A bright future

The UK sign and graphics industry is one of the most diverse and technology advanced in the world, with a huge variety of companies large and small making up its some 8,000 members. The last decade has seen an important trend develop however, one that has been borrowed from our American cousins, where increasing numbers of existing and new entrants to our sector are opting to enter a franchise model rather than pursue a completely independent identity. This is when a franchisee buys the right to copy a business format and sets up their own branch of the business. There are currently three sign organisations leading the way, which are Signs Express, Signarama, and Fastsigns. In this feature, I hope to get to know the franchisee’s themselves better and find out what differentiates each business from each other and what motivated them to become a franchise member.

Jump at the chance

First, I spoke to Craig Tiley, owner of Signs Express Stoke-on-Trent, just a year into his position as a franchisee for the company. Tiley had previously been in the sign industry before he joined the army, and had heard of Signs Express before he decided to invest in a business of his own.

Tiley continues: “I had also spoken to Craig Brown, the managing director of Signs Express Ltd, on sign forums and at exhibitions, so I knew what the company has to offer and how approachable to team is. Ultimately, Signs Express’ success is evident in the industry and I wanted to be a part of that. So, when a resale in my area came up, I jumped at the chance.”

Being a franchisee has its advantages when it comes to buying equipment, as partnerships with manufacturers will often allow a franchisee to purchase a piece of kit at a reduced price.

Tiley comments on his technology plans: “I bought a resale Signs Express business that came with a Mutoh Value Jet digital printer. I’ve now spent a year building up my business and in the very near future I am looking to upgrade to a much more modern piece of equipment. I’m going to speak with suppliers at the Signs Express Convention and expect to take advantage of Signs Express’ preferential rates.”

In terms of the benefits of becoming a franchisee, Tiley advises taking advantage of the support available: “I am so glad that I didn’t go it alone. When you join a franchise, the support is there when you need it and you have all the experience of the entire network at your fingertips. Signs Express HQ have a team focused on business development, who provide advice that you never even knew you needed and can take a step back from the business and see where you can improve.

“Plus, you benefit from being part of an established brand and HQ handle a lot of the marketing on a national scale and can aid in local campaigns. Also, as part of a well-known brand you have purchasing power and get good rates from the suppliers.

“In terms of challenges, there are no more challenges than if you were to setup a business on your own. In fact, all of the assistance that comes with the franchise package would be a nightmare to organise on your own and the price would far out-weigh the ‘management service charge’ that we pay to the franchisor.”

When asked whether he would recommend the franchise route, Tiley says he would 100 percent, recommending franchising with a reputable franchise that values the welfare of its franchisees.


Tiley adds: “I have owned the centre for around a year now and although it has involved a lot of hard graft, it has been a thoroughly enjoyable year. I am now in a confident place and the future looks incredibly bright for me, my business and my team.”

Nurturing environment

A former university lecturer in management and organisational behaviour, Keddy Banda, owner of Signarama Preston, took over the franchise in 2009. For Banda, the opportunity to become a franchisee arose whilst working as the company’s sales manager.

Banda explains: “Having the experience of working within the Signarama family, I was impressed by the way the franchisor operated and so I became familiar with the business ethos inside and out. So I welcomed the idea when the opportunity came to take over the Preston franchise on the retirement of the previous owner.



“The head office support centre team actually own the master licence in the UK and this is evident from how they develop and cultivate the relationship with the network. It’s nurturing and supportive with decisions based on mutual interest.”

For Banda, the equipment provided was exactly what was needed: “The start-up equipment package provided through Signarama is very extensive and includes everything you need to produce quality signage from the outset. As I took over an existing franchise the kit was already there, but later added a second large-format printer, as well as updating the computers and software. Signarama UK negotiates excellent discounts with equipment and consumables suppliers for us.”

Banda comments on the benefits of the franchise model, in particular, having a well-known brand name: “Signarama has an excellent reputation worldwide and is represented in over 50 countries. The name Signarama gives customers confidence and opens doors that perhaps an independent sign company couldn’t. We can access top quality UK based business advice from the head office business support centre in Harrow and keep up to date with the latest industry technology and trends through the excellent training available through Signarama.

“I can’t think of any downsides, but would say that anyone thinking of partnering with any sign franchisor should check them out thoroughly first, speak with franchisees to find out what the company is really like, and how much UK based support is available. It’s important to go into any business arrangement with your eyes open so make sure you find out about the risks as well as the opportunities.”

