Concentric Lettings franchise

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Concentric Lettings franchise

Key points

  • Date of first franchise: June 2010
  • Number of franchisees in the UK: 10
  • Number of international franchisees: 0
  • Franchise cost: £23,000 + vat
  • Working capital required: £10,000
  • bfa membership: Provisional

When choosing a business to take on and develop, it is important to consider the market within which they trade, is it a growing or a declining market? The lettings industry is unique, in that it is in the middle of sustained and massive growth as a market, which is predicted to treble in size over the next 30 years. The PRS (private rental sector) is currently 17% of all housing stock (risen from 7% in 1987) and set to grow to 50% by 2050. Concentric Lettings is a National Residential Lettings Franchise with a difference. Lettings is by nature a business of multifunctional elements, each very important and requiring different specialist skills, Lettings, Property Management and Client Accounting. With our model, we take away the Property Management and Client accounting from you, so that you don’t have to do this yourself. Our Franchise business owners have the luxury of being able to work on the profit making elements of their business, instead of organising maintenance and balancing ledgers, whilst in the knowledge that all of this back end work is being handled by full ARLA (association of Residential Letting Agents) compliant and fully trained staff, that as a team have been managing properties for over 20 years.

We have an unrivalled online presence, aimed at the landlord market to aid our franchise owners build their businesses, this includes over 60 informative videos, blogs, websites, articles and reviews, as well as our experts writing for many national and local property magazines, aimed at the property investor.

We offer the best in training, all training is performed by people who have actually fulfilled the role and in some cases still are, we have over 19 people available to answer your questions whenever they arise and put no limit on the training available.

For more information on us, google concentric lettings, search the videos and then check out our MD sally lawson. To find out more about the franchise go to www.ukfranchiseopportunities.co.uk

Turnover and Profitability Potential

The benefit of the Lettings Franchise is that you are building up a strong backbone of residual income, with the property management fees, this is the percentage you collect off the landlord every month from the rent that you collect, this builds up and comes in every month. For an agency with 100 properties you would be looking at a monthly income of £5000 per month, for 200 properties under management it is more like £10,000 and with 500 properties under management you will be looking at £25,000 per month. But this is only half of your income, you will be looking to generate the same again with your letting fees and additional services.

So a branch with 500 properties under management would be looking to turnover £500,000-£600,000 with a 20% -25% profit margin.
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