15 mins
THE INNOVATION SEEKERS
Former artillery officers Rachel and Mark Coldham met at The Royal Military Academy Sandhurst, moving on to high-profile project management and financial consultancy work in the City after leaving the military.
Tired of commuting from Buckinghamshire, they sought a better work/life balance and began to lay down plans to launch their own business. Both were avid consumers of massage, but neither envisaged becoming a massage franchisee until they saw an advert in August 2017.
The Massage Company, which opened its first centre in Camberley in March 2016 as proof of concept, was seeking franchisees to grow its business in the UK.
“I was reluctant to join a franchise; we didn’t just want to buy into someone else’s product, we wanted to have ownership,” says Rachel Coldham. “But the more we looked at the proposition, the more we realised what it gave us in terms of opportunity. The Massage Company is a tried-andtested business model. The owners had done the trial and error for us, which made it a far more secure option.
“Owners Elliot and Charlie are experts and although we felt we’d lose some of the creative licence we’d have in our own venture, we knew we’d gain a lot in terms of industry knowledge.”
The Massage Company aims to deliver quality massages at an affordable price in purpose-built facilities that are open 12 hours a day. Its company-owned Camberley site has more than 1,000 customers a month, and its first franchisee has a multi-site deal for three territories south of London.
Mark and Rachel Coldham with Elliot Walker and Charlie Thompson; the Camberley salon, a hot stone massage
The Coldhams have taken on one territory in the Oxford/High Wycombe/Uxbridge area and are currently searching for premises to house a 2,000sq ft operation with 10 to 14 massage rooms.
The Massage Company’s initial franchise fee is £25,000, plus VAT. The company says franchisees need to have access to between £125,000 and £200,000, with the total estimated investment for each Massage Company franchise ranging from £200,000 to £350,000, including the initial fee.
There is also an ongoing management service fee of 8% of revenue, plus a 2% marketing fee. “It was a huge consideration and we’re investing what is effectively our life savings, but we felt that
The Massage Company answered all our questions and that it was a really great opportunity. We signed the agreement in November,” says Coldham.
“I think the costs are fair and I don’t think that it’s to the enormous detriment of your own ability to draw revenue from the business.”
In fact, Walker says franchisees have the “potential to achieve annual turnover of £1million-plus per location”. Following a structure similar to those adopted by franchise giants such as Starbucks, each Massage Company site and treatment menu will be identical, offering only four signature massages, with simple add-ons.
“The idea is that members can get a consistent and identical massage in every site,” says Coldham. “It’s an exciting new concept, which is why we chose to be involved.” PB