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Building a Lighting Business The Franchise Way04-21-06 | News



Building a Lighting Business The Franchise Way

by Stephen Kelly, regional editor






This sparse tree is cross-lit (triangulated) with PAR 36s, as opposed to front lighting and back lighting options. Cross lighting adds texture, makes for lower light levels and brings out more shadows.


I just returned from the inaugural Outdoor Light Product Show Feb. 22, 2006 at the Guasti Villa in Ontario (southern Calif.). It was not your typical lighting show with hundreds of booths spread out over a convention floor.

No, this was an intimate gathering on the grassy plaza area in front of the villa with the manufacturing reps. set up in a rectilinear pattern around the grounds. That it was outside was a real bonus, for when it became dark, you got an exact idea of what any particular type of lighting could do under real world conditions. The rep. from Allscape, for instance, showed me the company?EUR??,,????'???s new LED product that comes in red, green, blue and amber (white too, of course) and how with only a screw driver the four separate MR16s can be directed as you wish and set in place. He also demonstrated the difference between lower and higher watt spot lamps by directing them to the fronds of a large circumference palm in the courtyard some 50 feet up. Try doing that in an indoor venue!






Low voltage well lights with low wattage halogen lamps bring a soft glow to the tree, while MR 16s allow the architecture to take center stage. The color of the hard surface being illuminated is a consideration. White walls reflect about 85 percent of the light hitting it, while red brick will reflect only about 35 percent; black walls only 10 percent. Also, the rougher the surface, the lower the level of reflection.


Greg Moreland of lightcraft pointed out the compact Zuma series stainless steel, 12 volt, timer-ready transformer that was running his lighting display. You wouldn?EUR??,,????'???t have known the transformer was in operating mode?EUR??,,????'??+it was that quiet.

I could go on, but the point is the lighting field is really taking off. LED is very hot, so to speak, as they are cool to the touch and run practically forever. There were many lighting products on display and I know many contractors would have enjoyed seeing the latest and greatest. I?EUR??,,????'???m sure those contractors already doing lighting projects would have come away with some new ideas, illuminated, you could say, and those contractors only contemplating getting into lighting would have been inspired perhaps to take the next step.

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From left?EUR??,,????'??+Officers of All American Turf Beauty Inc., headquartered in Van Meter, Iowa. Jim O'Loughlin, v.p., marketing, Daryle Johnson, company founder and CEO; Kevin Johnson, president; Clarice Baiotto, v.p. controller.


Baby Steps

And that is what this feature is about. When setting out to write about lighting for this issue I wanted to relate how a contracting company moves into lighting. What were the first steps? How difficult was the transition?

With that in mind, I contacted a company called All American Turf Beauty, founded in the year of our bicentennial by Daryle and Linda Johnson. It may seem a bit surprising, but the company was the first in central Iowa to offer professional lawn care programs. Jim O?EUR??,,????'???Loughlin, the company sales manager, explained that Daryle at that time also worked as a fertilizer and chemical sales rep. to golf courses and other lawn services through a network of distributors.

The corporate office was in Van Meter, Iowa, allowing All American to serve the Des Moines market and surrounding towns. In the early 1980s the company opened branch offices in Ames and Waterloo and established individual operators in other parts of the state. The company continued to grow at a brisk pace. In 1983, All American was a member of the Inc. 500, a designation of Inc. magazine to identify the 500 fastest growing companies in the U.S. In 1995 the company became an employee owned company.






Down lighting is particularly effective for patios. A favorite method is lighting the hard corners of the structure at the support beams, i.e., positioning the down lights in the corners of the patio. A planter beneath such a light is all the more effective.


As a seasonal business, the company aspired to generate income year round and keep people employed full time. Toward that goal, All American purchased four Christmas D????(C)cor franchises to fill in the winter months. This proved a successful venture, which gave further impetus to greater expansion.

?EUR??,,????'??We felt the need to diversify and offer additional services to our customers,?EUR??,,????'?? O?EUR??,,????'???Loughlin explains. ?EUR??,,????'??Diversification would offer more opportunities to our employees and create more efficiency by cross-training employees to contribute in many areas of the company.?EUR??,,????'??

Light the Night

The franchisor that offered Christmas D????(C)cor to All American now offered Nite Time D????(C)cor?EUR??,,????'??+architectural and landscape low-voltage lighting. From All American, this was a logical extension to Christmas lighting. Seasonal lighting was all well and good, but residential lighting, not a common amenity for many homes in Iowa, had a large up side, after all, there was plenty of motivation for homeowners to add lighting to their properties: safety, security, pride of ownership and more outdoor entertainment opportunities.

?EUR??,,????'??We were very pleased with the service we received for our Christmas D????(C)cor franchises,?EUR??,,????'?? O?EUR??,,????'???Loughlin explains. ?EUR??,,????'??When the opportunity came to purchase a Nite Time D????(C)cor franchises we felt it was a good situation and purchased franchises to match our service area.?EUR??,,????'??

NiteTime Decor, Inc., (nitetimedecor.com) out of Lubbock, Texas, has been a low-voltage landscape lighting franchisor since 1998, teaching contractors how to market, sell, design, install and maintain systems. It offers the contractor a ?EUR??,,????'??protected territory,?EUR??,,????'?? a business plan, design and installation training, certification, a pricing structure and the necessary paperwork.






Lighting the little falls and spraying illumination across the pond is an MR16 water safe light with a 20-watt halogen lamp. Halogen, lamps are rated to last 4,000 hours. Ponds or water features are lit via pool and spa transformers. You should be familiar with NEC Part 680, codes for installations around water. If not, you need to consult a licensed electrician.


