is we also feed in I gave an
7:31
example on the exam front side but to
7:33
your point second grade is critical if
7:37
you don’t solve the problem in second
7:39
grade when they’re learning to read and
7:41
giving them a good foundation life can
7:44
be really miserable for them in school
7:46
and in careers well I think let’s let’s
7:49
now talk about the business aspect of
7:51
this because this is really what we are
7:53
we’re a business show where we’re
7:55
dealing with spotlighting opportunity
7:59
for baby boomers people who are 50 to 70
8:01
we really want to make a change in their
8:04
career but also want to make a change in
8:06
how they impact people’s lives going
8:09
forward that’s really one of the number
8:10
one things that we come across with baby
8:13
boomers these days they typically don’t
8:15
just want a job anymore they’ve had that
8:17
for the last 40 years now they want
8:19
something that they can really sink
8:23
their teeth into enjoy doing and also
8:26
actually make money in it so darling can
8:29
you tell us a little bit about the
8:30
aspect of running one of these centers
8:34
or multiple centers and then actually
8:35
we’re going to talk about franchisees in
8:36
a minute but kind of give us an overall
8:39
outline of how a center operates can you
8:42
do that for me
8:43
sure so on a daily basis and the beauty
8:47
of this business is that we’re making a
8:49
difference in our franchisees see the
8:50
difference they’re making every day as
8:51
Eileen talked about but part of running
8:54
a business right and being that center
8:56
director is doing the marketing you have
8:59
to market the brand people need to know
9:00
who you are you have to be Huntington in
9:03
your community so franchise owners are
9:05
marketing and any part of that is going
9:08
to school and talking to teachers and
9:12
guidance counselors and principals
9:13
letting them know the services we offer
9:15
for their students it’s also about being
9:18
a business owner in your community in
9:20
part of the Chamber of Commerce I’m
9:22
working with other business owners in
9:24
your in your community it’s going to
9:27
local community events so you’re meeting
9:30
parents and students out where they are
9:32
and part of the daily routine is I’m
9:35
meeting with my staff on preparing for
9:37
the time the students are going to come
9:39
into the center making sure that the
9:41
students are making the progress in
9:42
their programs and I have to be coaching
9:45
we have a coaching team here and again
9:47
that helps our franchisees to prepare
9:49
for those complexes with mom and dad
9:51
because as a business owner and the
9:53
center director it’s my job to sit down
9:56
with mom and dad and talk about the
9:58
program that’s in this custom design for
10:01
their student and to enroll them in the
10:02
program so we do have to sell a program
10:05
to mom and dad so with that in mind you
10:10
mentioned going out and doing these
10:13
community
10:13
the events and so forth how do you
10:16
actually attract your students I mean
10:19
what I know it’s a number of things and
10:23
it’s probably very comprehensive but
10:25
what one of the number one ways that you
10:28
actually get the phone ringing or you
10:29
get people coming through the door
10:31
saying I need to use your services sure
10:34
it’s really a surround sound approach to
10:35
our harkening and the marketing plan is
10:38
something that the franchisee just has
10:39
to actually follow the planner to
10:41
implement it I’m going to say it’s from
10:43
broadcast banned from TV commercials
10:46
that are ready to direct mail that were
10:49
mailing out as very specific targeted
10:51
time like the time when a child is going
10:53
to take an SAT or a CT we know and make
10:56
the recommendation of watched emails we
10:58
know when report cards are coming home
11:00
we know when to attract them put things
11:02
in parent’s mailboxes it’s also again
11:05
personal face-to-face meetings with
11:07
parents and students out in the
11:09
community and events and if teacher
11:11
resolve we get a lot of referrals from
11:14
the school on whether it be the teachers
11:16
the guidance counselor’s and it’s a big
11:19
referral business so then once um once
11:21
you’ve gotten great results with your
11:23
student you’re going to tell other
11:24
people we have a big referral business
11:26
here at Huntington on and a lot of
11:28
repeat business
11:29
so families they come to us just like
11:31
you went to a center with your son who’s
11:34
in second grade kids who come to us the
11:36
second third and fourth they come back
11:38
to us when their students may be needing
11:40
help in algebra or geometry and then
11:42
they come back to us again when the
11:44
student needs to prep for the SAT or the
11:46
ACP right so Eileen when you started
11:49
this four years some years ago is this
11:52
what you expected I mean did you expect
11:54
it to grow into this large institution
11:56
or did you think that you’re basically
11:59
going to be opening up one shop and
12:01
helping local people I mean is is this
12:04
what you plan for or did it just happen
12:06
it’s not what we planned for
12:08
we opened London Life Center on and when
12:12
we open we open the center is back in
12:14
1977 we we did not expect the response
12:20
we got from parents at the time I didn’t
12:23
resign from my position because I didn’t
12:25
know if it’s going to work
12:26
not going to work and I will tell you
12:29
Dan by August we knew that that I could
12:32
resign from my position and today we
12:35
have 300 locations in 39 states and no
12:39
that was that was not the plan
12:41
and when you look at it from a business
12:43
point of view we are the number one
12:45
revenue producing tutoring franchise
12:48
today earning 63% more than our closest
12:52
competitor that’s amazing what do you
12:54
attribute that to
12:55
I entreat needed to result Darlene I’m
12:58
speaking of franchise years I took a
13:02
look at a video that highlighted Brian
13:04
Redick one of your franchisees and I was
13:07
really impressed with the fact of his
13:09
background and he came from a very
13:12
successful environment and decided to go
13:15
in this operation and this opportunity
13:18
can you talk a little bit about that
13:20
sure I mean our franchisees come from
13:22
really a wide pasteurizer background but
13:26
we do see a lot of folks who are coming
13:28
out of corporate America they’ve been
13:29
very successful in their previous life
13:31
um we do have educators who come to us
13:34
and we need to sometimes teach them the
13:36
business side of this of being a
13:38
franchisee they come with that passion
13:41
for education and for folks who are not
13:44
coming from the education background and
13:46
the majority of our franchisees don’t
13:48
come from that education my friend we
13:50
teach that so we give them all the all
13:52
they need to know in the education side
13:54
our programs are that strong that we
13:57
don’t need that education defensive line
13:59
is very typical of our franchisees he is
14:02
one of our multi unit operators here in
14:04
our system and I’m going to say this
14:06
about 25% of our system that are multi
14:08
no operators today I spent about 10
14:13
years working in corporate America prior
14:15
to opening onyx and Learning Center and
14:17
if you follow the system and work hard
14:20
which is the entrepreneurial part of it
14:21
then you can be successful if I had to
14:24
say three words for hunting
14:25
Center I would say profitability
14:26
innovation an impact I also notice that
14:39
Manhattan is your number one operator
14:42
they do about two million a year and
14:44
that didn’t surprise me at all because
14:46
obviously Manhattan is full of people
14:50
who are very prosperous and they want
14:53
their children to be very prosperous and
14:55
so they know that they need these types
14:58
of support services to get to that level
15:00
and that’s really I think one of the
15:02
biggest things that I want to get across
15:03
on this I personally think that anybody
15:05
who’s sending a child to public school
15:08
system and isn’t getting this kind of
15:10
supplemental education along with that
15:13
is doing their child a disservice
15:15
