WILMINGTON, N.C. — Propelled by strong demographics that point to Americans' growing need for mobility equipment, 101 Mobility is rolling out a new franchise venture aimed at becoming a nationwide, full-service sales, service and installation provider of mobility products.
The company's ambitious plan calls for it to award a dozen franchises before the end of 2010 and 150 franchises nationwide within five years.
The move is a natural outgrowth for the company, which was started by Luke Sampson and Keith Barnhardt in 2008 selling mobility equipment and medical equipment supplies to the VA. Dave Pazgan joined as a partner late that year, and the company was rebranded as 101 Mobility to begin focusing on retail business possibilities.
Since then, the trio has built business in the Midwest and the East Coast by marketing through a network of sales representatives. Its VA business has grown, and the company also has other government customers including the Pennsylvania Department of Developmental Disabilities and workman's comp bureaus in several states.
"We're working to become a provider to those kinds of entities," said 101 Mobility CEO Pazgan. "We even do a little work with the Department of Defense."
But Pazgan said the company is also looking to build a national brand among consumers.
"We honestly are a little surprised no company has positioned itself to benefit from this growing need. Consumers have no trusted national brands to turn to for selecting, installing and servicing mobility equipment," he said. "There are several thousand mobility products dealers across the country, but most deal only in their local market, or at best, on a regional level, with quality of service varying from dealer to dealer …
"With a franchise brand there is an expected level of consistency in terms of service and experience. In the mobility industry, there is no such brand," Pazgan continued. "We are building the first. I'm sure many more will follow."
Currently, modular ramps and stair lifts comprise about 50 percent of the company's sales, followed by porch lifts (20 percent), auto lifts (15 percent), patient lifts (10 percent) and automobile turning seats (5 percent). Major vendors include Bruno Independent Living Aids, Harmar, EZ-Access, Liko and Savaria Concord. The company's franchises will also carry equipment such as walkers and hospital beds.
Franchise costs range from $85,485 to $121,015, and new owners must open an office/showroom within 90 days of launching their business. The company will provide a two-week training program at its Wilmington, N.C., headquarters that includes both management training and certification in installation and service. In addition, franchisees will get help with public relations and marketing campaigns for a protected territory.
"There are a lot of great concepts out there, but what it always comes down to is good execution," Pazgan said. "We're focusing on making sure we are executing properly. Especially in franchising, you have to make sure your franchisees are going to be successful and are properly supported."
With HME retail sales growing, he added, "it would seem to make sense we ought to be successful in building a franchise program since we have a wide array of products to sell."
However, Pazgan cautioned, although demographics point to an increasing number of seniors, many of whom will need mobility products, "This is not the kind of business where you open your doors and wait for customers.
"If you do that, you will fail. Franchisees need to be on the road daily building relationships."
