Franchisee Spotlight: Joe Fontana

Q: Where are you originally from?
A: I was born in Brooklyn and raised in Queens, so I am very familiar with the region in which I am opening my new business.

Q: Before Franchising, what were you involved with?
A: Prior to partnering with Smart Tax, I was a Financial Advisor for 17 years. I worked most of my career in Brooklyn, which is where I met Nick Rizzi while working at the same firm. We built a strong working relationship and friendship over our long career together. Nick and I were always searching for our next venture and like most people, both of us dreamed of someday owning our own business. In light of the prolonged economic crisis and changes our industry was going through, Nick and I saw our careers coming to an inevitable end. Nick was insistent that whatever venture he’d pursue it had to be something more recession resistant than financial sales. In 2005, when Nick went out on his own and created Smart Tax, I applauded him for taking this risk and building Smart Tax from scratch. Nick and I stayed in close contact and one day I happened to pass by his Smart Tax storefront and I knew this was real and growing. In 2010 I had realized that I needed to take control of my career and discussed an opportunity to join Smart Tax. Nick hired me as the company’s Vice President of Franchise Development, with the goal of building the brand. I wanted to help take Smart Tax to the next level and help Nick grow our franchise system. Now, not only will I be helping to grow the brand on the corporate side but I will also be a first-time business owner in the Smart Tax system as a multi-unit franchisee.

Q: Why is this brand the right fit for you?
A: I am very excited to finally be a business owner after being in Corporate America for so many years. I wanted to join a franchise business and after extensive research, I feel that Smart Tax has the prime territories that other brands cannot offer and a corporate culture that is unmatched. This is not the same Corporate America all over again, with unnecessary rules and regulations holding us back. We understand what Corporate America is all about and we feel there is plenty of room for change in our industry. Smart Tax is a ground floor opportunity, where I have the ability to play a large role in a growing business. Because Smart Tax is a newly launched franchise, we listen to our franchisees and encourage a culture where we openly share ideas and foster creativity. It is a convergence of ideas and a great business to be a part of. Our goals are to provide better service to our clients that seek our help at tax time and a better opportunity for our franchisees to grow. In a word, Smart Tax is dynamic, and that’s what attracted me most.

Q: How do you see the brand connecting with your local community?
A: Because I have spent my whole life in Queens, I understand the community I will be serving with my Smart Tax business. At Smart Tax, we care about our clients and I want to give back as much as possible. I realize that tax time can be very stressful and confusing for most people. I want to build strong relationships with my clients and ultimately provide them with a better experience during the tax season. I am very active with my local Fire Department as a volunteer Firefighter as well as a Cub Scout Den Leader. I understand the value of giving back to the community and will reach out to local organizations throughout my territories to help in any way I can. Additionally, I plan to support Toys for Tots this year and secure a drop box at my Smart Tax office to help support the organization for the holidays. We will also be giving away large golf umbrellas to every client we work with to show our appreciation.

Q: What are your future goals? Development plans?
A: My near term goal is to have my Queens Center Mall location as the top producing store for Smart Tax. I want to be able to show potential franchisees how successful this business model really is. This tax season I want to reach at least 500 returns. In the long term, I have the rights to develop three locations and I’d like to see all three open, thriving and ultimately having our brand recognized for excellence and step above service.

SmartTax featured in the Stamford Advocate

Smart Tax was featured in the Stamford Advocate discussing the brand’s aggressive expansion plans into the Connecticut market specifically focusing on Fairfield County. Smart Tax plans to develop five locations in Stamford and 15 throughout Fairfield County. Nick Rizzi discussed his entrepreneur story in founding Smart Tax after being blocked out of many of the established tax preparation franchises. Rizzi launched Smart Tax as a franchise in November 2009 and by tax season 2010, he had 10 locations already open and operating. Now, Smart Tax will have 29 offices open for tax season 2011 and plans to have 100 locations open for tax season 2012. The article delves into why Connecticut is an attractive market for the brand and the tremendous potential for growth.

SmartTax slated for Fairfield County
Michael C. Juliano, Staff Writer

SmartTax may soon be coming to a neighborhood near you.

