The History of Franchising

  • By Rich Lebrun
  • 15 Dec, 2017

Discover the Past That Has Launched This Business Model and What To Consider

Let’s take a quick look at the history of franchising, because without it…without a very pioneering group of people, the opportunity for you to go into business-in a truly amazing way, wouldn’t be possible.

The Clothes You Wear
The history of modern franchising has to do with what’s on your body. I’m speaking of your clothes.
Most franchise experts agree that the modern business model of franchising can be traced back to an entrepreneurial giant by the name of Isaac Merrit Singer. As in Singer Sewing Machines.
In the latter part of the 1800’s, there was nothing very “automatic” about the manufacturing of clothes. Believe it or not, everything was stitched together by hand, in not very ideal working conditions. The women who did the sewing worked incredibly long hours.
Isaac Singer was basically the first person to patent a practical, widely-used sewing machine. Though these machines started to appear on the scene in the mid 1800’s – and worked pretty well, Singer came up with an idea that made them work even better. A lot better. Good enough to sell. But, they were really expensive. At $120 each, Singer sewing machines were out of reach for most Americans.

A Fix. A Franchise.
One of Singer’s partners came up with an idea to make these newfangled machines more affordable. (Actually, he came up with what would turn out to be the first-ever installment plan.) That’s right—because of his financing idea, everyday people could purchase Singer’s sewing machines and pay for it in installments. All of a sudden, Singer was able to sell a lot more machines-and that was a great thing. But, he still needed a better distribution method. And being the entrepreneur he was, he figured out just how to do it.

Singer came up with a licensing arrangement.
The Singer team would find business-savvy people who were interested in owning the rights to sell these amazing machines in certain geographical areas, and get them to pay an up-front license fee. In addition to just selling the machines, Singer and his team decided that they would require licensees to teach consumers how to use the machines they had just purchased. Good stuff. Transformational stuff.
They sold a lot of licenses. Enough to continue funding manufacturing. So, now they had both manufacturing and distribution…an entire distribution network in the form of licensees. Sound familiar? It should.
Isaac Singer’s business system was the first licensing system. And, guess what? When you buy a franchise you’re buying a license.
Franchisees Are Licensees.

Got it?

The Early 1900’s.
The invention of the automobile changed everything. Finally, there was a way for people to get from Point A to Point B in hours as opposed to an entire day or more. But, how could the early automotive pioneers get more automobiles into more people’s hands?
Answer: Mass Production.
But, what about distribution…and sales?

Automotive Dealerships
Dealerships…later called franchises, were the chosen way to sell automobiles.
Bill (William) Metzger built and opened the first independent automobile dealership in Detroit, Michigan in 1896. Interestingly enough, he sold electric cars. (Really) H.O. Kohller was the next person to open a dealership. He sold Winton (gas-powered) cars.
Those two men were actually the first automotive franchise owners. Henry Ford and the other businessmen who were manufacturing automobiles now had a distribution system. They put an automobile franchise network in place…in a lot of places all over the country, actually. There is probably an automotive franchise within a few miles of your house.

The Franchise Definition
In its simplest terms, a franchise is a license.
A franchise typically involves the granting by one party (the franchisor) to another party (the franchisee) the right to carry on a particular name/trade mark, according to an identified system, usually within a territory or at a location, for an agreed upon term. The franchisee is granted a franchise license to use the franchise company’s trademarks, systems, signage, software, and several other proprietary tools and systems in accordance with the guidelines in the franchise agreement.
Basically, the franchise company came up with the idea for the service/product, and is granting people-theirfranchisees-the right to market it for them. Since it is their idea, they require you to market it in a specific way. It istheir system, so they get to (and do) write the rule book.

What Are You Getting?
You need to find out what you’re getting for that franchise fee.
All you have to do to find out is:
• Ask the franchise development director
• Ask the franchisees
The franchise development representative will give you a list of things that you’ll receive if you become a franchise owner. Things like:
• Their operations manual
• Formal training
• Access to their technology
• Access to their marketing system
• Their brand
• Support

One of the greatest things about franchising is that once you’ve received information from a franchisor, you can easily find out how good their system is. All you have to do is contact the people that have already invested their own money in it.
The Rule Book In Franchising
The rule book in franchising is the operations-or operating manual, along with a multi-page franchise agreement. Not only must you do things their way, you must pay them an upfront Franchisee Fee (license fee), plus ongoing royalties. The royalties are usually in the form of a % of your gross sales, although sometimes there is a flat monthly fee. In addition, there is almost always an advertising/marketing fee paid monthly along with the royalties. (Usually 1-2% of sales)