because it’s really really necessary
15:18
especially with large classrooms and
15:20
things like that these days but then
15:22
going back to even the comment about
15:24
Manhattan you know we see very very
15:28
successful centers and they could be in
15:32
a southern state they can be in New York
15:34
they can be in Texas they can be in
15:36
California the location itself doesn’t
15:39
really make a difference it’s about the
15:42
operator and it’s about them getting out
15:44
in that community getting the word out
15:46
and marketing so it’s not necessarily
15:49
demographic base for us on that New York
15:52
have a higher you know family income
15:53
then Nashville or Alabama Birmingham
15:57
Alabama it doesn’t matter about the
15:59
operator we see that on every community
16:03
has parents who are very concerned about
16:05
their children and they are willing to
16:08
make sure that child gets what they need
16:11
to be successful yep so can you give me
16:16
a profile of an ideal candidate as a
16:21
potential franchisee the first thing
16:25
that they need to well they need to have
16:28
the passion for this business right they
16:29
don’t need to be an educator but they
16:30
gotta they have to want to make the
16:32
difference all of our franchisees have
16:33
all I kind of call the do good bones
16:35
they want to get back okay so they want
16:38
to give that they’ve won
16:39
maybe differences that is the first
16:40
thing that all of our prospects Cyclops
16:41
and that’s for a single franchisee say
16:43
they love the business um then we look
16:47
at folks who have degrees all of our
16:49
franchisees are educated folks they all
16:51
have at least a bachelor’s degree or
16:52
higher they’ve been successful in the
16:54
prior life in fact we have many
16:57
franchisees I think this is a family
16:58
unit and we see very quite often we see
17:02
a parent-child relationship coming in
17:04
and doing this franchise together or we
17:07
see deep tear into it as a business and
17:10
then their children come into the
17:11
business after their children have grown
17:13
so we just see that we really are a
17:16
family friendly business or and its
17:20
really nice to see franchisees passing
17:23
it to the next generation and we’re very
17:25
very excited here on the same the same
17:28
way and this year we were recognized as
17:31
the top franchise for women by the
17:32
franchise Business Review so our
17:34
demographic of our franchisees has
17:36
changed 30 years to where we have a lot
17:38
more women running our centers and being
17:40
a risk business as well now you over the
17:43
years have encountered a lot of
17:46
franchise personalities we just talked
17:48
about the ideal candidate tell me who’s
17:51
not a good candidate give me a profile
17:53
of someone who would not really be a
17:55
good fit for this business first of all
17:58
I think in being a good fit to this
18:00
business and this is any franchise
18:02
organization at all you really have to
18:05
follow a system if you are the type of
18:06
person you can follow assistance don’t
18:09
do franchising right can’t be a maverick
18:11
and say you know I know more I’m going
18:13
to go do this I’m going to go do that
18:14
know if you follow the system it works
18:18
and that’s that’s the biggest thing you
18:21
know I say to franchisees who are
18:23
considering our business the cookie
18:26
cutter is there we know what works we
18:29
know what works in curriculum so even an
18:32
educator who comes in you need to follow
18:34
our system don’t stay I think this piece
18:36
of curriculum would be great we have an
18:38
education development department that
18:40
evaluates the curriculum that we use so
18:43
we can get the results that we want with
18:45
children that’s that’s the key thing is
18:48
getting results so following the system
18:51
really is important
18:52
the other thing is this is an
18:54
owner/operator for the first year you
18:57
really have to learn this business if
18:58
you’re thinking of taking this business
19:01
and saying I just want an investment I
19:02
want to be passable in it
19:04
we don’t want you we don’t want you we
19:07
want people who are going to work at
19:09
this learn it that’s not to say that
19:12
after you get the business running and
19:14
you put staff in the air that you’re
19:17
working as hard as you work um that’s
19:20
not the case because we have franchisees
19:22
as Charlie mentioned this week we met
19:24
with franchisees here at Horry Dell and
19:26
the people we met with you know a lot of
19:29
them I’m working I’m going to say 15 20
19:32
hours a week on and they’re able to do
19:35
that because they have trained staff who
19:37
they manage but this is not you know let
19:41
me just have a pass today sure now these
19:44
this is the final questions that I
19:46
always like to ask because it gives you
19:48
an opportunity to really kind of focus
19:50
in on the pros and the cons okay can you
19:53
ladies give me three pros of actually
19:56
operating a Huntington Learning Center
19:58
and three cons that someone might want
20:00
to consider before they move forward
20:03
with this I think I think when we look
20:06
at new and cons when are they wanted
20:09
let’s look at pros one of the pros okay
20:12
and looking at this is first of all it’s
20:13
a great industry okay it’s a fabulous
20:16
industry there’s a great need for
20:18
tutoring that we just talked about it’s
20:21
a four point three billion dollar
20:22
industry also its financially and
20:25
personally rewarding for franchisees
20:28
franchisees will say to us okay this is
20:30
the best decision I made I think about
20:33
what I do I’m making money at what I’m
20:36
doing um and another pro would be we’ve
20:39
been doing it for 40 years we know what
20:41
we’re doing okay but exclude us a
20:44
seasons management team it’s a
20:45
family-owned business we put the
20:48
students first and when you put the
20:51
students first everything falls into
20:53
place and that’s the key thing because
20:56
you need to get results with the kids
20:58
you have in our program gets results so
21:01
that’s what I would say is is let’s say
21:02
3 3 3 crushed and I would ask that last
21:05
one
21:06
is that we operate 35 company units or
21:09
here in the metro area so it’s not that
21:11
we ran it in the past you want it every
21:14
day with the same sisters the same
21:16
procedures that are franchisees use so
21:18
we’re in their shoes every single day so
21:21
I guess that can be summed up with your
21:22
model of proven passionate and
21:24
profitable I mean those are the three
21:25
EPs so that’s very good
21:27
how about a couple of cons you don’t
21:29
have to do three just I just got a
21:34
balances out okay I think we mentioned
21:38
this I think franchising is not for
21:40
everyone you have to be able to follow a
21:41
system some people just can’t do that
21:44
and we’ve seen that um where you know
21:48
they come in and franchisees won’t want
21:50
to change things we get results and we
21:54
see that with our folks so I would say
21:56
that would would be one of the areas on
21:59
and you need to be a fit um you know a
22:03
business percentage is you mentioned one
22:05
of our franchisees Brian Riddick
22:07
a business person can come in here and
22:10
learn the education part of it um you
22:13
don’t know you don’t need to know how do
22:16
I design a program for a child you’ve
22:17
already done that
22:18
orgy we evaluate a child and we know the
22:22
results we come down a computer this is
22:25
how you design the program so we know
22:27
we’re going to get results on an
22:29
educator who’s coming in needs to it
22:31
needs to know the business type these
22:33
men and just saying I just want to be an
22:35
educator and not understand that this is
22:37
a business well ladies I think this has
22:39
been a great conversation as I mentioned
22:41
to you a big fan of yours and we’re
22:43
going to be putting your information in
22:45
our notes section so that our viewers
22:47
can contact you directly and I hope that
22:49
we’re sending you quite a few as a
22:51
matter of fact and I just want to thank
22:52
you again for being on the show thank
22:55
you
22:56
thanks for having us
22:57
[Music]
23:08
you
23:09
[Music]

