Magic Make Readies Business Insights

Beth Jacobs and Tara Roberts, founders of Magic Make Readies, are in a dispute over whether to franchise their successful rental property turnaround business or focus on local growth. The business, which generates significant revenue by quickly preparing rental units, faces a strategic decision. Tara advocates for franchising to capitalize on a large market, while Beth prefers local expansion to maintain quality and control. The discussion covers the business model, profitability, and the challenges of franchising, including costs and operational complexities. The video concludes with a deliberation on the best path forward.

What services does Magic Make Readies provide?

• Only cleaning and painting

• Only painting and carpet cleaning

• Cleaning, maintenance, painting, and carpet cleaning

• Only maintenance and carpet cleaning

How long does it typically take Magic Make Readies to turn around a rental property?

• 10 days

• 3 days

• 24 to 48 hours

• 1 week

What is the profit margin for Magic Make Readies on a $1200 service?

• 10-15%

• 22-25%

• 30-35%

• 15-20%

What was the gross revenue of Magic Make Readies last year?

• $3 million

• $2.8 million

• $2.2 million

• $1.5 million

What is the main point of contention between Beth and Tara?

• Whether to change the business model

• Whether to hire more employees

• Whether to increase prices

• Whether to franchise or grow locally

Where is the first franchise of Magic Make Readies located?

• New York

• Chicago

• Los Angeles

• Austin, Texas

What is the initial investment required for a new franchise?

• $60,000

• $75,000

• $49,000

• $100,000

What additional service does Beth want to add to their business?

• Plumbing

• Heating and air conditioning

• Electrical

• Landscaping

What is Tara's vision for the company?

• To maintain a small, local business

• To sell the business

• To expand nationally through franchising

• To diversify into other industries

What is Beth's main concern about franchising?

• High initial investment

• Losing control over quality

• Legal complications

• Lack of market demand