Franchising With Full Disclosure

Interstate All Battery Center Bucks Industry Norms; Full Disclosure Policy Fosters Franchising

DALLAS, Nov. 11 // PRNewswire // -- "How much money can I earn?" is one of the top questions that entrepreneurs and potential franchisees typically ask before they invest in a business, but more than 70 percent don't receive an answer until after they sign on the dotted line. Interstate Batteries Franchise and Development, the franchisor of Interstate All Battery Center (IABC), says its full disclosure policy sets them apart from the majority of franchised concepts.

According to the FTC's Franchise Rule, Item 19 in any franchise disclosure document (FDD) permits a franchisor to provide information about the actual or potential financial performance of its franchised-owned outlets. However, statistics from FRANdata's franchise industry analysis indicate less than one third of all today's franchisors offer earnings claims.

"Financial expectations are the top question we hear from interested franchisee candidates," said Eric Stites, Founder and President of Franchise Business Review, an independent market research company that specializes in franchisee satisfaction. "It boggles my mind that people invest in a franchise that doesn't disclose earnings information."

In its Franchisee Satisfaction Index, Franchise Business Review's survey of nearly 50,000 current franchisees gauges earnings satisfaction. "In our 2008 survey, we found the average satisfaction rating on financial expectations in the retail franchise sector was 57 percent," says Stites. "IABC franchisees note a 77 percent satisfaction rating, 20 percent higher than average, landing IABC solidly within the top quarter of this key category."

With high franchisee satisfaction, record growth and increasing revenue, IABC is poised to lead the retail battery category which analysts project will reach $73 billion by 2010.

"We subscribe to a full disclosure policy because we want IABC franchising partners to enter into the business with their eyes wide open and poised for success," said Justin Darland, director of franchise development for Interstate Batteries. "This commitment to transparency affects our entire signing process, from qualification to grand opening."(1)

About Interstate All Battery Centers

Founded in 1952 and based in Dallas, Interstate Batteries is a privately held group of corporations, which includes a company with 305 distributors that service more than 200,000 dealers throughout the United States, Canada and select international locations. Interstate is the top-selling replacement automotive brand battery in North America, selling more than 15 million units annually. Interstate All Battery Centers currently has more than 115 stores in 38 states, Canada, Puerto Rico and The Dominican Republic. Visit http://www.allbatteryfranchise.com for more information.

1. Average company gross sales for fiscal year 2007 were $868,610 vs. fiscal year 2008 $991,477. A copy of the FDD may be obtained by contacting Kevin Hogan at Interstate All Battery Center Franchising, 17400 Northwest Freeway, Houston, TX 77040. (800) 730-7868. The average sales total of $991,477 represents operating results for our 14 company-operated centers open for our 12 month fiscal year 2008.

###

Share this Story:

Comments:

comments powered by Disqus

Franchise News Room »


News By Industry »


Featured Opportunities

the inside coup
the inside coup™ is a unique franchise opportunity in a multi billion dollar industry, Direct Mail.
Massage Envy
Massage Envy clinics are designed to provide a compelling image, an inviting and functional environment and the highest degree of operational...
Jimmy John's Sandwiches
One of the fastest growing franchises in the U.S., Jimmy John’s has been making fresh, fast, tasty sandwiches since 1983.
RedBrick Pizza
At RedBrick Pizza (R), old world traditions meet new world recipes to create a better-for-you pizza experience. Baking pizzas to perfection at 1000...
UBreakiFix
uBreakiFix is a consumer electronics repair company based out of Orlando, FL that specializes in refurbishing and restoring smartphones, tablets,...

Subscribe to Franchising.com Express

A Franchise Update Media Production
Franchise Update Media | P.O. Box 20547 // San Jose, CA 95160 // PH. (408) 402-5681
Copyright © 2001 - 2017. All Rights Reserved.

In Loving Memory Of Timothy Gardner (1987-2014)