What is your personality type?

The purpose of the Myers-Briggs Type Indicator® (MBTI®) personality inventory is to make the theory of psychological types described by C. G. Jung understandable and useful in people’s lives. The essence of the theory is that much seemingly random variation in the behavior is actually quite orderly and consistent, being due to basic differences in the ways individuals prefer to use their perception and judgment.

Take the test here

 

“Perception involves all the ways of becoming aware of things, people, happenings, or ideas. Judgment involves all the ways of coming to conclusions about what has been perceived. If people differ systematically in what they perceive and in how they reach conclusions, then it is only reasonable for them to differ correspondingly in their interests, reactions, values, motivations, and skills.”

These tests are typically taken before an interview in a corporate setting where you are trying to portray a side of you that you think we will land you the job! That is where the problem is however, as I mentioned in my interview with DR. Sharon Livingston, I received a personality type that was not true. The test was accurately picking up what I wanted it to pick up. This is why I am including a version of this test which you can take from a the comfort of your home to give you a better idea of who you are. This might help you as you determine what your next steps are in this third chapter of your life.

 

Take the test here

 

 

What is your personality type?

Buy A Business That Already Makes Money

Notes Section

Buy A Business That Already Makes Money

50% of new business fail in their first year! Why not take advantage of a business owner that already has a proven formula for success. Buy a business that already makes money!

In this interview we talk with Ace Chapman, he has a proven track record of success in buying and selling businesses that already have a profit. He can help you connect with business owners that are silently selling their business and can even partner with you on larger deals.

If you would like to connect with Ace please click HERE

Buy A Business That Already Makes Money

Automated: This is boomerincomeideas.apps-1and1.com, the program where we explore options for boomers and seniors who are looking for ways to take charge of their financial future and live the third chapter of their life on their terms. Now, here’s you host, Dan Farnsworth.

 

Dan Farnsworth: Hi and welcome to this week’s episode of boomerincomeideas.apps-1and1.com. In the past we’ve talked to a number of people about starting a new business or buying investments properties to gain income, but what about buying an existing business that doesn’t happen to be a franchise, but has an existing income and profitability that you can take over immediately? Well, there’s a lot of pitfalls that are involved with that and we happen to have an expert on the show today. His name is Ace Chapman with acechapman.com. He has had a great deal of experience in doing exactly that, both with online businesses and offline businesses, so I think you’re going to be very interested in hearing what he has to say. With that let’s welcome Ace to the show.

 

Hi Ace, welcome to the show.

 

Ace Chapman: It’s great [inaudible 00:01:08]. Thank you so much for having me on. I’m excited to jump into talking a little bit about buying and selling businesses.

 

Dan Farnsworth: Yeah. Actually I’m excited to have you on the show because of exactly that. Last week we had someone on that we were talking to about buying income properties and we talked about the difference between something that already had a renter in it compared to buying something that you’re going to have to start from scratch and put a renter in. I know that’s your philosophy with buying businesses, that you like to take over existing businesses that are already generating a profit and go from there.

 

I think that that’s an outstanding philosophy but I also know that in buying existing businesses it can be very much like buying a used car. If you don’t have someone that is checking it out for you and certifying that it’s in good condition you can get really burnt.

 

Ace Chapman: Absolutely.

 

Dan Farnsworth: From what I understand that’s essentially you, right? You’re an Acquisition Consultant. Can you expand on that a little bit?

 

Ace Chapman: Yeah. I spend most of my days looking at deals and in this space, unlike buying a house or buying even a car, there are a limited number of risk factors that exist. If a car is a lemon you’re going to be able to figure it out and look at the engine. It comes pretty natural to a mechanic who’s trained in that field. The thing with business is that there’s a little bit of an art and there are a lot of unknowns. If it’s an offline business, is a competitor going to show up and take half of our business? Are we ready for another economic downturn?

 

In addition to just looking at that business we also want to try to figure out how can we position this business once we buy it so that it’s protected from some of those external factors at the end of the day we don’t have a lot of control over, no matter how great your due diligence process is.

 

As an Acquisition Consultant, I have my own private equity fund. We’re always looking at businesses, buying those businesses, trying to grow them, eventually selling. Then I also do the same thing helping other people buying businesses that are going to be a good match for them and their financial goals.

 

Dan Farnsworth: Okay, great. You work directly with someone who might want to buy a business independently and you go through the process with them, but you also have a fund which we’ll talk about later on, that allows you to participate in some purchase, where that person might be just a passive investor. Is that right?

 

Ace Chapman: Exactly. Exactly.

 

Dan Farnsworth: Okay. Great. All right. Got it. Let’s talk about that in a few minutes but before we do that tell me a little bit about, I read something about your first deal and it was an internet-based deal and it did pretty well. Tell me a little bit about your first deal and then where you went from there.

 

Ace Chapman: As a teenager I was always a business nerd. I was one of these guys that just was curious about business and how it worked, Wall Street, and so I joined a stock market simulator back when that was a new thing. I loved the idea that you could take this play money, you could invest it in the real stock market, they give away prizes and all of that. The downside was that the site was always crashing, the people running the business were unresponsive to customer issues, and it was pretty frustrating. Even on the forums people were like, “Man, this is just ridiculous. This is such a great business, I love it, but it’s a pain that it doesn’t work half the time.”

 

I reached out to them to become an intern over the summer and I’m like, “Obviously they need the help in their business because they don’t have time to get back to people.” They wrote back and they said, “We’ve moved on to a whole new business. This is a side project for us. It’s really getting on our nerves. We want to sell it. Let us know if you find anybody who just wants to buy it and then you can be an intern for them.”

 

Dan Farnsworth: Okay.

 

Ace Chapman: I was really just curious about the numbers. I wanted to know what were they solvent for and how much money was it making and all that? I was like well, I may somebody who will tell me about the numbers and what’s going on with the business.

 

Dan Farnsworth: I think it’s just kind of funny how they said if you want to keep your free job you need to go find a buyer for this business.

 

Ace Chapman: Exactly. “Go work for free right now and find us a buyer.”

 

Dan Farnsworth: All right.

 

Ace Chapman: They wrote back. They basically were making 60,000 a year and were selling selling for 70,000. I know anything about business valuations but I figured, I was at school.

 

Dan Farnsworth: That’s a pretty good deal.

 

Ace Chapman: Yeah, I was in a school that cost 120,000 over the course of four years and my friends were getting out with jobs making 30,000 a year. I’m like, “Okay. They’re paying 120 and four years of their life for 30. This sounds like a good deal.

 

I started trying to figure out how could I pull this off? Because I was a broke college kid. I had 3,000 dollars saved up from the summer before. The difference between 3,000 and 70,000 is a lot of money when you’re a 19-year-old kid. I slept on it thinking, “There’s just no way I could ever buy this thing.” Then I decided to give it a shot so I reached out to them. I asked them, “Hey, if I got you half of the money would you give me time to pay the rest of it?” They said, “Sure. We’d be willing to do that.”

 

Then I had a buddy who had some money. Went to him. I was like, “Hey, I have this thing. Would you be willing to put 15,000 in it?” Or actually I went for 30 and he was like, “I would do 15.” The rest of it I actually went and took some credit cards and got some cash advances and made up that difference of about 17,000. That was my very first deal. People ask me all the time, “Weren’t you nervous it wasn’t going to work out?” I didn’t have time to be nervous about that because the thing that I was most nervous about was one of those credit card statements making it to my parents’ house. They would have definitely flown up to my college and murdered me.

 

Dan Farnsworth: If I understand correctly you grew that business but a base of 10,000 subscribers to 250,000 subscribers? Is that right.

