The Pest Company Franchise Prospectus

FRANCHISE PROSPECTUSRun your own business withTHE PESTCOMPANY26 KINGS HILL AVENUE, WEST MALLING, MAIDSTONE, ME19 4AETELEPHONE: 01737 212 272  |  EMAIL: [email protected]: www.thepestcompany.com

THE PEST COMPANYFRANCHISE PROSPECTUS 2015 James and Steve Mills Tim Green - Owner of the Hampshire franchise

FRANCHISE PROSPECTUS 2015 3Dear Potential Franchise Owner, CONTRACTORS HEALTH & SAFETY ASSESSMENT SCHEMEMany thanks for your enquiry into The Pest Company’s™ unique and Accredited Contractorexciting franchise opportunity. www.chas.co.ukFirstly, I would like to make clear that no previous experience in thepest control industry is necessary.We have spent many years developing the systems and processes thathave made The Pest Company the successful and profitable businessit is today – and it is this proven formula that our Franchise Owners willfollow.In our prospectus, we have detailed everything that you might initiallylike to know about our franchise opportunity:• An overview of The Pest Company• The role of the Franchise Owner• The growing pest control marketplace• Our franchise package• A Franchise Owner’s potential earnings• Our comprehensive support servicesIf you have any questions or would like to arrange a meeting,please contact me on 01737 212 272 or [email protected] look forward to hearing from you …JamesRegards MillsJames MillsManaging Director TELEPHONE: 01737 212 272  |  EMAIL: [email protected]

4 THE PEST COMPANY WHAT WE ARE LOOKING FOR We are looking for energetic, self-motivated individuals who wish to run their own pest control business. We would expect turnover in year one to range between £40,000-£70,000*. No previous pest control experience is necessary as all the required knowledge and skills are covered in our comprehensive training programme. All Franchise Owners will be working towards achieving a ‘Level Two’ accreditation through the British Pest Control Association. * These figures are an estimate only and will depend on the area, hard work and commitment from the franchisee. Steve Mills welcomes Nathan Biggs to The Pest Company TELEPHONE: 01737 212 272  |  EMAIL: [email protected]

FRANCHISE PROSPECTUS 2015 5OVERVIEW OF THE PEST COMPANYJames Mills, the founder and owner of The Pest Company, started in the pestcontrol industry in 1992.In 1995, James started Ace Pest Control Limited. Ace focused on domestic andcommercial work across Surrey. After 11 years, James sold Ace Pest ControlLimited. The company is still trading to this day.James started The Pest Company in November 2006, specifically with franchisingin mind once he had established the business systems and processes necessaryfor a successful franchise business.In the first year of trading, the main work was domestic with the commercialwork gradually increasing over the first three years. The turnover has risen from£99,000 in 2007 to £240,000 in 2014.The Pest Company has achieved many milestones since it started trading in 2006:• T he Pest Company has achieved a ‘Level Two’ accreditation through the BPCA• The Pest Company are also CHAS Approved• W e have developed contacts with Transport for London, Creative Foundation and Dolce and Gabbana, and many Managing Agents throughout London and the South East• W e have up-to-date Health and Safety Policies and are fully insured• We are CRB checked• We are members of The Property Care Association and British Pest Control Association, as well as being the approved pest control contractor for Kent County CouncilTELEPHONE: 01737 212 272  |  EMAIL: [email protected]

6 THE PEST COMPANYROLE OF THE FRANCHISE OWNERA Pest Company Franchise Owner will undertake all aspects of running thebusiness.The Franchise Owner will need a vehicle During the first three months of trading,to operate their business; the van will be a selected representative from The Pestprofessionally racked and sign written to Company will provide training at theThe Pest Company’s exact specification. Franchise Owner’s location.A comprehensive training course will also The Franchise Owner is responsible fortake place at Head Office, which will detail all financial aspects of the business, andall aspects of running the business. The raising and collecting invoices.Franchise Owner will also attend a BritishPest Control Association accredited The Pest Company has established acourse and will receive a ‘Level Two’ pest network of suppliers who will be able tocontrol accreditation through the BPCA, supply products across the franchiseonce they have successfully passed the network.exam. Each Franchise Owner will be awardedInitially, by following The Pest Company their own specific territory to build theirSales and Marketing Programme, the business with each territory across theFranchise Owner will be aiming to UK reflecting the same opportunity.generate domestic and commercial workin their territory.TELEPHONE: 01737 212 272  |  EMAIL: [email protected]

FRANCHISE PROSPECTUS 2015 7MARKETPLACE / BUSINESS OPPORTUNITYThe market outlook for The Pest Company business proposition is decidedlypositive.• The latest available research by CEPA indicates the pest control industry in the UK generated £621m of revenue in 2014 and the marketplace continues to grow year on year• Recent DTI figures suggest that 18% of new business start-ups fail within the first year and 52% fail within the first 3 years• The statistics for franchised businesses are more comforting; in the most recent report conducted by the British Franchise Association and NatWest, only 3.6% of UK Franchise Owners suffered commercial failure in 2013.James Mills on-site, dealing with apigeon problemTELEPHONE: 01737 212 272  |  EMAIL: [email protected]

