The Gutter-Vac Franchise. A simple, innovative and profitable franchise system.

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The Gutter-Vac Franchise A simple, innovative and profitable franchise system.

CONTENTS Gutter-Vac Concept 3 Gutter-Vac Service 4 Gutter-Vac Team 5 Communication and Mentoring 6 Training and Support 7 Creditability and Marketing Intelligence 8 Business Simplicity 9 A Business for Everyone 10 Financial Factors 11 Franchise Placement 12 Join the Team 13 Here at Gutter-Vac we pride ourselves on our franchisee relationships. I, as founder and owner of Gutter-Vac, feel personally responsible for each franchisee. Our franchisees not only put their trust in us and our business, but they take a significant financial and emotional leap into the business world and we must take responsibility for their success or failure. Warren Ballantyne Managing Director, Founder & Owner 2

The Gutter-Vac Concept...necessity is the mother of all invention Gutter-Vac has revolutionised the way in which gutters are cleaned. Prior to Gutter-Vac there was only one way to effectively clean gutters, which was by hand. Warren Ballantyne, the owner and founder of Gutter-Vac, pioneered the first effective gutter vacuuming machine. Warren (who was a plumber in his former life) was constantly being asked to clean household gutters as part of his service. Warren dreaded gutter cleaning as the only way he could do the task was by hand. Warren investigated the market and at the time there was only a crude form of vacuum equipment available, which was totally inadequate for cleaning gutters. It took Warren (with the help of some local engineers), two years to research and develop vacuum machinery to make it suitable for cleaning gutters. During this time, systems and procedures were also developed and the Gutter-Vac franchise system was born. Gutter-Vac is the founder of the gutter vacuuming market and (after 19 years), it continues to be the gutter vacuuming market leader. Gutter-Vac is operating in seven Australian States/ Territories and is currently the largest gutter vacuuming network in the world. The gutter vacuuming industry is still in its infancy and this is your opportunity to get on board with a service and systems that are tried and true. 3

The Gutter-Vac Service an embraced necessity The Gutter-Vac service system allows for the quick and safe removal of debris and leaves from domestic and commercial properties. The system is used in a wide variety of cleaning services including ceiling cavities, rainwater tanks, school sites, storm water sumps and commercial sites. As you can see, cleaning gutters is only part of the service. As there is no other systemized service in the market that competes with Gutter-Vac, its acceptance by home owners and commercial property owners has been rapid. The Gutter-Vac cleaning service: saves time and effort. reduces the possibility of fire damage (especially in rural or semi-rural areas). eliminates the chance of water build-up and serious damage to ceilings and building structures caused by blocked gutters (thereby reducing the risk of damage to valuables). lengthens the life of gutters. reduces breeding areas for insects (especially disease carrying mosquitoes). is cheaper to use twice a year for ten years than to install gutter protection devices. reduces the amount of dust mites in ceiling cavities and may improve health. eliminates the risk of falling from a roof or ladder and the public liability issues associated with height safety. reduces the high nutrient waste from poisoning our waterways. All over Australia property owners have become increasingly aware of the necessity of having their gutters cleaned and Gutter-Vac franchisees are reaping the benefits. For example: during droughts blocked gutters are a dangerous fire hazard and in the wet season blocked gutters are a household hazard. No matter what season we face as Australians, it is essential that we have our gutters cleaned regularly. Australians are aware of the public liability risks associated with contractors working on roofs. Gutter-Vac puts safety first and eliminates the risk to the property owners. Australia is currently confronted with a large aging population. As the baby boomers hit their 60s we are presented with a large proportion of older Australians unable to work at heights. Australia has a huge percentage of double income families. Families are time poor and do not want to spend their weekends cleaning their gutters. The Gutter-Vac service is targeted at the aged, the busy and the cautious...so things have never looked better. 4

The Gutter-Vac Team...your support network The National Franchisor is Gutter-Vac Pty Ltd. The Directors of Gutter-Vac Pty Ltd are Warren and Anne Ballantyne. Warren and Anne work closely with the Gutter-Vac Operations Management Team to support all Gutter-Vac franchisees and to continually grow and improve the Gutter-Vac system. Prior to Gutter-Vac, Warren and Anne worked together in a large successful plumbing business for over 25 years. It is that hands on experience in the service industry that has equipped them with the skills and know how to offer franchisees real and relevant support in their daily operations. The Gutter-Vac Head Office is located in Albion, Queensland. Head Office supports all Australian franchisees and consists of: the National Operations Team, who directly support franchisees in their daily machinery and business operations. the Reception Team who field all of the out of area 1300 calls and online enquiries and distribute work to franchisees. the Compliance Team who manage our franchise system quality assurance. the Accounts Team, who handle all royalties and invoicing. Warren and Anne are also the founders of Ballantyne Safety, a safety business that has developed safety equipment specifically for temporary roof work. 5