I’ve seen royalties that are 4% of sales…all the way up to 15%. It depends on the type of business. Food franchises, and retail franchises are usually at the low end of royalty percentages, while B2B franchises tend to be on the higher-end.
Franchise fees range from about $20,000 up to $75,000 and more. The average franchise fee today is around $30,000.
It’s Proven

Franchising is a proven business model. It’s worked for many businesses and many people. But, franchising isn’t the right business model for everyone. As a matter of fact, business ownership in general isn’t for everyone. I go a step further in my hardcover (on audio, too) book, Become A Franchise Owner! In it, I suggest that “Franchising isn’t for most people.”

That’s because most people:
• Don’t have the courage to walk away from a job that provides them with a steady paycheck
• Won’t look at non-traditional career options when they lose their jobs
• Don’t have the courage to sit down and write a large check of their own in order to become their own bosses
Most people avoid risk whenever they can. Some people embrace risk.
Lots of people avoid change. Some folks thrive on it.

Some Questions About Risk
Are you a risk-taker?
Do you look “outside the box” for solutions to problems
What do you do when you’re faced with change?
What are your feelings about money?
If you’re married, what does your spouse feel about money…about risking some of it?
As a matter of fact, you’ll need their backing.

Pro’s & Con’s Of Franchise Ownership
An introduction to franchising wouldn’t be complete without looking at the pros and cons of becoming a franchise owner. Right?

The Pros
There are lots of positive things that the business model of franchising brings to the table. Here are just a few of them.
1. Systems– There are business systems in place for you to use…to follow.
2. Training– You’re provided with a formal training program to help you with everything you will need to know. You may even get pre-training via the web.
3. Technology– A franchisor’s technology budget is probably larger than yours, so plan on having several great technology tools at your disposal.
4. Marketing/Advertising– A franchisor has marketing plans and advertising templates for you, which helps get your name out to the public in your geographical territory.
5. Support– A franchisor has support systems in place from in-house personnel to field reps that will visit your franchise business in-person. Don’t be shy: Ask for help when you need it. You’re paying for it anyway via your monthly royalties.
6. Real Estate Department– A franchisor usually has resources in place to help you with site selection, store design, and more.
7. A Network– There are other franchise owners who, like you, invested in the opportunity. They have experienced things from the front line, and can help you out with problems that may arise…especially at the beginning.
8. Equity. You have a real chance at creating real equity. Wouldn’t be nice to at least have the opportunity to be the seller of a business? Wouldn’t it be great if one day (when you’re ready) to be able to sell your franchise business? For a profit? That’s equity.
9. Legacy. What if your children could take over the business you’ve built? Keeping things “all in the family” sounds like a plan to lots of people who are looking into franchise ownership.

Now, there are several negatives (perceived as negatives by some) that the business model of franchising has.
Here’s a few;
1. You pay an upfront Franchise Fee for the right to use the franchisor’s systems.
2. You must pay a percentage of your gross sales to the franchisor on a regular basis. (Royalties)
3. You must follow the franchisor’s rules.
4. You must buy from the franchisor, or their approved vendors.
5. You must use the franchisors logos, and advertising materials.
6. When you sell, the franchisor must approve the buyer.
7. You may have to pay into the franchisors advertising/marketing fund.
Your Choices
1. You can come up with a product of service of your own, invest an unknown, and potentially unlimited amount of your own money, make tons of mistakes, which cost money, and time. Growth will take longer.
1. You can leverage someone else’s systems, tools, and business acumen. By doing that, you can potentially ramp up faster, try to dominate a market, and focus on growth, while having a good idea of what your total investment will be, up front.
The business model of franchising is not for everybody. There are certainly pros and cons to investing in this type of business, and becoming your own boss.
In the case of franchising, the pros must outweigh the cons, in order for you to buy into the franchise model.

Call Rich LeBrun from the Franchise Consulting Company at 224-678-9212 to learn more. or

The Franchise Consulting Blog

By Patrick Elsner 17 Dec, 2017
Asking the right questions makes a world of difference when researching a franchise. We work
with our candidates and help prepare them to ask the right questions so that they can determine which
franchise is best for them. 

Before Buying A Franchise

Here are 10 key questions we strongly recommend people ask before getting involved in a
particular franchise operation:
1. What are my upfront costs and what's included in the fee? This is the most obvious
initial financial question.  

2. What other fees should I plan on paying? You may be required to lease property or
equipment from the franchisor. You may have to pay the franchisor a percentage of
your annual sales. Those numbers must be cranked into your own equations when
you are trying to figure out if a franchise deal makes sense.

