What is the Difference Between an Authorized Factory Dealer and a Franchise for Starting a Gutter Business?

One of the questions we are often asked by potential new gutter business dealers is about the difference between a dealer opportunity and buying a franchise. Two of the biggest differences involve operational control and fees.

A gutter system franchise typically has a buy-in fee, plus monthly royalty payments that are a percent of gross sales. So each month a percentage of your sales are sent to the franchise for the use of their brand, marketing support and other benefits.

In contrast, a dealership will usually have an initial fee, often to purchase specialized equipment or inventory, but doesn’t have an ongoing royalty. Once you have “bought in” to the dealership, you keep what you make.

Franchises are also tightly controlled – the look, feel, product line, uniforms, etc. are all dictated by the franchise. You are essentially running their business model, with plenty of support. However, you don’t have full control of your business. You can’t expand into other products or services and you may have to stick with specific pricing guideline.

More Independence

Dealers have much more independence in how they operate their business, and what additional products and services they provide. For example, a gutter system dealer may also sell and install replacement windows, siding and trim or roofing. The best dealer relationships also provide training, and marketing and operational support.

At GutterShutter, we have taken the best of both worlds and created a unique dealer opportunity for businesses or entrepreneurs starting a gutter business. Our dealers benefit from independence and no ongoing fees, while still getting franchise-like support in the form of sales and marketing training, a proven business operational system, marketing materials and lead generation, and an established, recognized brand. There is an initial fee for our patented equipment and startup, but no ongoing royalty paid back to the manufacturer.

There are certainly benefits to both approaches, and we invite you to talk with GutterShutter to learn more about our dealer program, and compare it to franchise and other opportunities you may be considering. Contact us today to find out if we have dealer openings in your area, or to find out what exclusive territories are available.