DirectBuy Inc.
At a Glance
Products & Services: Consumer buying club
Number of Locations: 132
Total Investment: $641K - 1.34M
Founded: 1971
Began Franchising: 1972
Private Owned
About DirectBuy Inc.
James L. Gagan founded UCC TotalHome in 1971 and began franchising the following year. Based in Merrillville, Indiana, the private company has over 90 locations throughout North America.Franchise Units
| Year | U.S. | Canadian | International | Company Owned |
| 2011 | 102 | 19 | 0 | 11 |
| 2010 | 123 | 19 | 0 | 10 |
| 2009 | 131 | 20 | 0 | 12 |
| 2008 | 135 | 22 | 0 | 5 |
Where Seeking Franchisees: Franchisor is seeking new franchise units throughout the U.S. and Canada.
Startup Costs, Ongoing Fees and Financing
Total Investment: $641,000 - $1,340,000
Franchise Fee: $75,000
Ongoing Royalty Fee: 22%
Term of Franchise Agreement: 12 years, renewable
Franchise Fee: $75,000
Ongoing Royalty Fee: 22%
Term of Franchise Agreement: 12 years, renewable
Financial Requirements
Net Worth: $500,000
Liquid Cash Available: $300,000
Operations
1% of all franchisees own more than one unit. Number of employees needed to run franchised unit: 9 - 12. Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators).| Financing Type | In-House | Third Party |
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How This Franchise Supports Franchisees
Training: Available at headquarters: 4 weeks. At franchisee's location: 5 weeks. At regional meetings
Ongoing Support: Newsletter, Meetings, Toll-free phone line, Internet, Field operations/evaluations,
Marketing Support: Co-op advertising, Ad slicks, National media,
Franchise Ranking History
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