3. How is the franchisor making money? Franchisors may make money by owning
their own establishments, by providing services to franchisors, by simply collecting
royalty payment or by some other combination. It's tough to make a blanket statement
about whether one model is better than another, but surely you want to know where the
franchisor's own interests lie.

4. What restrictions do I have on suppliers? Are you going to be required to purchase
certain goods or services from particular vendors and/or from the franchisor? If certain
purchases are required, are they going to cost you more than you would otherwise have
to pay if there were no restriction on where you could buy them?

5. What kind of regional protection am I getting? Do you have any guarantees that the
franchisor isn't going to sell other franchises or open up its own outlets in your
geographic area? If so, how long are those guarantees good for?

6. What kind of empire-building opportunities do I have? The flip side of the previous
question: Do you get first dibs on new franchises in or near the same area as your first
franchise? Some of the most successful franchisees are those who own multiple outlets
in the same area and are able to develop their own economies of scale.

7. What kind of training and support do I receive? A good franchise will include solid
training and ongoing follow up / mentoring practices. Franchises know their success is
based on your success, so they should be proactive in teaching you the business right
from the start.
8. How many franchisees sell out in a year? A franchisee that gets out of the business
by selling to someone else isn't necessarily a failure. Indeed, he or she may be selling a
successful venture. But you still need some idea of the turnover rate of franchisees.

9. What's the value of a re-sold franchise? Another way of looking at the prospects for
franchisees is to look at what happens to those who sell their establishments. What did
they get for the re-sold franchise relative to what they put into it? Was it a profitable
investment, or were they simply looking to get out and cut their losses?

10. What are the terms of me selling my franchise? What if you got sick, or had to
move quickly for family reasons? Can you sell to anyone, or do you have to deal with
the franchisor? Would the company charge you something to sell your franchise or
otherwise restrict your ability to pull out of the business? 

Patrick Elsner

By Rich Lebrun 16 Dec, 2017
Did I get your attention? What would you do if someone would pay you to fail?
Do you realize that every day when we are going to work we are being paid to fail. The problem is nobody told you.
Without failure there is no success. Look in your wastebasket under your desk at all the crumpled up paper representing how many times you tried to do something but has to start over to get it right.
You continued attempts and failure eventually brought you to the success you were looking for to complete your task.

So what is the problem? It lies with how we perceive failure. GoogleX is paid billions of dollars to “FAIL” yes “FAIL”. You see they are charged with solving some of the world’s biggest challenges. Ones that there has yet to be a solution for. Their only chance of achieving their goals is to fail until they succeed.
So in their company the applaud and promote and compensate those who fail the most.

Think about the next time your boss comes in and says here is a bonus today for failing so good.
Would you want to fail more?
Sure you would.

People are stuck today in jobs they hate. They are afraid to venture out for fear of failure. What if I paid you one million dollars to fail until you succeeded.? Would you leave your job and venture out with a new outlook?

Sorry I don’t have the money to pay you but I think you get my point.

We live in a country where there are endless opportunities. In the franchise industry there are over 3,000 franchises to choose from. Call Rich LeBrun at 224-678-9212 or email at and let our team help you FAIL: Who knows if you succeed big enough you can pay us the one million dollars!!

By Dave Cooley 16 Dec, 2017

As a franchise consultant, I often have clients who fear the systems, procedures, rules, policies and procedures they have to adhere to as franchise owners equate to “Straitjackets” that stifle innovation and creativity.  

While, yes, you do have to comply with the franchisor’s systems … for example, there are 3 pickles on the McDonald’s Big Mac, not 4, not 2 … but 3 and ONLY 3.  But, franchises create systems from years of experience and trial and error.  That’s one of the greatest reasons for investing in a franchise -- you don’t have to “invent the wheel” yourself.

That said, can you “make the wheel rounder?”  The short answer is … absolutely!

Here’s the favorite example I share with my clients:  to this day, the best-selling sandwich in the history of McDonald’s is the Big Mac.

The Big Mac was developed by a franchisee!

Cutting and pasting from Wikipedia, here’s a brief history of how this best-selling product came to be:

The Big Mac was created by  Jim Delligatti , an early McDonald’s franchisee, who was operating several restaurants in the  Pittsburgh  area.

The Big Mac had two previous names, both of which failed in the marketplace: the Aristocrat, which consumers found difficult to pronounce and understand, and the Blue Ribbon Burger.

