Rating Scale:

***** (5-Star): "Excellent Opportunity"
**** (4-Star): "Good Opportunity"
*** (3-Star): "Average Opportunity"
** (2-Star): "Below Average Opportunity"
* (1-Star): "Poor Opportunity"

Company:

Pillar To Post, Inc.

Centercourt Rating:

***** (5-Star)

Business Type:

Franchise

Description:

Professional Home Inspection Business

Mailing Address:

Pillar To Post, Inc.
14502 N. Dale Mabry Hwy., Suite 200
Tampa, Florida 33618

Telephone:

800-294-5591 (813-962-4461) - Gordon Williams

Fax:

813-963-5301

Email:

Fran@pillartopost.com

Web Site:

www.pillartopost.com

Direct Link Topics:

Program Summary
Program History
Franchise Components

Program Summary:

In just a few short years, the growing professional home inspection industry has revolutionized the real estate industry. With upwards of 80% to 90% of all residential sales involving a home inspection, most real estate professionals agree that home inspection represents the fastest growing segment of the housing industry in North America. In fact, virtually all referrals to home inspectors today come from real estate professionals wishing to substantiate a property's value, as well as inform both buyer and seller about the details of a specific property well before escrow closes.

Over the past few years, Realtors, buyers and sellers have come to recognize two critical factors:

1. A professional inspection can speed up or clinch a sale, so all real estate professionals have a strong incentive to recommend inspections to all of their clients.
2. The "buyer beware" attitude of the past is no longer acceptable in the residential real estate market. Today's buyers expect value and look to home inspectors to further define "value" in objective terms offered by an unbiased third-party expert, namely the professional home inspector.

Pillar To Post has developed a comprehensive franchise program designed to capitalize on the tremendous growth represented in the home inspection industry. However, it is clear that Pillar To Post recognizes that the growth of the home inspection industry has been consistent and steady since the company first began operations in 1994. Pillar To Post clearly recognizes that the home inspection industry in not a "fad" industry. Rather, sales of new and existing residential properties are increasing on an annual basis. As such, future demand for home inspection services is directly associated with future demand for new and existing properties. As a component associated with both the validation of a property and the value of a property, the preparation of a formal home inspection report, on behalf of seller or buyer, will continue as a standard component of virtually all real estate transactions.

Standardization and implementation of the Pillar To Post system has led the company to establish a solid foundation of franchise operators throughout the United States and Canada. As a somewhat new industry, the trend is toward inspectors affiliated with larger networks and away from independent agents and part-time inspectors. Pillar To Post has strategically aligned its national standards and procedures with local representation provided by operators that know their respective communities and are fully accountable on a local level.

Program History:

Pillar To Post was established in 1994 and began franchising the Pillar To Post concept that same year. With U.S. operations based out of Tampa, Florida and Canadian operations based out of Mississauga, Ontario, the company has positioned itself for broad national and international coverage throughout North America.

Over the past several years, Pillar To Post has grown to over 250 franchised units in the U.S. and Canada. During that time, the company's franchise growth and success rate have been recognized by a number of publications inclusive of Entrepreneur Magazine ranking Pillar To Post #12 on its "Top 30 New Franchises" list for 1999.

Franchise Components:

Key components of the Pillar To Post franchise program include several unique factors relating to its broad-based appeal to potential investors:

Low Overhead:

Initial capital requirements are much lower than many other franchise opportunities. There is no need for offices as the concept is ideally suited a home-based operation. In addition, there is no need for costly equipment, inventories, large employee payrolls, or tying up cash flow in accounts receivable.

No Restrictions:

Both men and women can feel equally comfortable and confident as a home inspector. In fact, the business is ideally suited to husband and wife teams.

Pride and Satisfaction:

This is a valuable and appreciated service that protects the financial interests of Pillar To Post customers. Reassuring customers who are about to make one of life's major decisions can be very rewarding.

Open for Business:

Business operations can begin shortly after business set-up and training. There is no need to wait for construction, leasehold improvements or inventory shipments since they are not components of the Pillar To Post concept.

Training:

Pillar To Post provides a comprehensive two-week training program covering every aspect of the company's 1,600-item visual inspection program. The program goes beyond technical expertise to address business practices and marketing techniques, inclusive of how to provide maintenance advice to clients, and how to set fees and administer the business.

The company also instructs franchise operators how to use their state-of-the-art computer technology and custom software to maintain a competitive advantage. In fact, Pillar To Post recently introduced a revolutionary computer generated Home Inspection Report incorporating all of the key components of its manual report, which itself has been judged the top in the industry.

The training program also includes hands-on inspections of several types of homes and concludes with a practical and written examination. Pillar To Post training standards meet or exceed the requirements of the American Society of Home Inspectors (ASHI).

Marketing:

Capitalizing on the nationally and internationally recognized "Pillar To Post" name, the company provides a complete complement of advertisements, brochures for consumers and real estate professionals, Yellow Page ads, introductory coupons, press releases, letters, professionally written articles, and advice on how to promote the business effectively.

The company has also added a Shopping Cart feature to its franchisee only page on the Internet that allows franchisees to view pictures of all marketing and administrative items available from Pillar To Post. These items may be ordered electronically in the virtual store.

Ongoing Support:

Franchisees' ongoing marketing activities are supported by one of Pillar To Post's Directors of Marketing Development, who works with each individual franchisee as soon as the formal training period is completed. Access to head office support staff is also a major part of the company's support program. With over 40 years of franchise operating experience, Pillar To Post's head office support staff offers significant expertise relating to the operation of a Pillar To Post business.

In addition to localized support, Pillar To Post franchisees can benefit from regional sales and marketing workshops and annual conventions where they can learn from management, industry experts, associated vendors and other franchisees.

Pillar To Post also assists franchisees in obtaining accreditation from key industry associations, such as the American Society of Home Inspectors (ASHI).

Pillar To Post franchisees also have access to the company's technical support staff from the field in order to instantly obtain answers to technical questions. In addition, franchisees can access the company's web site at any hour of the day or night to obtain the latest technical, marketing and support information.

Offering Specifics:

Franchise License Fee (U.S.): $10,900 to $20,900 (population based territories)

Initial Franchise Investment - inclusive of Franchise License Fee (U.S.): $19,950 to $35,750

Royalty: 7%

Advertising Royalty: 2%

Financial Assistance: Provided by company and third party lenders