What Are Alternative Franchise Chains to Do It Best Franchise
Looking for alternatives to the Do It Best franchise model? Discover a range of compelling business opportunities that align with your entrepreneurial goals and financial aspirations. Explore options that offer strong market potential and robust support systems, ensuring your success in the competitive retail landscape. For a comprehensive guide to launching your venture, consider our expertly crafted Do It Best Franchise Business Plan Template.
| # | Alternative Franchise Chain Name | Description |
|---|---|---|
| 1 | Emery-Waterhouse (PRO Group) | Emery-Waterhouse, a division of Emery Jensen Distribution, is a viable alternative for retailers, particularly in the Northeast, offering distribution and support through retail groups like PRO Group. They provide access to over 60,000 products and tailored marketing programs under the 'PRO Hardware' banner without rigid franchise or co-op stock purchase mandates. |
| 2 | Orgill | Orgill, the world's largest independently owned hardlines distributor, offers complete supply chain solutions for entrepreneurs starting a hardware business without franchise affiliation or membership fees. Their scale allows for highly competitive pricing on over 75,000 SKUs, and they empower total independence with optional retail programs. |
| 3 | House-Hasson Hardware | House-Hasson is America's largest independent regional hardware distributor, serving over 2,500 dealers primarily in the Eastern and Southern United States with a deep product catalog and dealer-focused support. They offer a low-cost entry point with no franchise or co-op fees, providing many benefits of a larger system while maintaining owner autonomy. |
Key Takeaways
- Do It Best is a member-owned cooperative, not a traditional franchise, offering year-end rebates (patronage dividends) instead of franchisees paying ongoing royalties.
- Alternatives to Do It Best include other cooperatives like True Value and Ace Hardware, which is a franchise-like cooperative with strong branding and mandatory marketing programs.
- The initial investment for Do It Best membership is a refundable stock purchase of around $5,000, contrasting with franchise fees for brands like Ace Hardware which can exceed $30,000.
- Total startup costs for a Do It Best store can range from $400,000 to $1,200,000, while typical hardware store franchise investments can range from $286,000 to over $2,100,000.
- Do It Best offers members flexibility in store name, product mix, and operations, but has less brand recognition than national giants like Ace Hardware, which provides a more structured marketing program and recognizable brand.
What Alternative Do It Best Franchise Unit Options Exist?
What are the primary Do It Best franchise alternatives?
When exploring the home improvement retail sector, several key alternatives exist for those considering a venture similar to the Do It Best franchise. Primarily, these include other member-owned cooperatives and established retail franchise systems. For instance, True Value operates as another significant member-owned cooperative, offering a similar business model. On the franchise side, Ace Hardware stands out as a major player, providing a more traditional franchisor-franchisee relationship.
These alternatives differ in their operational support, branding strategies, and the financial commitments required from owners. As of early 2025, Ace Hardware demonstrates substantial market presence with over 5,900 locations worldwide, while True Value supports around 4,500 independent retailers. These numbers highlight the considerable scale of available hardware franchise opportunities.
A comprehensive home improvement store franchise comparison often reveals that cooperatives tend to foster greater owner independence. In contrast, traditional franchises typically implement more structured and mandatory marketing programs. Some franchises may require owners to contribute to a national advertising fund, often around 2% of gross sales.
How do cooperatives differ from home improvement retail franchises?
The fundamental divergence between a retail cooperative and a traditional hardware franchise lies in their ownership structures and how profits are distributed. Cooperatives, such as Do It Best, are collectively owned by their members. Members typically benefit from year-end rebates, often referred to as patronage dividends, which are a direct return on their investment and participation. This contrasts with home improvement retail franchises, which operate on a licensor-lessee model. In this model, franchisees pay ongoing royalties to the franchisor for the use of the brand, systems, and ongoing support.
The financial advantages of a cooperative structure can be significant. For example, Do It Best members benefited from over $125 million in rebates returned to them in 2024. This is a key financial distinction compared to traditional franchise models, where royalty fees commonly range from 3% to 5% of gross sales, representing an ongoing expense rather than a potential return.
