PE Profit Ladder Articles
PE Profit Ladder Market Watch Newsletter: Largest franchisee in the world seeks majority exit? No, it's just the 6th recap.
A great example of the PE Profit Ladder to accelerate growth. Although the press initially hinted that Flynn Group was for sale, in reality this is just a recap (the 6th)...and happens to be an excellent example of the PE Profit Ladder. Goldman Sachs Capital Parters invested from 2001-2005, Weston Presidio 2005-2011. GS returned in 2011 to invest again. The Ontario Teachers Pension Plan and Main Post along with management invested in 2014. After ten years it is time to return some funds to pension investors (OTPP and MP may roll some forward). Direct investing by pension funds and sovereign wealth funds grew 16% per year from 2009 to 2017 according to Boston Consulting Group. OTPP's good outcome here will likely inspire more direct investment in the franchise sector. But given the deal backlog we'll also see more LPs and direct investors pushing for good exits like we're seeing here with Flynn....hold times have extended and there is a bit of a backlog. This is not an exit and the management team is staying in place The existing investors are exiting and new investors are coming in. #peprofitladder #qsr #franchising #privateequity
PE Profit Ladder Market Watch Newsletter: Camp Bow Wow Acquired by PE-Backed Propelled Brands
When franchise brands sell to non-franchise strategics they often tumble back out (in a fairly predictable way) if/when the strategic's priorities change, especially if franchising is outside their core business model. Camp Bow Wow was acquired by pet hospital chain VCA back July 2014 when CBW had 152 locations...today CBW has around 230. Coming back into the franchise family and especially into a multi-brand platform will likely be very positive for this great brand! Dogtopia in particular likely benefitted from a 10 year run where CBW had 52% unit expansion under VCA while Dogtopia enjoyed 800% unit expansion during the same period. Does Dogtopia have a history of private equity support? You bet. At both the brand and multi-unit owner level. #bigmoneyinfranchising #privateequity #franchising
Big Money in Franchising Is #1 New Release on Amazon
Big Money in Franchising: Scaling Your Enterprise in the Era of Private Equity achieved the distinction of being the #1 New Release hardcover title in the Business Franchise category on Amazon, while still in pre-order. The book will be available March 12, 2024. #bigmoneyinfranchising #franchising #privateequity #peprofitladder
Crowded Field, Consolidation, Proactive PE Owners Among 2024 Franchise Trends
In the franchise sector we have much to be optimistic about heading into 2024. There are also clear opportunities: franchise sales & private equity's impact on franchising.
Commanding a Premium Franchise Sale in a Cautious 2024 Private Equity Investment Climate
Perfect market timing is difficult to pull off, but excellent preparation and building a valuable business in the first place is much more under your control. Private equity firms are actively seeking high-quality franchise businesses, so it's crucial to have a solid plan in place. Avoid vague improvement ideas and instead, document your strategy, assign accountability, and execute it flawlessly.
To Improve Online Marketing, Should Franchisors Rethink Website Control?
Innovative brands are embracing an alternative website strategy: multiple web domains. A hybrid digital approach empowered by AI tools that balance brand control with localized franchisee presence can allow brands to connect with customers in a more meaningful way, drive engagement, and unlock new growth...while also improving visibility about your franchise business opportunity.
All Things Considered Podcast - Private Equity's Impact on Franchising
All Things Considered Podcast - Private Equity's Impact on Franchising
Mastermind Minutes Interview - PE's Impact on Franchising
Mastermind Minutes Interview - PE's Impact on Franchising
The Secret to a Successful Sale — Expert Tips to Navigate Common Deal Derailers
The more you can anticipate potential deal de-railers, the more likely you'll have a successful exit transaction worthy of your time, investment and effort. These derailers are, unfortunately, much more common than many business owners realize. Preparation is key!
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PE Profit Ladder® Market Watch Newsletter
PRIVATE EQUITY’S IMPACT ON FRANCHISING
EMERGING BRANDS
TRENDS
BUILDING SMART
PROSPECTIVE FRANCHISEES
TURNAROUNDS & CASE STUDIES