ATLANTA — Now that the Carnett’s carwash locations in Atlanta have officially rebranded to Mr. Clean franchises, the company is ready to focus on expansion in six key markets: Georgia, Ohio, Illinois, Kentucky, North Carolina and Texas, according to The Atlanta Business Chronicle.
The June 26 story said the company has slightly amended its plans to better suit the recessionary market. It will focus on building in high-profile locations with densely populated markets that offer ready demand instead of more affordable areas that would have been less developed.
Mr. Clean already has plans to construct three new carwashes in metro Atlanta and the company has said it wants to build new carwashes rather than convert existing ones.
As Professional Carwashing & Detailing has previously reported, each new franchise location is expected to cost between $3 million to $4 million. On top of the costs for land, construction and operating capital, there is an initial franchise fee of $35,000 and six percent of net revenue in monthly royalty fees.
“Market conditions [today] are interesting to be selling franchises,” said Mike Foster, a director in FutureWorks, the new business development arm of P&G. “We want to be a national brand across every state,” Foster said. “We want to have a presence in every major metropolitan area.”
Forster continued, “P&G is not a bank. We are not going to do guarantees and we don’t do loans,” he said. “But, we do work with the banks and the financial institutions to understand our model and why the model is a good [one] to invest in.”
The article also explained a bit more about the franchise process. P&G will lend its expertise in consumer targeting and advertising response rates, while the Arnetts have prepared education to help train franchises and their employees.
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