PE Profit Ladder Articles
Bain To Acquire Gong cha from TA Associates
Bain has been a consistent, although not frequent, investor in the franchise sector. I credit them with raising private equity's awareness about the attractiveness of franchise sector with their head-turning investments many years ago in Domino's, Burger King, & Dunkin' Brands.
Entrepreneurship Through Franchising Podcast with Ty McBride
If you're a prospective franchisee, you need to consider not just brands and financials, but how private equity might impact your investment.
Here’s How This Credit Risk Score Can Impact Your Franchise—and How to Fix It
What do FUND scores say about your brand? It matters even if you don't typically fund new units through SBA-backed loans. If you're a prospective franchisee, talk to lenders even if you think you want to self-fund. If they won't lend to franchisees in a particular system due to loan underperformance and a low FUND score, should you put your good money into that brand? How can you exit someday if your buyer pool doesn't have the option of SBA-backed loans? It's a limitation that doesn't increase your exit price, that's for sure. And what does it signal about management that they have allowed system underperformance to fester?
As Private Equity Turns Its Attention to Franchise Suppliers, M&A Activity Picks Up
Franchising's resilient model makes suppliers active in franchising targets in their own right for private equity acquisition and the creation multi-service platforms.
Legacy Franchise Leaders and Breakout Stars Know Innovation Always Matters
The franchise model practically invites disruptors to enter and shake things up. How do other brands lose their mojo? And with so many incentives to get things right, can PE backers instead get in the way?
Important SBA Lending Update From FRANdata
If you're in franchise management, a broker/FSO, a franchise investor underwriting growth, or a prospective franchisee, read this update from #FRANdata on SBA lending. And if you're not already a FRANdata Registry member, there is an important SBA deadline looming. If you are a brand planning to enter a sale process in the next couple of years, or a banker/advisor advising those brands - be prepared for more scrutiny on the growth story related to financing that deal funnel. Why pay for a sold-not-open funnel that's unlikely to materialize? "Embedded value" or "phantom funnel?" Before you invest, ask FRANdata what lenders are saying about the brand you're considering underwriting.
Franchise M&A Update Q1 2026
This month in Franchise Times, an update on private equity activity in the franchise sector and what it means for brands, franchisees, and management. 35 years after PE's arrival in franchising, is there anything left untouched to buy as the 1st institutional capital in the door? Why do we still have broken auctions when there are so many PE buyers looking to invest in franchising? And why isn't all this big money helping more new brands grow?
Mega 99 List for 2026
There are 240,000+ franchisees in the US. Approximately 40,000 of them own multiple units. In most cases, 2-5 units. But it is also true that some franchisee entrepreneurs have used the franchise model to build huge platforms, often with multiple brands. These platforms may be publicly traded or private equity-backed. Franchise Update Media tracks the largest operators in their annual "Mega 99" list. Check out the list here.
AI's Potential to Transform Franchising Includes a Major Power Balance Shift
No sector is entirely "AI-proof" but franchising is well positioned to benefit, provided franchisors don't create unnatural bottlenecks to progress as franchisees continue to adapt.
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PRIVATE EQUITY’S IMPACT ON FRANCHISING
EMERGING BRANDS
TRENDS
BUILDING SMART
PROSPECTIVE FRANCHISEES
TURNAROUNDS & CASE STUDIES