Communication and Mentoring...you talk...we listen Gutter-Vac strives to build personal relationships with each of its franchisees. The full capacity of the Gutter-Vac network in Australia is around 100 franchises, so the network will never be too large to lose its personal touch. Gutter-Vac understands that if a franchisee needs support then someone has to be available to help. Every franchisee is invited to call a Gutter-Vac support member seven days a week. Gutter-Vac also provides an online information portal, live sales data, regular News Feed and an annual conference with guest speakers and important know-how sessions. Gutter-Vac understands that franchise relationships are built on trust, so its focus is to have a group of franchisees that not only feel that they have bought a good business, but that they can trust the people that help them manage that business. 6

Personalised Training and Support...it s all about you Training Benchmarking and reporting The initial Gutter-Vac franchise training consists of a seven day course held in Brisbane, Queensland where franchisees receive training in operations, safety, customer service, service recovery, quoting, reporting, administration systems, marketing, accounts and cash flows. Gutter-Vac is constantly researching and developing its training course and operations manual so that franchisees are at the forefront of their industry. Business coach A business coach session is included in the marketing section of your training. Your coach will support you for a determined time after your initial training. Financial coach A session with a financial coach is included in the training course and all franchisees receive ongoing support. Gutter-Vac understands how important benchmarking and reporting is in any small business. Gutter-Vac utilises the FranConnect online reporting system which provides franchisees with live sales and marketing data online 24 hours a day. Franchisees can easily monitor their success within the franchise system and see (on an anonymous basis) how other franchisees within the network are going. Personalised support Gutter-Vac maintains a support file for each of its franchisees, where their progress and successes within the franchise system are closely followed. Gutter-Vac understands that when a business owner buys a franchise (rather than go into business on their own) they do so because they require the existing knowledge and support that is available in a franchise system. Gutter-Vac provides and maintains each of the following support services for its franchisees without charge: The Gutter-Vac website (www.guttervac.com.au) a personalised Gutter-Vac email address an online job booking service where customers can order a quote or book a job online a portfolio of marketing templates (including a television commercial) and business templates for franchisees use. 7

Credibility and Market Intelligence...pioneers and experts in our field FCA Gutter-Vac is a proud member of the Franchising Council of Australia. Warren Ballantyne has been on the FCA Queensland State Chapter Committee for eight years and has now been elected to sit on the Committee for a further as two year term as president. Longevity and franchise success. Gutter-Vac has been established for over 19 years and has franchises nationwide. Gutter-Vac prides itself on the success of its franchisees. Their success is Gutter-Vac s success. USA Gutter-Vac has achieved its goal to position its company into the North American market. Gutter-Vac has appointed a North American licensee. The licensee has since rebranded. Gutter-Vac trades as Outback GutterVac and franchise sales will commence in 2016. Gutter vacuuming pioneers and the leaders in our market Gutter-Vac are the leaders of their industry. Prior to Gutter-Vac there was only one way to effectively clean gutters... and that was by hand. Gutter-Vac successfully pioneered the first effective gutter vacuuming machine. The Gutter-Vac machinery is very reliable and robust, it is also easy to use and service. Over the years, the machinery application has been expanded to facilitate the cleaning of ceiling cavities (to remove dust and dirt and unwanted ceiling insulation) and rain water tanks. R&D Gutter-Vac s safety training course, operations manual, machinery and systems will always continue to be a work in progress. Over the years Gutter-Vac has operated its own franchise areas in order to further research, develop and perfect the Gutter-Vac systems. Emphasis on safety Gutter-Vac identified very early on that workplace health and safety would be a very important component of its business. We do all that we can to ensure that every franchisee (and their employees) enjoy a safe working environment and are protected from personal harm. All our franchisees complete a certified height safety training course and are issued with a height safety training certificate from our RTO certified sister company Ballantyne Safety. 8

