Beginning a business in the competitive realm of home improvement is a challenging endeavor. It demands a distinct product, a well-constructed strategy, and a strong support system for success.
Here at Rhino Shield, we have dealerships all across the nation and often receive inquiries such as “What are the essentials to start a painting dealership?” Beyond just painting, we also get asked, “What are the key components to make a home improvement business successful?”
We'll address these questions honestly and provide you with a clear overview of everything concerning starting a home improvement dealership.
Whether you do painting, siding, door, and window replacement, or HVAC installation/repair, you need leads to get business, which means sales and marketing support that provides all the necessary materials to execute a clear marketing plan. These should include most of the materials below:
Our Rhino Shield dealership offers these and more within our turnkey business model.
In the home improvement industry, unique dealerships are rare. And when they do exist, they often lack the comprehensive support that Rhino Shield offers. Placing our model on a spectrum, with independent businesses on one end and franchises on the other, we align closely with the franchise side. This speaks volumes about the level of support we extend to you.
With Rhino Shield, you benefit from greater freedom to operate your business as you see fit. Additionally, we do not require monthly payouts like franchise fees, which can range from 6 to 12% of total revenue.
A good dealership will educate you on effective sales techniques, including how to:
The dealership you go with should invest time and resources in crews of new dealers in the field. Even when in-person assistance isn't possible, your dealership should always be available via phone for prompt assistance.
Rhino Shield has a Level 2 certified NACE coatings inspector on staff who assesses damages to determine warranty coverage. If additional expertise is needed, such as an engineer or envelope consultant, we've brought on this extra assistance in the past and will continue to work with our dealerships to identify these needs.
Lastly, your chosen dealership should provide financial training for all your dealers, covering:
With over two decades of experience, we understand where these thresholds should be to ensure your dealership's profitability.
Unlike traditional dealerships that leave business owners to navigate alone, Rhino Shield offers a turnkey marketing strategy. We've partnered with vetted marketing experts to help dealers effectively plan and execute their business's inaugural year.
With 20+ years of success in the market, Rhino Shield provides confidence when introducing our product. Our services include top-tier installation and sales training in person. Click here to get all the answers to the questions below.
In any business, especially home improvement, without marketing leads, all other assets become inconsequential. Having a comprehensive marketing strategy is crucial. No matter how excellent your product or application process is, without customers, there is no business. Attracting potential customers is paramount in running a successful home improvement business.
For instance, to achieve a $1 million revenue in your first year, allocating about $200,000 to marketing is necessary. It's important to note that not all of this is upfront cash but reinvested revenue from completed jobs. Accumulating working capital is crucial. When managed properly, gross margins should range from 55 to 60%.
In 2022, we profiled two new dealerships, one in the Midwest and another in Florida. Both aimed for $1 million in their first year, with the Midwest reaching about $1.1 million and Florida hitting $1.6 million. They budgeted accordingly, allocating about $200,000 to advertising.
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Rhino Shield offers comprehensive marketing training to our dealers, covering various advertising avenues, including traditional methods such as:
We encourage our dealers to highlight three key elements in their marketing:
We aim to share stories like this:
Mark and Sharyl in Brighton, Michigan, have been Rhino Shield partners for 16 years. Mark brings 30 years of home improvement experience, and they operate a family-run business.
Find more testimonials on our customer testimonial page here.
Your chosen dealership should provide exclusive territories for each dealer. This exclusivity ensures you do not compete with other dealers, allowing you to focus on building your business without unnecessary rivalry. At Rhino Shield, we do just this.
However, this exclusivity comes with responsibilities, such as maintaining a positive reputation and adhering to Better Business Bureau standards.
We also establish minimum purchase requirements for our product, ensuring dealers are committed to their business's success and promoting the Rhino Shield brand.
To cultivate a sense of community among dealerships, your brand should go the extra mile by closely working with you, which can include things like:
These opportunities will enable dealers to share insights and provide feedback on product enhancements, fostering a collaborative environment benefiting all involved. Our Rhino Shield network follows this collaborative model, and we’ve seen substantial results.
Rhino Shield stands out with a product that distinguishes itself. It’s a system designed for longevity, unlike major manufacturers who want repeat purchases of paint that don't last, leading to more purchases.
The only comparable products to ours are those used exclusively for commercial settings. Even then, independent lab tests consistently show Rhino Shield outperforming in crucial aspects. It's rare to bring a genuinely unique, superior product to market, especially one that outshines competitors in a competitive landscape.
Attributes that make our product premium include:
Starting a home improvement dealership is relatively affordable compared to franchises. The initial investment is around $70,000 - $80,000, usually covering:
Rhino Shield dealers typically see gross margins ranging from 55% to 60%, with net profits averaging 15% to 20%. Established dealers often enjoy higher profits due to reduced marketing needs from brand recognition, while new dealerships might start closer to 15%.
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Unlike franchises with ongoing fees, a dealership model will not impose such costs on dealers.
Rhino Shield's dealership model offers a unique proposition in home improvement, providing:
Check out this article covering real experience with one of our Rhino Shield dealers.
If you are interested in becoming a Rhino Shield authorized dealer or have any additional questions, you can navigate to the ‘Become a Dealer’ page on our website.