GlassPointe Start-Up Cost Breakdown: Equipment, Fees, etc

GlassPointe Start-Up Cost Breakdown

GlassPointe is a franchised windshield repair business focused on rock chip repairs. The initial cost to start a GlassPointe franchise is about $1,000. More extensive (and expensive) start-up packages are also available, two company representatives said. Materials and pricing beyond the basic package are reviewed during a one-on-one consultation with GlassPointe. However, all start-up packages include:

• Equipment:^[1]
  • Software for insurance claim processing
  • Windshield repair bridge vacuum
  • Rechargeable drill with carbon bits
  • Enough resin for $5,000 worth of rock chip repairs
• Self-paced virtual training:^[1]
  • Training on how to repair rock chips (using practice glass that you can find for free or purchase from GlassPointe)
  • Training on how to bill insurance companies and how to find customers

GlassPointe states on its website that it provides lifetime coaching to all franchisees, and there is a members-only forum available for additional support. Training and support are handled through the use of videos, phone calls, and Skype, a GlassPointe representative said.

Besides equipment and training, you’ll incur additional costs in the process of establishing your business. GlassPointe franchises don’t operate under the GlassPointe name, but as separate Limited Liability Companies (LLC). Forming an LLC may require the following fees, according to LegalZoom:^[2]

• Filing fees: Filing fees vary by state and can be anywhere from about $50 to more than $500. You can find out about your state’s fees by contacting your local Secretary of State’s office.
• Franchise taxes/licensing: Some states require additional licensing fees or taxes for franchised businesses. These fees can range from about $100 per year to nearly $ 1,000, depending on the state.
• Name reservation: Your LLC’s name has to be reserved with the Secretary of State’s office. Name reservation fees vary and can add up if the name you pick is rejected and you have to refile.
• Public notification: Some states require you to publish a notice in your local newspaper announcing the formation of your business. These fees vary by publication. For example, a general advertisement in the Chicago Tribune starts at about $60,^[3] while announcements in the Detroit Free Press and Detroit News start around $50.^[4]

Is GlassPointe Worth the Cost?

In its introductory webinar, GlassPointe acknowledges that there are other ways to get into the rock chip repair business.^[5] Establishing your own business by buying equipment and forming an entity is an option, as is working with an established repair shop. Keep in mind, repair shops keep a percentage of your profit, and neither alternative provides the equipment or continued support advertised by GlassPointe.

Potential Earnings

While the company states that it does not offer earnings projections or promises,^[6] one estimate it provides is that with just one rock chip repair per day, you can earn $15,000 a year.^[1]

Potential Challenges

To try to get a better idea of what it takes to run a GlassPointe franchise, we reached out to a few current franchisees. Unfortunately, those we reached out to either did not respond or were unwilling to speak with us about the particulars of their businesses. A few challenges we can assume based on the company’s webinars and questions posed on GlassPointe’s Facebook page^[7] include finding stores that will allow you to set up shop in their parking lots for free, finding and marketing to customers, and dealing with inclement weather. If you have clear plans for managing these potential challenges, you may be able to make your GlassPointe franchise successful.

Refundability

If you choose to sign up with GlassPointe, the company only accepts payments from a debit or credit card issued by a U.S. bank, unless otherwise arranged with GlassPointe. And, it’s important to note that equipment and training fees are non-refundable.^[8] This means that once you pay for the initial starter kit, you will not be able to get your money back unless you earn it back by doing repairs with the equipment.

If you decide that a GlassPointe franchise is not right for you but you still want a way to earn some extra income, we also have the list of ways to make money on the side.