Business Simplicity...it seems too easy to be true (but it is) Simple systems Gutter-Vac has business models that are easy to follow. Low costs The Gutter-Vac franchise system: is a mobile, home based franchise system with no high leasehold expenses. has machinery with low maintenance and running costs. does not ask franchisees to purchase products from the franchisor. does not ask franchisees to contribute to a marketing fund. A tried and tested system There are three core elements of our franchise operation: 1 2 3 a machinery configuration that is reliable and easy to use, that has low maintenance costs and components that can be easily accessed by franchisees from their local suppliers. systems and procedures that are easy to follow and effective when applied in business. low running costs. 9

A Business for Everyone...more than simply cleaning gutters A Gutter-Vac franchise affords work autonomy, flexibility, the capacity for innovation and creativity. Moreover, the Gutter-Vac franchise is a vehicle for business owners to grow their own small business. There is much more to a Gutter-Vac franchise than simply cleaning gutters. Our franchisees partake in marketing, human resources, work distribution, quotations and accounts management. The franchise system provides franchisees with the tools to excel in their business. A Gutter-Vac franchise is a great opportunity for women and men to work from home. Many Gutter- Vac franchises are run by partnerships, where one partner works the machine while the other partner manages the office. Saying that, we also have a number of franchises that are run by men on their own and women on their own. Gutter-Vac is a business for everyone. 10

Financial Factors... show me the money! The Initial Franchise Package The cost of a new Gutter-Vac franchise is $69,400 (plus GST + freight). The Initial Franchise Package includes: the Gutter-Vac trailer and machinery. all basic tools, stationery and uniforms needed to start business straight away. Start-up advertising package boxes. a comprehensive training course that covers customer service, safety, operations, systems, procedures, business management, accounts, marketing, promotion, machinery and equipment maintenance, tank cleaning and pressure washing.* an operations manual. a unique and comprehensive safety system. Business Coach. Financial Coach. Follow-up coaching. How to quote. Machine servicing. 2 Days onsite training with an existing Franchisee. Corporate marketing package. National 1300 number set up and directed to you. Social media presence and personalised splash page. Gutter-Vac also has a very fair royalty structure. The royalties are weekly and are graduated from: Year Weekly Minimum OR Weekly Maximum 1 $220 + GST 10% Gross $420 + GST 2 $245 + GST 10% Gross $420 + GST 3 $275 + GST 10% Gross $420 + GST 4 $295 + GST 10% Gross $420 + GST 5 $320 + GST 10% Gross $420 + GST Please note that the royalty is not the only financial obligation under the Franchise Agreement. For full disclosure of all financial obligations, please refer to the Gutter-Vac Disclosure Document and Franchise Agreement. * The cost of food, travel and accommodation is not included in the Initial Franchise Package ** All amounts are adjusted annually to CPI. 11

The Franchisee Placement Program The goodwill of the Gutter-Vac brand lies in the hands of our franchisees. That is why our Franchisee Placement Program is so important. The program consists of a six stage process: 1 2 3 4 Visit website and read Information Pack. Sign Confidentiality Agreement and complete Application Form. Speak with Warren. Receive Disclosure Document and draft Franchise Agreement. 5 6 Pay a deposit, secure territory and confirm training dates. Sign Franchise Agreement, complete training and commence operation. 12

Join the Team... Gutter-Vac is an outstanding franchise with simple, innovative and effective equipment, systems and procedures. We are the pioneers of the gutter vacuuming industry and are totally committed to the development of our franchise system and franchisees. Gutter-Vac s success is dependent upon the success of its franchisees, which makes the welfare of each and every one the most important element in our business. We asked some of franchisees what they thought Why did you buy your franchise? The price range and there are no qualifications needed and it wasn t working in retail 7 day trading in a shopping centre business. It was something that I could do easily. Phil Valencour, Brisbane North, Queensland. The opportunity to work for myself in a market I saw as a niche with a strong future. Ian Luke, Central Victoria, Victoria. I was tired of working for others and wanted to control my own destiny. Peter Braund, Gold Coast, Queensland. Did you find your franchise training and manual comprehensive and useful? Yes. And it was good to see that they are constantly reviewed and updated. Andrew Luke, Victoria. Do you feel supported in your franchise? Yes. Help is a phone call away. Marshall Sanderson, Gosford, New South Wales. Yes. When it s all going well, you crack $10,000 (a week) for the first time, the phone call of congratulations is great. When things don t go to plan, for example you lose your first quote, they talk to you about it and help you back onto the merry-go-round. Phil Valencour, Brisbane North, Queensland. Do you think that our royalty structure is fair? Yes I do. I guess being in the top earners we actually don t pay that much in royalties, there is an advantage to earning more and you aren t penalised. Peter Hayne, ACT South Gutter-Vac Pty Ltd 2016 13