Buddy's Home FurnishingsHome-furnishing, electronics, and appliance leasing
- Units as of 2020
291 (3 added in 3 years)1.0%
- 2021 Franchise 500 Rank
N/R Not ranked last year
- Initial investment
$385K - $912K
About Buddy's Home Furnishings
More from Buddy's Home Furnishings
Business is booming at Buddy’s!
THE BUDDY’S STORY
In 1961, Buddy’s founder Norman Slatton decided to use his experience in sales at Sears, Roebuck and Co. to pioneer the lease-to-own business with a single aim: to make appliances in a retail setting more affordable.
Norman’s vision came to life that year with Buddy’s Bi-Rite in Tampa, FL, which grew into a chain of 43 furniture and appliance stores throughout Georgia and Florida in just 25 years. Since then, Buddy’s has adopted the franchising model and grown its footprint to approximately 300 stores throughout the U.S. and Guam. The brand also expanded its product line to include furniture, electronics and home accessories while offering a new program that allows consumers to attain ownership of these goods through affordable payments without the constraints of traditional credit or financing.
Throughout its growth, Buddy’s Home Furnishings has built its business one satisfied customer at a time. Buddy’s is in the people business because it believes there’s something to be said for relationships with customers that aren’t built on transactions, but rather, trust.
WHY FRANCHISE WITH BUDDY’S?Simply put, Buddy’s is better! With families doing more at home with tighter budgets, Buddy’s business model is as essential as ever. Here are some additional reasons to consider franchising with Buddy’s:
- Exclusive territories available: You control the marketplace.
- Multi-unit development opportunities: The opportunity to secure a multi-unit development territory for your Buddy’s Home Furnishings stores will allow you to benefit from economies of scale.
- Recession resistant: Based on industry research, since 2008 the industry is growing annually 2-3 times faster than it had leading up to the most recent downturn in the U.S. economy.
- In business for over 60 years: Although we may be a new name to franchising we are veterans of the industry. Buddy’s Home Furnishings has been in business since 1961. Although the times have changed, our core business principles and philosophies remain the same.
- Cash flow business with tremendous ROI potential: Because we are in the leasing business, the benefits of depreciation are very attractive, and the typical store payback period is three years!
- Franchising Since
- 2009 (12 years)
- # of employees at HQ
- Where seeking
This company is seeking new franchisees throughout the US.
- # of Units
- 291 (as of 2020)
- Corporate Address
4705 S. Apopka Vineland Rd., #206
Orlando, FL 32819
Information for Franchisees
Here’s what you need to know if you’re interested in opening a Buddy's Home Furnishings franchise.
Financial Requirements & Ongoing Fees
Here’s what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.
- Initial Franchise Fee
Definition: The initial fee paid to a franchisor to join their system
What you need to know: Found in Item 5 of the FDD, this may be a flat fee, or may vary based on territory size, experience, or other factors.The franchise fee is an up-front (one-time) cost that a new franchisee pays to the franchisor. This fee is usually due at the signing of the franchise agreement and covers the right to use the franchisor's trademarks, name, and related business systems.
- Initial Investment
- $384,566 - $911,874
Definition: The total amount necessary to begin operation of the franchise
What you need to know: The initial investment includes the franchise fee, along with other startup expenses such as real estate, equipment, supplies, business licenses, and working capital. This is outlined in a chart in Item 7 of the FDD, showing a range of possible costs from low to high.
- Net Worth Requirement
Definition: The minimum net worth you must have in order to qualify to become a franchisee of this company
What you need to know: Net worth is the value of a person's assets minus liabilities. Assets include cash, stocks, retirement accounts, and real estate. Liabilities include items like mortgages, car payments, and credit card debt.
- Cash Requirement
Definition: The minimum liquid capital you must have available in order to qualify to become a franchisee of this company.
- Veteran Incentives
- 20% off franchise fee
Definition: A discount or other incentive offered to military veterans who buy a franchise with this company.
- Royalty Fee
Definition: A ongoing fee paid to the franchisor on a regular basis.
What you need to know: Most franchisors require franchisees to pay an ongoing royalty fee, which is detailed in Item 6 of the FDD. This fee is typically a percentage of weekly or monthly gross sales, but may also be a flat weekly, monthly, or annual fee.
- Ad Royalty Fee
- to 2%
Definition: An going fee paid to the franchisor on a regular basis to support advertising or marketing efforts.
What you need to know: This may also be called advertising fee, marketing fee, brand fund fee, and more, but the basic purpose is the same-- to support promotion of the brand systemwide. As with the royalty fee, it is detailed in Item 6 of the FDD, and can be a percentage of weekly or monthly gross sales or a weekly, monthly, or annual fee.
- Term of Agreement
- 10 years
Definition: The length of time your franchise agreement will last.
What you need to know: Franchise terms are typically anywhere from 5 to 20 years in length, but are sometimes instead dependent on factors such as the term of your lease. Once your term is up, you may have the option to renew your agreement, typically for a smaller fee than the original franchise fee.
- Is franchise term renewable?
Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.
- Third Party Financing
- Buddy's Home Furnishings has relationships with third-party sources which offer financing to cover the following: startup costs, equipment, inventory
Training & Support Offered
Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.
- On-The-Job Training
- Up to 60 hours
- Classroom Training
- Up to 42 hours
- Ongoing Support
Purchasing Co-opsNewsletterMeetings & ConventionsGrand OpeningOnline SupportSecurity & Safety ProceduresLease NegotiationField OperationsSite SelectionFranchisee Intranet Platform
- Marketing Support
Co-op AdvertisingAd TemplatesRegional AdvertisingSocial MediaSEOWebsite DevelopmentEmail MarketingLoyalty Program/App
Additional details about running this franchise.
- Is absentee ownership allowed?
Definition: Absentee ownership means that the franchisee does not actively work in the franchise business or manage day-to-day operations.
- Can this franchise be run from home/mobile unit?
Definition: The business can be run from your home and/or a vehicle, and it is not necessary to have a retail facility, office space, or warehouse.
- Can this franchise be run part time?
Definition: This business can be run by the owner on a part-time basis (less than 40 hours per week) and/or as a side business; it is not necessary for the business to be open/run full-time.
- Are exclusive territories available?
Definition: An exclusive territory is a fixed area in which you are given the right to operate and in which no other units of the same franchise may be opened.
What you need to know: Territory size may be based on factors such as radius, population size, zip codes, and more. Details can be found in Item 12 of the FDD.
Franchise 500 Ranking History
Compare where Buddy's Home Furnishings landed on this year’s Franchise 500 Ranking versus previous years.
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