Being mindful of your expenses is a critical responsibility for a multi-unit franchisee. However, that alone cannot drive your long-term success. If you focus only on cost control, you won’t be able to move forward with strategic thinking and growth for your business.

• Every franchise brand has a proven financial model, we call it unit economics. 

There are five things about your business and the franchise brand that you need to be aware of to truly maximize your profits, make the most of your investment, and be successful as a top-performing franchisee. 

1. Understand the Unit Economics of the brand

This is the first step for you to be a successful franchisee. Financially speaking, you need to know the limitations of the brand you invested in. That means, knowing how to maximize the average indicators based on the experience that the franchise has had in its existing years.

Some of those indicators are:

• The average revenue of the franchise.
• The...

Although the multi-unit franchise model is gaining popularity, the number of multi-unit franchisees and district managers is yet very little. 

• There are around 790,000 franchise units and the average franchisee has about 1.2 to 1.3 units each. That means that the vast majority of franchisees have only one unit. 

For that reason, there is not a lot of information on how and when to hire the district manager and what they should be doing every day. Until now.

In this blog post, we’ll break down what are the key elements of the district manager’s job description. With this information, you can set clear expectations of responsibilities, activities, performance, and behavior, to give them (and you) the best chances of success. 

District manager job description, part 1: Role

What is the role of a district manager within the organization? There are two answers to this question:

1. To grow and protect the brand, the business, and the people they are...

The biggest reason why district managers fail is that instead of doing the job of a district manager, they become glorified general managers, or what we at The American Franchise Academy call “Super GMs”. 

It all starts with the lack of knowledge and understanding of what their job really is, which creates a tremendous challenge for the organization. 

Not only that. You are wasting time and investment on this critical resource because they are not performing as they should and delivering the expected financial results.

What do these leaders look like? Why is having them a bad thing for your organization? And how can they correct the path to be successful and achieve the business goals? 

That’s what we’ll review in this blog post, so you can identify this problem, be aware of its consequences, and what they should be doing to have better district performance.

General managers vs. District managers

A general manager...

There is a big hype these days about multi-unit franchising not only among investors but also brands that want to grow with this model. It has gotten so much attention that there’s even an annual event, the Multi-Unit Franchising Conference, solely focused on guiding these types of franchisees to help them grow their multi-unit operations.

Discover my learnings throughout this year’s Multi-Unit Franchising Conference in this playlist!

If so many are taking this path, how much of a good idea is it to become a multi-unit franchisee? The answer depends on what are your business goals and what you want to achieve for your life and your future. 

To help you decide whether multi-unit franchising is for you, let’s review some pros and cons of multi-unit franchising. 

CON: You’ll have more work

PRO: Your job will be more interesting work

When you become a franchisee, it is all exciting. You have a new brand and new equipment, and the franchisor and...

Choosing the right franchise is a very challenging process. Some franchisees may have already started operations and still wonder if the business concept they acquire is the ideal one or not.

How can you tell if you have the right franchise for you? What can you do if you realize that the brand you chose is not your best fit? Answering these questions as quickly as possible is very important for your success as a franchise business owner. And that’s what we’ll be exploring in this blog post.

5 ways to detect if your franchise is the right one

First, you have to understand that every franchise is different, especially in terms of the effort and the support needed to operate. The unit economics in the business model is also different, even within the same industry.

Once you are clear on this, there are several reasons that'll make you suspect that a franchise is not perfect for you.

1. You have less revenue than you calculated

In most franchises, the level of...

There is so much talk about recession, whether we are in it or if it’s coming shortly. But what you need to worry about as a franchisee is how to make sure you are prepared for whatever happens in the economy.

You have to be aware that there might be global, countrywide, or local events that could affect your operations. That’s why you need to think through and act to make sure that your business is as protected as possible. That’s one of your jobs as a business owner: take the time to design strategies to minimize the negative impact of outside influences.

That’s when you work on your business, not in your business. Especially if you are a growing multi-unit franchisee, dedicating time to strategic thinking is critical to protecting your business, your people, and the brand that you invested money in.

Entering into survival mode? Review these tactics to grow in 2022 and beyond

In this blog post, I want you to analyze the questions you should ask yourself....

Building a profitable and proven brand is hard! But franchising allows entrepreneurs to own their business and achieve the time and financial freedom they want and deserve. Without franchises, many people wouldn't have the opportunity to make the American dream of business ownership a reality. 

But there’s a catch. Many franchisees come from a corporate background or haven't had a job for a little or a long time. And when they finally invest in a franchise, they realize how different it is to be an employee vs. owning a business.

Why is this? When you work for a company, your role within the organization dictates what you focus on day in and day out. Someone defines your goals and monitors your impact on the overall results. And, most importantly, you're clear on what your job is and the activities you must execute every day to accomplish the business objectives.

When you are an entrepreneur, especially a franchisee, that's not the case. You don’t have that...

Throughout my +30 years involved in the franchise industry, helping franchisees around the world, I’ve come to realize what is the #1 key to success for a franchisee. 

Of all the things that you need to learn and do when you invest in a franchise, if you don't have this, you are going to struggle as a business owner. How can you avoid this conflict? What is the number one key?

The secret is that you care about your people and they know and feel you care for them. It might sound simple, but sadly, sometimes franchisees and business owners forget to demonstrate and communicate this. 

Communicating this is crucial because even though we may do a lot of things for them every day, unless we share it and let them know why we're doing it, they won’t really know. 

With this blog post, I’m inviting you to reflect on what caring for your people truly means and if you are indeed demonstrating it or not. And, of course, I’m giving you tips and information...

AFA 6th Anniversary Celebration

July 18 marked our sixth anniversary. Six years of great achievements not only for The American Franchise Academy (AFA) but also for the clients that have trusted us during this time to help them become successful franchise business owners. (Thank you for that!)

It's amazing how what started as a deviation from my sabbatical came to be this organization that for the last six years, has been serving franchisees and their leaders, giving them knowledge and information so that they can thrive with their businesses, reach financial and time freedom, and fulfill their dreams.

To commemorate this joyous occasion, I invited Curtis Moore, an ex-Dunkin Donuts franchisee, expert district manager, and also one of our AFA’s instructors, to a live broadcast on my YouTube Channel.

During this special session, Curtis and I shared some insights that have helped the Academy and its clients reach their goals. Here are six insights of success that we came up with...

Many franchisees struggle to achieve the goals they expected when they bought their franchise because success in this industry requires more than just hard work, time, dedication, and commitment. 

Sure, some investors eventually are able to grow into a successful multi-unit organization and become top-performing franchisees. Still, most franchise owners don’t achieve this level of success. They continue to struggle daily, trying to compensate for the things they don't know or don't have with more work, longer hours, and using the franchise as their job.

Why does this happen? Because even though they know something is broken, they don't know precisely what it is or how to fix it. That’s where the challenge comes with most franchisees. 

The good news is that there’s a solution. We at The American Franchise Academy came up with four steps that will help you determine what's missing within your business and what you can do to fix your franchise so you can...