Closet Factory

Franchise Opportunity

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Closet Factory

Franchise Opportunity

Introduction to Closet Factory

Closet Factory is a leading franchise in the custom storage solutions industry, specializing in designing, manufacturing, and installing personalized closets and organization systems for homes and businesses. Established in 1983, the company has grown significantly, offering franchise opportunities since 1985. With a strong reputation for quality and innovation, Closet Factory provides entrepreneurs with a chance to enter the lucrative home improvement market under a well-established brand.

Franchise Overview

Closet Factory has been at the forefront of the custom storage solutions industry since its inception in 1983. The company offers a comprehensive range of products, including custom closets, home offices, entertainment centers, and garage systems. By focusing on personalized designs and high-quality craftsmanship, Closet Factory has positioned itself as a leader in the market. The franchise model, introduced in 1985, has enabled the brand to expand its reach, currently operating over 50 locations across the United States.

  • Established in 1983, franchising since 1985.
  • Specializes in custom storage solutions for various spaces.
  • Operates over 50 locations nationwide.
  • Recognized for personalized designs and quality craftsmanship.
  • Continues to innovate in the home improvement industry.
The Closet Factory Brand

Closet Factory's brand identity revolves around providing customized storage solutions that cater to individual client needs. The company emphasizes a collaborative design process, ensuring that each project reflects the client's lifestyle and preferences. By offering a wide array of materials, finishes, and accessories, Closet Factory creates functional and aesthetically pleasing spaces. The brand's commitment to excellence has earned it a loyal customer base and a strong presence in the home services sector.

  • Focuses on personalized, client-centric designs.
  • Offers a diverse selection of materials and finishes.
  • Ensures functionality and aesthetics in all projects.
  • Maintains a collaborative approach to design and installation.
  • Upholds a reputation for excellence and customer satisfaction.
Franchise Investment Requirements
  • Initial Franchise Fee: $58,500
  • Total Initial Investment: $344,500 to $611,500
  • Liquid Capital Requirement: $250,000
  • Net Worth Requirement: $1,000,000
  • Royalty Fee: 6.75% of gross receipts or a minimum of $600 per week

Initial Franchise Fee

$58,500 - $58,500

The franchise fee grants the rights to operate under the Closet Factory brand and access to proprietary systems.

Total Initial Investment

$344,500 - $611,500

Includes franchise fee, site location, property improvements, equipment, signage, initial inventory, marketing, and working capital.

Royalty Fees

6.75%

Percentage of gross revenue or a minimum of $600 per week.

Minimum Cash on Hand Required

$250,000

Recommended to cover operational costs and initial business development.

Net Worth Required

$1,000,000

Ensures financial stability and long-term success of the franchise.

Part-Time / Full-Time

Full-Time

Requires full-time involvement for optimal business growth.
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Location Availability
  • Available territories in major U.S. cities.
  • Exclusive territories granted to each franchisee.
  • Opportunities for international expansion in select markets.
  • Focus on urban and suburban areas with high demand for home improvement services.
  • Support in market analysis and site selection.

Support and Training
  • Initial Training: Approximately 50 hours of classroom training and 40 hours of on-the-job training.
  • Ongoing Support: Continuous operational and marketing support.
  • Proprietary Software: Access to specialized software for design and operations.
  • Marketing Assistance: Guidance on local marketing strategies and materials.
  • Peer Network: Opportunities to connect with other franchisees for shared learning.

Earnings Potential
  • Potential for high-profit margins due to custom services.
  • Established brand recognition aiding in customer acquisition.
  • Opportunities to expand services to various home improvement areas.
  • Recurring revenue from referrals and repeat clients.
  • Profitability influenced by effective local marketing and operations.

Closet Factory Franchisees: Who is a Good Fit?
  • Strong leadership and team management abilities.
  • Sales and marketing experience beneficial.
  • Commitment to delivering exceptional customer service.
  • Financial stability to support initial investment and operations.
  • Willingness to engage in the day-to-day operations of the business.

Advantages of an Closet Factory Franchise
  • Established brand with over three decades of experience.
  • Comprehensive training and ongoing support.
  • Exclusive territories ensuring market potential.
  • Access to proprietary design and operational software.
  • Growing demand for home organization solutions.

Challenges to Closet Factory Franchise
  • High initial investment and financial requirements.
  • Competition from other home improvement providers.
  • Necessity for active, full-time involvement.
  • Managing a team of designers and installers.
  • Adapting to local market preferences and demands.

Conclusion

Closet Factory presents a compelling franchise opportunity for entrepreneurs interested in the home services industry. With a strong brand reputation, comprehensive support, and a growing market for custom storage solutions, franchisees are well-positioned for success. However, it's crucial to consider the financial commitments and the need for active involvement to fully capitalize on this opportunity.

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