They say April showers bring May flowers but spring showers can also bring water damage and headaches for homeowners and insurance companies. Water damage was the second most popular insurance claim between 2004 and 2008. Homeowners are seven times more likely to experience water damage than fire damage and six times more likely to experience water damage than a burglary. The most common sources of water damage are internal — things like leaking pipes or broken appliances. External sources include roof damage, flooding, sewage backups, and natural disasters. Regardless of how it happens, water damage can be very costly and insurance companies don’t like to pay for it. Partly this is because of the extensive repairs that are required after water damage, but it’s also the low success rate of repairs.
Rytech is one water damage specialist franchise that is changing the way insurance companies deal with water damage claims and making repairs more successful. They focus on three areas:
- restoration
- mitigation
- remediation
They move as quickly as possible to reduce the amount of damage and get customers’ lives back to normal.
Rytech has built their reputation on getting it done right the first time because they use the newest technology and techniques to repair water damage and to prevent future issues form occurring. Insurance companies work with Rytech franchises to resolve water damage claims and fix issues so they don’t turn into bigger problems later. Since mold goes hand in hand with water damage, Rytech franchises also provide mold removal services that focus on getting to the root of the problem. An ounce of prevention is worth a pound of treatment when it comes to mold and Rytech focuses on this idea in their work.
Franchisees benefit from Rytech’s relationships with insurance companies — and when it comes to water damage, insurance companies largely have control of the market. When insurance companies are pleased with the work franchisees do on claims, they direct their clients to those successful companies. As a result, Rytech franchisees can receive most of their customers through insurance claims and adjusters. New startups without contacts in the insurance industry can find it very difficult to break into the market. With Rytech, franchisees have their foot in the door for business with insurance companies and have a path towards success.
Industries such as this with high barriers to entry are among the safest from future competition. With Rytech’s name recognition and connections, franchisees are in a stronger position. Rytech also provides training and technology.
On top of a business model that lends itself to success in an otherwise difficult to enter market, franchisees have large exclusive territories that allow them to build up their reputations as leaders in water damage and mold repair services. Franchisees are committed full-time to their business and can expect to invest $128,000. Rytech requires $50,000 minimum cash and a franchisee net worth of $300,000, so this business is often a great choice for those with previous business experience who are looking to grow their potential and run their own business.
