Smart investors are expanding their portfolios with multi-unit franchising in strong industries and brands that show promise, as this business strategy gains popularity. To prepare yourself to run multiple franchise units, make sure you know the unique benefits and what is required of a multi-unit owner.
Benefits of Multi-Unit Franchising
Because it is so different from single-unit franchising, multi-unit franchising comes with its own set of benefits. In addition to all the classic benefits of owning a franchise – corporate support, a tested business model, proven products – owning multiple units has some unique perks as well. Here are a few.
- Divide the Work: Key to running a smooth franchise empire (even if it’s only two or three locations) is having a staff of people you rely on. Store managers, a human resources department, and financial personnel make your job simpler by taking some of the work off your plate.
- Share Resources: If your stores are in close proximity to each other, they can easily share resources. From employees to cleaning supplies to receipt paper, your stores can help each other be efficient.
- Spread Revenue: It goes without saying that multiple franchises mean multiple streams of potential revenue. A strong store may help ease the financial burden of a struggling store. Additionally, if you are already running a franchise that is doing well, that might help you support opening a new location.
What Does It Take to Be a Strong Owner
To be a strong multi-unit owner, you need to harness some skills that single-unit owners may not use. When you own one or two franchises, it is relatively easy to be hands-on in the business every day. However, this is not the case with multi-unit ownership, where you will need to hone in on a different skill set.
Here are two skills that will help you go far.
Ability to Delegate
Put simply, a multi-unit franchise owner has too many responsibilities to do it all alone. We already mentioned that sharing the workload is one of the benefits of multi-unit franchising, but it only works if you can delegate. Allow your managers to handle their stores’ immediate needs so they come to you to deal with bigger picture items.
As your franchise system grows, you may need to add teams to help your businesses run smoothly. An employee or team to handle things like marketing, human resources, billing, finances, and more can add a layer of efficiency to the organization.
Long-Term Perspective
Owning several franchises requires time, work, and patience. As the owner, your job is to keep your eyes on the long term and big picture. Instead of getting bogged down in the nitty-gritty details, focus on your major goals and how you can help your employees and franchises reach them.
Additionally, as you grow with more units, you will have more to offer your employees, giving you an edge with recruiting. When employees know that there are opportunities to advance to higher positions in the network, they think of the long term as well.
If you are ready to expand your investments through multi-unit franchising, Round Table Pizza is offering an outstanding multi-unit opportunity. We are excited to expand our brand to territories nationwide! Learn more about us to see if we are what you are looking for.
