- THE MAGAZINE
The Territory Franchise Owner in both Kuwait and Qatar is American General Trading & Contracting W.L.L. (AGT), a 14-year-old Kuwait-based construction and logistics firm with military and commercial clients throughout the Middle East and branch offices in Qatar and Iraq. The agreement will enable AGT to enhance and expand its existing janitorial offerings in order to take advantage of brisk business growth in Kuwait and Qatar. AGT’s janitorial division will operate under the Coverall Cleaning Concepts name in both countries.
“Commercial cleaning is a logical extension of our services in Kuwait and Qatar, and the Coverall Cleaning Concepts business model equips us with clearly differentiated cleaning and support systems that are not available from any existing operator in either market,” said AGT President Sheila Gittens. “Their cleaning methods, franchise support, success in other international markets, and willingness to adapt to the needs of different countries are strong building blocks that we expect will help us expand this portion of our business significantly.”
AGT plans to open a Coverall Cleaning Concepts Support Center in Kuwait in March 2008 and a separate office in Qatar several months later. Like other Support Centers in the Coverall Cleaning Concepts network, each location will function as a sales office, training center, and central point of contact for local businesses interested in using the company’s cleaning services.
Kuwait is the third richest country in the Muslim world with an estimated 10% of the world’s oil reserves. Oil revenues account for nearly half of the country’s GDP as well as 95% of export revenues. Various private and public sector diversification initiatives are now being funded by high oil prices that have poured money into the country, offering expanded opportunities for commercial cleaning services.
Qatar is one of the fastest-growing countries in the Middle East, with an annual real Gross Domestic Product (GDP) growth of about 7.1% driven by exports of oil, natural gas, petrochemicals and related industries. The country also expects to spend $100 billion on infrastructure projects by 2012, substantially increasing the market potential for janitorial services.
“This Territory franchise agreement for Kuwait and Qatar is an important expansion of our global network to two countries with strong economies and an associated need for janitorial services,” said Ted Elliott, President and CEO of Coverall Cleaning Concepts. “With 14 years in business and an impressive track record of projects as well as customers, AGT is ideally positioned to successfully introduce our services to the Middle East.”