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574. Why Franchising Represents a Better Path to Business Ownership · Be It Till You See It

0:00
[SPEAKER_01]: franchising is not right for everyone.
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[SPEAKER_01]: I think there's some people that's your point or two entrepreneurial that want to put their thumb prints all over a business and you know it may not be a good fit for them.
0:08
[SPEAKER_01]: However for the vast majority it's my humble belief that franchising represents a better path to business ownership.
0:14
[SPEAKER_02]: Welcome to the be it till you see it podcast where we talk about taking messy action knowing that perfect is boring.
0:21
[SPEAKER_02]: I'm also Logan, prize instructor and fitness business coach.
0:25
[SPEAKER_02]: I've trained thousands of people around the world and the number one thing I see stopping people from achieving anything is self doubt.
0:33
[SPEAKER_02]: My friends, action brings clarity and it's the antidote to fear.
0:40
[SPEAKER_02]: Each week my guests will bring bold, executable, intrinsic and targeted steps that you can use to put yourself first and be it till you see it.
0:50
[SPEAKER_02]: It's a practice, not a perfect, let's get started.
0:57
[SPEAKER_02]: All right, be a babe.
0:58
[SPEAKER_02]: I have a topic we have never touched.
1:00
[SPEAKER_02]: I'm so jazzed about this.
1:02
[SPEAKER_02]: I actually found it really, really fascinating.
1:05
[SPEAKER_02]: And this year is like my year of being curious and understanding more and more about businesses as our business continues to grow.
1:10
[SPEAKER_02]: And so when I met John Austin,
1:13
[SPEAKER_02]: I've so much more knowledge.
1:14
[SPEAKER_02]: So much more understanding, so much more excitement and inspiration.
1:17
[SPEAKER_02]: And I really wanted to bring this to you because I know how many of you are like wanting to make other income, wanting to make more income.
1:24
[SPEAKER_02]: One of the questions I get all the time is like, how do I make passive income?
1:26
[SPEAKER_02]: How do I have another income stream?
1:28
[SPEAKER_02]: I know the managing your money and stocks can be overwhelming.
1:31
[SPEAKER_02]: And so I wanted to bring a whole topic to you that I think could be really, really fascinating.
1:36
[SPEAKER_02]: So John Austin's in is the author of non-food franchising.
1:40
[SPEAKER_02]: His company is Fran Bridge consulting.
1:43
[SPEAKER_02]: And so we're gonna stop out franchises.
1:45
[SPEAKER_02]: And if you're like, oh, this can be so bad.
1:46
[SPEAKER_02]: I promise you it's anything but boring.
1:48
[SPEAKER_02]: It's quite fascinating.
1:49
[SPEAKER_02]: Even if you never go into this, you'll actually like look at franchises and different businesses in a whole different light.
1:54
[SPEAKER_02]: And I found it to be really eye-opening.
1:56
[SPEAKER_02]: And I feel like a lot of my friends should be doing this.
1:59
[SPEAKER_02]: And I don't know.
2:00
[SPEAKER_02]: Maybe maybe I'll create a portfolio into this too.
2:03
[SPEAKER_02]: But I now have so much more understanding.
2:05
[SPEAKER_02]: And I'm really excited for you to have that because to be it till you see anything,
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[SPEAKER_02]: the first thing we need to have answers and understanding and also some curiosity and a topic, we might not have known anything about.
2:14
[SPEAKER_02]: So if you've been wanting to start a business, maybe instead of starting something new, you actually want to franchise.
2:19
[SPEAKER_02]: And so here is John Austinson.
2:21
[SPEAKER_02]: Alright, be it babe.
2:22
[SPEAKER_02]: I'm really excited.
2:23
[SPEAKER_02]: I've read the book by our guest today and this is a really interesting topic we have never talked about and I've always been slightly interested in and now I'm even more intrigued.
2:31
[SPEAKER_02]: So John Austin is our guest today.
2:34
[SPEAKER_02]: Can you tell everyone who you are and what you rock at that's so unique, so niche and so wonderfully that we need to talk about it?
2:40
[SPEAKER_01]: Yeah, absolutely, no way.
2:41
[SPEAKER_01]: John Ophison here in Atlanta, Georgia, I've got three young kids at Chase Ram on daily basis, but you know, I spend most of my time helping my clients find the right businesses for them.
2:50
[SPEAKER_01]: And so, you know, we work with over six hundred different franchise brands and what I call non food franchising.
2:55
[SPEAKER_01]: So it's all these industries outside of fast food that incorporate franchising and
2:59
[SPEAKER_01]: Yeah, it's entirely free to work with us and I get to help our clients navigate what are the top opportunities given their background, their interest, what they're looking to do, what are those top available opportunities in their market that can be fit for them?
3:10
[SPEAKER_02]: I, so I really, this is like really interesting because, first of all, of course, growing up, I only knew like a food franchizers and I'm just not into cleaning a kitchen.
3:20
[SPEAKER_02]: So like that was
3:22
[SPEAKER_02]: You know, I'm saying, and then also like in my industry, there are now like franchises in the Poliz world, but there's always been franchises in the fitness world.
3:31
[SPEAKER_02]: And I guess like, I guess where we get start is like, why would someone do a franchise versus like start their own non-food business?
3:39
[SPEAKER_02]: You know, like what would be like the things that they're thinking about?
3:42
[SPEAKER_02]: Because one of the reasons I want to have you on is we have had a lot of coaches and we're entrepreneurial.
3:46
[SPEAKER_02]: And I also think like not everyone.
3:49
[SPEAKER_02]: is an entrepreneur, but also I don't want to like tell people that.
3:52
[SPEAKER_02]: Like I think they need to figure that out for themselves.
3:54
[SPEAKER_02]: So why would someone franchise versus start something themselves?
3:57
[SPEAKER_01]: Yeah, a great question.
3:59
[SPEAKER_01]: And, you know, franchising is not right for everyone.
4:01
[SPEAKER_01]: I think there's some people that's your point or two entrepreneurial that want to put their thumb prints all over a business.
4:05
[SPEAKER_01]: And, you know, it may not be a good fit for them.
4:08
[SPEAKER_01]: However, for the vast majority, it's my humble belief that franchising represents a better path to business ownership.
4:14
[SPEAKER_01]: You've got a lot of things already in place.
4:17
[SPEAKER_01]: You've got a proven business model that's been successful in other markets.
4:20
[SPEAKER_01]: You've got a coach on the sidelines, not franchise order that's supporting you and their team.
4:24
[SPEAKER_01]: You've got other franchisees that are living the same thing day in, day out in their market street constantly, exchanging best practices to end business for yourself, but not by yourself.
4:32
[SPEAKER_01]: And, you know, being able to step into a business where on day one, the marketing is pretty close to optimized because they know how to run, you know, and the franchise has worse than a lot of that for you.
4:41
[SPEAKER_01]: You've got efficiencies in supply chain and there's just a lot of opportunity that franchising opens up.
4:47
[SPEAKER_01]: What I tell our clients is, hey, you may double down and triple down our franchises and build a whole empire of franchises with a lot of our clients do, or you may decide, hey, after franchising, let's go start my own business.
4:57
[SPEAKER_01]: I guarantee that next business is going to be better for having had that franchise experience and understanding.
5:02
[SPEAKER_01]: How do you stand up at business?
5:03
[SPEAKER_01]: What are the best practices in the processes to go around it?
5:07
[SPEAKER_02]: Yeah, I mean, like, I think that's really cool because I remember, you know, when I wanted to, first of all, when I began playing, I started writing, I never thought, I'd own a studio because I worked at it.
5:15
[SPEAKER_02]: I rented from a studio and I saw how much stress she was under.
5:18
[SPEAKER_02]: And then I worked for a company, a high-end fitness business, and I got to run a studio for them.
5:22
[SPEAKER_02]: And I was like, oh, this is so nice just to have everyone tell me the budgets and tell me how much it people are getting paid and do all the math.
