PE Profit Ladder Articles
Where Is Franchise M&A Deal Flow Shifting?
We were supposed to see a big comeback in M&A dealmaking this year. Instead, it’s been much slower than anticipated. But opportunities exist if you know where to look.
Franchise Suppliers & Private Equity
Acquisition alert: IFPG. The PE Profit Ladder isn’t just for franchisors and franchisee operating platforms that trade between private equity firms as those franchise businesses grow…, it’s increasingly the path for franchise suppliers as well. Each new owner brings a fresh perspective, capital for growth, and a different skillset as the journey evolves. CNL is managed by Levine Leichtman Capital Partners, LLC, one of the most experienced franchise investors. This is a successful exit by prior PE sponsor Princeton Equity Group.
Bubbakoo's Burritos Acquired By Thompson Street Capital Partners
Franchise M&A is alive and well (despite recent economic headwinds) for high quality brands with the right stuff. This week's example: Bubbakoos Burritos. Beloved Jersey shore QSR Mexican offering that delivers quality and strong value for customers, protein forward, fun and irreverent branding - and passionate franchisees. Other things to note: - M&A trades just UNDER the largest PE firms active in franchising (e.g. KKR, Roark, Blackstone, etc) remains a great place to be, knowing there are large upstream buyers for brands that can increase scale and create strong franchisee outcomes. Thompson Street Capital Partners made a shrewd pick here. With steady and thoughtful nurturing this brand is primed for scale. - Focus on executing the model, not fast franchise sales. This brand is growing fast but in steady and controlled way. Quality over speed and the speed will take care of itself. - Founders - choose a proven partner. TSCP has a solid track record and good things are expected here too. - Did you know that of the franchises that at some point in their history reach $100M in systemwide sales, 23% never exceed $150M? (Source: FRANdata) Having the right support and scaffolding in place is critical to reach the next level. If you hit an inflection point, bringing in the right capital and strategic partner can make all the difference.
Modrn Business Podcast: 2025 FRANdata
The franchise ownership model is evolving. On a recent episode of the Modrn Business podcast, hosted by Zack Fishman, CFE joined by guests Edith Wiseman and Alicia Miller, NACD.DC, CMAA, CFE dives into the trends that are redefining franchise growth, funding, and private equity interest—with expert insights on: - Why today’s franchisees are entering with a 5–10 year exit mindset How franchisors must rethink support and scalability to stay investable - The growing impact of credit risk scores like FUND on brand performance - What private equity and lenders are now both demanding from franchisors - Why resale activity is rising—and what it signals about system health
Market Uncertainty Increases Focus on Growing with Experienced Franchisees
Current market headwinds are prompting more franchise systems to proactively reach out to existing franchisees in other concepts to keep the growth flywheel spinning.
Private Equity in Franchising: Impact, Trends & 2025 M&A Forecast
Presented by the New England Franchise Association and Boston Franchise Business Network: Private equity has created a dominant position in franchising, with broad implications for all franchise stakeholders. In this dynamic session, we covered recent trends and made predictions about the 2025 M&A landscape. We also discussed how to be proactive and thoughtful about your strategy to engage with PE, whether you're a franchisor, franchisee, supplier, or even corporate employee. Live event with audience participation and questions.
There Are No Franchise Lifeguards, and Don't Expect Private Equity to Save the Day
No lifeguards. Longer hold times. If it looks and smells like a "project" don't expect buyers to line up. This also applies to re-trades. This month in Franchise Times.
Big Money in Franchising Wins Silver in Axiom Business Books Awards
Founded in 2007, the Axiom Business Book Awards recognize outstanding new titles that drive professional growth and inspire positive change. In a landscape where leadership and innovation are crucial, these awards highlight books that serve as valuable resources for enhancing business acumen, fostering collaboration, and inspiring transformation. Whether through promoting effective strategies, encouraging entrepreneurial spirit, or advancing ethical practices, the Axiom Business Book Awards celebrate the creativity and ingenuity behind influential works in the business sector.
Emerging Brand Churn Remains Problematic - We Can Reduce It
Emerging franchise churn. The market has gotten much tougher for new brands to break out. Our launch and support bar needs to be higher. Don't help - launch - write an FDD - or sell - a concept that should never have been franchised in the first place, or which is under-capitalized and thus has little ability to provide adequate franchisee support. Some suppliers have tremendous direct power over the shape of franchising - good and bad. Others in the franchise ecosystem have indirect power via their support of the leaky engine by taking advertising dollars, consulting, conference fees, and memberships from the first group even when there are signs of trouble. What role does your organization play? Does your revenue model make franchising stronger and better?
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PRIVATE EQUITY’S IMPACT ON FRANCHISING
EMERGING BRANDS
TRENDS
BUILDING SMART
PROSPECTIVE FRANCHISEES
TURNAROUNDS & CASE STUDIES