Start a Showhomes Franchise in 2024

Franchise 500 Rank: N/R Not ranked last year

Initial investment: $77K - $120K

Units as of 2022: 51 16% over 3 years

Founded in 1986, Showhomes provides homeowners and their realtors with a platform to sell vacant houses quickly. Showhomes strives to achieve this by providing a turn-key suite of services which include whole-house furnishing, staging and designing, and stationing live-in managers that ensure the houses are fit to sell at any time.

As each year passes, Showhomes ranks as one of the larger national home staging franchises in the United States. This may be attributed to the fact that Showhomes franchises transformed vacant houses that were stale, unappealing, or lifeless into fully furnished, appealing, and valued homes.

Why You May Want to Start a Showhomes Franchise

If you love home staging with a twist, becoming a Showhomes franchisee may be just for you! Showhomes franchises have transformed tens of thousands of houses into valuable homes for realtors. If you are a leader with management experience wishing to build a team with delegation abilities, possess sales skills, opening a Showhomes franchise may be a good decision for you. You should ensure that you meet Showhomes’ financial requirements if you wish to move further with the franchise.

Opening a Showhomes franchise could offer a more predictable outcome than investing in a new brand that may struggle to thrive in an already competitive industry.

What Might Make a Showhomes Franchise a Good Choice?

Home staging may have been optional in the past. Today, though, home buyers are specific with what they need. Showhomes recognizes this and seeks to help customers prepare their homes for the market. This may explain why home staging is an important part of the real estate industry. Additionally, Showhomes may target key markets that are ripe for growth and value.

You may benefit from Showhomes’ high ranking in franchisee satisfaction as a franchisee. With a Showhomes franchise, you will be responsible for managing your employees, sales, and marketing. Potential franchisees should be good team leaders with experience in customer service and business operations. While you do not need staging or design experience, hiring someone who does to be part of your team may be beneficial.

How to Open a Showhomes Franchise

Before making any financial commitment or signing an agreement, make sure this is the right opportunity for you. As part of your due diligence, you may want to speak to existing franchisees and ask the Showhomes franchising team questions. A typical franchise agreement runs for ten years. Franchisees are often allowed to renew their agreement if they meet Showhomes’ requirements.

You may also want to explore your desired territory and view the real estate market in those areas. Are there new buildings or older homes? What types of clients are buying right now? Answering such questions may allow you to review your market clientele and area.

To be part of the Showhomes franchise team, you should make sure you're financially ready for an initial investment made up of a franchise fee and other startup costs. In addition, you should prepare yourself for ongoing fees that will include advertising fees and royalty fees. Franchisees will also need to meet the company's set net worth and liquid capital requirements.

Company Overview

About Showhomes

Industry	Home Improvement
Related Categories	Miscellaneous Home-Improvement Businesses, Real Estate , Miscellaneous Services
Founded	1986
Parent Company	Showhomes Franchise Corp.
Leadership	Bert Lyles, CEO
Corporate Address	2110 Blair Blvd. Nashville, TN 37212
Social	Facebook, Twitter, LinkedIn, Instagram, YouTube

Business Overview

Franchising Since	1994 (30 years)
# of employees at HQ	8
Where seeking	This company is offering new franchises in the following US states: Alaska, Alabama, Arkansas, Arizona, California, Colorado, Connecticut, District of Columbia, Delaware, Florida, Georgia, Iowa, Idaho, Illinois, Indiana, Kansas, Kentucky, Louisiana, Massachusetts, Maryland, Maine, Michigan, Minnesota, Missouri, Mississippi, Montana, North Carolina, Nebraska, New Hampshire, New Jersey, New Mexico, Nevada, New York, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, Tennessee, Texas, Utah, Virginia, Vermont, Washington, Wisconsin, West Virginia, Wyoming
# of Units	51 (as of 2022)

Information for Franchisees

Here's what you need to know if you're interested in opening a Showhomes 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.	$49,900
Initial Investment 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.	$77,400 - $119,500
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.	$300,000 - $500,000
Cash Requirement Definition: The minimum liquid capital you must have available in order to qualify to become a franchisee of this company.	$50,000 - $150,000
Veteran Incentives Definition: A discount or other incentive offered to military veterans who buy a franchise with this company.	$2,500 off franchise fee
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.	10%
Ad Royalty Fee 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.	2%
Term of Agreement 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.	10 years
Is franchise term renewable?	Yes

Financing Options

Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.

In-House Financing	Showhomes offers in-house financing to cover the following: franchise fee
Third Party Financing	Showhomes has relationships with third-party sources which offer financing to cover the following: franchise fee, 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.

Classroom Training	40 hours
Ongoing Support	Meetings & Conventions Toll-Free Line Grand Opening Online Support Security & Safety Procedures Field Operations Proprietary Software Franchisee Intranet Platform
Marketing Support	Ad Templates Social Media SEO Website Development Email Marketing Loyalty Program/App

Operations

Additional details about running this franchise.

Is absentee ownership allowed?	No
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.	No
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.	No
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.	Yes