5:31
[SPEAKER_02]: And then I can just do the thing that I really love.
5:34
[SPEAKER_02]: And so, in a way, that's kind of like what you're saying.
5:37
[SPEAKER_02]: a franchise is approve it like it's a business that's already been an existence that's proven like who they're for what they do, how they market and so you get to kind of hit the ground already running in some ways am I right?
5:51
[SPEAKER_01]: Yeah, you're starting third based instead of first.
5:53
[SPEAKER_01]: You're not having to test everything.
5:54
[SPEAKER_01]: Now, exchange your pain or loyalty back to the franchise or write and franchise isn't just like everything.
5:59
[SPEAKER_01]: You know, not every company is created the same.
6:01
[SPEAKER_01]: Every industry's got good players.
6:03
[SPEAKER_01]: You've got ones aren't as strong.
6:04
[SPEAKER_01]: That's where we come into help our clients really identify the companies that are providing the most value they can get them to where they want to be.
6:11
[SPEAKER_02]: Yeah.
6:11
[SPEAKER_02]: So I guess then I guess maybe I should have started with.
6:14
[SPEAKER_02]: What is a franchise?
6:16
[SPEAKER_02]: Maybe it's just sort of there.
6:18
[SPEAKER_02]: And then also, if you can talk about like, do companies that are franchises, they have already been in business before they're selling off businesses or they start out that way, like do get it on the ground level.
6:30
[SPEAKER_01]: Yeah, well, hopefully they've already proven out the model.
6:32
[SPEAKER_01]: Okay.
6:33
[SPEAKER_01]: At least in one location, if not in multiple locations, you know, and they're well capitalized, they've got a team to support franchises, but franchising it at some roots, you know, it's really three things.
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[SPEAKER_01]: It's a shared brand.
6:44
[SPEAKER_01]: We all know that.
6:45
[SPEAKER_01]: But then it's, you know, that there's a system and there's guidance and there's value being provided from a home office to that franchisee to that location.
6:54
[SPEAKER_01]: The franchisee is giving some sort of payment back in the form of a royalty typically.
6:58
[SPEAKER_01]: to that franchise store.
6:59
[SPEAKER_01]: So it's really those three things.
7:00
[SPEAKER_01]: So there are companies out there that are probably operating as franchises that may not have franchise.
7:04
[SPEAKER_01]: But technically, that's what a franchise is.
7:08
[SPEAKER_01]: And again, when I say the F word franchise, people think fast food.
7:11
[SPEAKER_01]: I mean, that's what comes to mind.
7:12
[SPEAKER_01]: But there's so many different industries out there outside of food.
7:15
[SPEAKER_01]: And I've got nothing against the food guys.
7:18
[SPEAKER_01]: We need them.
7:18
[SPEAKER_01]: We support them.
7:20
[SPEAKER_01]: But again, there are easier ways to make money that may require less employees, less operating hours.
7:26
[SPEAKER_01]: that may carry higher margins because you don't have the food waste, they may be less susceptible to consumer whims.
7:32
[SPEAKER_01]: You know, I always say that frozen yogurt was big until it wasn't.
7:35
[SPEAKER_01]: Most of our clients are liking opportunities that aren't trendy, they're not going out of style and they'll always be mainstream.
7:41
[SPEAKER_02]: Yeah, can we talk about like what are like some of the, what are some of the non-food franchise like either if you want to name names or if you want to name like areas of business?
7:51
[SPEAKER_02]: Because maybe it would help people to hear like there's actually franchises in an industry.
7:55
[SPEAKER_02]: They already have experience in.
7:56
[SPEAKER_01]: Yeah, you know, and I'd say ninety percent of our clients get into something in an industry.
8:01
[SPEAKER_01]: They don't have experience in it.
8:02
[SPEAKER_01]: And that's a beauty of franchisings that allows for those pivots.
8:05
[SPEAKER_01]: But you take the transferable skill set.
8:06
[SPEAKER_01]: So yeah, examples there were seen a lot of interest.
8:09
[SPEAKER_01]: I'd say in the general theme.
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[SPEAKER_01]: businesses that will do well, regardless of the economy, regardless of tariffs, regardless of other exterior factors.
8:19
[SPEAKER_01]: And so it's things that people will always spend money on.
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[SPEAKER_01]: So home and property services are huge area health and wellness.
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[SPEAKER_01]: McKinsey just came out of the studies saying it's now at four hundred eighty billion dollar a year industry in the US growing at ten percent.
8:31
[SPEAKER_01]: So health, you know, wellness is now mainstream, which I know you would agree with.
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[SPEAKER_01]: It's categories like kids, pets, seniors.
8:38
[SPEAKER_01]: Again, things that people will always spend money on regardless.
8:42
[SPEAKER_01]: And, you know, within these are so many different niches.
8:44
[SPEAKER_01]: I mean, I, I can just
8:46
[SPEAKER_01]: You know, I'm thinking of in home senior care.
8:48
[SPEAKER_01]: We have a lot of clients doing that.
8:49
[SPEAKER_01]: But then I've had clients that have been placed there at the came back said, Hey, John, what's the potential opportunity that can tag onto this and introduce them to one that provides wheelchair ramps and stair lifts and retrofitting within a home, allowing people to age in place, you know, youth soccer.
9:04
[SPEAKER_01]: I've had so many clients do well in youth soccer, you know, tutoring, kids related
9:09
[SPEAKER_01]: You know, pets everything from pet grooming, to pet boarding, to dog training, you know, but that... That's crazy.
9:15
[SPEAKER_02]: Because I would never have thought those things.
9:17
[SPEAKER_02]: And also, like, because we travel around the world, we're talking about the favorite record.
9:20
[SPEAKER_02]: And I find myself like, like, in shock.
9:23
[SPEAKER_02]: Sometimes, like, I see a business and I'm like, like, how much did they need to get started?
9:27
[SPEAKER_02]: You know, because like, what I love about like, like, what are the things that kept me from trying my own studio is like, just the barrier of entry?
9:33
[SPEAKER_02]: I didn't know how to read a lease?
9:37
[SPEAKER_02]: I didn't know what kind of insurance I needed to have outside of what they can insurance I had as a renter I didn't know that and then I had to like buy all the equipment and then it's like oh like literally my clients came to first I like where's a trash can it's like oh yeah we need a trash can like you know you know I was like I was like five by the same my pants but like what you're saying is like I if I was like I need a change in my life or I actually just want to have something that's working alongside what I'm already doing
10:04
[SPEAKER_02]: I can go into another industry and then they already have the blueprint.
10:09
[SPEAKER_02]: So like I already know how much is going to cost me to go all in.
10:13
[SPEAKER_02]: I know how much is going to cost me to run it and I also have an idea in theory, at least that's like a learn from this from your book.
10:20
[SPEAKER_02]: of like what I could make off of this investment which is a little different than stock market like you think I mean we all hope it's going up right now we're right in a different way but like you know so am I right when I say like there's like a nice blueprint there that kind of allows you to know more about what you don't know
10:38
[SPEAKER_01]: Absolutely, no, you go in and, you know, nothing's ever sure thing, right?
10:41
[SPEAKER_01]: I never want to put in like it is.
10:42
[SPEAKER_01]: Business ownership's hard.
10:44
[SPEAKER_01]: It takes work.
10:44
[SPEAKER_01]: If it was easy, everybody would be a business center.
10:47
[SPEAKER_01]: A French, I think, does make it a lot easier and a lot more predictable, right?
10:50
[SPEAKER_01]: I mean, that's why banks love providing SBA loans for franchises over startups, right?
10:54
[SPEAKER_01]: It's just more predictable.
10:55
[SPEAKER_01]: And the success rates are obviously a lot higher than all the data shows.
10:59
[SPEAKER_01]: You know, but I'd say going in, you know, there's a whole exploration process.