The third name, Big Mac, was created by a 21-year-old advertising secretary who worked at McDonald’s corporate headquarters.  

The Big Mac debuted at Delligatti's  Uniontown, Pennsylvania  restaurant in 1967, selling for 45 cents.  It was designed to compete with  Big Boy  restaurants' Big Boy sandwich.  

The Big Mac proved popular, and it was added to the menu of all U.S. restaurants in 1968.

Even well-established franchises that have hundreds of franchisees and hundreds of units throughout the US, innovation is encouraged.  The franchise companies realize they the great advantage of having many, many franchisees who are all working the same processes.  With that many smart people operating the same businesses, some franchisees are inevitably going to find ways to accomplish procedures more efficiently and/or effectively.  

Franchise companies embrace this fact and actually create venues to promote improvement and innovation.

Every well-developed franchise company eventually forms a franchise advisory council made up of franchisees from throughout the system.  Franchise executives meet with their advisory councils typically each quarter and during these meetings, the executives report on progress from the past quarter and objectives for the next quarter and for the year.  But they also use this forum to solicit input from the franchisees.  

What’s working well?  What’s not working well?  How can we improve?  What are the franchisees in the field saying?  Are there better ways to accomplish what we do?

Even more, at just about every annual conference franchises in any industry conduct, typically each year, they present “round table sessions.”  These sessions are usually conducted in large meeting rooms at the franchise convention hotels.  In the rooms are a half-dozen or so 20-seat round tables and at each table sit franchise owners who have found a technique to accomplish the systems of the franchises more efficiently and/or effectively.

Franchisees attending the conventions move from table to table every 15 or 20 minutes or so at the sound of a bell in order to be able to learn from each of their fellow franchisees who are hosting round tables.

Franchise companies treasure such events because when a franchisee learns how to improve procedures, advertising, marketing, or operations from a fellow franchisee, the franchisees are quick to adopt the new methods.

No … franchising is not a “Straitjacket.”  

There is plenty of room for innovation and improvement and many franchise owners enjoy helping the entire franchise system evolve, improve and thrive.

Who knows?  After you invest in a franchise, you just might be the franchise owner who creates your franchise system’s “Big Mac!”

Dave Cooley, Franchise Consultant

Let’s learn more about franchising together.  

Email me:

Call me: 720.259.9475 (Denver – Mountain Time)  

By Stephen Winterrowd 16 Dec, 2017
Franchise Ownership -”Do I have to be an entrepreneur?”

If you are telling yourself, “I need to be a full on entrepreneur to successfully own a franchise”? My answer is no you don’t and it is better if you are not.

People are using the word “entrepreneur” with “business owner” interchangeably, and I argue that is wrong. The internet is a blaze with this person or that person saying “Be an entrepreneur to really get ahead in America”. What they should be saying is “Become a business owner to get ahead in America”. The true entrepreneur is not in most of us but a desire to control our destiny is. The entrepreneur is someone that needs to own every aspect of their creation; the branding, the marketing, all the design layouts, and so on. Think of Steve Jobs, Henry Ford, Mark Zuckerberg they would have walked out the door if a Franchisor said “here is the playbook to follow for your business”. The bulk of us want to own a business and control our livelihood but don’t not have a unique idea or time to create something from scratch. That is why, I think franchise ownership is a perfect fit for someone that wants to own a business and not the entrepreneur. Franchise ownership allows you to be a business owner that creates jobs, take control of your financial future, and gives you the benefits of being self-employed without the struggle of having to create something or go it alone.

The reality is most franchisors want a less entrepreneurial franchisee because they want someone who will follow the model or the playbook they created. They want someone that wants to own a business and have the advantages of being a business owner but not someone that will battle them day-in and day-out on the vision of the brand. The franchisor who created the model, the marketing, and the branding and sometimes the widget is the entrepreneur. And you as the franchisee, get to tap into that entrepreneurial spirit of the founder and take advantage of that creation. Don’t you think that if Apple had franchise opportunities there wouldn't be a line out the door of people wanting to join them. Or if Starbucks was a franchise you wouldn’t want to be able to tap into that brand and into their marketing. Thankfully franchising is an option and allows business ownership for the majority of us who want to own our livelihood, to create jobs in our local communities, but don't have the idea or the risk tolerance to create it from scratch.

Instead of asking are you an entrepreneur, you need to ask if you have the willingness to bet on yourself and the systems of the franchisor. Do you have the desire to control your daily existence and what you have to do everyday. From my experience franchise ownership of the right concept for your individual needs, can provide that and much more.

