PE Profit Ladder Articles
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?
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.
How Much Responsibility Rests on the Franchisor to Drive System Revenue?
Tensions can arise between the franchisor and franchisees when it comes to demand creation. Who is responsible for driving customer traffic?
Can Brands Create Empire Builders? Or Do They Have To Recruit An X Factor?
How much franchise unit success is the operator versus the brand, system, and training?
Search Fund Acquisition Entrepreneurs & Franchising
Disillusioned by corporate life, more people see acquisition entrepreneurship as a better path - so they set out to find a business to buy. There are MANY such opportunities within franchising, including both smaller franchisors that need help, and multi-unit franchised units that can be the beginning of a consolidation play. If well established and proven, franchise systems can provide the guidance and support for these first-time business owners, though they are taking on an existing business. If those acquisitions are well run, there are larger upstream buyers when it's time to sell.
Should You Start with a Franchise?
On this episode of Start. Scale. Exit. Repeat., we sit down with Alicia Miller, author of the award-winning book Big Money in Franchising, to explore why franchising is one of the most accessible—and misunderstood—paths to entrepreneurship. Miller explains that franchising gives aspiring business owners a unique opportunity: the ability to run and grow a business using a proven system. Instead of building every process from the ground up, franchisees follow an existing model that provides training, support, and brand recognition. This makes it an appealing option for those who want to become entrepreneurs without starting from scratch. But, as Miller emphasizes, not all franchises are created equal. With over 400 new brands launching every year—and many fading just as quickly—due diligence is everything. She walks us through the importance of evaluating your own skills and lifestyle goals before choosing a concept, and explains why buying an existing franchise resale can sometimes be a smarter bet than launching a new unit. We also discuss private equity’s growing interest in franchise brands and how that can impact both franchisees and franchisors. If you’re thinking about starting a business—or wondering whether franchising is a shortcut to ownership—this episode is packed with perspective, strategy, and cautionary tales.
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
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PRIVATE EQUITY’S IMPACT ON FRANCHISING
EMERGING BRANDS
TRENDS
BUILDING SMART
PROSPECTIVE FRANCHISEES
TURNAROUNDS & CASE STUDIES