11:04
[SPEAKER_01]: And that's where we take our clients through, hold their hand as they're having these conversations with their franchises, you know, learning a lot, asking good questions.
11:12
[SPEAKER_01]: They get a chance to talk to other franchises in that system before they ever buy.
11:16
[SPEAKER_01]: You know, they get kind of the inside knowledge.
11:18
[SPEAKER_01]: They get a franchise disclosure document, which is the history of the franchise and all the information and to your point, the financials, I'm the all in investment.
11:25
[SPEAKER_01]: And you know, there's going to be some variability in there, but outlines that.
11:28
[SPEAKER_01]: And then talks about the historical financial results, what you could expect to make if you execute according to plan.
11:35
[SPEAKER_01]: And so, you know, you can make disproportionate returns on your investment.
11:39
[SPEAKER_01]: Again, because you're putting effort in, right?
11:41
[SPEAKER_01]: If it was just thrown in an index fund, you know, you're not going to be able to make, you're going to be capped at what you make.
11:46
[SPEAKER_01]: However, with this, you also get the tax benefit.
11:49
[SPEAKER_01]: So it's really a, I call it a trifecta, you're building towards cash returns.
11:54
[SPEAKER_01]: obviously playing an asset that's going to have exit value down the road and, you know, in all likelihood, you'll sell to another franchise, the insistence and that's a very common.
12:01
[SPEAKER_01]: And then third, you get the tax benefits of business ownership, you know, and if you have a W to job or spouse with a W to, I mean, this could be a rate offset.
12:09
[SPEAKER_01]: I mean, there's so many levers that the government set up the tax playbook to incentivize business ownership.
12:15
[SPEAKER_02]: Yeah.
12:16
[SPEAKER_02]: One of the reasons why we love being a business owner.
12:19
[SPEAKER_02]: Definitely enjoy those.
12:20
[SPEAKER_02]: I want to just kind of tap into something because you talk about like being at W two.
12:24
[SPEAKER_02]: So realistically, how many people do you know like have a job and then have a franchise that's successful?
12:31
[SPEAKER_02]: Like are they overworking at the a hundred twenty hour workweek kind of person or like is that a normal thing that people can do?
12:38
[SPEAKER_01]: Roughly half of our clients start out with a manager in place.
12:41
[SPEAKER_01]: It's what franchising would call semi passive or semi absentee or executive model.
12:47
[SPEAKER_01]: I always want to say, hey, stop, you know, let's not should or code this.
12:51
[SPEAKER_01]: It takes work to stand up a business.
12:53
[SPEAKER_01]: You know, I don't want to ever pretend like it doesn't.
12:55
[SPEAKER_01]: You know, it is very doable within a franchise system because you've got a franchise or in their team supporting that manager that you put in place on a day-to-day basis.
13:05
[SPEAKER_01]: They can answer a lot of the questions and kind of hold their hands so it takes some of the burden off of you.
13:09
[SPEAKER_01]: So much of it, your ramp up time and success comes down to who you put in that place.
13:14
[SPEAKER_01]: You can have a great vehicle.
13:15
[SPEAKER_01]: You still have to have a great driver.
13:16
[SPEAKER_01]: So someone that has fire in the belly that you incentivize, you know, that's a hard worker.
13:22
[SPEAKER_01]: They can make your life very easy, but if it's not the right person, you can find yourself with some headaches and leaning in.
13:27
[SPEAKER_01]: So I think that is the biggest variable that I see.
13:30
[SPEAKER_01]: But I've got so many success stories of clients that have gone that path.
13:34
[SPEAKER_01]: I should always want to make sure that they go and eyes what open that in the early going, especially it'll take work.
13:39
[SPEAKER_02]: Yeah, yeah, I mean, like, I think that's really important.
13:41
[SPEAKER_02]: Okay, let's just take a step back on how did you get into doing this?
13:45
[SPEAKER_02]: Like, did you, did you always know like you would gain franchises?
13:48
[SPEAKER_02]: Like, did you fall into franchises?
13:50
[SPEAKER_02]: Like, tell us a journey that got you here.
13:52
[SPEAKER_01]: Yeah, you know, like, so many of your listeners, I spent many years in the corporate world and you went to grad school and did all things you're supposed to do as a W two and had a great run.
14:01
[SPEAKER_01]: But you know, how that desire like so many to be a business owner and to do something more entrepreneurial and didn't know whether what it looked like and I really fell into franchising.
14:09
[SPEAKER_01]: So about eight years ago, I left the corporate world that seemed the reigns of a business called shelf genie, which is a large franchise system.
14:15
[SPEAKER_01]: I served as their president supporting
14:18
[SPEAKER_01]: Our home office and all of our franchisees, and I really fell in love with the franchise model through that experience.
14:23
[SPEAKER_01]: And I just saw how so many different backgrounds got involved in a shared system because of the support that we were providing.
14:29
[SPEAKER_01]: So long story short, I partnered with the founder of that company.
14:32
[SPEAKER_01]: We spun off.
14:33
[SPEAKER_01]: We've invested in franchises ourselves.
14:35
[SPEAKER_01]: I've continued to invest in franchises on my own outside of that.
14:38
[SPEAKER_01]: So I've been a franchise or I am a multi-brain franchisee as well.
14:41
[SPEAKER_01]: And I
14:42
[SPEAKER_01]: We started the consulting practice about six years ago and now I give it most of my full-time focus and just love helping others connect the dots because I just hear the same conversations every day.
14:55
[SPEAKER_01]: So many people oftentimes mid-life, they're saying, gosh, you know, look around and they all know some business owners and they see them out playing golf or going their kids activities and they say, there's a little bit of phoma, right?
15:06
[SPEAKER_01]: And but they say, I don't have that genius idea.
15:08
[SPEAKER_01]: I'm a little risk of birth.
15:10
[SPEAKER_01]: I don't know where to start.
15:11
[SPEAKER_01]: That's where I come in and say, hey, look at all these other people that have done done this through franchising with similar backgrounds and here's why it worked for them.
15:19
[SPEAKER_01]: So absolutely love helping them.
15:21
[SPEAKER_01]: I personally on the franchise e-front.
15:24
[SPEAKER_01]: This just shows a little bit of the variety out there.
15:26
[SPEAKER_01]: I kind of like home and property services personally.
15:29
[SPEAKER_01]: So I've got one business that
15:31
[SPEAKER_01]: It works on parking lots, it provides asphalt paving and line strapping.
15:34
[SPEAKER_01]: You know, non-sexy need-based industry, right?
15:36
[SPEAKER_01]: Yeah.
15:37
[SPEAKER_01]: You got another one.
15:38
[SPEAKER_01]: We've got another one.
15:39
[SPEAKER_01]: It's almost like an equipment rental business.
15:41
[SPEAKER_01]: It provides temporary walls like containment walls around renovation projects and construction sites.
15:45
[SPEAKER_01]: It's a great B to B business.
15:47
[SPEAKER_01]: I've got one that this is kind of more in the health and wellness genres.
15:51
[SPEAKER_01]: It uses three deep printing to provide custom inserts and insoles for shoes, right?
15:57
[SPEAKER_01]: It talked about a niche, right?
15:58
[SPEAKER_01]: But we cater a little bit to the older population.
16:00
[SPEAKER_01]: So I've got it down in Del Ray, Florida, which is a great market.
16:03
[SPEAKER_01]: I've got another one where I'm on the franchise or site.
16:05
[SPEAKER_01]: I'm invested that provides custom pull-out shelving for your kitchens and pantries and stay at home moms are great for that business.
16:13
[SPEAKER_01]: They're great designers.
16:14
[SPEAKER_01]: They work when they want to and go in and be very conversational.
16:18
[SPEAKER_01]: It's just cool that, you know,
16:19
[SPEAKER_01]: We're creating a lot of jobs out there and helping a lot of communities.