If you would like to learn more about investigating a franchise or take a free franchise compatibility assessment to help find the right model for you, please reach out to me at 310-773-7662 or
By Chris Otter 16 Dec, 2017
Why are so many working age men not working?

Nearly 3 million American men in their prime working years, age 25 to 54, are unemployed and have stopped looking for work. If nothing changes, this generation of men will earn less, pay less in taxes, consume more in government services, marry less frequently, and lead increasingly unhealthy lives that lead to earlier deaths.

The United States ties England and Spain among the 13 most developed countries in lowest upward mobility. The reasons are many but include corporate greed, outsourcing of jobs, and often employers’ focus on shareholder value over employee worth.

Everything has changed around them – the things that we relied on in the past no longer exist, jobs have become commoditized and offer little to no security. Many have experienced multiple events of downsizing, loss of opportunity and are fearful that they have become irrelevant and feel they are the only ones who think or experience this.

Most people have come to accept that there is a new normal – it doesn’t mean we have to like it, but it also doesn’t mean we need to become a victim. Many are considering business ownership as a career alternative. If you are going to break the cycle of complexity to transition and become self-sufficient, you need to understand whom we you turn to. But where do you start looking, where do you go from here?

The Franchise Consulting Company helps people who want to break the un/employment cycle to transform their lives and go from frustration to self-sufficiency. We represent our clients’ interests first and foremost. We begin by helping our clients think about their goals, what they really want from their life and what needs to happen to begin the process of transforming their frustrations into freedom.

Our tools are Education, Relationship and Opportunity. Our mutual objective is to determine if owning your own business is the best avenue for you, and then to find franchise opportunities that best match your personal and financial goals.
If you find yourself in a similar situation as many Americans today or frustrated with traditional employment, it may be time for you to explore business ownership as a career alternative.

Like many of my clients, you probably have many questions including whether franchising is right for you, what is available in your area, what is the required investment, and what franchise opportunities are the best fit for you to accomplish your financial and lifestyle goals.

Choosing the right franchise to own can be one of the most crucial and rewarding decisions one will make in a lifetime. “I believe we are successful when our clients are successful.”

If you are looking for straight talk from a highly experienced franchise professional that represents YOU, not the franchisors, and is only interested in your success - then give me a call. Listening and giving objective advice is at the core of everything I do and there is no fee or cost for our services.

You can check me out at
Chris Otter, The Franchise Consulting Company, PH: 912-635-2928, EML:

There are no obligations, no fees, no advertising...just good solid information about franchising.
By Tim Church 16 Dec, 2017
I'll start out small and add employees later...

But, it turns out my “awesome” service business is really just a one-man show. And I'm the one man and I'm the whole show! This is not what I envisioned! Why did I pay a franchise fee?

Many people who have started service businesses find themselves saying exactly this sort of thing. When they got into the business, they did not intend to just create a job for themselves. They intended to achieve some serious goals. They set out to make more money than they used to make in their previous employee role. They wanted a better, more robust lifestyle. They wanted to be philanthropic with all the extra money they would make. They wanted to buy a nicer home. They wanted to take their family on vacations and buy nicer cars. They wanted to build wealth. They wanted to leave a legacy. Or, maybe, build something that they could sell at a substantial gain and have an awesome retirement.

In fact, those are the reasons why they bought a franchise instead of just trying to do it on their own. They understood that by investing their money in a franchise, they would get a shortcut to success. The franchisor would show them all the right ways to do things. The franchisor would show them how to make money faster. The franchisor would provide valuable things like branding, marketing strategies, customer service procedures, and even human resources support.

But, here they are 2, 3, 5 years into their business and it just didn't happen. They're working longer hours than they ever had before. They're not getting any time with their families. In fact, the weekends are totally jammed up with all the paperwork and gobbledygook back-office stuff that they didn't have time to get done in the 12-hour days they worked during the week! What in the world happened?

They'll say things like,
“I can't fit anymore customers on my schedule.”
“I'm doing all the work!”
“I am my own best employee, anyway.”
“It just takes time to grow a business.”
“I just need a few more customers, then I’ll hire an employee.”

You know what? They've given up. They've resigned themselves to not being able to succeed because they've allowed themselves to become an employee of their business. It's as if they don't even own the business. The business owns them. But, if you ask them why, they’ll start excusing the situation. They'll say things like…

“At least I don't have to deal with employees.”
“I'm actually in control of everything here.”
“I know I work a lot, but it's easier this way.”
“I don't have time to look for employees, anyway.”