The entry requirements also differ. To join a hardware cooperative, the initial investment is typically structured as a stock purchase. For Do It Best, this investment is a one-time, refundable amount of approximately $5,000. This is considerably lower than the franchise fees associated with brands like Ace Hardware, which can exceed $30,000, and is separate from the overall initial investment required.
Tips for Evaluating Franchise Alternatives
- Understand the Ownership Model: Distinguish between member-owned cooperatives and traditional franchise systems to grasp profit distribution and decision-making power.
- Compare Fee Structures: Analyze initial franchise fees, royalty percentages, and marketing fund contributions across different opportunities.
- Assess Support Systems: Evaluate the level of operational, marketing, and training support provided by both cooperatives and franchisors.
- Review Rebate Potential: For cooperatives, understand how patronage dividends are calculated and distributed.
- Analyze Market Presence: Consider the scale and success of existing locations for potential alternatives like Ace Hardware and True Value.
For a deeper dive into how specific franchise models operate, you can explore How Does the Do It Best Franchise Work?
What Are The Investment Level Alternatives?
When exploring opportunities in the home improvement retail sector, it's important to understand the financial commitment involved. For those considering alternatives to a specific cooperative model, like the one often referred to as 'Do It Best', grasping the typical investment landscape for hardware store franchises is crucial.
How much does a Do It Best franchise cost?
A common point of inquiry is the cost associated with a 'Do It Best franchise'. It's essential to clarify that 'Do It Best' operates as a cooperative, not a traditional franchise. The primary financial commitment for prospective member-owners is a one-time, refundable stock purchase, which is typically around $5,000. This stock purchase signifies your ownership stake in the cooperative.
Beyond the membership stock, the total startup costs for a new store under this cooperative model can range significantly. As of 2025, these costs generally fall between $400,000 and $1,200,000. This wide range is heavily influenced by factors such as the size of the store you plan to open and its specific location. This represents a substantial investment for entering the hardware retail market.
In addition to the initial stock purchase, membership in a cooperative like this comes with specific requirements. Applicants are expected to demonstrate strong financial viability. It's recommended that potential members have at least $250,000 in liquid capital and a net worth exceeding $400,000.
For a comprehensive breakdown of these figures, you can refer to details on How Much Does a Do It Best Franchise Cost?
What is the typical hardware store franchise investment?
The investment required for a hardware store franchise in 2025 can vary considerably. Generally, you can expect the initial investment for a new store to range from approximately $286,000 to over $2,100,000. This broad spectrum is dictated by several key variables, including the specific brand you choose, the intended size of the store (which can span from 3,000 to over 20,000 square feet), and the associated real estate costs.
To provide a concrete example, consider the estimated initial investment for an Ace Hardware store in 2025. This typically falls between $650,000 and $1,600,000. This investment includes an initial franchise fee of $5,000, along with an estimated inventory cost that can range from $350,000 to $650,000.
When assessing alternatives to major national hardware chains, prospective owners often find that cooperative models can present a lower initial barrier in terms of fees. However, they generally require a comparable overall capital outlay for essential components like inventory and store build-out. This makes cooperatives competitive options, particularly when considering the best retail franchises for small towns.
Key Considerations for Hardware Retail Investment
- Understand the Cooperative Model: Recognize that cooperatives are member-owned, which differs from traditional franchise structures and may impact fee structures and operational autonomy.
- Factor in Total Startup Costs: Beyond initial fees, diligently account for inventory, fixtures, leasehold improvements, and working capital, which collectively form the bulk of the investment.
- Assess Financial Requirements: Ensure you meet the minimum liquid capital and net worth requirements, which are critical for securing financing and demonstrating your financial stability.
- Compare Brand Offerings: Research different hardware franchise opportunities and cooperatives to find the best fit for your market, your investment capacity, and your business goals.
For instance, the average annual revenue per unit for a business in this sector can be around $818,696, with median revenues reaching up to $1,128,400. The cost of goods sold (COGS) typically represents a significant portion, often around 93.3% of revenue, leaving a gross profit margin of about 6.7%.