16:23
[SPEAKER_02]: Okay, that is so all those things I would not have thought that like those are franchises.
16:27
[SPEAKER_02]: I guess I just thought like some guy in Las Vegas like sort of business like putting fences.
16:34
[SPEAKER_02]: You know, and then it's like, but then I do see like, oh, it's a company and then you're like, oh, like, oh, who got into like having a business in every city that has like fences, but
16:43
[SPEAKER_02]: Now that I'm like, you know, now that the wolves have pulled over my eyes, I can understand away from my eyes.
16:47
[SPEAKER_02]: I can see like, oh, these are companies that caught started and then they had success and then they basically created a blueprint that they could sell to other people and then that's how they spread their wings because they've got good systems in place and then people like you or people like listen, you're like, oh, I could do that.
17:05
[SPEAKER_02]: I actually like
17:06
[SPEAKER_02]: I have the funds for that.
17:07
[SPEAKER_02]: I like that area, or I, you know, I can have the time for that.
17:11
[SPEAKER_02]: I just wouldn't have thought that those are those, there's things out there.
17:14
[SPEAKER_02]: And I was reading your book.
17:15
[SPEAKER_02]: One of the things that we all have to realize is like, there's a massive population of people are getting older.
17:19
[SPEAKER_02]: And there is not enough like services for them.
17:23
[SPEAKER_02]: And so like to be able to get into a franchise that is like servicing those people that they have for a necessity they need.
17:30
[SPEAKER_02]: It's kind of nice.
17:31
[SPEAKER_02]: I guess I have a question.
17:33
[SPEAKER_02]: How much of what you have to do as a franchise E as far as the marketing goes?
17:39
[SPEAKER_02]: Like, are you creating the marketing does the franchise or that's the parent company, right?
17:43
[SPEAKER_02]: Like the owner, do they come up with the marketing strategy and you just like put it out there?
17:47
[SPEAKER_02]: Like, I guess I'm wondering, like, how much of it do be created?
17:49
[SPEAKER_02]: Because I have a lot of people like, I want to do this, but I hate social media.
17:52
[SPEAKER_02]: All right, hate writing a newsletter or I hate doing the money and the taxes.
17:57
[SPEAKER_02]: Like, how much does the actual franchise are due for you?
18:01
[SPEAKER_01]: Yeah, it's certainly a varies, but I'd say in most cases, the franchise or leans and pretty heavy on the marketing side, and that's one of the value answer they're bringing, so they're creating collateral and brand standards and customizing things for you for your location, but.
18:13
[SPEAKER_01]: You know, typically they have an in-house marketing team.
18:16
[SPEAKER_01]: They may partner with an outside digital marketing firm that's running all your Google ads and social media ads and such.
18:22
[SPEAKER_01]: You know, oftentimes they encourage you to get involved on the organic side of social media.
18:25
[SPEAKER_01]: So it's, you know, hey, I've got a home show coming up.
18:27
[SPEAKER_01]: Hey, look at this great job.
18:29
[SPEAKER_01]: We just got a five-star review.
18:30
[SPEAKER_01]: But again, if you need help with that, most of them are able to lean in pretty heavy because I do have a lot of clients like you said that they, hey, I don't want anything to do with marketing or lead generation and
18:41
[SPEAKER_01]: In some cases, you have franchises that have national accounts.
18:43
[SPEAKER_01]: That's a great lead generator.
18:45
[SPEAKER_01]: In some cases, they have an in-house call center that's actually sometimes making outbound calls or at a minimum taking endbound calls, setting appointments for you.
18:54
[SPEAKER_01]: As you go through the expiration process, you want to say what values that franchises were providing for the loyalty that I'm giving them, and make sure that there's tangible things that they're doing for you oftentimes on the marketing side as an example.
19:05
[SPEAKER_02]: Yeah.
19:06
[SPEAKER_02]: Okay, you talked about roles.
19:07
[SPEAKER_02]: I guess for the person doesn't understand what that means.
19:10
[SPEAKER_02]: What is that?
19:11
[SPEAKER_02]: And then what are we, what can someone expect on like, maybe not like the best end, but like an average, an average earnings.
19:19
[SPEAKER_01]: Yeah, so I'd say six to eight percent royalty typically is common revenue.
19:24
[SPEAKER_01]: And when you look at financial projections of a franchise system, they're always going to net out for that royalty.
19:29
[SPEAKER_01]: Right.
19:29
[SPEAKER_01]: And that's part of the business model.
19:30
[SPEAKER_01]: But again, those are oftentimes expenses that you would be paying on your own elsewhere from an earnings standpoint.
19:36
[SPEAKER_01]: Well, first off from an investment standpoint.
19:39
[SPEAKER_01]: I mean, we have some clients are getting into big, seven figure deals, but most people, like when you look at service base businesses and you're all in investment, your franchise fee startup costs, several months of working capital, and oftentimes you're in the hundred and fifty thousand to three hundred thousand range all in.
19:53
[SPEAKER_01]: And some of our clients are using cash, most like the idea of using an SBA loan, where maybe they put in fifty thousand cash and then they
19:59
[SPEAKER_01]: using SBA loan for the balance.
20:01
[SPEAKER_01]: Some are using an old four one K from the previous employer and rolling that over, which is very doable and through what's called the Rob's program.
20:08
[SPEAKER_01]: So we help them with all of that.
20:09
[SPEAKER_01]: But from an earnings standpoint, it definitely varies.
20:12
[SPEAKER_01]: You always want people to take a conservative approach.
20:14
[SPEAKER_01]: There are businesses that will start cash flowing as early as three months in.
20:18
[SPEAKER_01]: Oftentimes what you see is maybe six months, six to twelve months, somewhere in that range.
20:22
[SPEAKER_01]: Again, we always want to be conservative, but no, you can make disproportionate returns.
20:26
[SPEAKER_01]: So let's say your all investment was two hundred thousand.
20:28
[SPEAKER_01]: From their businesses out there where you can conceivably do a million dollars per first year.
20:32
[SPEAKER_01]: I mean, they're a good number of those.
20:35
[SPEAKER_01]: And oftentimes you're kicking off fifteen to twenty percent to the bottom line.
20:38
[SPEAKER_01]: So call it one fifty to the bottom line.
20:40
[SPEAKER_01]: And you may not get that in year one, but that may be your run rate at the end of year one.
20:45
[SPEAKER_02]: one fifty on an investment two hundred thousand that's seventy five percent yeah and then you're doing you're doing that every year and you're going to sell that business down the road so again but you're putting effort in right right well and it's like like I'm just like just for whatever I when I open up my studio which was a small studio I know my bank did not get me alone
21:06
[SPEAKER_02]: I've been in business for so many years.
21:07
[SPEAKER_02]: I'm like, look, I make over six figures and I just want like a forty thousand dollar loan and they like laughed in my face.
21:13
[SPEAKER_02]: So I used credit card, but it was the investment was like forty thousand dollars on equipment.
21:17
[SPEAKER_02]: It's all I had to do.
21:18
[SPEAKER_02]: And then obviously my rent and everything.
21:19
[SPEAKER_02]: And of course, yes, I because it was on a credit card.
21:22
[SPEAKER_02]: I pay that jet off.
21:23
[SPEAKER_02]: But like you do only have to ideally only buy that equipment one time, right?
21:28
[SPEAKER_02]: So there's that.
21:29
[SPEAKER_02]: But to
21:31
[SPEAKER_02]: to your point, like the money that or time I had to spend on marketing my business, on coming up with the marketing, on testing it out, on doing all that stuff, on to also collaborating, also doing the organic, all that stuff.
21:42
[SPEAKER_02]: It starts to go, sometimes you're like, it would be nice if someone could take this off.
21:45
[SPEAKER_02]: And even if you're like, oh, less I'll just hire an agency.
21:48
[SPEAKER_02]: Y'all, I have talked to marketing agencies.
21:50
[SPEAKER_02]: They are not just six percent.
