ColorTyme

#164

At a Glance

Products & Services: Rent-to-own electronics/furniture/appliances

Number of Locations: 195

Total Investment: $229.58K - 357.5K

Founded: 1979

Began Franchising: 1982

About ColorTyme

In the late 1970s, electronics manufacturer Curtis Mathis Co. established ColorTyme as a distributor for its line of televisions. Willie Talley purchased the company in 1981 and began franchising the concept the following year. ColorTyme stores offer a complete line of home electronics, appliances and furnishings. All products are sold "rent-to-own," with customers making weekly or monthly payments on their purchase.

ColorTyme is owned by Rent-A-Center Inc.

Franchise Units

Year	U.S.	Canadian	International	Company Owned
2012	195	0	0	0
2011	191	0	0	0
2010	190	0	0	0
2009	203	0	0	0

Where Seeking Franchisees: Franchisor is seeking new franchise units throughout the U.S.

Startup Costs, Ongoing Fees and Financing

Total Investment: $229,575 - $357,500
Franchise Fee: $20,000
Ongoing Royalty Fee: 4%
Term of Franchise Agreement: 5-10 years, renewable

Financial Requirements

Net Worth: $350,000
Liquid Cash Available: $120,000 - $160,000

Operations

85% of all franchisees own more than one unit. Number of employees needed to run franchised unit: 5. Absentee ownership of franchise is allowed. (75% of current franchisees are owner/operators).

Financing Type	In-House	Third Party
Franchise Fee
Startup Costs
Equipment
Inventory
Accounts Receivable
Payroll

How This Franchise Supports Franchisees

Training: Available at headquarters: 2 weeks. At franchisee's location: 2-4 weeks.

Ongoing Support: Newsletter, Meetings, Grand opening, Internet, Field operations/evaluations, Purchasing cooperatives

Marketing Support: Co-op advertising, Ad slicks,

Other marketing support: Direct mail, local radio and TV commercials, POS

Franchise Ranking History

Franchise 500®: #164 (2013), #337 (2012), #353 (2011), #323 (2010), #298 (2009),

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