To Sign World’s credit, Sandy Burkett, President of Vital Signs, is happy enough with Signworld to devote space in a current advertorial in Pittsburgh Magazine:
“they decided to pursue their dream and started a franchise search. “We knew what we didn’t want to do, so we looked at what was left.” Their franchise consultant suggested a sign company. They liked the idea because it didn’t require franchise or independent fees, and offered a creative element. Vital Signs was established in 2005, becoming part of a national network of 250 that provides a range of sign and Web services… The business has proved to be somewhat recession-proof, increasing revenue and growing to include four employees. ‘When you invest a good part of your retirement, failure isn’t an option,’ she says.

Steve and Sandy Burkett, Vital Signs, Pittsburgh, PA
Don and Brenda O’Toole, Signs PDQ Inc. Wickliffe Ohio

Greg Kyler, City Signs, Modesto, CA

George and Erin Beitner, All Star Signs, Escondido, CA

Sam Haigh, Capital Signs Llc, Red Bank, NJ (732) 450-8640 Couldn’t find website

Tom and Melinda Latendresse, Sign D’Sign, Blufton, SC

Jim Metzger, Sign Expressions, Phillipsburg, New Jersey

Randy Clemens, Columbia, SC Couldn’t find any reference to him

Granted, these are the successful owners (according to SW) touted in the mktg materials, but just the same… If you have owners’ names and towns, it’s fairly easy to get the sign shop names and contact info. Prospects should definitely speak to as many as possible to determine for themselves if Sign World is a great opportunity and if it’s right for them.
If any of these owners would like to verify the earnings claims made, or share their experiences good or bad, feel free to do so here.

I wanted to say that I did not mean you when I said that “do not really understand business lingo this seems like a great deal.”

I was talking about myself because that is how I really got duped into the idea of my buying my business. I did not have a clue about running a business, and did not really get the difference between gross and net.

Sorry I should have made that real clear.

“February 6, 2006, Sam Haigh, Red Bank, New Jersey, achieved $383,000 gross sales in his first year and is on track for over $500,000 in his second year, at a 20% to 30% profit margin.”

This sounds great, but the fact is the cost of living there is high with 26 pts above average. So his sales were great, and so is his overhead. I wonder how they figured the 20% to 30% profit margin?

I would love to know what Sam Haigh, Red Bank, New Jersey has to say about his business. Did he really do that well and is he doing that great. What was his NET income? By the way you could call him up if you search for him at whitepages.com. His number is listed. I am not going to post his number, but I do have it saved on my desk just in case I want to ring him.

Emails that were sent:

Backgrounds of some Signworld Owners who make over $250,000 annual personal income:

College Student – no previous job
Handyman at $25 per hour rate
Truck Driver – Major Freight Company
Convenience Store Owner
Banker
Nurse
Teacher – Elementary School
Food Broker
Wine Salesman
Printer
Corporate IT Manager
Advertising Agent
Hotel Manager
Security Alarm Service Company Owner
Metal Fabricator – Pipes
Production Manager – Manufacturing Plant
CPA

All with only 1 location open 5 days per week!

Why entrepreneurs choose Signworld

1- They don’t want rules or royalties
2- They want to deal business to business
3- They want to be closed nights, weekends, and holidays (Have a life!)
4- They are interested in light manufacturing
5- They want a “brick and mortar” business
6- They want a limited number of employees
7- They want career employees, so that they are not constantly training new ones due to turnover
8- They have a desire to make what they sell
9- They have a desire to have visible results of what they’ve made
10- They have a sales background and want to utilize it
11- They have an IT or project management background, but have good people skills
12- They only want one location to provide a great income
13- They want a quick breakeven point
14- They want a high level of income
15- They want a high return on investment
16- They want a large resale value for their business (Able to help fund retirement)

Picture yourself in a sales/relationship driven light manufacturing business that is located within several miles from your home and will always be the only location you will have. It will be clean enough that you have carpeting on the floor and your office is decorated as nice as your last corporate office was. You are open for business Mon-Fri 8:30-5 dealing business to business in an environment where 30 repeat customers generate 75% of your revenue.

When you are ready to retire from a successful business, these sell for a greater percentage of revenue (70% to 80%)….more than most businesses available today sell for.

Jack Werner
Signworld

Signworld
Business Opportunity vs. Franchises

Signworld is a “Business Opportunity” as compared to a “Franchise”. There are just as many “Business Opportunities” existing today as there are franchises (see Business Opportunities Handbook). Both have a start-up package, training and ongoing support. A business opportunity charges a larger fee up front and hopefully invests some of it wisely (the annuity). A franchise charges a monthly royalty and collects their annuity along the way. A business opportunity does not have the huge expenses of attorney’s fees and accounts receivable people to collect royalties. Attorneys and Collection people are the major ongoing expenses to a franchisor. Most importantly, a business opportunity does not have any rules. A franchise has all kinds of rules and reporting requirements. The quality of ongoing support will vary widely. Signworld’s ongoing support is tremendous. Business opportunities are geared more for experienced business people who want to do things their own way but still have an organization to lean on for upgrading and support.
Ask any Signworld owner and they will tell you they are not a “signmaker”. A Signworld owner hires signmakers.