21:53
[SPEAKER_02]: Like some, like, you know, you think about like the marketing agency and the account and the organization and the hiring practices and the onboarding.
22:00
[SPEAKER_02]: All that stuff costs money.
22:02
[SPEAKER_02]: And so sometimes it's kind of like, it's almost like,
22:06
[SPEAKER_02]: It's fifty pers, it's fifty one way.
22:07
[SPEAKER_02]: If it doesn't one way, half it has another.
22:09
[SPEAKER_02]: It's kind of like, if you really want to make your own thing and be your own thing, then go do your own thing and you'll have all the same expenses.
22:16
[SPEAKER_02]: But I can't believe, and I don't know, I can't believe it, that an SBA law would be easier to get if you're going to franchise.
22:22
[SPEAKER_02]: But I make sense because there's a proven track record from all the other businesses and the SBA is like, oh, this is like very risk-free.
22:28
[SPEAKER_02]: It took us
22:30
[SPEAKER_02]: a pandemic to an SBA loan, because they were just giving them away.
22:32
[SPEAKER_02]: And then recently, a lovely bank helped us get an SBA loan, but like, it's not easy when you work for yourself and a non-proven kind of a thing to get loan.
22:42
[SPEAKER_02]: So it sounds really cool that that would be an option for people.
22:46
[SPEAKER_01]: Yeah, and probably two thirds of our clients use them.
22:48
[SPEAKER_01]: We really don't have issues getting them.
22:49
[SPEAKER_01]: As long as you have some I decent credit, then, you know, they have that confidence in the franchise.
22:54
[SPEAKER_02]: That's so cool.
22:56
[SPEAKER_02]: That is really cool.
22:57
[SPEAKER_02]: Okay.
22:58
[SPEAKER_02]: So I guess, you know, there's high people going, oh my gosh, like I don't know, like I'm not confident as a business owner.
23:06
[SPEAKER_02]: Do you have to, like, would you suggest like you have to have some sort of management experience or do you have people who like do the franchisers like support you in leading a team and how to lead the business that you're doing or like are you having to figure that yourself?
23:20
[SPEAKER_01]: Yeah, there are some franchises where you really don't have to have a team.
23:23
[SPEAKER_01]: You know, you can be kind of a solo printer in a way or maybe have an assistant.
23:26
[SPEAKER_01]: Most of them do involve people and people always ask me, what does it take to be successful on franchising?
23:30
[SPEAKER_01]: And really it's two things.
23:31
[SPEAKER_01]: It's one you're good with people.
23:32
[SPEAKER_01]: You don't have to be great.
23:34
[SPEAKER_01]: You have to be someone that people want to work with, work for.
23:37
[SPEAKER_01]: So that's just business one-to-one.
23:38
[SPEAKER_01]: And then secondly, you're willing to follow a system.
23:41
[SPEAKER_01]: where I see people get in trouble in franchising is that they come in and they think they're the smartest guy in the room and they don't have the humility to actually learn from others and to follow up system even if they have questions.
23:51
[SPEAKER_01]: When I was at shelf genie, our best franchises were the ones that followed the system in the closest.
23:56
[SPEAKER_01]: That sounds so cliche, but it's true.
23:59
[SPEAKER_02]: I mean, this has been the minute this is for myself for fifteen years.
24:04
[SPEAKER_02]: Like how like there are some days and I'm like, I just wish there was a fucking blueprint that I could just wake up, follow.
24:12
[SPEAKER_02]: Like there's days and I'm like, so I can't imagine like not only take advantage of that, but I guess like maybe that would be the person who wouldn't be right for for franchising and maybe they shouldn't have gotten into it in the first place.
24:23
[SPEAKER_01]: Yeah.
24:24
[SPEAKER_01]: No, I've seen clients do very well with the in a franchise system.
24:26
[SPEAKER_01]: Then you know, I have a client that didn't do well in it and the feedback from the franchise or was said, what's going on?
24:32
[SPEAKER_01]: Why is it working for them?
24:33
[SPEAKER_01]: Not for them.
24:34
[SPEAKER_01]: You said, we've coached them.
24:35
[SPEAKER_01]: We've done everything we can.
24:36
[SPEAKER_01]: They're not willing to follow this system.
24:38
[SPEAKER_01]: It's nothing, but certainly if you have any business experience that, you know, there's transferable skill sets, definitely help it, maybe give you a leg up.
24:45
[SPEAKER_01]: But I've got plenty of clients, you know, doctors or a big client, a clientele of ours, most of them don't have business experience.
24:51
[SPEAKER_01]: They maybe really academic smart and smart in their little niche, but they don't have that business experience.
24:57
[SPEAKER_01]: They love the idea of they know how to learn and they're willing to learn and they're willing to follow the playbook, the textbook.
25:02
[SPEAKER_01]: And so they come in and they say, hey, we want to flex that intellectual muscle.
25:06
[SPEAKER_01]: And most of them are keeping the day job.
25:08
[SPEAKER_01]: You know, they've invested too much to walk away from that.
25:10
[SPEAKER_01]: But they put a manager in place and they go out and run a restoration business or a, you know, mobile tech grooming business.
25:16
[SPEAKER_01]: You know, something that allows them to flex that intellectual curiosity a little bit.
25:22
[SPEAKER_02]: What is so cool?
25:23
[SPEAKER_02]: I just think it's so cool.
25:24
[SPEAKER_02]: I never thought about, I'll be really honest, I actually never thought about owning a franchise.
25:30
[SPEAKER_02]: I have been wondering and been very curious of like, what if I wanted to open up something that I made into a franchise?
25:36
[SPEAKER_02]: Like that has been on my mind a lot lately.
25:38
[SPEAKER_02]: But the more I read your book, the more I'm like, what a cool investment strategy.
25:42
[SPEAKER_02]: Like, you know, just to diversify how you're investing for retirement and wealth and like generational wealth.
25:49
[SPEAKER_02]: I don't have any kids, but like,
25:50
[SPEAKER_02]: It would be cool to have have another way of having an income stream or a way of growing wealth without having to.
25:59
[SPEAKER_02]: That it's not work, but also just not rely solely on what my wealth manager is doing with my stocks.
26:06
[SPEAKER_01]: So, there's so many of our clients do have kids or family members that they plan on bringing in on the business over time and kind of setting an example for them to learn from this well and taking a risk if you will, a calculator risk.
26:17
[SPEAKER_01]: But from an investment standpoint, I'm an all of the above investor.
26:21
[SPEAKER_01]: I invest in real estate and energy and the public markets and private credit.
26:25
[SPEAKER_01]: I encourage people to do all that.
26:27
[SPEAKER_01]: I just think the business ownership can have a unique place in that portfolio and there's a whole lot of tax benefits and other synergies to come from that.
26:35
[SPEAKER_01]: So I'm not against any of those other investments.
26:37
[SPEAKER_01]: I just think it's an all of the above approach and a lot of clients invest in real estate to some more actively than others, but there's a lot of synergy between those two.
26:44
[SPEAKER_01]: I think from a mindset standpoint from a tax advantage standpoint, and then directly from an industry standpoint, a lot of these businesses support real estate.
26:52
[SPEAKER_02]: What are some like green flags about a franchise or some red flags like what are some things that we would like you be like oh this looks really this looks really good I think a client would do really well with this and then what are some like oh maybe maybe watch this one or don't don't sign up for that
27:09
[SPEAKER_01]: You know, the brand is more important in certain industries.
27:13
[SPEAKER_01]: I mean, certainly food hotels, things like that.
27:15
[SPEAKER_01]: You know, a lot of industries, I think about insulation.
27:17
[SPEAKER_01]: That's a fifty billion dollar a year industry.
27:19
[SPEAKER_01]: No one can name an insulation company, right?
27:21
[SPEAKER_01]: And so that's less important.
