Franchise

A Guide to Buying a Business in the Magni Skin Industry

Many people have the ‘dream’ of being able to own and operate their own business. Far fewer follow through to make this a reality. This may be due to the high failure rate of business start-ups. With so many unknowns to starting a business for yourself that ultimately means people talking themselves – or being talked – out of taking that step. Having to live with asking yourself ‘what if?’ or ‘if only..’ can be fairly demoralising.

So what are the options? One option that can be considered is to buy an existing business. This can be a business that is already trading, has an established customer base for its product or service, has revenue coming in and expenses going out and, ideally, is making a profit. If trading has been good and the business shows a sustained profit, the cost to buy the business could be high – perhaps matched by the weighted expectations of the current owner to realise a return for their hard work. Yes, this price could be negotiated down, however, you’re then expected to realise future growth through your own endeavours and ensure there are no skeletons in the closet of the business you now own and are responsible for.

Alternatively, you may have the spark of an idea that means, rather than buying a business, you are building it from scratch which may require lots of time spent finessing the design of your product, ensuring it has the necessary patents and trademarks, investing in costly but albeit necessary R&D, determining who your market is and working out how to reach them and through what channels of communication. Then, after that extensive journey, hoping that what you have painstakingly worked on is
successful and that customers actually want to buy!

HOW DO FRANCHISES WORK?

Fortunately, there is a far more tried and tested option to buy your own business. Investing in a franchise. In short, it’s a business in a box. It’s all ready to go and with a receipt of sorts for you to follow, with everything included in the purchase price. You don’t need specific experience, that’s provided by training and ongoing support. You don’t need to find your suppliers, they are ready and waiting to help you. You also don’t have to get bogged down with how to find your customers and ask yourself ‘how will they know about what I do?’. Marking collateral for print and digital initiatives is already there, ready for you to use.

THE ADVANTAGES OF BUYING A FRANCHISE BUSINESS

The added advantage of buying a franchise business is that you have a ‘franchise support’ team available to you. What does that mean? Well, you may have plenty of experience in one business area, managing teams for example, but haven’t really got the first clue when it comes to marketing or everything that entails. Chances are that the financial aspects of a business is not something you’ve been responsible for previously. By buying a franchise business you have a team with experience in all these functions and more to help you operate your business successfully. You’re working in partnership with them as everyone has a vested interest in the success of your business.

HOW DOES FUNDING WORK?

The added advantage of buying a franchise business is that banks are more comfortable and willing to help fund new franchisees. They see the benefit that following an already established blueprint, or ‘model’, can provide. This can mean funding from them of up to 70% of the total investment subject to you meeting their lending criteria. You’ll find banks are also supportive of franchising due to the fact that, in the latest NatWest Franchise Survey, 50% of new businesses fail within the first five years compared to only 1% of franchises in the UK.

A franchise agreement lets you get into business for yourself but not by yourself. It lets you scratch that itch of being your own boss but without the daunting feeling that you’re doing it alone. If you are able to bring the energy, passion and desire for having your hard work rewarded, then buying a franchise business may very well be the step you need to take to realising your dream.

Exclusivity

Magni Skin provides exclusivity to their franchisees, this means that another franchisee will not be awarded territory within your allocated postcodes.

Turn Key Operation

Full support is provided with site selection, equipment purchasing,
design of the marketing collateral following the brand guidelines and operating procedures.

Strong margin business

The weighted average gross profit across our core pillar treatments is 80%+ which, with prudent management of overheads, allows for a strong net profit opportunity.

Recurring revenue

This can be achieved from individual clients through cross-selling them a range of valued treatments and courses.

No experience required

Being new to Magni Skin is not a problem, as we provide a full training program for you, as a franchise owner and your team in the Magni Skin treatments.

Training and Support

Every clinic is well supported in the fundamentals of operating the business. We provide support throughout the set up process. This can include; sourcing premises, fit outs, marketing, and of course, the training and education of our treatments.

Frequently Asked Questions

What is a franchise?

A model that allows people the opportunity to realise their aspiration of owning and running their own business without having to come up with their own idea and question whether it will work and be profitable.

How is this done?

We award a franchise licence to those who are able to demonstrate the qualities, financial requirements and drive to replicate the success of Magni Skin in an available territory ideally in an area you know well.

In a nutshell, what does the Magni Skin business offer?

Magni Skin provides female and male customers with best-in-class treatments and elevated experience in a convenient retail location. Body contouring, facials, skincare, laser hair removal, stretch mark reduction and aesthetic treatments are offered using market-leading, FDA* approved technologies administered by professionals. Included in Magni Skin’s suite of medical technologies are state-of-the-art non-surgical fat reduction equipment exclusive to Magni Skin.

Do I need Magni Skin industry experience?

As we offer full support through-out this franchise, you do not need experience of the sector, as we will help provide all necessary knowledge, training and qualifications

Is this a good fit for my skills?

Your responsibility as a franchisee is being able to manage, value and retain teams, ensure successful operating procedures are followed, increase awareness of the Magni Skin brand in your territory through strong marketing, proactive engagement and networking with prospective customers and have a desire and resilience to succeed in owning your own business.

I have no experience of sourcing premises, or fitting-out?

Not at all, we provide support in all those areas. We provide a turn-key start-up that makes it straight-forward for you to know at what stage everything is during the onboarding process and lets you focus on your team, marketing and training.

Why invest in a Magni Skin franchise?

We strongly believe that we have an extremely viable operational model that stands-up to investment scrutiny. Magni Skin offers laser hair removal, clinical facials, anti-aging treatments, injectables, body contouring, stretch mark reduction, skin tightening and skin lightening treatments all under one brand. Our unique business model provides the best of both worlds: a robust menu of services that create an unmatched experience for clients while providing multiple revenue streams from a single client that, with strong margins, helps maximize profits for franchisees.

What is 'exclusive' territory?

For the avoidance of doubt ‘exclusive’ means that, providing performance standards are being maintained, another franchise will not be awarded in the territory or the master franchisee will not open a company-owned clinic within your allocated postcodes. You may actively market your clinic within your postcodes although this should not proactively extend beyond your boundaries although it may well prove cost effective to undertake joint marketing initiatives with your neighbouring franchisee.

What are the next steps to become a franchisee?

On the basis you believe that, in principle, you are in a financial position to proceed, the best option would be to either call for a further discussion or arrange a time to meet us in London.