With average gross sales of $12,059 in 2023, very few Card My Yard franchisees are able to make a living selling the brand’s oversized greeting cards and yard decorations.
Because of its low entry cost and how little time and effort it takes to actually run the business, however, the franchise provides operators a relatively simple and viable second income option.
That was a key reason Five Star Franchising acquired the Austin, Texas-based 24-hour yard greeting service for an undisclosed amount. That and the fact the home services platform company believes Card My Yard has plenty of runway remaining to grow and with some tweaks, the business model can become more profitable.
“Right now, Card My Yard’s business is about 95 percent residential, selling yard signs celebrating birthdays, anniversaries, graduations on people’s yards,” said Scott Abbott, co-founder and CEO of Springvale, Utah-based Five Star Franchising. “We want Card My Yard to go after national accounts, like hospitals and other large businesses.”
Abbott estimates 85 percent of Card My Yard’s 559 franchisees in 46 states and Canada are single-unit operators, and that the typical customer transaction is about $125. The company’s most recent franchise disclosure document reports the investment range, including the sign making equipment, is $9,800 to $18,000. The average number of annual orders for operators was 183 in 2023 and the gross sales for the highest performing locations open for over a year exceeded $112,000.
Card My Yard’s FDD also reported average gross sales for locations over a year old were $21,957 and that 41 percent of those locations attained or exceeded average gross sales.
While Abbott said it’s doubtful Five Star Franchising will be able to make Card My Yard a big money business for its franchisees, he believes there is a lot of opportunity to grow the brand.
“They’re adding value to our platform and opening unique new opportunities for growth,” he said. “Being a platform company, we feel we can add a lot of value to Card My Yard with our systems, support and tools.”
Founded by Abbott and Chad Jones in 2004, Five Star Franchising’s home service platform includes Bio-One, Mosquito Shield, Five Star Bath Solutions, Gotcha Covered and 1-800-Packouts. The company, which has more than 1,400 franchise locations throughout North America, sold Five Star Painting in 2015 to Neighborly.
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“We’re committed to building a comprehensive portfolio of home service brands,” said Abbott, “and we’re growing very, very fast. If you compare our business from just a few years ago, we have grown by 3,300 percent, and we’re not done growing. We hope to acquire a few more companies this year and we’re closing in on making that happen.”
Amy Arnold and Jessica Stanley founded Card My Yard in Austin, Texas, in 2014. Card My Yard customers book orders online and are routed to the closest franchisee, who handles delivery, setup and removal of the signage.
Card My Yard grew rapidly from a barebones startup operating out of a garage to a system of 531 units by the end of 2023. The pandemic helped spur sales and interest as demand for socially distanced revelry increased, and systemwide sales hit an estimated $6.4 million last year. The brand in 2021 received a strategic investment from Princeton Equity Group.
“Five Star’s expertise in franchising will help us accelerate new development and drive growth at each of our 500-plus franchise locations,” said Josh Arnold, brand president of Card My Yard. “Our team at the Card My Yard is very excited for the future.”