Recession-Resistant Franchises Thrive by Providing Vital Services
Franchise investors are often lured by trendy or ”sexy” brands, but they are missing out by overlooking the reliability of recession-resistant franchises. These unsung heroes of franchising may not turn heads like some of the flashier food and fitness brands do, but they have staying power.
Investopedia defines recession-resistant companies as those “that are not greatly affected by a recession.” One industry alone, waste and recycling, was worth about $91 billion in revenue last year, a hefty increase from the 2021 total of $82 billion, according to Waste Business Journal. Haul-away services such as the Rubbish Works franchise have found solid footing. The home services market as a whole is worth $506 billion in the United States, says Angi (formerly Angie’s List), equating the amount as “roughly the same size as our total combined exports to Canada and the United Kingdom.”
“Amidst economic ups and downs, the need for junk removal remains recession-resistant, as clutter knows no economic boundaries.”David Raymond, Rubbish Works Franchisee and COO
So while services like drain clearing or garage door repairs or trash/clutter removal by the likes of Rubbish Works might not be as glamorous as investing in a spa or a glitzy fitness brand, advantages lie in the strong, loyal client base – and repeat business – of a trusted home services franchise. As Rubbish Works franchisee and Chief Operating Officer David Raymond puts it, “Amidst economic ups and downs, the need for junk removal remains recession-resistant, as clutter knows no economic boundaries.” And the time may be just right for aspiring franchisees: The U.S. economy for many months has flirted with a recession despite the Federal Reserve’s best efforts to prevent one.
Why Choose a Home Services Franchise?
Some reasons for investing in a home services franchise are the same as for any franchise. The business model is proven and refined; support from corporate can assist with launch and problem-solving; brand recognition attracts customers; franchises are less risky than independent start-ups; and the ability to be your own boss. But home services franchises hold important additional advantages.
One major plus is that the U.S. population is aging. According to the 2020 census, one in six Americans was 65 or older, a total of nearly 55.8 million people. Many baby boomers, for example, have ample disposable income and are aware that they shouldn’t be climbing ladders, lifting heavy objects, and doing deep spring cleaning or other chores that are risky because of their ages. Seniors often downsize their residences to reduce taxes, utility bills and the scope of maintenance.
Other likely customers for home services are hard-charging, upwardly mobile workers and busy parents who need to de-stress with leisure activities and carve out quality time with their kids. They buy time for themselves by hiring out both regular and once-in-a-while tasks.
And finally, 31% of Americans are at least pondering the possibility of moving this year, LendingTree reports.
Why Choose a Rubbish Works Franchise?
Those factors back up the wisdom of investment in Rubbish Works, which is a member of the Premium Service Brands family of franchises. Here’s how the statistics come into play.
- When older Americans downsize or declutter, they may hire a service to clear a garage, attic, backyard, basement or spare room of unwanted items. Franchisees appreciate two big benefits of the brand: They can keep their day jobs if they wish, and they can easily find employees to handle the unskilled work.
- Busy Americans of all stripes contract for an array of services, from dog poop removal to lawn care to housecleaning and more. They don’t want to do some things they want to do rather than have to do. And of course as relatively younger Americans’ children grow up – leaving behind cribs, toddler beds, car seats and storybooks; spurning play kitchens, strollers and swing sets; switching sports and hobbies; and moving out on their own – stuff is left behind. Stuff that’s simply in Mom and Dad’s way and needs to go.
- Moving creates a whirlwind of possession purging. When a home is going on the market, the owner will usually do presale whittling to make closets, garages, attics, cupboards and basements presentable to buyers. Before moving day, whether from an efficiency apartment or a mansion, there’s a culling of items that aren’t worth keeping or don’t suit the new digs.
One other takeaway that adds to the appeal of 14-year-old Rubbish Works, which is currently expanding across the United States: Its customers can feel good about the fact that many of their castoffs can become someone else’s treasures. That’s because franchisees repurpose – via recycling and donating – nearly half the stuff they collect rather than sending it to landfills.
For further details about franchise opportunities with Rubbish Works, please visit https://www.premiumservicebrands.com/rubbish-works/.