Dynamo Surfaces is fairly new to the franchise industry as a granite and quartz importer and wholesaler, but its leadership team has decades of experience in the kitchen and bath industry. The business is now looking to grow to the national level. By Heidi Lubrani
Dynamo Surfaces is fairly new to the franchise industry as a granite and quartz importer and wholesaler, but its leadership team has decades of experience in the kitchen and bath industry. The business is now looking to grow to the national level.
“I’ve traveled around the world for over 14 years, and I’ve formed many solid relationships with different vendors,” said Sri Nallapati, president of Dynamo Surfaces. “Over the next five years, we are hoping to have at least 10 to 15 franchisees all in the U.S., and we are expecting each one to have a high revenue.”
There is a major advantage to choosing a business with low-sunk costs.
“Initially, you only need around four people – two in the warehouse, one in the front office and one driver. Usually, for any other business, you need a lot more people. If you hire a highly motivated salesperson, you have the option of being a semi-absentee owner who simply comes in and looks at the accounts and the strategy,” Nallapati explained. “With us, you have a fixed set of customers that are all repeat customers. They are all basically granite fabricators who cut and install the stone in the home. In an average small city, there are approximately 80 to 100 customers,” added Nallapati.
The business model is designed to offer the franchisee all the tools for success. “We will help franchisees find a warehouse facility. We will provide an operations manual and training at our warehouse. Then, after their opening, we will fly out a software representative and product specialist to oversee all training on location,” said Nallapati.
Kitchen and bath trends are constantly evolving, and this creates a demand to accommodate more product lines. “When I started, the product line was very different, and now the lines have changed even more. The franchisee doesn’t need to worry about all the research or paperwork because we will go in and negotiate all that for them. This makes it easier and faster to advance in the market,” said Nallapati.
There are still many options for each location to customize their experience and maximize growth. Nallapati explained: “The franchisee has the freedom to do local sales and incentives, like they’re running their own business, only with all the added knowledge already there. If someone wanted to do this on their own, it would probably take them seven to 10 years to reach a point where they can have the same level of efficiency and the same level of success. The strength for joining with us as a franchise is that we can get very, very low pricing.”
Brokers are also encouraged to step up and explore the many advantages of this new franchise opportunity. Dynamo Surfaces is offering immediate gains to the top three signers. “There’s a $40,000 incentive for the brokers for the first three franchises upon signing. That’s $40,000 waiting for them! So there’s something in it for the brokers too!” said Nallapati.
“While we can’t talk ROI, because every market is different, we can say in the first year we did $2.5 million, with a 30% gross profit margin, and it was the year of the coronavirus! So the franchisee can assume what the return on investment would be based on that,” said Nallapati.
The biggest difference between Dynamo Surfaces and other franchise opportunities currently available is that there are very few players in the market with this specialty compared to other businesses. “The challenge is that this is a very new entity. Nobody knows about granite distribution. Everybody feels safe with hotels and restaurants, but nobody feels safe with granite distribution because nobody has heard about it. It’s a longer educational cycle, but with the right people it can be a very good investment,” Nallapati continued. “It’s a hidden gem, and whoever comes first will be happy about it.”
For more information on franchise opportunities with Dynamo Surfaces, visit dynamosurfacesfranchise.com.
– Heidi Lubrani