EXPENSE REDUCTION ANALYSTS

Industry: Services

Country of origin: Didžioji Britanija

Date of foundation: 1992

Own units: 0

Franchisee units: 779

Investment: from 300.000€

EXPENSE REDUCTION ANALYSTS - Find extra profit

EXPENSE REDUCTION ANALYSTS (ERA) is a Global leader in Cost and Purchase Management focused on helping company directors save money through realizing optimum value from suppliers.

ERA mission: Helping our clients reduce costs and retain more profit through Sustainable Cost and Purchase Management.

ERA market: The mid-market / SME. ERA business model is designed to focus Medium sized businesses where the Owner, CEO,MD or FD is the key decision maker – this represents the area of most opportunity and least path of resistance to implementation.

WHAT ERA DOES:
In a first step, they need to understand the client‘s current situation in order to indentify drivers for improving costs and supply.
In a next step, they help the client find the best value for money in the market.
Then they implement the solution together with the client.
For the next 24-48 months, ERA ensure that savings really come through.

ERA RESULTS:
In well over 15.000 completed projects ERA have measured the following results for our clients: 80+% of projects reach successful implementation; EU average savings (2010): 20.3%

The 12 most audited categories:

Archives	Insurances	Cleaning
Transport	Wastes	Electricity
Credit cards	Postage	Travels
Office supplies	Printing	Telecoms

ERA PARTNERS PROFILE:

Client acquisition
Background in sales and business development
Communication and relationship management skills
Project deliver
Analytical and project management skills
Good with numbers and analytical tools
Cost category specialists
Background in specific categories
Or all of the above

FINANCIALS OF THE PARTNERSHIP:

Area Developer Fee 100.000 €
Ongoing fees: 20% With a minimum of 700 Euro (reduced minimum of 350 Euro in the first 18 months)
Marketing fee 3% (handled jointly by ERA and the Marketing Advisory Council)

BENEFITS OF THE PARTNERSHIP:

Recession-prove business. Our cost reduction services are en vogue in times of crisis and offer a sustainable business model. Lots of experienced professionals are looking for a white collar franchise like this to leverage their experience in their own business.
Fast return on investment. Up to 26.500 Euro are paid to the AD for each new partner, which means usually return on invest should be within 18-24 months (see case-study Germany).
Building a strong asset. The AD agreement is a 10-year contract with up to 20 years optional term. During that period, the AD receives 33-50% of all royalties earned in Norway, making the license a valuable asset to sell after 10 years or later.
Being part of the international Senior Management. As one of a maximum of 40 Area Developers across Europe, you will be part of our international team.