Signarama has also launched a sales centre, Signarama Light, for products without a production facility. Banda says Signarama Preston is going to expand by having a Signarama Light office in Manchester north to offer more to a wider audience.

“Becoming a new Signarama franchisee was the best thing I have ever done. Franchising is a safe way to set up and start a business with a clear growth path as well as an exit strategy,” says Banda, adding: “In signage, independent sign-makers can be very successful, but not many can make the transition effectively to being a larger business or handing over to the second generation.

“As a Signarama franchisee I can access business consultancy to help me achieve my strategic goals that would be out of the financial reach of most small businesses.”

Economies of scale

For Richard Wedgwood, managing director of Fastsigns Manchester, the key was researching the market extensively and looking at the different franchise opportunities available.



Wedgwood explains: “Fastsigns was at a stage in its development in the UK that was particularly appealing as it gave me a good choice of physical location and territory. The global reach of Fastsigns International brings with it some massive economies of scale that enable franchisees to take advantage of negotiated terms for equipment and supplier purchases.

“It was this combination of scale and availability of territory that ultimately helped me to decide on becoming a Fastsigns franchisee. One additional major appeal of the Fastsigns franchise model was the support that they offer to their franchisees, in terms of technical backup, field based business consultants and training —Fastsigns sets itself apart in these very important areas.”

Wedgwood notes how the company has been able to secure better equipment deals through Fastsigns than would be possible independently, as well as the added technical support. He says: “When looking at any capital expenditure on equipment, I would always engage with the franchisor. Fastsigns International has a team dedicated to evaluating equipment and they pretty much test everything to destruction for us.



“We have recently purchased a state of the art digital cutter at our centre to enable us to create more signage in-house. Whilst there are many options on the market, we worked with Fastsigns International to find out the specification of the machine we needed and the best price.

“The deal we ended up with was far better than anything we had been able to secure independently. Fastsigns adds further value by giving ongoing technical support with equipment that they have specified, reducing (if not eliminating) the risks usually associated with capital expenditure.”

When discussing the benefits of being part of Fastsigns, Wedgwood highlights the strength of the brand: “Fastsigns International has a highly developed business model on which it continues to build. Success of the franchisee’s business is central to everything the company does as a whole and is core to the Chief Executive, Catherine Monson’s key strategic objectives for the corporate team.

“Having said this, it is ultimately the responsibility of the individual franchisee to run their own business—if someone was to buy into a franchise believing that ‘buying in’ was, in itself, going to guarantee success then they are likely to be disappointed. The franchisee needs to spend time and effort driving the business to success but the franchise support system from Fastsigns does make this very achievable.”

O Factoid: Fastsigns has more than 615 locations in nine countries around the world, including Australia, Mexico, and the US. O

A key piece of advice from Wedgewood, if you are looking at a franchise purchase, look at the level of the franchise fee and ongoing royalties. A franchisor selling at a modest franchise fee would indicate a confidence in the success of the franchise; if they are reliant upon royalties for their income then the success of the new franchise is likely to be paramount.

“On the other hand, I would be sceptical about a disproportionally high franchise fee up front as this would suggest a lack of confidence in long-term success,” adds Wedgewood.

He concludes: “I would absolutely recommend the franchise route, on the condition that the prospective franchisee has done their homework and is clear about what they hope to gain. A good franchisor with a developed business model will be able to work with the potential franchisee in deciding whether the fit between the two parties is compatible. Once those expectations have been explored and agreed you can get on with running your business—not wasting valuable time reinventing the wheel.

“Another fantastic benefit of being part of a franchise network is the access to the peer group of other owners. It would be a rarity to find yourself in a situation that others have not previously faced, so there is always someone you can ask for advice or experience you can learn from. This support is often invaluable and it’s great to feel part of a team all working towards the same goals.”

Having spoken to Signs Express, Signarama, and Fastsigns, it is clear that one of the main strengths of becoming a franchisee is the support available, from technical knowledge to general business advice. Being a part of a well-known brand is also a major attraction and in return getting good rates from suppliers. In terms of challenges, if you have done your research, looked at the level of the franchise fee, and having spoken to franchises beforehand, then it is definitely worth serious consideration as a move to help improve your business prospects. Of course, there will always be certain restrictions that come with being part of a franchise that you would not experience as an independent firm, and it is also worth considering how these may affect your long-term objectives.

Your text here...