Uptown Cheapskate’s FAQ
Q: I want to own an Uptown Cheapskate franchise but don’t know the best area to place my store?
A: Our team will evaluate your market to determine viability. Remember, our success as a company is directly correlated with your success, so it is in our best interest to make sure your area provides a strong basis for growth. We are also very sensitive to potential cannibalization resulting from placing stores too close to each other, which is why we grant territory rights to all of our locations.
Q: What does an Uptown Cheapskate franchise cost?
A: Our latest estimates place the cost at around $225,000-$250,000, including working capital. Differences in cost are attributed to store size, geographic location, construction costs, etc. An exact breakdown can be found in our latest FDD.
Q: Does Uptown Cheapskate provide financing?
A: We do not provide in-house financing. However, we will assist our franchise owners obtain financing by directing them to our group of preferred lenders, prepare a business plan, and create pro-forma financial statements for banks.
Q: How much cash do I need to obtain a loan?
A: With current lending behaviors it is better to have more cash. Something to the tune of $70,000 should be sufficient, but that depends on your overall financial strength. If you have questions regarding your strength please fill out a personal profile and we will review it for you.
Q: Who/what is BaseCamp? Are you guys a climbing company?
A: BaseCamp Franchising is our parent company, so in a way you are buying a BaseCamp Franchise. BaseCamp started as KiD to KiD, an award winning children’s resale franchise with over 16 years in the industry and 80+ stores in the US and Portugal. We use BaseCamp as an analogy to describe the relationship between us (the franchisor) and you (as the franchisee, or franchise Owner). Our role is to provide a strong support team and the tools necessary for you to climb your individual mountain, or reach your goals. From our BaseCamp office we are in a unique position to relay information to our climbers about what others are doing to succeed, what obstacles they might be facing, or even warn climbers of impending danger. Not everyone’s mountain is the same, but your partners at BaseCamp will be there to help you along the way.
Q: Where do I buy the clothes I will sell in my store?
A: From people right around your store. Admittedly, having lots of fashionable teen/young adult friends doesn’t hurt. But if that isn’t the case then our marketing department will tailor an advertising plan to suit your particular market. Advertising options include social network advertising (Facebook, MySpace, etc), television/radio, print, email, text, direct mail, flyers, and more.
Q: How much will my salary be?
A: At first (6 months or longer) you should plan to take out nothing from your business. If you require a $10,000 a month salary from day one, you need to either increase your working capital or consider choosing something other than a start up business.
Q: Your competitors have a smaller investment—why is that?
A: At Uptown Cheapskate we are maniacal about building a world class brand, and that meant designing custom fixtures and signage, which cost more than off the shelf systems (but look MUCH better). We also have a larger amount of inventory, amongst other things.
Q: How does Uptown Cheapskate prepare me to be successful?
A: Our success is a reflection of your success as a store owner. We have developed, and work continuously to improve, tools and procedures designed to improve store performance. Prior to opening your store you will receive training in the following subjects:
Business Planning: Uptown Cheapskate will evaluate your market, and help you set sales, expense, and profitability goals. You will use your plan as a guide and as a tool to obtain financing.
Marketing: Uptown Cheapskate will help you identify your target customers and develop a plan to earn and maintain their business. Marketing support is an ongoing benefit that each Kid to Kid owner is entitled to.
Operations: Your store will carry thousands of items! Our UC Buyer software will enable you to efficiently track and account for them, including inventory levels and COGS for every item. This software is the cornerstone of a well-run Uptown Cheapskate store.
Bookkeeping: A simple computerized bookkeeping system (Quickbooks) is used to track and control your income, expenses, and profits.
Administration: You will learn how to find, hire and train great employees, and how to work together to increase sales and maximize profits.
Q: I only want to work a few days a week. Can I still be successful?
A: That is certainly an admirable goal to strive for, and one that we sincerely hope you can achieve. However, it is our experience that hard work, dedication, organization, and a positive attitude are all traits shared by our top owners. Until your store is established, and you have a strong management team in place, you should plan to work in your store full time (keep in mind that full time can mean 50-60+ hours a week). It could take at least a year, if not longer, to fully train your staff to run the store smoothly when you are away. After that time some of our owners have been able to take a less active role in their stores. It’s hard work, but for the right individual it can be a highly rewarding business.