Nick Rizzi, a financial planner from Brooklyn who since 2004 opened 10 SmartTax locations in New York City, plans to open another five outlets of his new tax preparation franchise in Stamford, and establish another 15 locations throughout Fairfield County in his goal to open 100 stores by 2012.

"I was sitting at my desk at a bank one day and a bus went by with a sign that said `Learn to do taxes,'" said Rizzi, who took it as cue to enroll in an H&R Block class on tax preparation. He learned the office where he was taking the class did 2,000 returns a year at $220 a pop. "I thought to myself that this sounds like a great business." (Read More)

Franchisee Profile: Matthew Jamel

Opening Date: January 3, 2010
Location: Brooklyn, NY

Q: Where are you originally from?
A: I was born and raised in Brooklyn.

Q: Before Franchising, what were you involved with?
A: Before partnering with Thomas Rock to open a Smart Tax location, I attended Brooklyn College and graduated in May of 2010 with a degree in Business Management. Upon graduating, I started working with Thomas to put together a business plan so we could open a Smart Tax location in Brooklyn for tax season 2011.

Q: How did you learn about the brand?
A: Thomas had both known and worked with Nick Rizzi, CEO of Smart Tax, at Redhook location for five years. When Smart Tax started franchising in 2009, we began discussing the possible business options and the details in how we could open a location after I graduated from college.

Q: How do you see the brand connecting with your local community?
A: Because I have spent my whole life in Brooklyn, I want to see our business connect with the local community 100 percent. Thomas and I grew up five blocks from each other, played sports in Brooklyn as kids and still do. We plan to take every opportunity we can to connect with the residents of Brooklyn, building relationships and creating a strong local aspect to our Smart Tax business. We want our customers to feel comfortable and realize we are hard-working locals just determined to make filing taxes less formal.

Q: What are your future goals? Development plans?
A: I would classify myself as a hard-working individual who is dedicated to my work. We are earning our entire year’s salary in less than four months, so we have set the bar extremely high for our first tax season. We’re planning to file 400-500 tax returns, well above average.

Smart Tax plans for growth featured in the Morning Call

The Morning Call recently published an article entitled, “Retail Watch Scanning the Storefronts,” where Smart Tax was with its expansion plans into the area. Nick Rizzi, CEO and Founder, was interviewed discussing the future growth plans for the area adding 10 locations and targets the first location for tax season 2012. The article notes the more than two dozen locations around New York, New Jersey and Philadelphia which will move in to be competitors of other full-service tax chains like H & R Block and Jackson Hewitt. Check out a portion of the article below or read the full story here.

Retail Watch Scanning the Storefronts

Smart Tax wants a piece of the action too. CEO Nick Rizzi said the chain, which started in New York in 2006, would like to have 10 locations in the Valley. Its first location could open sometime next year, but probably not before tax season.

The full-service tax chain has more than two dozen locations in New York, New Jersey and Philadelphia. It will be another competitor for the region's public accountants and chains like H&R Block and Jackson Hewitt Tax Service. (Read More)

Smart Tax Adapts to Economic Climate By Adding Kiosk Locations

While the current economic conditions have led to many financial obstacles for small business, franchise brands are still finding innovative ways to grow. One emerging trend is a move to smaller and portable spaces including kiosks, where Smart Tax, tax preparation concept is one step ahead of the competition and is entering big-box retailers for tax season 2011. Options like this allows franchisees the opportunity to open their own business for a much lower start up cost during the rough economic climate.

The kiosk model is one innovative method that allows franchise brands to expand in high traffic venues such as malls, shopping centers, the streets of major cities, and airports. One brand who is finding success with the kiosk model is Smart Tax, who launched in November 2009 with ten locations and will open almost 30 units for tax season 2011. One of Smart Tax’s growth strategies has been to open kiosks in National Wholesale Liquidators, where they will have 4 operating kiosk centers this year and six more open for 2012. This not only allows the brand to enter a high demand outlet but allows more consumers to become familiar with the product and ultimately build resonating brand awareness. Additionally, the franchisees opening the kiosks are able to capitalize on a smaller initial investment, portable space and a larger growth potential.

