Hey guys, what’s going on this evening? Sometimes you just got something that pops in your head that you want to talk about. Lee Godbold with Junk Removal Authority. One of the big disadvantages for franchises, I know a lot of the people that watch these videos aren’t necessarily interested in franchises, but some people are. Pay attention to this video because this is important. Junk Removal Franchise, the way it works is they limit you to a particular territory. You’ve got a territory that you can’t go outside of without purchasing that territory and you don’t have a chance of going outside of it if somebody else already owns that territory in your area.
That’s a disadvantage, we have a customer that is in a fairly major city, but the city itself have a lot of people. They assign it per blocks of people. It’s normally done per 500,000 people, or it could be a little bit less. It’s normally 500,000. This city, a lot of its people are poor. The majority of it was very poor area, there’s not a lot of business in there. We initially set it. He bought one of our business packages. We set it to his area. His immediate area he’s in by radius, and he didn’t get a whole lot of jobs. He was getting calls. He’s getting clicks, but very little jobs. We started doing some digging and we found that right outside of his area was an area with quite a bit of money. We created his campaign and some landing pages off his website to aim for those cities.
All of a sudden in the calls started coming in, the money started coming in. Don’t limit yourself to an area. For those of you that want to start a junk removal business and you’re in a bad area. You’re in an area that doesn’t have a lot of money. One, there could be still pockets of money somewhere where you can still make yourself a decent business, Two, you might need to go somewhere by either staying where you’re living at and just driving farther to do your junk removal jobs or actually moving to junk removal. Junk removal business, if you’re going to make a commitment to it and you’re in a good enough area, it is a good a business to be in. It is a great business that you can scale. You can really grow. It can be scaled and run without you. You can make great money. It can be sold. Junk Doctors, if we wanted to sell Junk Doctors, we would list it to somewhere around $1,300,000. We get over a million bucks for it. This will be our seventh year in operation next year. You can see what’s possible. You might have to leave where you are to go to a better area in order to achieve that. Those of you that are going to just want to stay exactly where you are. If you’re not in a good area for junk removal, then the junk removal might be an additional income or supplementary income to your other job. For those of you that are in a market, maybe you’re in a small market. There’re pockets of money. There’s low competition.
I’ve got a good friend in South Carolina who makes great money where he’s located. It’s in a small area. I’m not going to name it where because I don’t want anybody watching these videos to all of a sudden open and give him more competition because he’s got a little niche going on. He’ll do probably half million dollars this year. A fairly high profit with low competition. He’s not paying a whole lot for advertising. That’s the disadvantage of competitive market. The advantage of competitive market is you’ve got a lot of people out there. If you can out advertise, outspend, and hang in there. You got to really good shot at it. Building yourself one hellacious junk removal business. It’s a hell of a lot of fun getting to it. It does involve some sacrifices. The JRA way is good for the first two years. The first two years seems like every dollar you’re making, you’re paying back to Google or you’re paying JRA for our services. Over time, it’s really going to pick up. By that year three, all of a sudden you look and you’re like “I got a business making $70,000 to $100,000 a year.” Whatever it falls, depending on your market.
Cash flow, free cash flow. I can go out of town for a week. I can come back and the things still made money that entire week. It’s still running well when I get back. That is what we’re trying to build. That is our goal. That’s what we’ve done. That’s what we’re trying to show people how to do. The biggest problems with franchises are the fact that you’ve got a territory restriction. This guy right here, he would’ve been a lot tougher for him to build a good business being stuck in the territory. He was initially in, the fact he’s willing to go a little bit farther outside into the suburbs is going to allow him to be successful. Territory restrictions or to one of the worst things that franchises have. Try and avoid them. If you’re in a bad area for junk removal, go to a good area or don’t do it at all or do it as a supplementary. Hey, Lee Godbold of Junk Removal Authority. Check us out at junkra.com. We will be back before you know it. Everybody, have a wonderful evening. Talk to you soon.