 

Ace Chapman: Yeah. Yeah. That’s correct. It was a pretty amazing experience. I was able to make some money out of the deal but I learned the lesson of not selling quick enough. In 2001 we had the first Dot-com crash. Before that we had seven figure offers to buy the site. We were just growing, everything was looking great, and here I am a 21-year-old kid like, “This is going to be it. I’m about to exit from this business and it’s all done.”

 

Then the crash happened and quite honestly that’s probably what led me to the career that I have now because I became very trigger happy. If I wanted to buy a business after that I was ready to sell.

 

Dan Farnsworth: Following that experience until now, how many deals have you done?

 

Ace Chapman: At this point personally, I’ve made about 50. A little over 50. 30 deals that are internet-based businesses and 17 or so deals that are offline.

 

Dan Farnsworth: Okay. All right. When you say personally those are all your deals?

 

Ace Chapman: Yeah.

 

Dan Farnsworth: What about people that you’ve helped buy businesses?

 

Ace Chapman: Some of those are included in that because I invest in their businesses when we acquire them together. I actually partner with the people that I work with and I honestly put my money where my mouth is. The main reason that I do the consulting for other people is because I want to invest in more of these deals so that gives me an outlet to be able to do that. Some of those are in there and then total between all the deals that I’ve just done consulting on and invested in and all that is over 100 businesses.

 

Dan Farnsworth: Okay. All right. Who finds these deals? Do you or do you have some people who are out searching for you? I guess what I really mean by that is if I was someone who said, “Ace, I’m interested in finding a business to buy.” Do I just give that to you or do I go find it then I come to you and say, “Okay, here’s the business that I’m looking at. What do you think?”

 

Ace Chapman: Most of the deals that are on the market that people find aren’t the best deals. We know at just an inherent level when it comes to anything, whether it’s a house, a car, any kind of deal, the very best deal is never going to be on the market. If you have a Rolls-Royce for 25,000 there’s not need to advertise that. You talk to a couple people, it’s going to be sold. The difference with businesses is not even the average deal usually makes it to being marketed. The reason is because business owners want to keep it a secret that their business is for sale and the last thing somebody who owns a great business wants to do is start to advertise it for sale and they don’t really need to.

 

A lot of times they’re going to their account and they’re starting to network behind the scenes and as we all know we just show up to the business one day and voila, there’s maybe a sign, “Change of ownership.” That kind of thing. It’s like, “How did that happen?” It’s all behind the scenes and we do a lot of underground advertising to create that deal flow.

 

Dan Farnsworth: Take me through an anatomy of a deal. Again, I come to you and I say, “Ace, I have 100,000 dollars to invest in a business. I want to buy something that is going to generate as much cash as possible. First of all, what kind of return on an annual basis can I expect a business that I’m investing 100,000 dollars in to return? Secondly, where do we go from there? Do we start searching for a business? Do you have something in place already? Have you already done due diligence on it or do we start that then?” Tell me your actual work flow?

 

Ace Chapman: Yeah. The very first thing we do, you come in, you want a deal, you’ve got a certain amount of cash that you want to invest, and you also have an idea of what the cash flow is that you want to get in return. We also want to make sure that the business that we buy is a good fit for you. In addition to finding out a little bit about your background, a little bit about your complete financial situation, we want to do some personality testing and some skillset testing. That’s going to give us an idea of, when we’re looking at a business, what are you bringing to the table?

 

When we find a deal our goal is not just to find a deal that is making good money right now, we want to find a deal where when you come in with your exact mix of personality and skill sets and drive and what you enjoy doing in that business, it’s going to skyrocket that business. We’ve seen time and time again, a lot of times where the person doesn’t feel like the business is going to be right for them and we convince them otherwise and they get in. It’s like, “Yes. Thank you so much. This is definitely the right fit.

 

Because naturally we have all these different personality types. There’s some people that are naturally bent towards marketing. There’s some people that are naturally bent towards tech in the business, or numbers and finances in the business, or operations, or HR. All those things. When we sit across from a marketing person, sits across the table from another marketing personality person, they start talking about the business, everything is about marketing and they both enjoy it and think, “Man, this is the business that I want to buy.” That marketing person sits across from a tech person or a numbers person, operations, like, “Everything in this business is all about numbers.” But it’s not about that business, it’s about the person running it.

 

I’ll give you a quick example, then I’ll go through these other steps pretty quickly. We had a lady who had that exact background. She was in marketing, was a marketing consultant and we looked at a business that had never done any marketing. It was built by two programmers who had built this business. Because it was an amazing business they had taken this thing and grown it. They were pulling a quarter of a million dollars a year without ever spending a single dime on marketing. They just every day focused on improving this product.

 

We get on phone call and that’s what they tell her needs to be done at the business. They’re like, “This is the way this business works. You got to be improving the programming here and doing some work with the programming there. We always had this project that we wanted to work and more programming, programming, programming, programming.” She gets off the phone, she calls me. “This is crazy. That was a complete waste of time. Everything in this business is all about programming.”

 

I had to tell her, “You can outsource the programming.” They’ve done 99.9% of everything that can be done with the programming and now it just needs to be marketed. She’s grown that business from half a million dollar business to a 1.6 million dollar business. It’s just about finding that right match.

 

Dan Farnsworth: Okay. That brings me to my next question. I know that you have a preference for online businesses as opposed to offline businesses. A lot of people my age, boomers, and this is boomerincomeideas.apps-1and1.com. A lot of my viewers would have a reticence to actually buy an online business because we believe in the old adage, “If you can’t cook don’t open up a restaurant.”

 

Ace Chapman: Yes.

 

Dan Farnsworth: In this case you mentioned this woman bought this business, she didn’t know anything about programming, and she was able to grow the business. If you were looking at an online business, what do you need to know that will keep you out of trouble? In other words, do you need to know programming? Do you need to know how to deal with ISP and service providers and FTPs and all those kinds of things or can you outsource all of that and just say, “I’m going to concentrate on marketing” for instance?

 

Ace Chapman: Absolutely. Absolutely. When you’re buying any business what’s going to end up happening is we want the training to come from that seller. it’s just like a new job. They’re going to give you the on-the-job training and this is what it takes to make this business successful. The mistake, and I think it’s a lot tougher for somebody to start an internet business because there’s just an infinite amount of things that you have to learn. I’m hearing people all the time who’ve taken a Facebook marketing class, they’ve taken a how to start a podcast class, they’ve gone out and figured out some email marketing and how to do webinars and just on and on and on. Snapchat and then the new thing comes out. Musical.ly.

 

It’s just endless. When I tell them, “Hey, you can let all of that go.” It’s like taking this backpack with all of these skills. We just want to find a business, going to find a business that’s working, that’s making money every month, and then we’re going to have that person show us what they’re doing in that business that’s making it work, and then outside of that we’ll test things here and there to see so that we’ll continue to grow, but it’s not a matter of needing to be an expert really at anything.

 

The real expertise that I have is finding the deals, doing due diligence, being that deal maker. I don’t want to know how to program. I don’t want to know how to do marketing. I want to buy a great business that has some staying power and then I want to guide that ship.

 

You take a business like this where we’re in the process of buying this business right now. It’s called Minimalist Watch. It’s a very simple business built by some folks out in Utah that grown the business. It already gets a certain amount of sales just from SEO and work that they’ve done without us doing anything. Our goal just becomes to, how can we grow from the foundation that they’ve already built?