Operating expenses can be managed effectively; for example, total operating expenses might be around $46,200 annually for rent and utilities, though other operational costs can vary. Many units achieve breakeven within 12 months and see investment payback within 48 months.
Is Do It Best A Good Franchise?
When evaluating a business opportunity like the 'Do It Best Franchise Unit', it's essential to weigh the advantages and disadvantages. Understanding the nuances of a cooperative model versus a traditional franchise is key for aspiring entrepreneurs and seasoned investors alike.
What are the pros and cons of Do It Best franchise membership?
The primary advantage of a Do It Best membership lies in its cooperative structure. This model notably eliminates ongoing royalty fees, a significant financial benefit that directly returns profits to its members. This is a critical factor when considering the pros and cons of Do It Best franchise-style systems. However, a notable drawback is its comparatively lower brand recognition when stacked against national giants in the home improvement retail space. Despite this, as of year-end 2024, Do It Best's cooperative model has enabled it to offer members some of the most competitive costs of goods in the industry. Their warehouse shipments boast an impressive 99.5% order accuracy rate, which represents a critical operational advantage for its independent members. Another significant pro is the inherent flexibility. Members retain full control over their store's name, product mix, and day-to-day operations. While this is a core feature that appeals to those seeking independent hardware store support systems, it can be perceived as a con for owners who prefer a more turnkey, highly structured franchise system.
For a deeper dive into the specifics, you can explore What are the Pros and Cons of Owning a Do It Best Franchise?
How does Do It Best support independent stores?
Do It Best offers robust support through its extensive distribution network. This includes access to over 75,000 SKUs, managed across its eight US distribution centers. Furthermore, members benefit from competitive pricing, a direct result of the cooperative's multi-billion-dollar purchasing power. The cooperative provides comprehensive support programs designed to bolster member success. These encompass store design services, thorough employee training facilitated by the Do it Best Learning Institute, and access to a customizable e-commerce platform, which saw a significant 15% increase in member adoption during 2024. For entrepreneurs looking to start a hardware business without the constraints of a traditional franchise, Do It Best acts as a powerful backend partner. It offers the benefits of scale and purchasing power while crucially preserving the owner's independence, setting it apart from typical franchise agreements.
Key Considerations for Hardware Business Owners
- Understand the Cooperative Model: Recognize that membership in a cooperative like Do It Best is distinct from a franchise. You gain access to purchasing power and support without the typical royalty fees of a franchise.
- Evaluate Brand Recognition Needs: If strong national brand recognition is a priority for your market entry, a cooperative model might require more localized marketing efforts compared to established national franchises.
- Assess Operational Flexibility: Consider whether you prefer the autonomy offered by a cooperative or the structured operational guidelines of a traditional franchise.
- Factor in Initial Investment: While royalty fees are absent, understand the initial investment required for membership and inventory, which can range from $440,400 to $1,128,400.
When considering alternatives to a Do It Best franchise, exploring other hardware franchise opportunities or home improvement retail franchises is a logical next step. Understanding the competitive landscape, which includes alternatives to Ace Hardware franchise and other hardware wholesalers for independent stores, will help in making an informed decision about joining a hardware cooperative or pursuing a different retail cooperative vs franchise hardware model.
Alternative Franchise Chain: Ace Hardware
Is Ace Hardware a good alternative to Do It Best?
Yes, Ace Hardware stands out as a leading alternative to the Do It Best franchise model. While Do It Best operates as a cooperative, Ace Hardware functions similarly with a franchise-like brand system. This offers significant brand recognition and a structured marketing program that many owners find highly beneficial.
As of 2025, Ace Hardware's 'The Helpful Place' branding is significantly bolstered by a national advertising fund. Retailers contribute 2% of their gross sales to this fund. This collective marketing power has been impactful, with a reported 10% increase in brand awareness across key demographics over the past three years.
When comparing alternatives, Do It Best generally offers more operational autonomy. However, Ace Hardware provides a more recognizable and consumer-trusted brand name. This can be a crucial factor in accelerating profitability, especially in competitive markets.
What is the investment for an Ace Hardware store?
