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CTi - Concrete Technology - Franchise Q & A

Qa With Concrete Technology Inc Brad Hieneman Vice President And Partner

Brad discusses the unique business opportunity Cti offers and why with a start up cost of only $5,000 and no royalties or franchise fees, you can't go wrong.

How was your opportunity originally conceived and started? 

The owner/founder, Kevin Rosenberger was a pool deck applicator who was installing River Rock on his pool decks.  The product had a short life span and many problems.  Kevin developed an acrylic modified cement that, once the original concrete is prepped, is easily sprayed over the top and Cti Concrete Technology Inc was born.  The product not only provides a non-porous sealer for the concrete that makes it impervious to mold, mildew, salts, de-icing agents and other elements that deteriorate concrete over time, but also gives the concrete a look, color and texture of inlaid brick, tile, slate, marble or even something unique such as a business' logo.

What was the original vision for your company and has that changed over time? 

Cti's model has stayed consistent over time.  Provide its Dealers with the highest quality product in the concrete restoration industry, give them the tools and plans to operate a successful business and provide ongoing support in the implementation of that plan.  Cti charges no franchise fees or royalties so the only way it experiences success with its relationship with its Dealers is if the Dealer is successful and purchases its products on an ongoing basis.

What do you believe is the single most important factor when choosing a business opportunity? 

The opportunity's ability to generate cash flow in the short term and the opportunity's long term outlook.

Why should someone choose your opportunity over other similar businesses? 

Most other concrete coating related businesses offer a relationship of manufacturer-buyer.  These companies offer products to their installers but do not offer the detailed business plan and ongoing support offered by Cti.  These factors lead to a much greater long term success of our Dealers.

What makes your industry attractive? 

In other economic times, many homeowners who would have normally traded up to a bigger, more expensive home.  However, due to current economic conditions, many of them are staying in their current home, and looking for ways to improve it. Many home improvement/home remodeling projects are too expensive during these times, but Cti offers the customer the ability to dramatically improve the overall look of their home for a price point that is within their budget.  In addition, Cti offers a long term solution to problems normally associated with having concrete around the home.  Since Cti protects the original concrete, the homeowner does not have to go through the rip out and replacement process every few years that is needed when concrete is exposed to the elements.  We are also an affordable home based business opportunity with no experience in home improvement or construction required.

What types of qualities do you look for in potential Dealers? 

The Dealer's ability to follow a plan and their ability to work outdoors with their hands. We need hands-on owner-operators.

How do territories work for your Dealers? 

Cti offers its Dealers the ability to have exclusive rights in one or more counties.  This exclusivity means they are the only Dealer capable of establishing a physical location in the county and are the only ones allowed to directly advertise within the county.

Why has your business model been successful? 

Cti provides a model of low start up costs, high margins, and low, ongoing operating costs.  This, coupled with our detailed start-up and ongoing operational plan, provides our Dealers with the ability to generate immediate cash flow along with long term profitability.

Where do you see your businessopportunity in the next 5-10 years? 

Cti's current advertising is a combination of establishing new Dealers along with regional, retail advertising in areas where our network is extensive enough to provide the products to its customers.  Over the next 5-10 years, we will be devoting more and more resources to the regional, retail advertising as our network of Dealers becomes more extensive.

What is your favorite advice for new Dealers to help them succeed? 

While Cti offers a detailed start-up and operational plan, it still needs a motivated individual to put it into practice.  Our most successful Dealers are the ones that get up every morning with a goal of working on the plan provided.

What would you tell potential business owners that may be nervous about the financial burdens of starting a business? 

During the initial starting phases of running a business, cash flow is far more important than high margins.  We instruct our Dealer to work with their first customers to insure that all avenues are explored to provide them value.  In other words, don't walk away from a qualified customer until you've exhausted all avenues of providing them the Cti products at a fair price.  We offer this advice because generating cash flow immediately is more important in the first months of operation than looking at maintaining high margins.  The higher margins will come quickly as the business gains traction.

On average, how long does it take to start a new franchise from the franchisees point of view?   

From the time the Dealer decides to come to training, materials are delivered normally within 30 days.  Once the product, marketing materials and equipment arrive, if the Dealer is working the plan provided by Cti, positive cash flow can be achieved with 90 days

What the Dealers are saying about Cti:

I wanted to let you know how great the support has been from you guys in Largo. My business has grown by leaps and bounds and I don't know if I could have managed it without your support. You guys are the best.  Bob Hawkes, B&D Custom Concrete

We just finished our first home show for the year and I don't think we'll have to do any more advertising. We have over 120 qualified leads, I've gone on 20 appointments already and I've sold EVERY SINGLE ONE! We're going to have to get busy figuring out how to keep up with the demand. Mike Brown, Blue Gator

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