Life Saver Pool Fence
Life Saver Pool Fence franchises sell and install pool safety products like removable mesh fences to residential customers. Known for the original Life Saver Pool Fence®, this franchise operates in the home improvement and pool safety industries.
Life Saver Pool Fence franchise FAQ
How much does it cost to open one — the total initial investment?
The total initial investment necessary to begin operations of a LSPF Business franchise ranges from $71,658 to $105,998. This includes a payment ranging from $37,200 to $40,200 that must be paid to the franchisor or affiliate. [p.1]
What is the initial franchise fee?
The initial franchise fee is $35,000 [p.16, p.22]. However, if you are a qualified veteran or a parent of a victim of drowning, the fee is reduced to $28,000 [p.16].
What are the ongoing royalty and advertising fees?
The ongoing royalty fee is 3% of gross sales, payable each Tuesday of the week [p.76]. Additionally, there is a weekly technology fee of $25 for Technology Services, which may increase in the future [p.76], along with an initial setup fee of $200 [p.76]. There are no specified advertising fees, but the franchisor uses a System Fund to develop and place marketing materials that benefit all LSPF Businesses [p.36-37].
How long is the initial franchise agreement, and can I renew it?
This isn't specified in the excerpts. The provided FDD excerpts do not mention the duration of the initial franchise agreement or details about renewal terms beyond requiring a general release upon renewal or transfer [p.94].
Can I sell or transfer my franchise, and what does that require?
According to the FDD, a provision permits the franchisor to refuse to permit a transfer of ownership of a franchise except for good cause [p.5]. If you wish to transfer your franchise, you or the transferee must pay a transfer fee equal to 75% of the current initial franchise fee to cover expenses such as training the new owners or personnel [p.94]. This fee is reduced to 50% if the transfer is between other LIFE SAVER POOL FENCE® franchisees, and it is $1,500 if the transfer involves adding an additional noncontrolling owner among your existing owners [p.94].
On what grounds can the franchisor terminate the agreement?
The franchisor can terminate the agreement if the franchisee fails to meet minimum performance standards [p.39] or does not comply with lawful provisions of the franchise agreement and fails to cure such failure after receiving written notice and a reasonable opportunity to cure, which cannot exceed 30 days [p.5]. This isn't specified in the excerpts for other specific grounds.
What financial requirements — net worth and liquid capital — do I need to qualify?
This isn't specified in the excerpts.
Do I get an exclusive or protected territory?
You receive a protected territory but it is not exclusive. You must operate within the defined Territory and cannot market, sell, promote, or provide Products and Services outside of this area without prior written consent [p.73]. However, you may face competition from other franchisees, outlets owned by the company, other channels of distribution, or competitive brands controlled by the company [p.41, p.39].
What training and ongoing support does the franchisor provide?
The franchisor provides an initial training program lasting approximately 6 days, covering marketing techniques, service provision methods, business operation, and installer training [p.32]. Additionally, they may offer periodic additional or refresher training programs to maintain uniformity in goods and services provided by franchisees [p.34].
How many franchised outlets are there, and how many have closed or been terminated?
The FDD does not provide specific information on the number of franchised outlets that have closed or been terminated. It only mentions the number of franchised LSPF Businesses open and operating for at least a full 12 months during certain measurement periods, but it does not discuss closures or terminations [p.54].
Does the franchisor share any financial performance or earnings information?
The franchisor shares historical Gross Sales data for franchised and affiliate-owned LSPF Businesses from specific measurement periods. However, this data is based on actual historical Gross Sales provided by franchisees and has not been verified or audited [p.57]. The franchisor does not make any financial performance representations about future financial performance or past financial performance of company-owned or franchised outlets [p.57], nor do they authorize their employees or representatives to make such representations [p.57].
What am I restricted to selling, and where must I buy supplies?
You may have to buy certain materials from the franchisor or a designated affiliate [p.80], and there are operating restrictions that may prohibit you from operating a similar business during the term of the franchise [p.3]. The specific products and services you are restricted to selling are not detailed in these excerpts, but you have the option not to market them to certain Multi-Market Accounts if they decide not to do business with you [p.74 / p.40].