A meeting with an Express Modular representative and review of our Franchise Disclosure Document (FDD) will answer most of your questions, but as a starting point, here are the answers to some questions we are frequently asked.
Express Modular was founded in 2008 following the Great Recession. Leveraging our experience as a turnkey custom modular home builder in four states, we were able to start and scale a nationwide custom modular home building company. We did this by priding ourselves on great service, a great team and the flexibility to meet our home buyer’s needs. We now operate nationwide as a licensed/certified/registered contractor in over 40 states.
The Franchise Fee is $48,000 and is paid upon execution of
The initial term of the Franchise Agreement is ten (10) years. The agreement is renewable for an additional ten (10) year term.
Yes; the current advertising contribution is 2% of gross sales. These funds are utilized for the creative development, photography, video for commercials, product development and testing, PR firm services, and in the United States is deployed in the actual purchase of media/social media in most markets.
There are numerous geographical factors that affect the costs of starting an Express Modular Franchise. Item 7 of the Franchise Disclosure Document provides a range of costs by category for your review.
It is the responsibility of the franchise owner to acquire a suitable location; however, we will work with you during the site selection process, and all sites must be reviewed and accepted by Express Modular Franchising.
Each state has different requirements and may or may not require a license. Some state require licensing, certification, or registration. In some cases, there are no requirements. In any case, each franchisee is required to meet the specific requirements in their territory to provide custom modular homes.
There are numerous factors that affect the profitability of a home builder, including sales volume, location, the territory, the economy, competition, managerial skill, dedication, and the ability to manage the costs of the business appropriately. During your due diligence and after a thorough investigation of our franchise program, you should have the data necessary to make an informed business decision as to whether investing in a Express Modular franchise is compatible with attaining your personal business and financial goals.
No employee of Express Modular may furnish any specific oral or written information regarding the potential sales, costs income, or profits of an Express Modular franchise other than that provided in our FDD. The intent of this policy is consistent with our commitment not to, in any way, mislead a potential franchisee; also, with the intent of the Federal Trade Commission that each investor should make an independent investigation as to the profitability of a business opportunity and how it applies to their particular situation.
Yes; you may sell or transfer your franchise to a buyer that is approved by Express Modular Franchising upon payment of the applicable transfer fee.
Yes, personal guarantees are required from the principals for the franchise agreement.
Approximately 45 days.
At the time the required agreements are signed with Express Modular Franchising you will be awarded a marketing territory. This marketing territory is established for your franchise. The marketing area is exclusive to you and Express Modular Franchising will not allow another Franchise Builder the right to market in your marketing territory. However, other franchisees can build within the dedicated marketing area if a customer chooses them to build their home. If your preferred territory is still open it is important to act fast in securing it. Marketing territories are exclusive and awarded for 10 years. Once they are awarded it means that Express Modular will become your competitor instead of your partner.
Homes sales vary by territory, your efforts and your dedication. Minimum custom home sales performance is expected to be at least 6 homes per year to remain a franchisee in the 2nd year of the agreement.
We neither arrange financing nor recommend investors. We can, however, point you to sources that finance franchises and include the U.S. Small Business Administration. We can also introduce you to lenders who have worked with other Express Modular Franchise builders.
We recommend that you make a full-time commitment to being an Express Modular Franchise builder.
Most home builders find that it takes a minimum of two people to start a custom home building business. Depending on the size of the business and the number of simultaneous homes being built, Express Modular builders hire at least one full-time sales consultant and a job superintendent. As the franchisee, you may elect to fill one of these roles as you establish your custom modular home building business. Other staff may include accounting and administrative personnel.
In regard to specific information about the potential sales, operating costs, and profitability of a franchise, it is advisable to contact existing franchise owners to learn first-hand of their experience. Express Modular Franchising will provide you with a list of our franchise owners via the Franchise Disclosure Document (FDD). We do not require our franchise owners to provide you with their personal financial information, but it has been our experience that many of them are willing to share information about their businesses and how they do, and their satisfaction with both the concept and franchisor.
We go through a thorough candidate review process to ensure the potential Franchise Builder has an adequate business background and financial ability to build and support a custom modular home building business. We’re also looking for individuals that will be good stewards of our national brand, as well as being contributors to their local community. The ideal candidate values people, is a constructive contributor, values systems and processes, is a team player, action-oriented, self-starter, wants to be self-employed, has the ability to manage both people and process, is customer-focused, and has approximately $100k in liquid assets and the ability to secure a $100K or more line of credit.
Please review all of the information on our franchising website to learn more about the company and our franchise award process. You may complete the online inquiry. Once you submit that to us, we will promptly review your information and contact you again to discuss next steps! The entire franchise award process typically takes between 30-75 days.