Buddy's Home Furnishings
$200,000
$39,900
337
2010
Orlando,FL
Michael Bennett
Overview
Buddy’s Home Furnishings is one of the fastest growing rent-to-own franchises in America with a 60-year legacy of proven success. Franchise owners benefit from a 0% royalty fee the first six months and see the cash-flow benefits that are attributed to the unique recurring revenue model in rent-to-own. Approximately 91% of the company’s franchisees are multi-unit owners.
Franchise Unit Trends and Revenue
337
11
$778,026
* in 2023
Franchise Fees
$39,900
Veteran's Fee: $31,920
0% - 6.0%
Gross Sales
$175
Why Choose Buddy's Home Furnishings?
Buddy’s Home Furnishings offers customers affordable payments on home necessities including name-brand furniture, electronics, appliances and home accessories. The company is one of the fastest growing rent-to-own franchises in America and sits prominently in the $12.6 billion rent-to-own industry.**
What is Rent-to-Own?
Rent-to-own (RTO) is an essential and recession-resistant industry offering customers affordable payments on everyday necessities, which is why RTO annual revenue has steadily increased for decades despite good and bad economies.
The rent-to-own industry gained traction in the 1970s in response to customer demand for acquiring household products without incurring debt or jeopardizing the family’s credit. RTO customers continue to come from all walks of life and share the common desire to have durable goods in their homes without the long-term financial obligations associated with credit sales.
The cornerstone of RTO, and a point of differentiation from traditional retail, is there is no interest, no credit check and customers can return the merchandise at any time for any reason without penalty. This model has become a mainstream hallmark of consumerism spanning industries from car sharing services, to clothing rental subscriptions, technology trade-in programs and so much more.
According to the 2022 Association of Progressive Rental Organizations (APRO) Annual Industry Health Survey, the RTO industry served an estimated total of 4.6 million households in 2020—approximately 1 of every 28 American households rented products from a traditional brick-and-mortar RTO store.
Why Franchise with Buddy’s Home Furnishings? There are many benefits to franchising with one of the fastest growing rent-to-own retailers:
- 60+ Years of Historical Success
Buddy’s level of expertise and success has only compounded with time. Franchise owners benefit from Buddy’s national brand recognition and the tried-and-true, proven systems refined over decades in RTO. - Impressive Unit Economics
On average, the top 25% of stores see $1,452,318 gross sales and $348,878 cash flow per store.* - Recurring Revenue on Inventory
RTO has a unique recurring revenue model that yields multiple returns on every product. - Business Model Built for Franchising
Approximately 91% of Buddy’s franchisees are multi-unit owners and growing, which is a testament to the company’s systematic, proven approach to establishing and scaling stores. - Community Focused
Buddy’s success is a reflection of the relationships every store develops with its local community. The company culture is to nurture relationships with customers that aren’t built on transactions, but rather, trust.
Starting Costs and Investment Requirements
$375,650 - $797,540
$750,000
$200,000
Training and Support
Buddy's offers 100 hours of training which includes two weeks in the corporate office and stores, followed by a training with the franchise owner's staff at their store prior to opening. There is also extensive, ongoing training and support available from Buddy's operations team via the dedicated Franchise Consultants, a detailed Operations Manual, and an E-Learning portal.
*This information reflects the Average Gross Sales and Average Free Cash Flow for the Top 25% of Buddy’s Home Furnishings company-owned retail businesses which were in operation for the entirety of the 2023 fiscal year. Of the 34 retail businesses that were in operation for all of 2023, 9 were included in the Top 25% sample set and 3 attained or surpassed the Average Gross Sales and 4 attained or surpassed the Average Free Cash Flow as described above. We refer you to Item 19 of our 2024 Franchise Disclosure Document for additional information. A NEW FRANCHISEE’S RESULTS MAY DIFFER FROM THE REPRESENTED PERFORMANCE. This advertisement is not intended as an offer to sell, or the solicitation of an offer to buy, a franchise. Offerings made by prospectus only and in compliance with the applicable pre-sale registration and disclosure requirements in your state. ©2024 Buddy’s Home Furnishings®. All rights reserved.
History
Buddy's was founded in 1961 in Tampa, Florida with a single goal in mind: to make appliances in a retail setting more affordable. Since then, Buddy’s has adopted the franchising model and grown its footprint to approximately 330 stores throughout the U.S. and Guam. The brand also expanded its product line to include furniture, electronics, and home accessories while offering a new program that allows consumers to attain ownership of these goods through affordable payments without the constraints of traditional credit or financing.
Throughout its growth, the company has built its business one satisfied customer at a time. Buddy’s is in the people business because it believes there’s something to be said for relationships with customers that aren’t built on transactions, but rather, trust.
Ideal Candidate
- A background in franchising and multi-unit experience is desirable
- RTO experience is a plus
- Executive Level/W2 Employees looking to start their first business