 

Dan Farnsworth: Okay. I got it. In the online world there’s some unique things that you wouldn’t find in a traditional business as far as doing your due diligence and trying to figure out whether they’re lying to you or whether it’s real information. Tell us some of the gotchas. Tell us some of the things that you look for specifically that will tell you immediately whether or not the information that you’re seeing is real or it’s fabricated or it’s a composite of a lot of different sites. I understand a lot of times guys that are selling an existing site have a number of sites and they’re showing you traffic that’s being generated from all of those sites and they haven’t extrapolated that one site that you’re actually looking at buying. Tell us a little bit about that.

 

Ace Chapman: Number one, I will say I still love offline deals. I own some offline business and when it comes to offline businesses the due diligence actually is tougher than the internet businesses. A lot of times you have cash that’s coming into that business. It’s easy to do some things with. You have people that their books aren’t really that good. The systems in the business and where the business is coming from is a little bit more sketchy. It’s actually more simple to do due diligence on the internet businesses, which is one of the reasons that we’ve been excited to include that in the portfolio.

 

There are a couple of things that you can do to stave that kind of thing off with them pulling scams. Number one is we want them to be in the deal with us. Any time you do a deal it’s going to have some owner financing in it. They’re not going to get all their money until we know that we’re making money. That keeps you out of the crosshairs of just you putting everything on the line and they’re gone with your money and you’re out of luck.

 

The other thing is when you’re doing the due diligence you want to make sure that you’re logging into all of those accounts, want to make sure that you’re the person, that you’re not looking at anything that’s … At the beginning it’s just to get you interested in the deal but you’re not depending on some PDFs, you’re depending on video proof, you’re logging into those accounts and you’re making sure. You can easily create a report from Google Analytics that just shows this tracking and that kind of thing, but Google knows where the traffic is coming from and to, so I can log into Google Analytics and instantly see, “No, this traffic really is to that site and this traffic is to this site.”

 

Everything online is very easily trackable and so we have this 88 point process that we walk through of things to check to make sure that everything is on the up-and-up before we move forward on the deal.

 

Dan Farnsworth: Okay. You actually go through this due diligence process with the buyer and you do it to a point where both they and you are satisfied that you have all the information that you need to actually move forward or not, correct?

 

Ace Chapman: Exactly. Exactly.

 

Dan Farnsworth: I got it. I think that sounds great. Tell me just a little bit about Partners Equity Fund where you actually provide an infrastructure for people to invest alongside you into companies that have management already in place. This is, I guess, truly passive income, is that right?

 

Ace Chapman: Yeah. The thing there is I go out, we get a ton of deal flow in. We work with some other folks where we’re investing in those deals. Then we have the fund that’s the deals that we’re buying ourselves, we’re growing those businesses and building a portfolio. Right now we’re starting our largest fund which is a ten million dollar fund and the goal is to buy some things that are very complementary. It’s one of the things that’s powerful in this space is we buy two watch businesses and then we buy a clothing business, which we’re actually doing right now, and one of those businesses may have 200,000 Instagram followers. Another one may have 90,000 and then the clothing may have 300,000 and we start to cross promote all of those, that grow those together.

 

It’s been really neat. What we’re able to do through the consulting program is connect people who are in separate deals. Within the fund the neat thing is I have to get two people together. I’m an investor in both of those and I can connect them but it’s up to them what they want to do. In the fund we can buy those complementary businesses and tie them together and have them cross promote and grow each other as much as we want.

 

Dan Farnsworth: Okay. One last question. You mentioned that you have this outline that you go through both for the person that you’re dealing with as well as the business or the company that you’re looking at. Give me an example of someone who was going to be a client of your but you took at look at the personality, the outline, and you said, “You know what? You really should not be in business. You really need to just go get a job or something because being in business is not right for you.”

 

Ace Chapman: Yeah. There’s one personality type and it’s really the people that have a really low risk [inaudible 00:24:58]. We’ve had a lot of success and we’re looking at, as we were going through this fund thing on the larger fund, we went through all the history of all the deals and basically had a 96 percent success rate with the businesses. But, there’s 4 percent that didn’t go well and if you’re in that 4 percent and a deal doesn’t go well you don’t care about Ace’s 96 percent. You have to get into this understanding that there is some risk. We’re buying things at a two multiple and so with those people we actually, which is another thing with the fund, we guide them towards the fund because in that environment, that 96 percent success rate becomes a really huge win, because if we can buy things at a 2 multiple and it’s a 40 percent, 50 percent return, that’s been really powerful there. We’ve got that diversification.

 

Outside of that if you have that entrepreneur’s spirit and you understand, “Hey, two out of 10 of these things are going to be successful over the course of 10 years.” If I start from scratch and you’re comparing that, you know. The people that love this are the ones that are going down a path, that are going to start something, where in all likelihood it was going to take a bunch of money, take a bunch of time away from their family, have the missed opportunity of being in something else and take all of that risk and have the majority chance that they were going to fail, and then you come to this side. That risk profile loves this. They love this. The people that don’t want to take any risk, they should invest in the fund.

 

Dan Farnsworth: Ace, I think this has been a really good conversation. I think it’s been really informative and I think that the viewers are going to enjoy it. We’re going to put information in our note section with your link and information about your business and your company so that they can get in touch with you directly. One last thing, I just want to thank you for your time and thanks for joining us on the call.

 

Ace Chapman: Thanks so much, Dan. I appreciate you having me on.

 

 

If You Are Thinking Of Buying A Franchise, Watch This First!

Notes Section

At FranNet, they partner with aspiring entrepreneurs and individuals interested in taking advantage of a franchise opportunity and becoming business owners. Together, they will determine your ideal franchise business opportunity, effectively matching you and your business needs with the right franchise for sale. Their locally based franchising consultants are experienced entrepreneurs and authoritative experts of their respective markets. Through their free consulting services, our consultants will provide the valuable research and guidance necessary to feel truly confident in your decision to buy an existing franchise opportunity.

If you are interested in owning a franchise, speak to Franet today. Click HERE

Dan Farnsworth:   Hi and welcome to boomerincomeideas.apps-1and1.com. I think you’re really going to enjoy the segment today. Today I’m going to be talking about franchising and before I go into that I want to point out something.

One of the best contemporary thinkers of our time is a guy named Malcolm Gladwell who did a lot of research and he discovered that is usually takes 10,000 hours to become very, very competent in anything. In order to become an expert you basically need 10,000 hours of doing that same time before you’re really at that level. One of the things that franchising does for you is that it allows you to buy that 10,000 hours. I don’t know about you but I don’t have 10,000 hours to spend on learning on the job anymore. I want to hit the ground running and I want to be able to get into something right away that is kinda mapped out for me. All I have to do is go in take the reigns and just keep on going from there. And that’s what franchising is all about. The question, however, is: What’s the best franchise? And I’m going to talk about that a little bit, but before I do let me share a story about me that’s kind of embarrassing actually and that I think kind of sums up what we’re going to be talking about today.

Years ago when I first started out in business I traveled. And I didn’t really know much about traveling. I didn’t know anything about travel agents. And because of that I spent a tremendous amount of time looking at airline schedules and booking hotel rooms and booking rental cars. Things along those lines. Because I thought that if I used a travel agent they were going to charge me a fee and I didn’t want to have to pay the fee.

Imagine my surprise and my embarrassment when I found out the travel agency didn’t charge me anything. So I could have been having them do that for me and take advantage of their wisdom and their systems, all along, at no extra charge to me. And today we’re going to be talking to John Blair, he’s executive vice president of marketing and PR at a company called Frannet and with that in mind I’d like to introduce John now.