O?EUR??,,????'???Loughlin esteems the franchise route as a good way to enter the low-voltage lighting field, as the franchisor warehouses lighting fixtures, UL rated wire, installation tools and even uniforms, all of which can be ordered online and with shipping discounts. The franchisor offers year-round support via phone, online systems and from fellow franchisees.

?EUR??,,????'??This was a good match for our company, as we are dedicated to offering our customers the best value in all of the services we offer,?EUR??,,????'?? O?EUR??,,????'???Loughlin adds. ?EUR??,,????'??We are provided extensive training in design and installation techniques, as well as marketing strategies to grow the business.?EUR??,,????'??

All American approaches residential lighting with a variety of techniques: three-dimensional lighting, up-lighting, grazing, shadowing, spill lighting and moon lighting.

?EUR??,,????'??The lighting needs to be functional and visually pleasing,?EUR??,,????'?? O?EUR??,,????'???Loughlin points out. ?EUR??,,????'??It should create a calm, resort-like atmosphere while providing for safe passage throughout the area.?EUR??,,????'??

Curtis Hogan, president of Nite Time D????(C)cor, believes contractors should focus more on the desired effect of the lighting than the specific fixtures.

?EUR??,,????'??Unless fixtures are being used to directly light an area where they are a part of the design element, such as around a pool or along a walkway, you should go with discreet, unobtrusive lighting fixtures and placement.?EUR??,,????'??
He also adds that while you don?EUR??,,????'???t want to use cheap fixtures that will fail within two or three years, you don?EUR??,,????'???t necessarily need the most expensive, either.

?EUR??,,????'??The most expensive fixtures you?EUR??,,????'???ll find are ones where you are paying for artistic, creative or exotic design, but not necessarily quality,?EUR??,,????'?? he asserts.






Path lights aren?EUR??,,????'???t always for paths! These 20-watt xenon lamps, polycarbonate frosted cylindrical lenses that minimize glare and sufficiently light the putting green for nighttime tapping in. The fixtures are easily positioned via PVC stabilizer stakes. The wire run is 50 ft. using 18-2 wire. The trench for the lighting cable should be at least six inches deep, running from the transformer to each fixture. At each fixture create a 2-ft. loop of cable for the attachment of the fixture and leave a few more feet of extra wire at the fixture to make relocation easy. A sealed branch connector turns the main cable into two runs, and a sealed connector is used to wire one fixture to the cable. To get true copper to copper wiring contact, use wire nuts with a sealant, and electrical tape to prevent corrosion. When stripping the cable jacket, be careful not to strip away any copper strands.


Durability, though, is the key consideration, given that components must withstand the outdoor elements. He also notes one key piece of advice: The lighting system be easily adaptable to changes. If the lighting goes into a new landscape of immature flora, the lighting plan should be flexible enough to easily reposition some of the lighting as the landscaping grows out.

Most customers, he observes, start with architectural lighting. Once the resident takes that step, the need to expand the lighting outward to include the landscape is more compelling. And for those gregarious types (yes, there are plenty of social folks in Iowa), lighting a patio or garden area makes for a great atmosphere for entertaining.

With a two-man crew, All American gives the potentional residential client a lighting demonstration, which usually sells the job. With the OK to move forward, the homeowner is presented with a complete blueprint and design of their lighting system, including performance measurements of every key point. The resident gets a one-year guarantee and is offered preventive maintenance service.






PAR 36 35-watt halogen sealed-beam lamps, a favorite because of their even spread, set the brick and trees aglow. PAR 36 indicates a parabolic aluminized reflector with a 36 degree beam spread. A PAR beam spread of 5 degrees is called a very narrow spot; 10 degrees-a narrow spot; and 30 degrees a wide angle.


Don?EUR??,,????'???t Expect Overnight Success

All American knows the residential lighting market is immature in Iowa.

?EUR??,,????'??We have to ?EUR??,,????'??work?EUR??,,????'?? for every lead and job that we get,?EUR??,,????'?? admits O?EUR??,,????'???Loughlin. ?EUR??,,????'??The comparison we hope is true is that 20 years ago there were few people with irrigation systems in our area. They are now commonplace. Most new homes have them. We hope the same will be true of landscape and architectural lighting in the future.?EUR??,,????'??

The company is finding that as time goes on more and more people are recognizing the value in lighting their properties. And as the company lights a home here and there, more people are seeing the quality of their work and the lighting effects produced.

?EUR??,,????'??They (homeowners) can differentiate the professionally-installed lighting from the do-it-yourselfers and others who will install as a side business but don?EUR??,,????'???t really have the expertise in design to get the results we get,?EUR??,,????'?? O?EUR??,,????'???Loughlin observes.

In short, lighting has created an additional profit center for All American and the company believes this sector will continue to grow as the market matures and the landscape lighting ?EUR??,,????'??message?EUR??,,????'?? gets out. The company has been a franchisee for four years and the staff has grown to 50 full-time employees.

?EUR??,,????'??We feel Nite Time D????(C)cor has done a good job of training and supporting us as a franchise. Without their training, equipment supply, marketing plans and literature we would have had a difficult time entering the lighting business.?EUR??,,????'??






35-watt halogen well lights uplight the trees and shrubs, while casting appealing pool reflections. The trees are uplit from in front to eliminate shadows and the lamp tilted back enough to avoid a ?EUR??,,????'??hot spot?EUR??,,????'?? on the lower trunk.



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