27:22
[SPEAKER_01]: But still, some of these industries, you know, if it's a household name brand, then it's probably sold out in all the good areas of your market.
27:29
[SPEAKER_01]: Right, so oftentimes we find ourselves working with more emerging franchises, you know, they may have five locations, twenty five locations, fifty locations.
27:38
[SPEAKER_01]: Yes, they haven't been around forever, but they're growing fast.
27:41
[SPEAKER_01]: And really what I look for there, it's a competitive advantage is it's the financial model's got to be very robust because you have a smaller sample size to look at.
27:48
[SPEAKER_01]: You know, the early franchises have to be saying positive things about their experience.
27:54
[SPEAKER_01]: But then a lot of emphasis I put on those companies is the leadership team.
27:58
[SPEAKER_01]: I want to see a good blend of industry experience, but also franchise experience represented on that team.
28:02
[SPEAKER_01]: That's essentially going to be your business partner.
28:04
[SPEAKER_01]: So I would say that the people involved on their other end, I can't underestimate that enough.
28:10
[SPEAKER_01]: That's when we emphasize with our clients.
28:13
[SPEAKER_01]: Let's bet those are the ones that you want to have good relationship with that are going to be supporting you day and day out.
28:17
[SPEAKER_01]: You know, I would also say, you know, make sure that if it's an early stage franchise, make sure it's well capitalized, you know, they've got plenty of assets in the bank.
28:25
[SPEAKER_01]: I have seen companies at times rush into franchising, thinking it was their gold mine.
28:29
[SPEAKER_01]: And they needed to have a pot of gold going in because it's expensive to franchise.
28:33
[SPEAKER_02]: Yeah.
28:34
[SPEAKER_01]: But no, private equity loves franchising.
28:37
[SPEAKER_01]: They invest strategically at the franchise or level very oftentimes just they love the model and kind of these industries that they plan.
28:43
[SPEAKER_01]: There's a lot of smart money getting involved.
28:47
[SPEAKER_01]: But I always encourage people, you know, and that's why we set up our exploration process the way we did.
28:51
[SPEAKER_01]: And you know, I'm essentially a real estate broker for franchises.
28:55
[SPEAKER_01]: And so I help our clients understand what's going on behind the scenes, how to think about this, the questions to ask provide them with a lot of resources.
29:01
[SPEAKER_01]: And then we simply get referral fee from the franchise brand on the back.
29:04
[SPEAKER_01]: And when a placement happens, like a real estate model, then you've got the seller.
29:08
[SPEAKER_01]: And none of that's passed on for.
29:09
[SPEAKER_02]: So that's what you're free because like I couldn't believe it.
29:12
[SPEAKER_02]: I was reading the book and I was like, oh, because to me, you know, one of the one of the big hurdles for a lot of people is like hiring a coach to help them make the best decisions.
29:23
[SPEAKER_02]: You have to have the money for that and hope that it works.
29:28
[SPEAKER_02]: But to work with you, you know, it's just free for for the person wanting to work with you.
29:32
[SPEAKER_02]: So like,
29:34
[SPEAKER_02]: You get paid because the franchise company pays you like a real estate.
29:37
[SPEAKER_01]: So God for them, it's a sales marketing expense.
29:39
[SPEAKER_01]: None of that's passed on to requirements at all.
29:41
[SPEAKER_01]: So you know, whether they go directly to a brand or go through us, they're paying the same franchise fee.
29:45
[SPEAKER_01]: So it's a nice night.
29:46
[SPEAKER_01]: It's really a great model.
29:48
[SPEAKER_01]: And yeah, we're able to help a lot of people through it.
29:51
[SPEAKER_02]: That is so cool.
29:52
[SPEAKER_02]: I mean, so you did this six years ago.
29:53
[SPEAKER_02]: Okay, so you started right before everything shut down.
29:57
[SPEAKER_02]: Like can we just go back?
29:59
[SPEAKER_02]: Was it?
30:00
[SPEAKER_02]: What was the beat till you see it or what was like the things you had to do because like my goodness during that time, a lot of franchises could be open.
30:06
[SPEAKER_02]: A lot of franchises had like limitations.
30:08
[SPEAKER_02]: Did you worry that like, this was going to all like a be affected negatively?
30:14
[SPEAKER_02]: Like did you see the light of the tunnel?
30:16
[SPEAKER_02]: Tell me about it.
30:17
[SPEAKER_01]: Yeah, you know, just like everything we're all questioning what's going on there for a few weeks, but then as soon as the dust settled, I mean, the franchise deal started happening again and people started jumping back in.
30:26
[SPEAKER_01]: They said, I want something that I can be in control of and I really don't want to go back to the office.
30:31
[SPEAKER_01]: I really, you know, a lot of people took time to think about what they wanted to be until they saw, you know, and they said, you know, that's the time that a lot of introspection, which led to a lot of people saying, maybe now's the time if I don't jump now, when am I ever going to do it?
30:43
[SPEAKER_01]: You know, there's a lag effect.
30:45
[SPEAKER_01]: Some of those late adopters.
30:46
[SPEAKER_01]: I'm still having calls with now.
30:47
[SPEAKER_01]: They're like, I've been thinking about this for years.
30:49
[SPEAKER_01]: And most of them are realizing there's never a perfect time to jump into business ownership.
30:53
[SPEAKER_01]: But, you know,
30:56
[SPEAKER_01]: Good number then we're always, hey, now's just good at the time.
30:59
[SPEAKER_01]: It's ever.
31:00
[SPEAKER_01]: And yeah, for me, you know, I love what I do.
31:02
[SPEAKER_01]: I've had teams in the past of, you know, fifty employees and, you know, I can do that.
31:07
[SPEAKER_01]: But that's not what I love doing.
31:08
[SPEAKER_01]: What I love doing is working with clients.
31:10
[SPEAKER_01]: I love strategy.
31:11
[SPEAKER_01]: I love seeing business models being out there at the tip of the spear.
31:14
[SPEAKER_01]: And so I've really structured my business now.
31:16
[SPEAKER_01]: I had that vision early on that, hey, I'm going to play to my strengths and how I want to spend my time.
31:22
[SPEAKER_01]: And that's what I built.
31:23
[SPEAKER_01]: So love our model and how I get to help people and engage with clients all day.
31:27
[SPEAKER_02]: Yeah.
31:28
[SPEAKER_02]: So in that, because like we talked with a lot of people who get really passionate and I think what especially what I work with video owners like sometimes their passion becomes like a prison because they like stop taking care of themselves to like do their passion like how do you prioritize yourself so that you can have the mindset and the way with all to help the people that you like to help.
31:47
[SPEAKER_01]: Yeah, and I'm probably one of the more intentional people that you'll meet in that regard, you know, I think through things in the area five domains, you know, faith, family, and relationships, but then also finances, fitness, and franchising.
31:58
[SPEAKER_01]: So my five F brain works if you help, you know, but I'm constantly evaluating and balancing, you know, how my day has spent in each of those, you know, work out on the business side, you know, the trainer a couple of times a week and got my infrared son on coal plunge and red light and all that here in the office and
32:14
[SPEAKER_01]: You know, coach my kids teams, you know, teach their center school, you know, try to balance everything and, you know, very blessed, very thankful for what I get to do and it allows me to do the other things I want to do.
32:25
[SPEAKER_01]: And I will say I'm the hardest boss I've ever had, you know, business ownership is an easy.
32:29
[SPEAKER_01]: I work myself hard, but there's so much flexibility.
32:33
[SPEAKER_01]: And I'm just thankful.
32:34
[SPEAKER_01]: I've pinched myself every day, having had a W-two job for many years.
32:37
[SPEAKER_01]: I could never imagine doing that again.
32:41
[SPEAKER_02]: Yeah, I understand that, okay, this is a really like personal sort of, we had our health insurance company is contracted with another company.