Hey John, thanks for joining us today.

John Blair:  Hey thanks for having me Dan I appreciate it.

Dan Farnsworth: Well I really am excited for you to be here today because I think your company has a lot of exciting things and great things to offer to our viewers. With that in mind, can you tell us a little bit about Frannet, what you guy do, and how you do it. And then kind of give us a little bit of history of your company as well.

John Blair: Frannet is an international franchise advisory company. We’ve got about 120 consultants across three countries. In the United States, Canada, as well as Germany. What we do essentially is we help people who are interested in starting their own business identify a franchise that kind of uniquely fits them, based on their skill set. Based on their budget. Based on their goals, both personal and financial goals. As well as their lifestyle. You’ll want to think of us as kind of the match.com for businesses and people. We align people with a business that kinda uniquely fits them.

Dan Farnsworth: Earlier I kinda likened you guys to a travel agency, in that the travel agent doesn’t really care which airline they book you on they don’t have an affinity for one company or the others. They just want to make sure that you get there on the right plane go to the right place in the right seat, at the most economical price possible. And the interesting thing about that is that you as the passenger don’t have to pay the travel agent anything, and I understand that’s the same way with Frannet. Is that correct?

John Blair: Yes. That’s true and that’s a great point. We work as a travel agent. A lot of people in corporate America will closely assimilate us to a an executive recruiter. Whereas, we are paid by the franchise company. So it doesn’t cost the client, the individual, anything more anything less than if they were going to go completely on their own and try to find all this research say through Google. Or if they were to work with a Frannet consultant and get all the information all the research.

A lot of people are afraid to go into business because they don’t know what they don’t know and that’s scares a lot of people. We’ve been there. We’ve done this for 30 years. We know what to expect. We know not only the process that you’ll go through, kind of the pragmatic process, but we also understand the mental approach, that’s also going to go into some of the mental hurdles that you’ll have to get over in order to be able to invest in your own business. The interesting thing is about 75 – 80 percent of the people we work with don’t buy a business. But, what we find, is they arm themselves with enough information, and they’re able to make a decision that’s educated for themselves.

Now, the one’s who do buy a business. They are also very educated.

Dan Farnsworth: And I think equally as important is the fact that they didn’t make a costly mistake. [crosstalk 00:05:19]

John Blair: That’s exactly right… [crosstalk 00:05:15]

Dan Farnsworth: If they got into something that they really didn’t want to be in. Or they found out later on that they didn’t want to be in. It’s going to be a very costly mistake.

John Blair: Yeah, that’s a great point. You know we do hear from people who say I wish I would have know about you three or four years ago. Because the thing about it is, you know, people go into business. It’s one thing to not like a job. People get into jobs they realize they don’t like it. But at the end of the day, they’re still getting paid, right? If you go into a business that you don’t like or you make a poor business decision. Not only are you not getting paid regularly, but you’re having to pay out for this business. So it kind of works against you. So you’ve got to make sure that you are aligning yourself with a business that’s a good fit for you. That’s really what our role is. To make sure that that business is a good fit for you.

Dan Farnsworth: So expand a bit on these consultants. Why the consultants, as opposed to having just a couple guys in the office there fielding phone calls.

John Blair: Yeah, that’s a great question. Like I said we’ve got about 120 consultants across the three countries. Predominantly we’re in the United States. We’ve got about 100 consultants in the United States. Maybe 105. And they’re locally based, and that’s unique in our space. Locally based gives us a couple of big advantages.

One is because they’re in the market. Franchises.. I’m sorry. Frannet is also a franchise. So our consultants work in geographically protected areas. So if you are in Atlanta, Georgia you will work with a consultant who’s right in Atlanta. Who lives and works in Atlanta. Regardless of where you live, you’re gonna work with that consultant right in that market. Like I said the advantages are: they know the marketplace. Right? They know the competitive landscape. They know the real estate situation. They’re able to give better advice because they live and work right in that community.

The other big advantage that it gives you is… When you’re going through a decision as significant as going into business for yourself and a lot of people say it’s probably the one or two largest investment you’ll every make depending on how large your house is. But it’s probably going to be a pretty significant investment that you’ll make in your lifetime. Having someone that you can sit across a table from, and develop that relationship with, develop some rapport with. And really feel like they’re a part of your team. Makes people feel a lot more comfortable.

Dan Farnsworth: So can you kind of give me, give us a little bit of a run down of the process that’s involved. If I’m someone who says, “Gee John I’d like to talk with you or a local consultant about exploring what kind of franchise I might be interested in.” What’s the first step, where do we go from there, how long does it take? Just kind of give us a little bit of an expectation.

John Blair: Yeah, that’s another great question. Generally the process is going to take four to five months, from the time that you first engage with Frannet kind of signing on the dotted line. Or perhaps starting the business, is going to be a four to five month process. There’s a lot that goes in between that process. It’s not like you are meeting with Frannet person on a Monday, and you’re starting that business on a Friday. That’s not how it happens.

The first thing that we do is we have all of our clients take a, what we call, a personal franchise assessment. Or a PFA. This is a psychological assessment. For anybody who’s watching who’s ever taken a Myers-Briggs test or a DISC test, its most similar to that. But its not really anything like that, if that makes any sense at all. What it is.. The Myers Briggs test and DISC test, those look at your personality, and all psychologist agree that personality is rarely a predictor of business success. So what the PFA, the personal franchise assessment, that we utilize, digs into your business personality. So who you are as a business person. So it looks at things like, how you manage people; how you lead through that management style; how you handle conflict; how do you communicate with people, both in how you talk to them and also how do you listen to them, how do you process information. What are those things in your life that are motivators to you? What are your ideals? What are those certain traits about you, that make you who you are. Because, inherently who you are as a business person, will set you up for success in one business over another.

So you may have two people who look very similar. They have similar backgrounds. They have similar education. One person is inherently going to be set up for success in one business, this other person is going to be inherently set up for success in another business. They might be completely opposite businesses. But what this profile does, this assessment does, is help us kind of uncover what are those critical traits and characteristics that identify success in those different businesses. And then what we do is go through a modeling process. A business modeling process, and we start to identify those things that are important to you.

So we look at budget, obviously. We look at things like your life style. You know, what do you want from this business. Do you want more time for your children? Maybe more time for grandkids? You want more time for activities? Do you want to put some money back into your pocket because you’re realizing that you need a little bit more income. So based on all of those goals are you looking at being more an A to B business, or more of a B to C business. Do you want regular Monday through Friday 9 – 5 hours. Do you want to work full time, do you want to work part time on this business? So all these different criteria help us lay out you’re ideal business model. And then what we do is we take that business model and we match it to franchises that we work with.

And then we’re kind of there for you every step of the way. Providing you with Q and A, providing you with research, kind of helping you along the process. Serving as kind of the translator so to speak between the franchise and you as the client. To make sure that you’re being treated properly and fairly throughout the process because a lot of people don’t realize, it’s a it’s a two way process, this thing. Not only are you interviewing and looking at the franchise company. The franchise company is also looking at you. So it’s able to. It’s a really good process to get a good feel for, is it a fit for both sides. And at the end of the day, that’s really what you want and that’s where our expertise comes in. To make sure that the person we’re recommending and introducing to this franchise concept is a good fit for them. As well as a franchise is a good fit for that individual.

