An Introduction to Franchise Math

Businesses that franchise frequently start with just one unit, then quickly expand, in a few months or years, to 10, 25, 50 units, or more, and keep going. "Franchise Math" allows a business owner to quickly multiply locations, revenue, and profits, with a relatively small investment!

Franchising is a proven and legal way to quickly expand a business while enjoying an excellent return on investment. Franchising eliminates most lease and employee exposure, reduces day-to-day operational requirements, and changes the current business into a franchise marketing company.

Franchising also generates strong brand building, and can eventually provide you with an excellent exit strategy.

We help business owners prepare to sell franchises. We handle all the legal, operational, and marketing steps required to franchise. Our services are provided nationwide, and we have clients across the country.

Overseeing a Franchise Program is Easier Now

Bob McQuillan runs a tight ship at his Hollywood Tans franchise in Arlington, VA. He knows precisely when workers clock in and out, who each of his daily customers are and which employees are selling what products, at regular price, or discount. But there’s a twist: He’s doing all this micromanaging from home -- 133 miles away in Mullica Hill, N.J. "We monitor the business remotely via the Internet," says Mr. McQuillan.

While a manager handles the tanning salon’s day-to-day affairs, he pulls up data from afar by computer. A fingerprint scanner monitors workers’ arrivals and departures, while intricate software tallies sales data and pricing, almost in real time. "I’m down there once every three months," he says.

The franchising world is letting loose. Gone are the days of one owner being chained behind the counter of a single store day in, day out. Today, there are absentee owners who oversee their operations from laptops, and owners who maintain dual careers or run multiple franchises.

In large part, technology has helped fuel the shift, making it easier for franchisers to replicate and spread their systems, as well as for franchise owners to keep track of their businesses wherever they are. —The Wall Street Journal

In this, and in other ways, it is easier to develop a franchise program today than it was in the past. 

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