Swimart stores break the $1m milestone despite difficult economic times

Waterco Limited (Swimart) , has had a successful year, turning in a good performance during testing economic times with more than half of their 62 stores now turning over in excess of $1m annually.

According to Mr Chris Fitzmaurice, National Manager of the home services franchise, three stores turned over in excess of $2m this last year.

“Our business model provides the company as well as our franchisees with consistent and sustainable growth. This has resulted not only in a first class business, but also in long-term franchisees, many whom have been with us for in excess of 20 years. ”

Chris Fitzmaurice said that one of the attractions of the Swimart home services franchise is their low franchisee fees and advertising levels.

“On average, these equate to just 6.6% of a store’s revenue, which is fixed and not variable according to monthly sales throughput. We only increase these fees on a fixed yearly basis determined at the start of the franchise”.

In Australia and New Zealand Swimart's parent company Waterco remains firmly focused on the manufacture, wholesale, export and retail of swimming pool equipment and accessories. Chris Fitzmaurice says this means the company is highly focused on assisting Swimart’s franchisees to grow and prosper.

“This is a strong plus for our franchisees because Waterco makes its profit from sales of product directly to them. This allows us to keep the franchise fees low and the franchisees profits robust.

Another factor that is attracting new franchisees to the group is the variety of work and different income streams they enjoy, ranging from retail sales through the stores to in-home pool servicing and from light commercial pool servicing to working with schools. In these testing times Swimart franchisees are benefiting from cocooning – householders staying at home and entertaining rather than travelling overseas for their holidays.

“In addition when they come to sell some franchisees are now able to realise a price that equates to more than 60% of their store’s revenue as a sale price,” Chris Fitzmaurice said.

“And for stores that turn over more that $1m a year, this is an exceptional price in any market especially considering a new store can be established for $200 to 250K.”