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Below is an in-depth analysis and side-by-side comparison of California Closet Company vs The Gutter Guys including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $127,500 - $377,000 | $91,700 |
Franchise Fee | $40,000 | $15,000 |
Royalty Fee | 6% | 5% |
Advertising Fee | - | - |
Year Founded | 1978 | 1988 |
Year Franchised | 1982 | 2000 |
Term Of Agreement | 10 years | 10 years |
Term Of Agreement | 10 years | 10 years |
Renewal Fee | 50% of franchise fee | 25% of franchise fee |
Business Experience Requirements |
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Experience | ||
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/No | No/No |
Start-up Costs | No/No | No/No |
Equipment | No/No | No/Yes |
Inventory | No/No | No/No |
Receivables | No/No | No/No |
Payroll | No/No | No/No |
Training & Support |
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Training | On-site operational instruction Training for designer, installation, and production staff Proprietary technology for sales, design, and operational systems management | - |
Support | Media planning Local and national advertising collateral Newsletter, Meetings, Toll-free phone line, Internet, Field operations/evaluations | Newsletter, Toll-free phone line, Grand opening, Internet, Field operations/evaluations, Purchasing cooperatives |
Marketing | Co-op advertising, National media, Regional advertising | Co-op advertising, Ad slicks, Regional advertising |
Operations |
Number of employees needed to run franchised unit: 8 - 10
Absentee ownership of franchise is NOT allowed. |
Franchise can be run from home. 10% of all franchisees own more than one unit Number of employees needed to run franchised unit: 7 Absentee ownership of franchise is allowed. (100% of current franchisees are owner/operators) |
Expansion Plans |
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US Expansion | - | Yes |
Canada Expansion | No | No |
International Expansion | Yes | No |
Customized storage has grown from a small business into a major industry. Leading
the field is California Closets, the franchise company that pioneered custom storage
solutions in 1978. California Closets is the most well-known brand in the industry.
The Industry Pioneer and Brand Leader
Join the Company that pioneered the custom storage solutions industry. For over 40
years, California Closets has delighted its customers - by listening to their needs and
creating individually designed solutions that work specifically for their lifestyles and
home. Today, California Closets is the largest custom storage franchised system in
the world, with over 100 franchises worldwide; it is the most recognized brand in its
category.
A California Closets franchise offers expert services in creating innovative home
design solutions; ranging from its signature custom designed closets, home offices,
entertainment rooms, utility rooms, garages and much more.
We see home as more than a place. We see it as comfort and refuge, space for connection and celebration. Everything we do is designed to enhance home and help you enjoy the
time you spend there.
30 years ago, we innovated a new industry - custom designed and installed storage.
Today we're proud to be recognized as the leaders in the industry we first created all
those years ago. Along the way we've continued to innovate, always striving to provide
customers with stylish, smart and sustainable solutions for every home.
The Gutter Guys was founded by Michael Williams in 1988. Michael had been working in the restaurant and hospitality business for the previous fifteen years and needed gutters and downspouts on his new home. Amazed at the total lack of professionalism in the gutter companies he encountered while getting gutter installation estimates, he decided to start The Gutter Guys. Using his extensive knowledge of and passion for customer service, Michael's company now serves more than 300,000 happy customers throughout four mid-Atlantic states: Delaware, Maryland, New Jersey and Pennsylvania.
Not only did Michael develop the recipe to satisfy his customers, he also found the right recipe to recruit and retain quality employees. While discussing how to utilize and reward skilled employees with his business advisor and CPA Chuck Johnson, the idea of franchising came up. Not franchising in the normal sense, but as a way to expand the geographic area the business served and give employees an opportunity to become self employed while remaining with The Gutter Guys.
Chuck was so instrumental in helping to develop a system to give The Gutter Guys' employees a chance to become franchise owners that he was invited to join the company. Chuck accepted and sold his well-established accounting practice to join The Gutters Guys full time. Since that time, we have helped twelve of our employees become self employed franchisees of The Gutter Guys.