In their minds, they will actually justify this sentiment. Things will bump around in their brains that are totally contradictory to everything that drove them to buy the franchise, in the first place! They’re thinking things like…

“This method keeps my overhead low.”
“I can live on this income.”
“Employees steal things. They break things They don't work as hard as I do.”
“Even if you want to hire somebody, there aren’t any good ones out there!”
“Besides, this is a low-paying, blue collar position. You can't trust that kind of employee.”

But every now and then they're going to think about it and realize that there's a problem. This is absolutely NOT what they set out to do. These notions will flash in their minds during moments of frustration…

“I can't take a vacation!”
“No matter how hard I work, I can't seem to get my income any higher.”
“I have to deal with everything and every customer.”
“I'm working a gazillion hours. This is killing me.”

Why did this happen?

It could be that this new business owner feared that their income would drop the minute they had to pay an employee. This is why making sure you are adequately capitalized to launch a service business is critically important. Maybe they're uncomfortable delegating the work and responsibilities that go along with the business. Maybe they were afraid that the employee will ruin the business, somehow. Maybe they're concerned that the customers won't be as happy with an employee as they are with the owner. These are all natural concerns. Hopefully, these are fixable issues and not a signal that this person doesn’t fit well with the business they started. These are all common concerns among small-business owners who encounter this situation. The real question is, what can be done about it? Well, there are several things that can be done about it!

First, accept that employees will use a different path than the owner to achieve goals. Just because they won't do things exactly like you would doesn't mean they can't achieve the objectives you’ve laid out.
And, you have to set very clear objectives for your employees. they need to understand the goals and targets you have for labor costs or cost of goods or any other metric that is meaningful.
As the franchise owner, you have to establish and clearly communicate your quality control guidelines. The same holds true for customer satisfaction targets. It has to be measurable and something that your employees can evaluate throughout the day, the week, the month.
Train and Coach your employees but don't micromanage them. This is extremely difficult for many, many people. It's quite natural to want to be over the shoulder of your employees all the time. Of course, you must do that at first. During the training phase of an employee and during their early tenure, there may need to be lots of oversight. But, as they become more confident in their new position and you are able to see that they have some capabilities, you need to let them feel the joys of success by empowering them to achieve the goals that you have laid out. It will be very difficult for them revel in their successes if they don't feel like they were able to achieve them on their own.

In service franchises, it's not uncommon for a franchisee to believe that they can't hire enough good people. Or, the franchise owner experiences a very high rate of turnover. In some industries, there is always a high rate of turnover. It is also typical that in blue-collar service businesses, there are concerns that employees might deliver a low quality of work. To add insult to injury, labor costs can be exorbitantly high if they're not managed well. So, what’s the strategy?

Most of the time, the strategy is a simple sounding pair of words. Over hire.

For some people, that's easier said than done. Many new business owners, franchised or not, become concerned that they might not have enough work for everyone. It can be surprising to learn that all of your employees will not always show up. If you are over hiring, you're always in a position to raise the bar on attendance rules and on rules regarding customer service. This puts you in the position to constantly cull the bottom 10% of your employee force AND to constantly be improving the base of employees that you're working with.

Companies that seem to have all the best employees do exactly this! It is a misconception that those companies have some magical way of hiring the best people in the market. They simply use a strategic method of constantly improving their employee base. It's those two words. Over hire.
There's another side to the coin. It can't just be about culling the bottom 10%. It also has to be about improving the top performers. You have to lay out a path for individual employee growth. This path will be different depending on what the industry or the business is. That's a completely separate discussion. But, by laying out an individual growth path that your employees have the opportunity to pursue, you will not only be culling the bottom 10%. You will be improving your top 10%. Once this strategy is implemented, businesses tend to grow faster. Because, now, you can always be acquiring new customers without being held hostage by too few employees. This is exactly why employee growth is what drives business growth in so many service businesses.

Contact Tim Church at 727-222-8485 or to hear about his experience in franchise development and ownership to see if it might help you.
By Rich Lebrun 16 Dec, 2017
Every human being has his or her own definition of satisfaction, whether it is with your work, relationship, money and even with your own self. We all look with a different perspective and might see things differently base on how we look at it. The quality of life is vague and attaining this is a complex journey. The truth is, we all desire to have this yet not everyone is able to achieve it!
Family Life…
Our family and loved ones are the closest people in our lives. Our relationship with them and our daily interaction adversely affect our everyday living and our happiness. Not everyone is blessed to have a complete family but in today’s living it is also a reality that not everyone with a complete family is happy. A measurement of today’s quality of life, is merely the feeling of being complete with the people around us. To be fully known.
Health is wealth like what they always say. And who can really have a quality of life without a healthy body? What is money’s worth without a healthy body to enjoy the things that you wanted? The quality of life all boils down to the physical and mental ability to experience life itself.
Job satisfaction…
It is no longer a big story to hear people from executive position resigning from work or leaving the company they have serve for a long time. The number one reason? job satisfaction! Because they are no longer happy doing what they do nor do they feel contented on where they are as an employee. They have exchanged a truth for a lie. They searched for meaning in their job only to lose what was truly meaningful in life.

