Anyone with experience acquiring/growing franchise businesses

by a searcher from North Carolina A&T State University - School of Business and Economics

1 year ago

Recently spoke with a trusted adviser, who is a personal friend, and happens to be a former M&A advisor (lower middle market), and expressed my interest in pursing entrepreneurship through acquisition.  He advised me to take a serious look at acquiring franchise businesses.  He gave a few valid reasons, but I’m interested to see if anyone here has experience with purchasing and growing franchise businesses.  Would love to hear your perspective, as well as pros and cons of going this route.

4 likes
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22 comments

intermediary from Arizona State University

There has been a lot of great feedback so far. When looking at franchising versus independent, look at the barrier to entry. Low barrier to entry like Dog Poop Scooping may not have a lot of value, but if you look at James example of Mathnasium, they had developed the systems and processes that he didn't need to develop on his own (worth it). Do your due diligence, understand the FDD and FA, call as many franchisees as you can (the good, the bad and the ugly) to see who you most align with. Then make a decision. Don't say no, just because it is a franchise.

1 week ago | like reply | 0 likes

searcher from University of Edinburgh - Business School

1 week ago | like reply | 0 likes

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