32:49
[SPEAKER_02]: Maybe it's a franchise that like comes to your house to like do like your physical, which is like just the meet up, just the heart, the lungs, just the bud pressure, and then like talk to you about like what doctors you want to see this year.
33:01
[SPEAKER_02]: And the whole time I was like, this feels like a scam.
33:04
[SPEAKER_02]: Are you casing the joint?
33:05
[SPEAKER_02]: Like, what are, what are,
33:08
[SPEAKER_02]: I'm like, I feel like this is too good to be truth.
33:10
[SPEAKER_02]: And then they laughed and my husband and I were just like, let's just pretend it's not a scam.
33:15
[SPEAKER_02]: How lucky are we that we could set aside the time in the middle of the work day at our home, like take care of our health.
33:23
[SPEAKER_02]: And then like go back to doing the things we love every day working for yourself is like the hardest thing.
33:29
[SPEAKER_02]: Even if you work for yourself for your own franchise, like they're running a business is, you know, there's only so many days where there's on an obstacle.
33:36
[SPEAKER_02]: They're like, what the fuck?
33:37
[SPEAKER_02]: This just happened there.
33:39
[SPEAKER_02]: But when you are realizing it's all part of the plan that you set out.
33:43
[SPEAKER_02]: Like when you actually got what you wanted, it is worth pinching yourself.
33:46
[SPEAKER_02]: So I love that.
33:46
[SPEAKER_02]: Thank you for sharing that.
33:47
[SPEAKER_02]: And I also, we second y'all, red lights, whole plunges.
33:51
[SPEAKER_02]: Like work, move your body.
33:53
[SPEAKER_02]: It makes running your business.
33:55
[SPEAKER_02]: Whatever that is, so much easier.
33:59
[SPEAKER_01]: Absolutely.
34:00
[SPEAKER_01]: Absolutely.
34:00
[SPEAKER_01]: Absolutely.
34:01
[SPEAKER_02]: What are you most excited about right now and like it can be like in the franchise world or it can be in like in your business like what are you most excited about right now?
34:09
[SPEAKER_01]: Yeah, you know, I practice what I preach and I love just trying new things and then bring them to my clients.
34:14
[SPEAKER_01]: So for me, I've got my consulting practice and I've got all these franchises and other investments in a holding company.
34:20
[SPEAKER_01]: Now I'm just this is the nerds out of me.
34:23
[SPEAKER_01]: I'm just realizing all these different
34:25
[SPEAKER_01]: tax plays and alternative investments and how they can work together and I'm bringing in the best of the best advisors and you know, really trying to level up.
34:32
[SPEAKER_01]: That was my theme last year was the level up.
34:34
[SPEAKER_01]: I'm like, am I with the best bank out there?
34:36
[SPEAKER_01]: Am I with the best concierge doctor?
34:38
[SPEAKER_01]: Am I with the best financial advisor?
34:39
[SPEAKER_01]: I identified twenty five different areas.
34:42
[SPEAKER_01]: And this took time by one by one leveled up in each of those and said, if I'm not working with best in class,
34:48
[SPEAKER_01]: Why not?
34:49
[SPEAKER_01]: And so I'm just thinking through that lens and I think it's helping our clients to just kind of say, you know, let's get off the sidelines.
34:55
[SPEAKER_01]: Let's just forget the status quo.
34:57
[SPEAKER_01]: Like, how do we level up and get better and, you know, whether it be personally or those that we work with in every area?
35:03
[SPEAKER_02]: That's so cool.
35:04
[SPEAKER_02]: Thank you for sharing that because I
35:07
[SPEAKER_02]: I think it's really easy to just keep doing the same thing.
35:10
[SPEAKER_02]: And you're like, well, this works and this works.
35:12
[SPEAKER_02]: And like going back to that, the bank that gave us SBA loan, I told my husband, I was like, well, why aren't we working with that bank?
35:18
[SPEAKER_02]: Like, why is that our bank?
35:19
[SPEAKER_02]: Because our bank certainly didn't help us.
35:22
[SPEAKER_02]: So why are we not with that bank?
35:23
[SPEAKER_02]: And it was like one tiny thing and I'm like, can we figure out a way around that one time?
35:28
[SPEAKER_02]: This seems so stupid.
35:29
[SPEAKER_02]: I want to work with the bank that's going to give me money whenever I want it.
35:32
[SPEAKER_02]: That's why I have a bank.
35:35
[SPEAKER_02]: It's not like they're getting interest.
35:36
[SPEAKER_02]: I'm not making me money off them.
35:40
[SPEAKER_02]: So I find like, it's effort to go through and figure out what that is.
35:45
[SPEAKER_02]: And then there's that change, which most people don't like.
35:48
[SPEAKER_02]: But then it's like, but then you have like the best of the best.
35:51
[SPEAKER_02]: So, you know, I think this really cool.
35:53
[SPEAKER_01]: Yeah, absolutely.
35:54
[SPEAKER_01]: Yeah, it's fortunate I've got the best wife.
35:56
[SPEAKER_01]: So I'm not up with one there.
35:58
[SPEAKER_02]: That's good to know.
35:59
[SPEAKER_02]: That's good to know.
36:00
[SPEAKER_02]: Shout out to her.
36:01
[SPEAKER_02]: Okay, is there anything I didn't ask you because this is a new topic for me?
36:05
[SPEAKER_02]: So I really want to make sure that like we covered all the bases that you think we needed to.
36:09
[SPEAKER_02]: Is there anything I didn't ask you about franchising and getting into it that you want to share with us today?
36:14
[SPEAKER_01]: Yeah, you know, I think we really hit a lot of the hot topics.
36:16
[SPEAKER_01]: You know, we're seeing more interest than we've ever seen.
36:19
[SPEAKER_01]: I think for a variety of reasons, our biggest challenge is not lead flow.
36:22
[SPEAKER_01]: It's, you know, just the opportunities.
36:24
[SPEAKER_01]: They move so fast in good markets.
36:25
[SPEAKER_01]: So I wouldn't encourage people if anyone has an interest in exploring.
36:30
[SPEAKER_01]: There's no downside.
36:31
[SPEAKER_01]: There's no cost.
36:33
[SPEAKER_01]: I just hear testimonial, I'll have testimonial of, franchising wasn't on my radar, I was looking at existing businesses.
36:39
[SPEAKER_01]: And actually, that's a good topic.
36:41
[SPEAKER_01]: A lot of our clients say, hey, we've been looking for an existing business.
36:45
[SPEAKER_01]: Here's what I hear.
36:46
[SPEAKER_01]: We've been looking for four years, five years, six years.
36:48
[SPEAKER_01]: We've been under L.O.I.
36:49
[SPEAKER_01]: Letter of Intent for five companies, six companies, due diligence, and shake out someone else.
36:54
[SPEAKER_01]: I'll bid us, we uncovered this and due to it.
36:57
[SPEAKER_01]: over and over again, and then they come around and franchiseing, they say, wait a minute.
37:00
[SPEAKER_01]: I can get into franchiseing without having to pay the premium of an existing business.
37:04
[SPEAKER_01]: They're not having to have the risk of changing ownership.
37:07
[SPEAKER_01]: I mean, you're going to lose some key employees.
37:08
[SPEAKER_01]: That just happens when you have a change in ownership.
37:11
[SPEAKER_01]: And there's so many people out there looking because you have all these talking heads on social media.
37:15
[SPEAKER_01]: saying, hey, buy a business and then build it.
37:18
[SPEAKER_01]: It's like, well, it was a franchise system by a proven model that put your thumb prints on it from day one and build the culture of the way you wanted.
37:24
[SPEAKER_01]: So I'd say that was one thing I wanted to add that just came to mind.
37:29
[SPEAKER_02]: I'm glad you brought that up because we first, like, I went with a lot of business owners who were like, I want to sell my studio.
37:35
[SPEAKER_02]: They want to sell their business.
37:36
[SPEAKER_02]: And I'm always like, okay, well, what can we sell?