These kiosk locations will look almost exactly like a Smart Tax office, minus the physical building. Each location will be equipped with an educated staff and all of the programming needed to help make filing taxes more convenient for consumers. In addition, this gives big-box companies like National Wholesale Liquidators the opportunity to fill empty space after the holiday season utilizing a company that only has a four month window business during the spring, bringing another level of one-stop-shopping during tax season.

Franchisee Profile: Jorge Quintana, Owner of Smart Tax Queensbridge

Opening Date: January 3, 2010
Location: Queensbridge

Q: Where are you originally from?
A: I was born in Peru and moved to New York when I was four years old.

Q: Before Franchising, what were you involved with?
A: Before I partnered with Smart Tax, I served in the Marine Corps for four years and was released with an honorable discharge. Initially upon returning to New York, I started working with my two sisters in a family owned and operated business. After working with them for a short while, I was inspired to take the H&R Block class to start learning more about the tax preparation industry. With continued urging from my sisters to go back to school and further my education I decided to return to school to pursue my CPA license in addition to the class I was taking. Currently, I am still working on getting my degree in accounting, as well as working with Smart Tax to help the brand evolve. I am looking forward to opening my first location and I hope to one day open multiple locations of my own throughout the area.

Q: How did you learn about the brand?
A: I learned about the brand first hand from Nick Rizzi. About a year after meeting Nick in the H&R Block class, he called me and asked for some advice on getting a business up and running in the tax industry. After meeting Nick and looking at the business plans and DMA of the neighborhoods he was scouting out, I realized that Nick had a genius idea and agreed to help with opening the first location in Redhook in 2006. After seeing the successful business model that Nick Rizzi had created in the first few years and getting the franchising aspects up and running, I decided that I wanted to open a location of my own, realizing the growth potential of the brand.

Q: How do you see the brand connecting with your local community?
A: From day one, Smart Tax has tried to find every way possible to connect with the residents of each community we enter. In 2006, Nick said that he wanted to give something to every customer that came through the door… and we still strive to connect in that way with each customer. However, what we give back has evolved as we have established a name for ourselves. With my new location in Queens, I want to sponsor some of the little league baseball programs in the area and the youth rugby league, a non-profit organization that is helping to introduce rugby into the United States at the youth level.

Q: What are your future goals? Development plans?
A: The most immediate goal that I have set for myself is to have 1000 tax returns filed at my Queensbridge location during my second year in business. As for development plans, I plan on opening at least two more locations in Bay Ridge, which has a different clientele than the existing Smart Tax locations. I plan to connect strongly with the business community in the region, who I have already built strong relationships with over the years.

Smart Tax Featured in Accounting Today

Smart Tax was recently featured in a great article in Accounting Today entitled, “Tax Registration Regime Takes Shape.” The article delves into the recent laws the IRS has implemented and how this will affect the tax preparation industry as a whole. Some of these new regulations on the industry include continuing education, more testing, identification numbers and fees. Many industry experts discuss the pros and cons of the new laws and how to prepare for tax season 2011. Nick Rizzi offers his opinion on how the new regulations are actually a good thing for the industry as a whole and how Smart Tax is already prepared for the new changes. By continuing to adapt to the economy and new government regulations, Smart Tax is able to support the franchisees in its system and make a smoother transition for independent preparers looking to partner with an established franchise. See Nick Rizzi's comments on the new laws below and the article can be viewed in its entirety by clicking here.

Tax registration regime takes shape
The IRS moves rapidly to clarify the requirements, fees, CPE rules, and expectations
By Roger Russell

For Nick Rizzi, chief executive of tax preparation franchisor Smart Tax, the new process is a good thing. "In the areas in which we operate, you have one office that follows all the rules, and we try to be that guy," he said. "Then you have four or five people that do returns in the back of a travel agency or money transfer store. It's usually a 19-year-old girl with a laptop and a copy of some software. So we're all for the new rules because we've been following IRS standards all along."

(Read More)