Dan Farnsworth: I think that’s a very good point. Because I know that in a lot of cases if you’re dealing directly with the franchising company they’ve got a sales guy who’s job it is to sell you that franchise. So he’s not looking in the sense of are you actually going to be a good franchise for them. He’s just trying to sell you a franchise. Where you guys, you guys must have a tremendous amount of patience. Because if 80 percent of the people that you walk through the process with over four months don’t move forward. I think I’d get a little frustrated.

John Blair: Yeah. It’s an interesting way to think about it. The way we think about it is kind of the opposite. There’s always two ways to look at it. It’s how you look through the paradigm. We look through the paradigm through the standpoint of we have helped this person potentially from a grave mistake. As we were talking about earlier, the last thing you want to see is someone go through the process potentially on their own, invest in a business that they think is a good idea, and two years they look up and they think, “What in the world did I just do. What a mistake I’ve made because I didn’t realize x, y, or z about this company.

Let me give you an example. You know we’ll hear all the time people calling in, “What are the hot franchises?” “What are the hot concepts?” “You know, I went and I saw ABC franchise and it had a line out the door, that’s the business I want to get involved with and that’s the business I want to invest in.” And then they get in there and they realize, okay this is not the business at all that I want to be involved with. Maybe it’s my lifestyle, this business is seven days a week and I wasn’t quite ready for that. It’s 15 hours a day, no that’s not really what I wanted either. But all they saw was the line out the door of, the ABC franchise down the street from them and thought that would be a good fit for them. So that’s the major part of our role is, okay let’s kind of take all of the… let’s take the blinders off and look at it factually. And let’s really dig down to what’s going to make you happy as a franchise owner. As a business owner, as a small business owner. What’s going to ultimately make you happiest.

Dan Farnsworth: All right, I can definitely understand that. You know it’s funny, it seems like every year there’s the hot new retail. This year it might be Five Guys, year before that it might have been Krispy Kreme doughnuts or something. And everybody wants to get into that. Like you said, it looks good from the outside but nobody that hasn’t been in that role before really realizes how much time and energy and, do you really want to go down to that store at five o’clock in the morning and fire up those vats. Do you want to be standing there at midnight cleaning the store after you’ve closed at 10 o’clock.[crosstalk 00:14:38]

John Blair: The joke I like to talk about, Dan is you know like an ice cream parlor, and I’ll use myself as an example. I love ice cream. I could eat it every single day. My waist line probably wouldn’t appreciate it very much. Some people may say “Hey you know, I should go into an ice cream parlor”. You hear a lot about those people who say you have to have a passion for that business. Not necessarily, it can be a problem for a lot of people. You need to make sure you have a passion for being in business. Not necessarily for that business, and I’ll go back to my example of the ice cream parlor.

Some people may say you’d be a great fit for an ice cream parlor because you love ice cream. Well yeah, I love ice cream. But then I start thinking about okay, open seven days a week, that’s not what I want. We talked about open 12-13 hours a day. Then you start thinking about the product itself. You’re managing expiring product that you may have to throw away. I don’t know if that really excites me. Then you’re managing hormonally challenged teenagers, predominantly. If one of those hormonally challenged teenagers don’t show up on a Friday night because they’re so distraught because their boyfriend or girlfriend broke up with them, guess who’s trotting in there Friday night to cover that shift. It’s gonna be the owner.

That’s not something that necessarily appeals to me.

Dan Farnsworth: So in your case, do you take people out before you would allow them to go forward with buying some kind of business that has these kinds of challenges, and make sure they fully understand that they have to go out there at 5 o’clock in the morning. They stand there and watch the teenager not show up for that shift and that kind of thing.

John Blair: Are you talking about that they bring a suggestion to us that they want to look into? Or is this?

Dan Farnsworth: I’m just asking you as a part of your due diligence and really making sure that that potential franchisee fully understands what they are getting into.

John Blair: And that’s a big part of what we do. There’s a couple of different ways that we try to counter act that. One is through the business modeling process. So as we build out this business model we’re talking to them about how many hours they want to put into this. Do they want to be 9 to 5, they want to be Monday through Friday? Are they okay with working some weekends? Are they okay with doing cold calling? Maybe they say, “I’ve done cold calling my entire life, I absolutely hate it.”

Dan Farnsworth: Right.

John Blair: I never want to cold call again. Okay, so that takes all those businesses that are cold calling, and kind of takes them off the table. So through all this criteria that we build out, it will necessarily match up with what they want out of the business. So that’s kind of the first step.

Then the second step is while you’re in the process, one of the things the franchise company will have them undertake is a day called, discovery day. That’s where the person, the prospective franchisee actually goes to the headquarters and they learn all about the business. This is before any papers are signed, it’s going to be towards the end of the process. But they also will go out and go visit actual franchise locations and talk to the franchisees and see the operation kind of get a feel for again, is this something that I want to be a part of. So that discovery day is a really really important part of the process as well. To get a good feel, as you were saying earlier, are you the one who wants to be there at 5 in the morning kind of making the doughnuts. Or are you someone that would rather be more of a 9 to 5 kind of job.

Dan Farnsworth: So lets talk about the typical profile of someone who becomes a successful client of yours. I was reading somewhere that a lot of your clients are coming out of corporate America, they’re used to six figure jobs. They’re trying to replace that six figure job, and I can certainly understand that. Can you give us kind of a run down of, really the typical profile.

John Blair: Yeah, I’ll tell you. It’s funny, it’s traditionally our profile was that person coming out of corporate America, who’s been downsized or forced into early retirement. And what we’re seeing is that the face of the franchisee is changing. We still obviously have a lot of middle aged, typically men, it’s going to skew male, they’re going to be 45 – 55 years old. But we’re starting to see, like I said, that change a little bit. We’re starting to see some baby boomers coming back in and becoming franchisees. Looking at franchise ownership as an option. It could be for a couple of different reasons.

One is, maybe someone once they retire, and they think “gosh this is gonna be great, I get to play golf every single day. I’m gonna love it.” Then they play golf for a full summer and they think. “Okay, I’m kind of golfed out maybe.” I won’t ever get that way, but maybe someone [crosstalk 00:19:29]

But whatever that hobby may be, be it tennis, or golf, and they think “You know I’m going. I still want to do something. I still want to work.” And they’ll look at investing into a franchise. The other thing is that the boomer generation, that was forever the largest generation in the history of the country. It’s also the longest living generation in the history of the country. So what we’re finding is people unfortunately may not have planned as well, to make sure that their dollars are living as long as they are. They’re finding maybe they might have to go back into business and they’re choosing to invest in a business that they can then potentially pass on to children or grandchildren.

The other thing that we’re seeing are a lot of women are coming into the franchise as an opportunity. This is going to be a lot of women who are coming out of the corporate world, we think what’s happening is that the fate that a lot of their male counterparts experienced forever, which was getting into that C level and getting downsized. Well females, are now in that same C level position and are unfortunately experiencing the same fate that their male counterparts did, and that sales aren’t where they need to be, they are being downsized as well. So we’re seeing a lot more women who have the available capital to be able, and the skill set frankly, the business skill set, to be able to invest in a business.

And then the third thing that we’re seeing is lot more young people coming in. So we’re seeing that face of the franchisee kind of changing.

Dan Farnsworth: You see some of these advertisements where it says “Franchises under $10,000.” Or “$10,000 capital” that’s it. That kind of thing. Give us a realistic expectation of what kind of range in capital requirements you see.

