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The Opportunity

WHY OWNING A FRANCHISE MAKES SENSE

A Proven System: Buying a Kwicksilver franchise removes much of the risk of starting a business. Most businesses fail due to a lack of experience which leads to unrecoverable mistakes. Kwicksilver brings 30 years of wheel repair and reconditioning experience to the table. We have tackled all the problems a new business owner might face and have created solutions. These solutions have evolved into a proven method of operation that maximizes efficiency and minimizes problems. We’re also your own personal consultant, providing ongoing technical and administrative support. Remember, a Kwicksilver partner is in business for himself but not by himself.

The Market Opprtunity

Aluminum over Steel: The ratio of aluminum to steel wheels is growing at an ever-increasing rate. Today, approximately 50% of vehicles use aluminum wheels. Some high-end manufactures have a ratio of nearly 80%. Virtually all aftermarket wheels are cast or forged aluminum. This is a natural transition, as the aluminum wheel is lighter, providing better performance, handling, improved gas mileage and, it just plain looks better than a steel wheel with a cheap plastic cover. The drawback to the consumer is the additional cost of an aluminum wheel, as well as its propensity to bend and scuff easily. What’s bad for the consumer is good for the kwicksilver professional.

Bigger is Better Trend: Have you looked at the size of your typical performance wheel these days? The ability to manufacture low profile tires has radically increased the wheel size on many vehicles. At one time, 16″ wheels were only available by special order. Now, 17″, 18″ and larger wheels are common. Aftermarket wheels are often 20″, 22″ – even 24″. As wheels increase in size, their durability is reduced. It’s not uncommon for a careless driver with low-profile tires and wheels to bend all four wheels in one incident. These larger, softer, aluminum wheels are also prone to curb rash, scrapes and gouges. This translates into additional business for the wheel repair and recon technician.

Replace or Repair / Recondition: Replacing a damaged or bent aluminum wheel with a new one is becoming less of an option these days. With the escalating cost of these new wheels, the owners and their insurance carriers are looking for alternatives. The obvious answer is kwicksilver. A bent wheel can generally be repaired for $75 – $200. A cosmetically damaged wheel can be reconditioned for $50 – $175. The work can be performed in 15 – 45 minutes. The price of performance OEM rims range from approximately $400 – $2,000 each. Aftermarket aluminum alloys can cost even more. The numbers clearly favor repair over replacement. It’s a win-win solution – both shop owner and customer benefit.

Fragmented Industry: The wheel repair and reconditioning industry is fragmented into tiny wheel shops, sporadically located, and a few large warehouse companies. This is precisely what makes the industry ripe for the emergence of a high-quality specialty franchise like kwicksilver. The small wheel shops suffer from the lack of name recognition, network support/pricing and skilled wheel repair and recon technicians. The large warehouse companies suffer from the inability to provide quick, efficient and accurate repair and reconditioning. The damaged wheel is often shipped to a distant location and painted with one basic silver, which is unlikely to match the original color. The result – the customer is forced to wait days for a wheel that doesn’t match the other 3 on his vehicle. Finally, both the small shop and large warehouse company will not have access to the equipment, tools and techniques that we have developed to be used by every kwicksilver technician.

Profit Potential: A Kwicksilver franchisee will take advantage of several streams of revenue, such as wheel straightening and repair, chrome exchanges, cosmetic wheel repair, dealer/customer aftermarket upgrades, custom wheel painting, wheel location and replacement, tire/wheel sales, mobile wheel repair, etc. A Kwicksilver franchisee will have both wholesale and retail customers. Repairs typically range from $55 to $250, depending on the severity of the damage, the type of rim, and the particular customer. One experienced technician can repair as many as 15 rims in a day. An individual franchisee’s revenue depends heavily upon the franchisee’s ability to spend a significant amount of time developing a solid customer base. This is a very local business where frequent, ongoing, in-person sales calls are necessary.

Small Initial Investment: The initial franchise fee is $15,000. The Start-Up Training and Equipment Package is $18,500. This includes our newest wheel straightener, which is capable of straightening 8 rims in one hour.

The royalty fee is 6% but includes a portion for advertising in your local market. Moreover, Kwicksilver puts a cap on royalties once you reach $30,000 in monthly revenues. Anything earned over this mark is royalty free. Consequently, we have some franchisees paying as little as 2% – 3% in royalties per month.

Prime Locations Available: Kwicksilver is a growing franchise but many of the most profitable locations are still available. Our typical franchised territory is very generous in size, and will have a population of 1,000,000 – 1, 500,000. Some territories are even larger, depending on various demographics. Don’t miss out on this very unique opportunity!









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