The estimated initial investment to open an Ace Hardware store in 2025 falls within the range of $650,000 to $1,600,000. This represents a higher entry point compared to the membership fees alone for some other cooperatives.
This comprehensive investment includes a franchise fee of $5,000, store fixtures and equipment estimated between $85,000 and $220,000, and an initial inventory purchase that can range from $350,000 to $650,000, depending on the store's size.
Ace Hardware offers various incentives for new store openings. As of late 2024, these incentives could provide over $425,000 in credits and support, substantially reducing the initial cash outlay for qualified candidates seeking a hardware store franchise opportunity.
| Metric | Ace Hardware (Est. 2025) | Do It Best (FDD Data) |
|---|---|---|
| Initial Investment Range | $650,000 - $1,600,000 | $440,400 - $1,128,400 |
| Franchise Fee | $5,000 | $4,400 |
| Royalty Fee | Not Specified (typically included in cooperative fees) | 5% |
| Marketing Contribution | 2% of Gross Sales | 0% |
Key Considerations When Choosing a Hardware Franchise
- Brand Strength: Ace Hardware offers a highly recognized brand, which can attract customers more readily.
- Marketing Support: The collective national advertising fund for Ace Hardware provides consistent brand promotion.
- Autonomy vs. Structure: While cooperatives like Do It Best may offer more autonomy, franchise systems like Ace Hardware provide a more defined operational framework.
- Investment Level: Be prepared for a higher initial investment with Ace Hardware compared to some cooperative models.
For those interested in the specifics of starting with Do It Best, you can find a detailed guide on How to Start a Do It Best Franchise in 7 Steps: Checklist.
Alternative Franchise Chain: True Value
How does True Value compare as a hardware cooperative?
True Value stands out as a strong alternative for those exploring hardware franchise opportunities, particularly when considering alternatives to the Do It Best franchise. Operating as a hardware cooperative, it shares a similar member-owned structure but boasts its own unique brand identity and a robust suite of support programs. As of early 2025, True Value provides comprehensive support to its network of approximately 4,500 retail locations. This support is significantly bolstered by a modernized supply chain, including a 14 million-square-foot distribution center in Wilkes-Barre, PA. This facility has been instrumental in enhancing shipping efficiency by over 12% since its full operational launch.
A key differentiator for True Value is its 'Destination True Value' store format. This is a complete retail concept that members can adopt to modernize their stores. By the start of 2025, around 30% of True Value stores had transitioned to this format, with participating locations reporting average sales increases of 8-10%. This initiative highlights True Value's commitment to helping its members thrive in the competitive home improvement retail franchises landscape.
What are the requirements to join True Value?
Joining a hardware cooperative like True Value requires prospective members to purchase stock in the company. While the initial stock purchase is relatively low, comparable to other cooperatives, the overall financial commitment for establishing a new store is the primary hurdle. The estimated total cost to open a new True Value store in 2025 ranges from $500,000 to $1,500,000. To be considered, applicants should ideally have at least $200,000 in liquid capital.
One of the significant advantages of True Value is its flexibility. Members have the option to operate under the established True Value brand or to continue using their own independent store name. Regardless of the branding choice, members gain access to the cooperative's considerable buying power and its extensive distribution network. This offers a compelling option for entrepreneurs seeking alternatives to national hardware chains or looking to transition from other hardware franchise opportunities.
Tips for Evaluating Hardware Cooperatives
- Understand the Cooperative Model: Research how the cooperative governance structure works and what voting rights members have.
- Analyze Rebate Programs: Cooperatives often return profits to members through rebates. Investigate the historical performance and structure of these programs.
- Assess Brand Flexibility: Determine if you can operate under your own brand while still leveraging the cooperative's purchasing power, which is a key benefit of systems like True Value.
- Review Support Services: Evaluate the marketing, training, and operational support provided by the cooperative.
| Initial Investment Range (2025 Est.) | $500,000 - $1,500,000 |
| Liquid Capital Requirement | $200,000+ |
| Number of Locations Supported (Early 2025) | 4,500 |
| Store Modernization Sales Lift | 8-10% |
Alternative Franchise Chain: Emery-Waterhouse (Pro Group)
Is Emery-Waterhouse a viable alternative?
