Putting A White Collar On A Blue Collar Business

How the strength of a low-tech industry is attracting successful entrepreneurs

ST. LOUIS (Monday, November 08, 2004) - An unlikely appearance on a list of New Year’s Resolutions: “Begin a career in foundation repair.” While there are those who envision themselves as head of their own successful company, often those aspirations come with daydreams of glamorous businesses. Ordinarily, fixing basement cracks doesn’t qualify.

Don’t tell that to the entrepreneurs turning in their traditional white collar jobs to join The Crack Team, the foundation repair specialists. On the eve of its 20 th year in business, and with a solid command of the local market share, the company opened its first locations outside the St. Louis area in early 2004. Notably, none of the owners of the newly established offices were looking for a career change when they learned of The Crack Team opportunity. Now, each applies his managerial skills to “a service so low-tech, we don’t even get out of the basement,” quips Bob Kodner, president of The Crack Team.

Consider the company profile, and the attraction becomes clear. ”The home repair industry is generally recession-proof,” says Kodner. In addition, the business demands little overhead expense, which potentially decreases further considering its suitability for home offices.

Then there’s the company’s unmistakable branding and marketing tactics. Kodner is the mastermind behind The Crack Team mascot, a cartoon concrete chunk named Mr. Happy Crack, and the company’s slogan “A dry crack is a happy crack!’” The character is so distinctive that his presence creates immediate brand awareness in every market he enters.

Intentionally, this is anything but the cookie-cutter business opportunity stereotypically associated with the word “franchise.” Kodner comments that, “We worked methodically to design an atypical franchise system. We appeal to a businessman looking for an extraordinarily hands-on investment.”

Paul Petersen , owner of the Chicago , IL franchise, is one such entrepreneur. Petersen owned, grew and sold several of his own businesses before coming to The Crack Team. Through his experience as a successful businessman, he knew a prerequisite for his next venture was the ability to control his own destiny. “I was drawn to this because I wanted to find a niche business in an untapped market,” says Petersen. “First and foremost, I am a businessman, and I wanted to enter a market I could ultimately dominate.”

Former information technology specialist Kevin Cowhey runs the Kansas City , MO area location with his wife, Lindsey. “I saw turnover and layoffs in the hi-tech sector,” Cowhey says. “I just didn’t want to work in an environment where I constantly worried about job security. This service-based business is in steady demand.”

Howard Buhl transitioned from a lucrative career in high-profile upscale residential real estate to run The Crack Team in Detroit , MI . “As a Realtor, I saw the tremendous need for this service,” he says. Buhl knows firsthand that homeowners want to protect their primary investment – their home. He notes that in such an unstable economic environment and with legitimate concerns about job security, people make home maintenance a top priority. “They know it makes sense to spend a few hundred dollars for a Crack Team repair - it avoids stretching an already tight household budget with the added expenses associated with water damage,” notes Buhl.

Richard Jackson worked in upper management for a billion-dollar construction company. When he approached a milestone birthday, he faced the reality that it was time for him to get serious about his goal of becoming a business owner. “I know the service industry. Originally that’s what enticed me to look into The Crack Team,” comments Jackson, owner of the Boston , MA area location. With his career focused on running the construction side of the business, he knew he needed an opportunity with an existing marketing program he could rely on. “Honestly, Mr. Happy Crack was a deciding factor. He puts a friendly face on home repair – and there’s no denying that’s instantly recognizable.”

The strength of the low-tech industry is translating into sales for the franchisees. It’s so lucrative in St. Louis that the Kodner is committed to maintaining and growing that core operation.

“I think our franchisees like the fact that we continue fixing basements, our primary business. We will always be an entrepreneurial company, and by running the same operation as our franchisees, we can relate better, be more supportive and ‘hands-on,’” says Kodner. “It also creates a sense of partnership that our franchisees appreciate.”

View all The Crack Team Press Releases

This article has been read 233 times.

Printer Friendly