Financial Stability…
Financial stability nowadays no longer only evolves in employee and employer situation. It fact the pendulum has now swung in a new direction. It’s stereotype from being successful in an individual career has now taken on the look of owning your own business. Frequent mergers and technology that has replaced human capital are waking people up to the new reality. “Their Future” in a company is now at best on average 2.5 years. These days, there is a lot of small startup business ventures and franchises that one can choose from in which brings back the sense of control of one’s destiny to the individual.

Quality of life is truly a highly subjective matter. Yet it is very important for us to really understand it well because it can massively affect our decision in life. There is no perfect formula, neither a general standard that every human being must follow. We choose our own happiness and we create it. But one thing is for sure, the most tragic part is to be stagnant in a place where you’re no longer happy! Our life is our own choice. Quality of it perhaps is not always about the money we have in the bank, the value of material things we posses, neither on the fame and influence we have established. Quality of life grows from inner happiness and contentment that every individual subjectively measures base on their own set of standards. Generally, it is a balance of everything in every aspect of our life and just like what they say, we work on the things that we value the most!

Quality of life is the number one reason for people wanting to own their own business. We at the Franchise Consulting Company can help match you up with the right business that can offer you those things that are important to you.
Call Rich LeBrun at 224-678-9212 and lets us walk you through the process. It could be the best call you made this year. You can reach Rich at or check out his website at
By Chris Otter 16 Dec, 2017
Starting a New Business is like being a Stuntman!

Sounds pretty crazy, right? So, you're probably wondering what being a stuntman has to do with starting a new business...

Recently, I was reading an article in a men's fitness magazine regarding a guy named Bobby Holland Hanton who is a professional stuntman. In the article, he describes what it is like being engulfed in flames for a stunt in a movie:

"You feel like you're in a radiator. All you see is orange," Hanton Says. "It's a psychological battle. You have to believe in yourself, believe in your boss, believe in what you rehearsed."

That last part? It could describe success in any field. It got me thinking about how it feels when starting a new business, and specifically, a new franchise.

In franchising, you have many advantages over a starting an independent business and I like Hanton's comment as it correlates well to the learning curve that most new franchise owners experience:

Phase 1. Unconsciously Incompetent - You don't know what you don't know! This is how you may feel when exploring a franchise opportunity and do not recognize what you need to know. The good news about a franchise is that you are able to go through a structured learning process to educate yourself and talk with other franchise owners about what it takes to be successful BEFORE you sign an agreement. You will feel fear at some point - we all do - it's something new. I'm sure overcoming fear is a big part of Hanton's success. The key is to gather information to determine if it is right for you and a franchise gives you that opportunity.

Phase 2. Consciously (In)competent - Don't worry, it gets better! Now that you've been through training, you will have a good idea of the KPI's and activities to launch a successful business. Unlike an independent business, franchise owners enjoy comprehensive training, franchisor support and a proven "playbook" for success detailing the key aspects of owning and operating the business.

Phase 3. Consciously Competent - Now, you've got some experience under your belt doing the things you need to do according to the franchise "playbook." However, as with anything new, you will still be a novice when starting your new business, so it will take more of a conscious effort to achieve results. The key will be to give yourself the 'safe space' to enjoy the learning process and be OK with making mistakes. Most importantly, keep doing what you need to do as practice makes perfect and will lead to better performance. Remember, as Hanton says - "believe in yourself, believe in your (franchise system), believe in what you rehearsed!"

Phase 4. Unconsciously Competent (expert) - Now things get fun! Through repetition (rehearsing), you've fully developed your business muscles and what took effort in the beginning now comes easily and you can perform those tasks 'unconsciously' with greater and greater results.

In summary, starting a new franchise is like being a stuntman - you may feel like you are in a radiator engulfed by flames - but you can believe in the research you did to evaluate the business, then - "You have to believe in yourself, believe in your (system), believe in what you rehearsed" and you will be well on your way to success!

About Chris Otter....Chris Otter brings over 20+ years of experience in franchising and business ownership.

