Singing Pig

Hi

Has anyone any experience of a locksmith franchise, in particular, LockRite?

Hi

Never heard of it?

Is it the type that provide you with training, a van + tools and then allocate you an area to work in?

I imagine you can earn quite good money as a lock smith. Making cash by selling the locks at a mark up too.

 

Thanks for the reply Dave

Here is one link to it: http://www.franchiseexpo.co.uk/franchise.cfm?s_booth=451471  they provide a van on finance and full training for around £17,500. I have read that some franchise operators are proffesional & honest and some are the complete opposite! I am trying to find out if anyone has been involved in a locksmith franchise, what the outcome has been and if anyone has heard of Lock Rite. One member, subman, seems to have done well with Subway yet Rumpole has had a bad experience with another franchise. I will end up talking to another Lock Rite franchisee to try to get an unbiased opinion but thought I would see if anyone here has had any experience also.

Can they provide details of there existing franchisees who you can chat with?

Remember if your buying a franchise you will have to work to their system and rules. How much would it cost to do your own independant lock smith training? then set up on your own? You might decide that in the long run you will want the freedom of your own outfit.

 

That's a very valid point Dave and one I have considered. Training can be undertaken for around £1000 and then extra training can be done for specialist sections of the trade. I already have a van so may decide on this route. I was considering placing an advert in the local paper before doing the training to see how many calls i get. There is only 1 locksmith advertising at the moment. I am very sceptical of most things these days, you here of people being ripped off so much! I have saved around £5k to invest in a new career and have sacrificed so much to get to this point that I need to be 100% or at least 90% sure before I risk it. I also have around £45k equity in my property.

Personally I would go down the independant route and spend a 1K on your own training and use your own van.

To protect the downside start small and build things up.

I imagine that the franchise you mention are fine, but you will be paying a premium for the fancy name and van + training etc.

I think if you have the confidence to 'go it alone' it will be more profitable and satisfying in the long run. Plus if you decide its not right for you you've only spent a couple of grand rather than committed 17K+ on a franchise.

 

tonkascat

As the resident cynic (according to Stabilo anyway!) I would want to check out the training facility they go on about on their website. That should give you some idea straight away if there's anything not quite right.

And I see that they don't supply a van within the £17,500 + VAT, they supply one on finance.

So you are going to pay for that. You need to know how much. By the look of the van on their website you could get a nasty surprise when they tell you the cost of the van and your repayment commitments. Bear in mind you'll be driving around advertising THEIR business free of charge, as well as yours! (Can't see why you'd need such a big vehicle either; I would have thought you could get most necessary lockmithing gear in a very large suitcase.)

Your idea of placing a couple of ads locally to see what response you get is very sound. I wouldn't be surprised if the response is minimal.( We don't need locksmiths every week of the year, and most guys are capable of fitting a Yale or Chubb lock themselves; it isn't difficult - even a planning specialist can do it ! I don't know how many people need a locksmith for anything else, but would imagine they're not exactly thick on the ground.)

Their website says make sure you've got 3 months working capital in hand, so they aren't expecting you to get an immediate rush of business. And I would have said you need to assume 12 months before you get into decent profit. (Most new businesses don't make much in their first year. There are possible exceptions, of course - including what I do - but I doubt whether locksmithing is one.)

To be honest, if I was looking to go into a "Van and Man" business, I'd be looking at drains rather than locks. Blocked drains are an immediate distress purchase, and if you've got doo-dah coming up in your bath or sink, you'll happily pay someone to cure the problem quickly. There is usually a hefty callout charge before any work at all is done.

£17,500 + VAT is a hell of a lot to pay to latch onto someone else's business plan and reputation. I would consider very carefully what you're actually getting for it that's of any real lasting value and that you couldn't get yourself elsewhere and cheaper. I'm sure there must be recognised courses in locksmithing run by part-time colleges, and you can use your own van as David Beard says, without handing over £17,500 + VAT.

Since their training facility is in Exeter, I guess they are the Limited company formed last year, LockRite Locksmiths Ltd. (There are 4 companies using "LockRite" in their name, including one in Aldershot and one in Borehamwood, and maybe other businesses that are not incorporated.)

Tread carefully.

 

AFTERTHOUGHTS : They also offer franchises in Plumbing and in Instrument Making and Repair !

If you do intend to speak to one of their existing franchisees, find one yourself. (I just found one on the Net.) With any franchise-type business, it is a mistake to let them direct you to one THEY want you to talk to, because there is a well known strategy of referring you to a "Singer". (A Singer is someone set up to "sing" the praises of the business you're asking them about. Not saying LockRite would do that, but if you can avoid the risk you might as well do so.)

 

Many thanks for taking the time to write such a detailed response. I don't post many questions but do trawl through the site on a regular basis soaking up as much information as I can. The point you made about the drainage business is also sound as "Subman" mentioned that a friend of his went with Dyno Rod and is doing exceptionally well. I will take all the points onboard and thanks again for all your help.