8 THE PEST COMPANYTHE PEST COMPANY FRANCHISE PACKAGEThe Franchise Package Includes:• Your own exclusive territory • Initial Marketing Programme, inc.• Initial training* website creation and optimisation,• On location training/opening support ‘Google Adword’ management and• A van will be sourced. It will be sign other internet advertisingwritten and fitted with internal racking. • CRM management system to helpThe pest company will cover the manage and organise your businesscost of the initial 3 monthly deposit • Initial stock and materialsas well as the cost of getting the van • Corporate Workwearsign-written and racked • Freephone supply• Brochures, leaflets and business • Software License Feestationery • Operations Manual • Franchise License FeeFee is £16,295+VAT* Reduction applicable for those already in receipt of BPCA level 2 accreditation (proof is needed) of£1,200. Therefore cost will be £15,095 for those that are already qualified.Funding is available for the right applicant.Other items will need to be budgeted for by the Franchise Owner and these will bediscussed in more detail at the next stage. All Franchise Owners will need to accountfor working capital, which will vary depending on personal circumstances.On-going Fee’s Brand Marketing Levy: The Franchise Owner will charge a Brand MarketingManagement Service Fee: The Levy at 2% of turnover. This money willFranchise Owner will pay a Management be spent on promoting the brand toService Fee at 10% of turnover, on a generate work for all Franchise Owners.monthly basis. (Applicable from year 2 at the discretion of the franchisor). TELEPHONE: 01737 212 272  |  EMAIL: [email protected]

FRANCHISE PROSPECTUS 2015 9SUPPORT SERVICESThe Pest Company will provide The Pest Company Franchise We useOwner with on-going professional advice and guidance to the besthelp further their business aims and objectives, in addition internetto developing the business as a whole. marketing people inAn overview of the support services to be provided by the industryThe Pest Company includes: to ensure that you• A dedicated Head Office person to work with the Franchise are receiving Owner to develop their business in the territory enquiries from DAY 1!• Visiting Franchise Owners in their territory to review their business, on a one-to-one basis, and making recommendations as appropriate• A flow of new marketing ideas to ensure that an effective marketing strategy is implemented by the Franchise Owner• Organisation of Franchise meetings to exchange ideas and provide an arena for the presentation of new company policy and developments• Analysis of key performance indicators for each franchise business and provision of advice on how to further improve performance• The supply (at cost) of all stationery, marketing and promotional materials• Research and development to ensure that The Pest Company remain at the forefront of developments in their sector• The availability of a ‘help-desk’ to provide advice and guidance on all aspects of the business method• On-going marketing supportA complete breakdown of support will be provided when youmeet with us but we can guarantee that you will be working withthe most innovative pest control business in the UK.TELEPHONE: 01737 212 272  |  EMAIL: [email protected]

10 THE PEST COMPANYPOTENTIAL EARNING ILLUSTRATIONS Total Turnover Gross Profit Total Operating Operating Profit (£) (£) Costs (£) (£) £40,000 £36,000LEVEL ONE £10,000 £26,000LEVEL TWO £70,000 £63,000LEVEL THREE £19,000 £44,000 £126,000 £104,580 £29,600 £74,980These figures are based on the performance of our own locations. More detailed figures will follow ata later date, if necessary.Franchise Owner drawings have not been Average data means further work byprovided for as, effectively, the operating the Franchise Owner is vital in fullyprofit after certain deductions and substantiating the average figures usedtaxation will be the remuneration and/or in these illustrations, for each territory,re-investment back into the business. as their impact on the operating profit is obviously fundamental.All operating & direct costs may varydepending on the location and the Operating profit will be greatly affectedspecific operating conditions of each by the level and the speed of customerfranchise, which must all be identified uptake and balancing income with otherin an individual business plan. variable costs as the business develops.Figures these Illustrations are based on Additional profit can be gained fromare provided by The Pest Company. They timber and damp related enquiriesassume different levels of performance providing an additional income stream.to demonstrate the impact on operating These jobs tend to have a larger profitprofit. margin. Being diverse is important to success. TELEPHONE: 01737 212 272  |  EMAIL: [email protected]

FRANCHISE PROSPECTUS 2015 11NEXT STEPSAs previously mentioned, no pest control experience is necessary as full trainingwill be provided in all aspects of the business. We are looking for the rightcandidates to own The Pest Company franchise and ideally, you will meet thefollowing criteria:• Can finance the necessary capital to purchase the franchise and provide the initial working capital• Self-motivated• Prepared to follow a proven system• Prepared to operate in a ‘hands-on’ manner• Strong will to succeed• Tenacious and prepared to work hard• Organised, with good communication skillsAs The Pest Company Franchise Owner, you have the maximum potential for successas the business model is already proven and you are fully supported throughout thevarious stages of your business. Also, the pest control industry represents significantgrowth opportunities.If you would like to find out more regarding The Pest Company franchiseplease contact James Mills on 01737 212 272, on mobile: 07802 275 247 orby email: [email protected] TELEPHONE: 01737 212 272  |  EMAIL: [email protected]

26 KINGS HILL AVENUE, WEST MALLING, MAIDSTONE, ME19 4AETELEPHONE: 01737 212 272  |  EMAIL: [email protected]: www.thepestcompany.com