Multi-brand franchise ownership might be a possibility for you if you want to increase your franchise portfolio or launch your first franchise endeavor.
There are various advantages to owning multi-brand franchises. For example, suppose all of your franchises are in the same area. In that case, you have the potential to become an industry expert and expand on your existing expertise as you increase your portfolio.
On the other hand, if you own franchises in many industries, your portfolio will be less vulnerable to any one event. In other words, if you own both a restaurant franchise and a landscaping franchise, the economic problems that influence your restaurant are unlikely to affect your landscaping business.
Multi-brand franchisees and multi-unit franchisees have a lot in common, especially when handling executive tasks and trusting your team. However, the most significant difference is operating according to several franchisors and FDDs.
Manage the Managers
It will be hard for you to be at every store or location every day as the owner of several franchises. As a result, you will hire managers to oversee day-to-day operations at each of your franchise sites.
During the hiring process, look for suitable managers with considerable operations experience, leadership qualities, and a positive attitude. Regardless of industry, your managers will establish the tone for each franchise location.
Once you have general managers you can rely on, you can concentrate on executive duties such as overseeing marketing to drive leads and the finances.
Communicate with Franchisors
A franchisee's role includes communicating with their franchisor regarding reaching goals, obtaining necessary support, and more. As a multi-brand franchisee, you may communicate with more franchisors, but there are also franchisors that own multiple brands that complement one another.
Maintaining open lines of communication with your franchisors will help you track your success and allow you to share important information with the management of your units, such as technological updates, new signage, or new processes your franchisors want to adopt.
Keep an Eye on the Money
As a multi-brand franchise owner, one of your most important responsibilities is to ensure that all of your franchise locations fulfill their goals and that their finances are continuously in the black.
Making money is essential in every business. Knowing where your money is going is also important. By monitoring the financial information for all of your franchise locations, you can confirm that your managers are responsible and that there are no financial surprises.
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