Yes, Emery-Waterhouse, a division of wholesale distributor Emery Jensen Distribution, presents a compelling alternative, particularly for retailers situated in the Northeast. They offer distribution and crucial support through established retail groups like PRO Group, Inc. This structure allows independent businesses to tap into significant buying power and marketing resources.
Emery-Waterhouse stands out as one of the key alternative hardware wholesalers for independent stores. It provides access to an extensive catalog of over 60,000 products. Furthermore, they offer tailored marketing programs under the 'PRO Hardware' banner. Importantly, this model does not impose the rigid franchise or mandatory co-op stock purchase requirements often associated with larger chains. This makes it an attractive option for existing independent store owners looking to boost their purchasing capabilities or for those considering a transition away from other hardware franchises, offering group benefits with fewer branding and operational mandates than brands like Ace or True Value.
What services does PRO Group provide?
PRO Group offers its member retailers a comprehensive suite of marketing support services. This includes professionally produced circulars, eye-catching in-store signage, and effective digital marketing campaigns. Members have reported that these initiatives can significantly boost seasonal sales, with some seeing increases of 15-20%.
Members also benefit from the group's collective purchasing power. This leverage ensures competitive pricing on inventory and unlocks annual rebates based on purchase volume, which is a critical financial advantage for any independent hardware store's support system. As of 2025, PRO Group continues to be a strategic choice for stores, especially those located in smaller communities, solidifying its position as one of the best hardware store franchises-style support systems for owners who highly value their independence.
Tips for Evaluating Hardware Retail Support Systems
- Assess Marketing Reach: Evaluate the quality and frequency of marketing materials provided. Can they genuinely drive foot traffic and sales in your specific market?
- Analyze Buying Power Benefits: Understand how the group's collective purchasing power translates into tangible cost savings and potential rebates.
- Consider Brand Alignment: While PRO Group offers flexibility, consider if the 'PRO Hardware' branding aligns with your store's existing image and customer base.
- Review Contractual Obligations: Compare the terms and conditions with franchise agreements. Look for flexibility in operations and branding.
When considering alternatives to a franchise like Do It Best, understanding the financial commitments and potential returns is crucial. For instance, the initial investment for a Do It Best franchise can range from $440,400 to $1,128,400, with a franchise fee of $4,400 and a royalty fee of 5%. While they have 0 corporate units, indicating a strong focus on franchised operations, it's important to compare this to the support structures offered by cooperatives or wholesale distributors.
For example, the average annual revenue per unit for Do It Best is reported at approximately $818,696, with a median of $1,128,400. The cost of goods sold (COGS) is notably high at 93.3%, leaving a gross profit margin of only 6.7%. Operating expenses are reported at 2.1%, resulting in EBITDA of 4.6%. Understanding these figures is key when evaluating How Much Does a Do It Best Franchise Owner Make? and comparing it to the potential benefits of joining a wholesale group like PRO Group.
Many independent hardware store owners seek to enhance their buying power, which is a primary driver for exploring options beyond operating entirely solo. Joining a hardware cooperative or a supported wholesale group like Emery-Waterhouse offers this advantage. For those looking at home improvement retail franchises, the choice often boils down to the level of operational control versus the benefits of a recognized brand and a structured support system. Alternatives to national hardware chains are plentiful, and each offers a distinct balance of independence and support.
| Franchise/Group | Initial Investment Range | Royalty Fee | Marketing Fee |
|---|---|---|---|
| Do It Best (Hypothetical Example) | $440,400 - $1,128,400 | 5% | 0% |
| PRO Group (Emery-Waterhouse) | Varies (No strict franchise fee/royalty) | N/A (Membership/Purchase based) | Included in Services |
When considering starting a hardware business without a franchise, or looking for independent hardware store support systems, understanding the market dynamics is essential. The best retail franchises for small towns, for example, often thrive on community connection and localized inventory, which can be supported by flexible wholesale relationships. A home improvement store franchise comparison should always include an analysis of the ongoing fees and the level of support provided, especially when evaluating the pros and cons of a particular franchise.
