PE Profit Ladder Articles
How One PE Firm Puts Its Own Capital, Operations Experience to Work
Most private equity investors in franchising are growth investors. A few are turnaround specialists. But it is relatively rare to find both skills in the same firm because investing mandates and timelines are very different.
Should You Buy A Franchise Or Start Your Own Small Business? Ask Yourself These 5 Questions First
In other words, are you an entrepreneur... or a systempreneur?
Here’s How You Can Tell Which Franchise Opportunity Is Best For You
There are 7 franchise systempreneur personality types — knowing yourself can help you select the best franchise opportunity for you
In A Crowded Field Of Emerging Franchises, Only The Strongest Brands Thrive: Intense Competition Keeps A Lid On New Concepts, Thanks To Private Equity
According to FRANdata, an average of 250 new franchise brands have launched every year in the U.S. since 2001. That's as many as 5,250 brands launched over the last 21 years. Yet in 2022, FRANdata counted only 4,000 total active franchises — up from 3,000 in 2010, which was flat also at 3,000 back in 1990. So, where did all those emerging brands go?
Use This Checklist To Avoid Buying A ‘Zombie’ Franchise
Here are 20 questions that will save you time and money. There are great franchise options out there, but you must do your due diligence.
Higher Acquisition Prices Bring More Growth Pressure to Franchise Sector
The acquisition market has been hot lately. The value of U.S. mergers and acquisitions in 2021 across 7,896 transactions reached $2.6 trillion, 30 percent above the previous record set in 2015. In the first half of 2022, the market pulled back, dropping 29 percent year-over-year, but this is still strong by historic standards.
Thinking Of Selling Your Franchise To A Private Equity Firm? Here Are 9 Ways To Build A Valuable Reputation
Private equity (PE) firms are watching your franchise business — right now. If you want to eventually exit via a private equity buy-out, you must build a valuable reputation.
Emerging Brand Missteps Happen. Here Are Ways To Avoid Them
Most of the challenges encountered by young franchise systems can be avoided with planning and following best practices. Common routes to trouble include the failure to ensure strong unit level economics, charging too much or too little in franchise royalties and fees, or launching into franchising undercapitalized. Early systems can also end up recruiting the wrong franchisees and end up tangled in litigation.
Franchising Isn’t For Entrepreneurs, It’s For Systempreneurs
First determine if you can follow a system, then find the right system for you.
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PRIVATE EQUITY’S IMPACT ON FRANCHISING
EMERGING BRANDS
TRENDS
BUILDING SMART
PROSPECTIVE FRANCHISEES
TURNAROUNDS & CASE STUDIES