John Blair: Yeah. That’s another great question. Because we hear that a lot. There’s a lot of, I talked earlier about a lot of misperceptions about franchising. Two of the biggest misperceptions are that it’s all fast food, is one. So people say “I don’t want to be in the back of a greasy restaurant flipping burgers and making French fries.” That’s a big misperception.

The other one is, “It costs me a million dollars, if I’m ever going to invest in a franchise.” If you look at the actual cost and the franchise investments are all over the board. Like you said there’s ones you can get into for $10,000. The ones that Frannet works with are generally going to be roughly about a $100,000 investment, that’s total all in costs. Up to probably about a $300,000 – $350,000 investment. So, that’s kind of the range that we see as in terms of a total investment.

Dan Farnsworth: Yeah, I can understand that. But I think that preconceptions are the hardest thing to overcome, and as you mentioned. I think enough people when you mention the word franchise, immediately think in terms of a Wendy’s or Burger King, or some kind of fast food operation, and they say “I don’t want to do that.” Without really taking into consideration all of the other, in fact pretty much everything [crosstalk 00:22:31]

And the thing that I really want to try to get across to the viewers, is the fact that that franchise is there because they knew what they were doing. Its one of the most dangerous things to do, is start a new business from scratch without any kind of road map in front of you.

John Blair: Right.

Dan Farnsworth: And the franchise by virtue of the fact that they’re selling the franchise, is that they’ve been successful. That they’ve got this roadmap; they’ve got this operating standard. They know exactly what they’re doing, and we’re going to bring them income ideas that count. Our viewers are targeting people 50+ and the last thing that we want to do is, lose their money.

John Blair: Right

Dan Farnsworth: We want to preserve our money. So, we need to look at less risky things that have some kind of proven track record. That can make sure that we’re going in with as little risk as possible. I know that there is always risk, but can you talk a little bit about the statistics about franchise operators surviving after that magic five year period compared to just standard start up new businesses?

John Blair: Yeah, that’s a great point. And if you look at the statistics franchise businesses far succeed any start up business. There’s not really good research in the franchise industry on those same numbers. So what Frannet did, is we went out and undertook our own survey. We’re in the process of doing it again. We looked at the Frannet placements. And what we found was that 92 percent of the businesses that we helped open, were still in business after two years. Again compared to remind you, 67 percent. Then 85 percent were still open after five years compared to 50 percent. So there’s a 35 percent split there, in how better a franchise business will do. And these are our numbers, so these are our matches. How much better a franchise business will do. I think any statistics that you look at will support those numbers [inaudible 00:24:53] exactly as you said.

The way I like to put it is, someone else has skinned their knee and stubbed their toe, to learn how to most effectively operate the business. And they’re giving that game plan, or that playback, that playbook to you in order to most effectively operate your business. So that you don’t go out and, you know what we talked about, you don’t know what you don’t know. That’s what the franchise is there for you, to provide that support, provide that infrastructure, provide the training. They want to make sure you’re set up for long term success.

Dan Farnsworth: Well I think that it’s great that people like me, the viewers, and this blog have this kind of availability to them. That they’ve got this buffer, that your job is to basically is to help them not make a mistake, number one, but then, number two, then make the right decision from there. I think that that’s huge, I mean, I’ve personally made a lot of mistakes and lost a lot of money doing it. [crosstalk 00:25:59]

I’ve been through those experiences, and it’s painful, and that’s one of the things that I’m really hoping to kind of get across.

Give me three pro’s and three cons of your business, or doing business with you guys?

John Blair: Well, three pro’s, One big one is going to be you’ve got someone right in your mark. Who understands the marketplace, they understand the opportunity, they understand the competitive landscape and perhaps most importantly, they understand you. They get to know you.

Number two is our services are free. And three, frankly, the franchise industry is such a growing industry, there’s so many opportunities in that industry. We always say, if you can imagine an industry, there’s probably a franchise in that industry. Now it’s our job to match you to that franchise that kind of ideally fits you.

Now from a downside, like we were talking about earlier. No investment is guaranteed. Just like any financial investment anybody would make, running a business is, investing in a business can be risky. Other cons, when you think about how to invest in the business, there’s different ways to go about it. Some people may utilize their 401K, which again can be risky, but that’s another opportunity that people can use their 401K funding tax free and penalty free in order to invest in their business.

Dan Farnsworth: I think that you mentioned to me at one point that 90 percent of the people think that they want to be in business yet only 5 percent of the people actually make that move, take that action, and actually go into some kind of business. So you’re dealing with a situation where people justifiably need to be very cautious and in many cases that keeps them from taking that plunge. But at the same time I mentioned I think that it’s great that we have people like you in place to help through that process, to make sure that we’re not making mistakes.

Well John, I think that this was a great interview. I think it’s been very helpful, real informative. I really appreciate your time.

John Blair: Thank you!

Dan Farnsworth: If it’s okay I’d like to stay in touch and maybe we can revisit what’s happening with you in the next few months and go from there?

John Blair: Would love too. I would always love to share any ideas. I love talking about this business. It’s a great business model and I really appreciate you inviting me to spend some time with you and your viewers.

Dan Farnsworth: Great. Well thanks again, and we’ll talk to you soon.

Hey thanks for tuning in to this episode. I hope that you found it informative, please make sure that you check out the notes section. We have relevant links and information that you might find also interesting.

Also if you like what you see, please subscribe so that you’re up to date every week on what we’re doing and what we’re talking about. Make sure that you like us on Facebook.

5 Savvy Tips To Help Boomers Supplement or Replace Their Income

income ideas seniors

Today’s boomers live healthier, longer lives. And like you, they dream of doing more than merely surviving in their golden years. Today’s seniors want to thrive.

But, the world has changed and the ways we used to earn income are quickly becoming obsolete. To bridge the gap, most retirees are looking for new ways to bring in more money and supplement their income.

Below, I’ve listed 5 innovative income ideas to boost your retirement budget:

 1. Use A Reverse Mortgage to Tap Into The Equity From Your Home

A reverse mortgage allows you to take some of the growth in equity out of your home so you can pay for future home costs.

2. Take Your Social Security Benefit Early

Most of us have been led to believe that waiting to withdraw our Social Security benefits is best. But the truth is, that’s not always the case.

Yes, it’s true that waiting to draw on your Social Security benefits will increase the size of your monthly check, but you might be surprised at how little the total benefits differ, especially if you live the normal life span.

3. Sell your life insurance policy

Did you know that you could sell your life insurance policy for cash in a process called “Life Settlement?”

Often, a life insurance policy that is no longer needed but paid for over a long period of time is considered abandoned. Did you know that insurance companies often plan a huge rate increase right at the 20-year renewal point to encourage that?

4. Buy Rental Property

Rental property is an effective way to make passive income. People will always need a place to live and for many of the younger generation, buying a home is out of reach. That means most of them will be forced to rent.

5. Make A Difference With A Part-time Encore Career

An encore career is work you do after you retire that adds income and purpose to your life. Encore careers are paid positions in fields that support the greater good. Examples include work in education, the environment, health, the government sector, social services, and other nonprofits.

These are just some of the ways you can bring in more income. Are you interested in diving deeper and finding out more how to supplement your income in retirement? The first step is to download a FREE e-book.

Click the image below to give me your email address and I’ll send it to you ASAP.

senior income ideas

Inside the workbook, you’ll find a series of question for you to consider before you take the next step. When you finish the workbook, I encourage you to set up a FREE strategy call with me to discuss your unique situation and resources you’ll find helpful. Click here.

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