The decision to join a hardware cooperative versus a traditional franchise often hinges on the desire for autonomy. While franchises offer a proven system, cooperatives provide greater flexibility in operations and branding. For those asking 'Is Do It Best a good franchise?' or 'What are the requirements for Do It Best membership?', it's vital to conduct thorough due diligence. Similarly, understanding how to switch hardware franchises or finding a hardware store franchise opportunity requires careful comparison of investment payback periods, which for Do It Best is around 48 months, and breakeven times, typically 12 months.
| Financial Metric | Do It Best (Average) |
|---|---|
| Average Annual Revenue | $2,779,189 |
| Gross Profit Margin | 6.7% |
| EBITDA | 4.6% |
Alternative Franchise Chain: Orgill
Why consider Orgill for an independent store?
When exploring alternatives to traditional franchise models, particularly in the home improvement retail sector, partnering with a major hardlines distributor like Orgill presents a compelling option for independent store owners. Orgill stands as the world's largest independently owned hardlines distributor. This distinction means you can build your hardware business without the requirement of brand affiliation or ongoing membership fees often associated with franchise agreements.
Orgill's significant scale, with annual sales exceeding $4 billion as of 2024, translates into substantial purchasing power. This allows them to offer highly competitive pricing on a vast inventory of over 75,000 SKUs. In many cases, these prices can rival or even surpass those offered by hardware cooperatives, making it an attractive choice for those seeking to optimize their cost of goods sold.
While Orgill does provide optional retail support programs, such as 'Worldwide Sourcing' and store design services, their core value proposition is the empowerment of total operational independence. This flexibility makes them a top consideration among hardware wholesalers for entrepreneurs who value autonomy in their business operations and branding.
What does it cost to partner with Orgill?
A key advantage of partnering with Orgill is the absence of franchise fees, royalty fees, or mandatory stock purchase requirements. The primary financial commitment for an owner is the investment in inventory. For a new store with approximately 10,000 sq ft, the estimated inventory cost in 2025 ranges from $300,000 to $500,000.
Orgill's business model is fundamentally built on fostering the success of its customers. They offer services like market analysis and merchandising support on an as-needed basis. This approach allows business owners to control their investment level and tailor the support they receive, making it a flexible model for various entrepreneurial visions.
By not mandating specific branding, Orgill supports a wide spectrum of store types. This includes everything from traditional hardware stores to specialized farm and ranch supply outlets. This broad support system solidifies Orgill's position as one of the most adaptable and accommodating independent hardware store support systems available in North America, offering a distinct advantage when looking for alternatives to national hardware chains.
Tips for Considering Orgill as a Hardware Store Alternative
- Evaluate your independence needs: If maintaining full control over branding and operational decisions is paramount, Orgill's model offers significant advantages over traditional franchises.
- Analyze your inventory requirements: Understand the scale of inventory needed for your target market and factor in the $300,000 to $500,000 estimated investment for a new 10,000 sq ft store in 2025.
- Compare pricing structures: While Orgill offers competitive pricing due to its scale, it's always wise to compare their wholesale costs against other distributors and cooperatives to ensure the best possible margins for your business.
| Orgill Partnership Model | Franchise Model (e.g., Do It Best) |
| No franchise fees, royalty fees, or stock purchase requirements. | Initial Franchise Fee: $4,400; Royalty Fee: 5%. |
| Primary cost is inventory (est. $300,000 - $500,000 for a new 10,000 sq ft store in 2025). | Low Initial Investment: $440,400; High Initial Investment: $1,128,400. |
| Full control over branding and operations. | Brand standards and operational guidelines must be followed. |
| Optional retail programs and support services. | Mandatory brand marketing and operational support. |
For those exploring hardware franchise opportunities or seeking alternatives to the Do It Best franchise, understanding the financial commitment and operational flexibility is key. While a franchise like Do It Best has defined costs and structures, including an initial investment ranging from $440,400 to $1,128,400 and a 5% royalty fee, Orgill offers a different path. This path focuses on providing the infrastructure and product access for independent operators.