"I believe we are successful when our clients are successful."

You can check me out at
Chris Otter, The Franchise Consulting Company, PH: 912-635-2928, EML:
By Chris Otter 16 Dec, 2017
Your Job May Be Killing You!

A study by the American Medical Association found that stress is a factor in 75 percent of all illnesses and diseases that people suffer from today. The association between stress and disease is a colossal 85 percent!

If you don't get a handle on your stress and it becomes long-term, it can seriously interfere with your job, family life, and health. More than half of Americans say they fight with friends and loved ones because of stress, and more than 70% say they experience real physical and emotional symptoms from it.

Everyone has different stress triggers. Work stress tops the list. Causes of work stress include:

• Being unhappy in your job
• Having a heavy workload or too much responsibility
• Working long hours
• Having poor management, unclear expectations of your work, or no say in the decision-making process
• Working under dangerous conditions
• Being insecure about your chance for advancement or risk of termination

While I am sure that you are aware of the devastating effects of stress, the question remains - what are you doing about it?

There are many studies on how to reduce stress in our lives that include physical exercise, faith, meditation and others. One of the best ways is to "think about what you are thinking about" (Joyce Meyer, Battlefield of the Mind) More and more studies prove that the physical body responds negatively to negative thinking and positively to positive thinking.

The good news is that you have control over what you think! Believe it or not, you don't have to think about everything that falls in your head! Do you wake up thankful for what and who is in your life, or do you obsess about what you think others should be doing to make you happier or what you don't have? Often, this type of thinking sounds like this - "I would be happy if only....I had this.... or, if this person would do that"...etc.

At the same time, there are certain things in life that are out of your control and will not change. Your job may be one of these things.

I often hear people complain about their job, their boss, their lifestyle, etc., etc., however, I am always amazed at how few ever do anything about it or at least explore their options to take control over their lives and achieve personal success whether it be more flexibility, income, better lifestyle or creating a legacy of wealth for their children.

"It is useless to complain about something if you could change it and aren't willing to do so"

YOU CAN CHANGE IT! If you are tired of waiting on something external to miraculously happen that will allow you to achieve want you want in life, then I encourage you to contact me and explore business ownership as a career alternative. There is no cost or obligation, and it may change your life!

About Chris Otter....Chris Otter brings over 20+ years of highly successful experience in franchising and business ownership.

"I believe we are successful when our clients are successful."

You can check me out at
Chris Otter, The Franchise Consulting Company, PH: 912-635-2928, EML:
By Stephen Winterrowd 16 Dec, 2017
Franchise Ownership -”Am I buying a job”

I hear sometimes people say, “I don't want to buy a franchise because I'm just buying a job”. My response is “I bet you already have”.

Did you go to college..Why? Did you go to grad school..Why? I know why I did both, because I was told I needed to so I could get a job. How much did it cost you? Are you still paying off the debt you took on? Knowing what you know now would it have been better to have bought a job you own or have to continue to work for someone else.

It is true that some franchise concepts do require you to be the owner-operator from the beginning. They want you to drive the business and to really understand how it works. You may also have to be the owner-operator because of your investment level. You cannot afford to higher the sales employee from the beginning and fortunately there are some franchise opportunities that allow for that lower investment level because you will be providing most of the work in the franchise.

I bought a painting franchise at 36 and was only able to because the model was setup to have me be the owner-operator. I didn't do any painting, but I did all the sales and back office management. I essentially had a job, but I was able to take advantage of being a business owner and there was no restriction on me hiring someone to do my job in the future. Can you hire a replacement and keep an income coming in? I also was able to put some expenses through the business that an employee is not be able to do. You pay taxes before you pay expenses as an employee, as a business owner you pay expenses before you pay taxes. I also was able to hire my wife as an “employee” and contribute to two 401k accounts. So even if you did own a job as a business are you better off than being someone's employee? That's a question you have to ask yourself.

The reason I would rather own a job then being an employee is because of what I saw my father go through. At 58, he was forced to take early retirement and was not able to get another job after. If he had owned his job he could determine when he would retire, he could replace himself, he could sell the job. The options that your provided by owning your job per-say are much better than being an employee for someone else.

Business ownership is not for everyone and there will be a need for employees, but if your argument against being a business owner or a franchise owner is because you feel like you're just buying a job, then you aren't truly looking at all the benefits of being a business owner and in reality you've probably already bought a job.

If you would like to learn more about investigating a franchise and start working for yourself, please reach out to me at 310-773-7662 or

Stephen Winterrowd
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