Growth in the credit crunch
While other businesses may be feeling the credit crunch, Cash Generator franchisees like Keith Buchan remain unaffected. The high footfall in his store means he is able to proceed with his expansion plans
Six years after taking over the Glasgow- based Cash Generator, franchisee Keith Buchan's business is going from strength to strength despite the economic climate. With his business generating year-on-year growth, Keith (pictured) is now in a position to take on a second store and fulfil his ambition of becoming a multiple unit owner.
With 20 years' experience of running his own businesses, from newsagents to fish and chip shops and a stint in the Army, Keith was aware of the hard work required to make his franchise a success. 'I enjoyed working for myself, however the profit margins were getting tighter and tighter in the grocery industry so I decided to look for a new business venture,' he says. 'An advert for a second hand goods buy and sell franchise caught my eye because I could see the potential in the concept. I began to research the other investment opportunities available on the market and then met Cash Generator at a franchise exhibition. I was impressed by how open and friendly the team were, especially the founder Brian Lewis.
'One of the most appealing aspects of the business is the variety of income streams and services which help to ensure the business is able to hold its ground in any economic climate.'
Cash Generator's multiple income streams include buying and selling pre-owned goods, cheque cashing, pawnbroking, payday loans, currency exchange and Western Union international money transfers. Keith continues: 'As part of the franchise package Cash Generator puts all of its new franchisees on a comprehensive GNVQ-approved training course, which covers everything you need to know to run your business. All franchisees also have access to ongoing support, which proved particularly useful when I first started trading.
'The credit crunch means customers are looking for ways to save money. By purchasing a second hand item or trading in one product for another, my customers can maintain their lifestyles without overspending. I have been looking to open a second store for a while and, now that rents have decreased in the area I am looking to expand into, I will put my development plans into action by the end of March.'
Keith is in control of his timetable working a 20 hour week and can now spend quality time with his one year old son. 'It has taken a lot of hard work to get to this point, but it has been worth it,' he says. 'I know for a fact if I had tried to set up a business like this by myself I would not have achieved the same level of success I am experiencing following the Cash Generator business model!'
Interview by Jess Sturman