ColorTyme vs EQ3 Franchise Comparison

Below is an in-depth analysis and side-by-side comparison of ColorTyme vs EQ3 including start-up costs and fees, business experience requirements, training & support and financing options.

Start-Up Costs and Fees
 
ColorTyme Franchise
EQ3 Franchise
Investment $229,575 - $357,500$475,000
Franchise Fee $25,000N/A
Royalty Fee 4%-
Advertising Fee $250/ mo-
Year Founded 19792001
Year Franchised 19822001
Term Of Agreement 5-10 years-
Term Of Agreement 5-10 years-
Renewal Fee --


Business Experience Requirements
 
ColorTyme Franchise
EQ3 Franchise
Experience � Business Experience: � Industry experience � General business experience � Marketing skills-

Financing Options
 
ColorTyme Franchise
EQ3 Franchise
  In-House/3rd PartyIn-House/3rd Party
Franchise Fees No/Yes-/-
Start-up Costs Yes/Yes-/-
Equipment Yes/Yes-/-
Inventory Yes/Yes-/-
Receivables Yes/Yes-/-
Payroll Yes/Yes-/-

Training & Support
 
ColorTyme Franchise
EQ3 Franchise
Training 4 Weeks -
Support o Central Purchasing: Included in Fees o Field Operation Evaluation: Included in Fees o Field Training: Included in Fees o Initial Store Opening: Included in Fees o Inventory Control: Included in Fees o Franchisee Newsletter: Included in Fees o Regional or National Meetings: Included in Fees-
Marketing *National Advertising *Regional Advertising *Local Advertising *Marketing Materials *Additional Services: customized ads *Other Marketing Support-
Operations � 49% 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) � Average Number of Employees: 5 Full-time, 0 Part-time-

Expansion Plans
 
ColorTyme Franchise
EQ3 Franchise
US Expansion Yes-
Canada Expansion No-
International Expansion Yes-

Company Overviews

About ColorTyme

ColorTyme is America’s first franchisor of independently owned and operated rent-to-own stores.The nation's oldest rental-purchase franchise company, specializing in electronics, furniture, appliances and computers.ColorTyme franchised stores provide the best selection of name brand home furnishings, appliances, computers and electronics to buy, rent or lease to own. Products are typically delivered and set-up with no hassles and no down payment. Customers are able to lease living room furniture, bedroom furniture, big screen televisions and more! Name recognition, a national product service system, and 100% inventory financing are all reasons to join the ColorTyme family. Compelling unit economics combined with a well established, respected and trusted Franchisor provides an unparalleled opportunity.ColorTyme is an independent, wholly owned subsidiary of the largest rent-to-own company in the world, Rent-A-Center (NASDAQ: RCII).

About EQ3

EQ3 designs, produces and sells affordable, modern furniture for every room in your home. As a Winnipeg-based company, EQ3 was established in 2001 under the direction of President and CEO Peter Tielmann. Having grown up in Europe, Peter recognized the lack of modern furniture in North America. Today, EQ3 is a vertically integrated company specializing in modern design for everyday life with simple, clean and functional design. Customize with fabric or leather, finishes and legs for a style all your own. We're proud of our roots and strive to produce as much of our product in Canada as possible. Our factory in Winnipeg manufactures all of our own upholstery pieces. That means when you order a custom made sofa from EQ3, you can count on your new piece arriving home in about 4 to 10 weeks. In addition to our own product range, we also admire and respect brands whose designs have stood the test of time. EQ3 is proud to offer EQ3+, a designer line featuring iconic brands like Herman Miller, Stelton, Vitra, Alessi and more, with many featured products exclusive to Canada.
EQ3 has 11 stores in Canada and the US, with a 12th location opening summer 2012 in Toronto's Liberty Village. Additional stores and galleries are located throughout North America and around the world.