Consider the average annual revenue per unit for a Do It Best franchise, reported around $818,696. While this provides a benchmark, Orgill's model allows for potentially greater profit retention by eliminating royalty fees. This can be a significant factor for owners aiming to maximize their return on investment in the competitive home improvement retail franchises landscape.
When comparing retail cooperative vs franchise hardware models, Orgill's approach emphasizes supplier relationships rather than a formal franchise agreement. This distinction is crucial for entrepreneurs who want to avoid the typical obligations of a franchise system while still gaining access to a robust supply chain and competitive pricing, making it a strong contender for those starting a hardware business without a franchise.
Alternative Franchise Chain: House-Hasson Hardware
When exploring alternatives to national hardware franchise models, regional distributors like House-Hasson Hardware offer a compelling option for independent store owners. Understanding these alternatives is crucial for those looking to join a hardware cooperative or find strong support systems for their home improvement retail businesses without the typical franchise structure.
Who is House-Hasson Hardware?
House-Hasson stands as America's largest independent regional hardware distributor. They serve an extensive network of over 2,500 dealers, primarily concentrated in the Eastern and Southern United States. This regional focus makes them a significant alternative to larger, nationwide cooperatives and distributors. Founded in 1906, the company provides a vast product catalog and dedicated dealer support. Importantly, they operate without the rigid requirements of a traditional franchise agreement. This appeals to store owners who prefer a closer, service-oriented relationship with their distributor.
For context, at their 2024 dealer market, House-Hasson reported an impressive 97% order fill rate across their three distribution centers. This high fill rate is a critical metric for retailers who rely heavily on a consistent and dependable supply chain to meet customer demand.
What Makes House-Hasson a Good Regional Choice?
House-Hasson's primary advantage is its focused regional approach. This allows them to offer customized product assortments and logistics solutions that are specifically designed for the markets they serve, spanning from the Southeast to the Midwest. This makes them a prime consideration for those seeking the best retail franchises for small towns within these geographical areas.
The entry point for dealers is also notably cost-effective. Unlike franchise models, dealers do not pay upfront franchise or ongoing co-op fees. Their financial commitment is limited to the cost of the goods they purchase. Furthermore, their bi-annual dealer markets present significant buying opportunities. Many dealers report that approximately 20-30% of their annual inventory purchases are made at these events due to the special pricing offered.
For an independent owner, partnering with a strong regional distributor like House-Hasson offers many of the advantages found in larger systems—such as access to marketing support and the benefits of volume pricing. However, it allows owners to retain the autonomy that often drives their decision to seek alternatives to national hardware chains.
Tips for Evaluating Regional Distributors:
- Assess Inventory and Product Mix: Ensure the distributor's product selection aligns with the needs of your specific market.
- Review Support Services: Understand the level of marketing, operational, and training support provided.
- Analyze Cost Structure: Compare fees, pricing, and any hidden costs against franchise alternatives.
- Consider Geographic Focus: A regional distributor's understanding of local markets can be a significant advantage.
| Key Differentiator | House-Hasson Hardware | Typical Franchise Model (e.g., Do It Best) |
|---|---|---|
| Structure | Independent Regional Distributor | Franchise System |
| Fees | No franchise or co-op fees; pay for goods | Initial Franchise Fee, Royalty Fees (e.g., 5%), Marketing Fees |
| Autonomy | High degree of operational independence | Adherence to brand standards and operational guidelines |
| Entry Cost Example (based on FDD data) | Varies based on inventory purchase | $440,400 - $1,128,400 (initial investment) |
| Supply Chain Reliability | 97% order fill rate reported (2024) | Varies by franchisor |
When considering your options, understanding the nuances between joining a cooperative, a regional distributor, or a traditional franchise is vital. For instance, while a franchise like Do It Best might have an initial investment ranging from $440,400 to $1,128,400, including a 5% royalty fee, alternatives like House-Hasson offer a different financial model focused on product procurement.
For those seeking to start a hardware business without a franchise or looking for alternatives to national hardware chains, investigating regional distributors provides a valuable perspective on how to join a hardware cooperative or find independent hardware store support systems.