They joined Signworld because it is a professional, B2B business with reasonable hours, low investment and minimal staffing requirements. Signworld is one of the fastest growing organizations in a multi billion-dollar industry. Companies of every type and every size use signs, and the vast majority of those are disposable. 99% of all signs are indoors, not outdoors. The average life of a sign is less than 30 days. Retailers change their signs every month.

Signworld serves 100% of the sign industry requirements – anything from paper signs to vehicle wraps to large outdoor signs. It is a business that thrives on repeat customers and the ability to grow accounts within large corporate clients or retail chains. Signworlds are “commercial sign companies” which service customers such as: Subway, Great Clips, Ford Motor, Hewlett-Packard, and Coca-Cola, all who need large quantities of signs every month.

Many Signworld owners begin their operation in 1200-1500 square feet of either an industrial or strip center, and migrate to an expanded office park or light industrial location after just a few years. Ultimately, 90% of revenue is generated by a small number of large corporate and commercial clients – usually around 10 to 30 customers.

Signworld is not a franchise – thus there are No Royalties and No Rules usually associated with such business models. While Signworld owners run their business the way they want to, they benefit from one of the most comprehensive programs of training and ongoing support in the industry. Beyond initial training, each owner has a Signworld business coach who provides weekly guidance and assistance over a 2-year period. Signworld owners also enjoy ongoing peer-to-peer support through communication with their fellow Signworld owners to share ideas on sales, marketing, production and other aspects of the business.

Backgrounds of some Signworld Owners who make over $250,000 annual personal income — net after ALL expenses — all with only 1 location open 5 days per week:

College Student – no previous job
Handyman at $25 per hour rate
Truck Driver – Freight Company
Convenience Store Owner
Banker
Nurse
Teacher – Elementary School
Food Broker
Wine Salesman
Corporate IT Manager
Advertising Agent
Hotel Manager
Security Alarm Company Owner
Metal Fabricator – Pipes
Mfg. Production Manager
CPA

A few recent examples of Signworld owner’s performance:

June 12,2006, Greg Kyler, Modesto, CA runs a million dollar gross sales operation in a town with less than 200,000 population.

May 22,2006, Don and Brenda O’Toole, Wickliffe, Ohio in their 3rd year in business, have relocated to a 3,000 sq ft. industrial space, have been certified as a woman owned business by WEBANC and plan to due $300,000 business with their top 5 customers this year.

April 29, 2006, George and Erin Beitner, Escondido, CA. tells us that $100,000 per year of his $650,000 volume comes from the US Marine Corp and is paid by credit card.

April 17, 2006, Steve and Sandy Burkett, Pittsburgh, PA after only 6 months in business are having $30,000 months and are doing some large projects for the Pittsburgh Pirates.

March 27, 2006, Randy Clemens, Columbia, SC did $180,000 last year with one customer, a local mall. His second largest customer is the largest sign company in town with 35 employees and is still not able to produce some of the things that Randy can.

March 13, 2006, Tom and Melinda Latendresse, Blufton, SC have 15-20 customers that each give them about $10k-$15K worth of business each year including one construction company that just ordered $15,000 worth of vinyl graphics to go on earth moving equipment.

February 13, 2006 Jim Metzger, Phillipsburg, New Jersey, 14 months in business, had his largest customer introduce him to an ad agency that will do approximately $120,000 with him this year, part of his plan to double his business from last year’s totals.

February 6, 2006, Sam Haigh, Red Bank, New Jersey, achieved $383,000 gross sales in his first year and is on track for over $500,000 in his second year, at a 20% to 30% profit margin.

[Editor’s note: As it was general in nature and not related to Signworld, an off-topic exchange between Carol Cross & Guest was moved here: http://www.unhappyfranchisee.com/carolcross/

If you really want to get into the sign business Signworld is NOT the way to go. You will over pay for equipment, Training, the works. You could buy the equipment that they get for you on your own for less than 30k NEW.
There are also many local supply dealers that could help you with advice etc.

Those who are most specific and factual have the most credibility. But you’ve got to do your own research and make up your mind.

For instance, Signworld boasts state-of-the-art equipment. Commenters claim it’s nothing special and wildly overpriced. Get the Signworld equipment list and prices and shop around. Look also for used equipment and compare pricing. Ask around on sign industry blogs and forums. You’ll soon be able to tell which side is right…. whether SW passes savings on or uses eqpt purchases as a profit center.

The detractors say there’s a high failure rate, which SW disputes. Do some research by calling as many Signworld owners as possible. Use the posted 2004 owners list and the Internet to research how many are open and how many are closed.

Maybe it’s a great opportunity. Maybe not. But this discussion should give you a good starting point.

In terms of being specific, we urge it of both sides. A list of closed shops is more compelling than just saying a lot have closed. Perhaps both sides can come forward with the actual numbers involved.

I am very interested in contacting both of them to get their perspective, at least in
private. Have you considered adding a “reply to the author” feature to support private communication?

Thanks for listening.