Successful Franchises: Attracting Multi-Unit Owners to Your System

By Beth Kempton,
July 6, 2017

Rather than selling single franchise units to individual owners, the most successful franchises have a strategy in place to attract multi-unit franchisees. Not only can attracting multi-unit owners lead to quicker growth and more revenue opportunities in the long haul, but it can lead to costs savings from the start, as you’ll have to get fewer owners up to speed on your brand.

How can you follow in the footsteps of successful franchises and attract multi-unit owners to your system? Keep the following tips in mind.

Build a Strong Online Presence

Multi-unit franchise owners across industries do much of their initial research online, so you should make your online presence a top priority. Successful franchises can attract new multi-unit franchisees by sharing as much information online as possible – including financial and brand growth information, franchisee satisfaction data, and testimonials or case studies from successful multi-unit owners. Your corporate website should also provide an overview of your business culture and explain why prospective franchisees would want to work for your brand.

Provide Business and Marketing Tools

Buying a franchise can be a significant undertaking for new franchisees, and any tools the franchisor provides upfront can help set franchisees up for success. For example, provide a business plan that includes a recommended timeline for getting each location up and running, as well as key goals and milestones franchisees should be tracking. Along with the business plan, share brand-specific marketing collateral with each franchisee, so they can promote each new location using your brand logos, menus, signage, email templates, and more. Continuously identify ways to update and improve your business plan and marketing collateral based on feedback from your franchisees.

Expand Partnerships with Successful Franchisees

Adding multi-unit franchisees to your system doesn’t always have to mean attracting new owners. You can also grow from within by identifying the most successful single-unit owners in your system and encouraging the owners to expand. A franchisee that has already experienced success with one location can be much easier to turn into a multi-unit owner than attracting a potential owner who has never worked with your brand. This is because the franchisee has already invested time and money into learning about your brand and building a successful business. After one location sees success, the franchisee can better understand what’s working and what’s not, making it easier to make future locations even more successful than the first.

While multi-unit franchise ownership offers many benefits over single-unit ownership, owners might be hesitant to take the next steps. Beyond discussing the success of the first location and potential revenue opportunities, provide single-unit owners with further encouragement to open multiple locations. For example, highlight the owner’s strengths and why he or she is cut out to make it as a multi-unit franchise owner. Discuss the impact one location has had on the local community, and highlight the demand for another location – or more – in the surrounding area. Also consider connecting single-unit owners with successful multi-unit owners, giving single-unit owners the opportunity to ask any necessary questions as they consider expanding.

Follow a Consistent Hiring Process

To make multi-unit ownership easier for franchisees, your franchise brand should adopt and follow a proven hiring process that can easily be duplicated across locations. Each time a new franchise location opens, employees play a key role in helping get the business off the ground. Not only do employees help ensure each franchise location’s daily operations run smoothly, but they’re also representative of of the franchise brand to the local community. Hiring the best team can make all the difference in attracting and retaining customers at a new franchise location.

Hiring enough employees to staff a new franchise location – let alone multiple locations – can be overwhelming to franchisees. By encouraging franchise locations across the system to follow a consistent hiring process, you can take much of the hiring stress off current franchisees and those looking to become multi-unit owners in your system. Some key steps to an effective hiring process include regularly reviewing applicants, completing multiple rounds of interviews, administering candidate skills tests, completing reference and background checks, and distributing onboarding materials before they even arrive for day one. Encouraging franchisees to follow all steps of the process ahead of each hire can help ensure each location hires the best team possible while maintaining compliance.

For more tips to help your franchisees make successful hires at each new location, download our eBook, Staffing Up For Success: 4 Things To Do When Hiring At Your New Franchise.

About the Author

Beth is the content strategist on Hireology’s marketing team, responsible for creating compelling blog posts, eBooks, marketing materials and other content. Her background includes five years of experience at a B2B digital marketing agency, where she crafted content for a variety of clients, including several in the HR technology space. Before beginning her career, Beth attended Loyola University Chicago, where she studied advertising and public relations.

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