37:39
[SPEAKER_02]: Because if you are the main person,
37:42
[SPEAKER_02]: Not much to sell, babe.
37:43
[SPEAKER_02]: So we have to do all this work to make the business sellable.
37:47
[SPEAKER_02]: And I was like, and I really wish that someone had told you to think about the accident mind, because you have to think about the accident mind when you start anything, everyone.
37:54
[SPEAKER_02]: But I do think that there's a lot of people in, oh, I'll just buy this one because I've seen how good it is.
37:59
[SPEAKER_02]: I like going there.
38:00
[SPEAKER_02]: And so we have this like almost like attachment, but it's true.
38:03
[SPEAKER_02]: Like even if people like you, they might still leave because people don't like change.
38:11
[SPEAKER_01]: Yeah.
38:12
[SPEAKER_01]: And you paid a premium thinking nothing was going to change, right?
38:15
[SPEAKER_01]: So, you know, that's one of the things that a little bit of franchising to is that exit in mind when you started the beginning.
38:20
[SPEAKER_01]: Again, most franchises, you're not going to find many good franchises where we sales out there on the market because any opportunity that's worth buying is going to be bought by another franchising in that system that internal M&A, as I call it, mergers and acquisitions where franchises buy each other's businesses, which allows for exits and allows others to expand that's so, so common.
38:38
[SPEAKER_01]: I've got so many clients have done, I've personally done it.
38:42
[SPEAKER_01]: They're just, again, when you think about the end and mind.
38:44
[SPEAKER_02]: Yeah.
38:44
[SPEAKER_02]: Okay, we're going to take your brief break.
38:46
[SPEAKER_02]: And then we're going to find out people can work with you, do a call with you, and see if this is what's in it for them.
38:50
[SPEAKER_02]: All right, John, how do people like to, it's free?
38:54
[SPEAKER_02]: So they could just like chat with you and just see if like this is a good idea for them, right?
38:58
[SPEAKER_02]: Like that's how they can work with you.
39:00
[SPEAKER_02]: How do they find you?
39:01
[SPEAKER_01]: Yeah, come out to our website, franbridgeconsulting.com, franbridgeconsulting.com.
39:06
[SPEAKER_01]: You know, share your email address, I'll send you a free digital copy of our book, non-food franchising, which is a great primer to kind of get the juices blown to help you connect the dots on franchising.
39:15
[SPEAKER_01]: And yeah, more than happy to jump on a call, just indicate that interest when we reach out to you.
39:19
[SPEAKER_01]: And we'll jump on a twenty twenty five minute call and again, give you some thoughts and get to know you a little bit better and we can go from there.
39:25
[SPEAKER_01]: So again, entirely free to work with us.
39:28
[SPEAKER_01]: Certainly if you want to follow on LinkedIn, I put out content most days on LinkedIn so that could be another place to find me.
39:33
[SPEAKER_02]: Oh, that's cool.
39:34
[SPEAKER_02]: LinkedIn, a place that I keep saying I'm going to start print the thumb print on and I go in there and I'm like, I don't know what I'm doing.
39:42
[SPEAKER_02]: So maybe in a future year, you guys, I did read the book.
39:45
[SPEAKER_02]: I'm telling you, it was a, it's a great read and it really help.
39:48
[SPEAKER_02]: It will, I think if it's for you, you'll know by reading the book and if it's not for you, you'll know by reading the book and I think that that's really cool.
39:54
[SPEAKER_02]: And also I just really, one of the things I really intentional about is like we have so many listeners and I really want people to have, I think,
40:02
[SPEAKER_02]: Freedom to make decisions is one of the most important ways you can be until you see it and having an idea of making an income that works for you is one of the best things I could give to you guys.
40:13
[SPEAKER_02]: It's listening.
40:14
[SPEAKER_02]: So thank you so much for being here.
40:22
[SPEAKER_02]: before I let you go, John.
40:23
[SPEAKER_02]: We've given us so much already, but we love to give our listeners some bold, executable intrinsic and targeted steps people can take to be it until they see it.
40:31
[SPEAKER_02]: What do you have for us?
40:33
[SPEAKER_01]: Yeah, you know, I would say here's a quote, activity breeds activity.
40:37
[SPEAKER_01]: And it's the idea, I've just seen this play out on my career in my life.
40:40
[SPEAKER_01]: Whenever I get off the couch off the sidelines and I start moving towards the option A or option B, that's when options C comes out of left field.
40:46
[SPEAKER_01]: And so I think good things happen when you're in motion, that idea of activity, breeding other activity, oftentimes you don't know what's coming, but you stay active, it comes.
40:54
[SPEAKER_02]: So good.
40:55
[SPEAKER_02]: It's so good.
40:56
[SPEAKER_02]: It kind of like ladies, I might apply as lovers.
40:57
[SPEAKER_02]: It's like a body of motion stays emotion.
41:00
[SPEAKER_02]: Like it's like that, but also like,
41:02
[SPEAKER_02]: We had someone else say like, I, everything is everything and when you never know what going out and talking to someone could turn into my husband talk to everyone at every party and I, well, I'm so thankful for him because I can talk to like five people at a party and then I'm like, okay.
41:20
[SPEAKER_02]: That's good.
41:21
[SPEAKER_02]: I'm good.
41:22
[SPEAKER_02]: But he, and you know what?
41:23
[SPEAKER_02]: We've needed some of those people.
41:24
[SPEAKER_02]: He's like, Oh, there's this guy.
41:26
[SPEAKER_02]: I talked to it this place.
41:27
[SPEAKER_02]: And like so, and you just never know what those connections are.
41:29
[SPEAKER_02]: So that's a great beat action.
41:30
[SPEAKER_02]: Thank you so much, John.
41:31
[SPEAKER_02]: Don't ask since everyone ever you can get his book.
41:34
[SPEAKER_02]: Put a fran bridge.
41:35
[SPEAKER_01]: It's holding.com.
41:36
[SPEAKER_02]: Perfect.
41:37
[SPEAKER_02]: Go there.
41:37
[SPEAKER_02]: We'll have the link in the show notes.
41:39
[SPEAKER_02]: And
41:40
[SPEAKER_02]: You know, share this with a friend who needs to hear it.
41:41
[SPEAKER_02]: If you have a friend who's like, I need someone different.
41:43
[SPEAKER_02]: I need a change.
41:43
[SPEAKER_02]: I need a new job.
41:44
[SPEAKER_02]: Like, this might be the exact thing that they need.
41:46
[SPEAKER_02]: And then you get to be part of that.
41:47
[SPEAKER_02]: How cool is that?
41:48
[SPEAKER_02]: So thank you, John.
41:49
[SPEAKER_02]: And until next time, everyone, be it.
41:51
[SPEAKER_02]: Tell you, see it.
41:53
[SPEAKER_02]: That's all I got for this episode of The Beat Tell You See A Podcast.
41:57
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42:02
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42:05
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42:10
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42:11
[SPEAKER_02]: Share this episode with whoever you think needs to hear it.
42:14
[SPEAKER_02]: Help us and others be a tell you see it.
42:17
[SPEAKER_02]: Have an awesome day.
42:21
[SPEAKER_02]: Be it till you see it is a production of the blue pod cast network.
42:24
[SPEAKER_02]: If you want to leave us a message or a question that we might read on another episode, you can text us at plus one three one oh nine oh five five three four or send a DM on Instagram at be it pod.
42:36
[SPEAKER_00]: It's written, filmed and recorded by your host, Leslie Logan and me, Brad Crowell.
42:41
[SPEAKER_02]: It is transcribed, produced and edited by the epic team at disenio.co.
42:45
[SPEAKER_00]: Our theme music is by Ellie at Apex production music and our branding by designer and artist John Franco Chilfe Special thanks to Melissa Solomon for creating our visuals also to Angelina Herico for adding all of our content to our website and finally the Meredith route for keeping us all on point and on time