Jan 22, 2020
Sometimes hearing things from a franchisee’s perspective can change the way we look at a franchise and its various platforms. Have you ever wondered in what ways the franchise world has evolved? The complexities within the franchise industry have dramatically increased over the years. This week my friend and business partner, Dan Castellini joins me to share some insight on our experiences in the franchise world. Together, we have not only entered and exited multiple franchises, we have experienced ups and downs as well as watched the franchise industry evolve.
Dan and I have both noticed during our partnership, a change in trends when it comes to landscapes, founders, growth strategies and many more aspects. As we discuss these shifts, we also acknowledge that often times when going into a franchise, we do not look at or exhaust the correct resources to discover if a franchise is the right fit for us. In this episode, we will help by exploring and sharing strategies that we have gathered over the years to help guide franchisees and help franchisees align with the appropriate franchise for them.
Outline of This Episode
(04:28) The Complexity Changes Within Franchises
(09:21) The Various Types of Founders
(11:08) The Importance of Aligning With Franchisor’s Strategy
(19:55) How The Franchise Industry Has Evolved
(22:17) The Impact and Strategy of Connecting With Franchisees
(26:06) Extracting and Implementing Strategies Gathered Over Personal Franchise Experiences
(31:00) Focusing On Franchisees Success Over Franchises Growth
(36:51) Characteristics to Seek From a Franchise
(40:53) Benefits of a Franchise Transitioning From Founder to Private Equity
(43:55) What to Look For With Private Equity and Brands
(52:14) Aligning Yourself With the Correct Franchise
Evolvement & Complexity Changes Through Franchises
This week we welcome a dear friend and business partner of mine, Dan Castellini. Dan and I have entered many franchises together over the years and have grown up in franchising together. We have discovered many changes within the Franchise industry. For starters, the franchise world is much more complex than it once was, it is a whole new ballgame then it was when we first got into franchising. There has been a shift in landscapes, founders and strategies. Being aware of the changes is important, but we also want to share with you our perspective on the changes taken place and the strategies we use from past and current experiences that have helped us reach success.
Strategies to Success
There are so many strategies being used today to build franchises, but which one will lead us to success? Knowing which strategy to use or align with when taking franchise action will help us achieve success at a smoother and faster pace. Dan helps share our secrets on what we have learned to be successful strategies. We discuss a few franchises that we have entered and or exited, building relationships and our perspective on the strategies that we have seen be used over the years. Dan shares with us the important strategies to seek when inquiring or exploring franchises.
Private Equity Verse Founder
We are starting to see franchises transitioning from the founder to private equity firms. Is this a positive or a negative shift? Why is this action taking place? Sometimes we wonder if this will lead to success or failure of a franchise. Either outcome is very possible. We have seen firsthand the shift and what can come from it. Dan helps to gives us an inside perspective on how to be aware if the shift will lead to a positive or negative impact.
Aligning Yourself with The Franchise
As we know, strategies within a franchise tend to vary over the years as well as from franchise to franchise. Each franchisor has a different strategy that they chose to implement. It is important that before diving into a franchise, one understands and aligns with the franchisor strategy. This is the first step to failure when entering a franchise, is not having the ability to properly align. Understanding the Franchise’s prime focus and being able to execute that focus will help you be successful.
As we have grown in the franchise world together, we have not only seen ourselves align with franchises, but we have also experienced times where we do not align. This week’s episode is key to helping gain knowledge through our perspective on both the complex trend shifts happening and what factors to be seeking when exploring new opportunities.