In this Australian Business Podcast episode, Owen Rask, Jordan Kidis and Danil Goloubev talk about personal services income and how to scale a franchise.
Topics discussed this on the Australian Business Podcast include:
- The power of gifting the right book to a business owner
- The importance of focus
- Blinkest or Headway: get through your books
- A Wheelie Bin franchise or licence model?
- Using director loans to buy property, and
- Personal services income versus personal service business
Questions answered, include:
Just love this podcast.
My question is:
I am the founder of Coastal Bin Busters, We are professional Wheelie bin cleaners. We started practically in the middle of COVID and have been growing each year. In fact, we are now turning over low six figures and have about 600 customers. A lot of them are recurring too, which we are stoked about. We bootstrapped the whole operation and know we are building a team. (We have just engaged Grey Space to set up our Pty Ltd yeeeew! and engaged a social media ads guy)
We have huge aspirations to be Australia’s best Bin Cleaners and feel as though we are ready to take the next step.
We want to grow into different areas up and down the East Coast but not sure about the best approach. We know it would be a slow process but we need to get started at least.
We are currently based in Ballina, (just south of Byron Bay) and cover the surrounding areas. We feel as though there are a few options but would love to hear your opinions.
- Start a franchise: I personally don’t think this is unnecessary and would potentially be quite an expensive and labour intensive exercise, let alone all the legal stuff,
- Offer licenses: Maybe an option, but I believe it can be quite easy to fall into the franchise model and then be obligated to meet legal requirements as per the first option.
- Bite the bullet and do it ourselves: This seems the easiest one, and whilst we can certainly get to areas around here within a 1hours drive radius going further afield may be a problem. Our prices range from $15.50 per bin to $18 per bin so traveling one hour will soon chew up any cash flow and profit.
We also know it’s a numbers game so the idea is to get more customers as quickly as possible.
Have you guys had any experience in best practice?
I’m interested to hear more about personal services income and personal service businesses. I’ve tried to learn many times and my accountant has gone through it too but I feel a podcast will be amazing. I work in the healthcare field as a therapist with a mix of client types.
Do you have a link to more info on the directors loan for purchasing property. Was very interesting.