Who is Today’s Franchisee?
The answer is, “It could be anyone!” Among the new breed of franchisee (in addition to celebrities and private equity firms) are what we call “corporate refugees.”
Experienced business professionals are burning out and aging out of big businesses and seeking autonomy, ownership, and creativity; they seek ways to operate and scale businesses without some of the strains and expenses of starting from scratch.
They often have the financial, operational, and hiring skills to “hit the ground running” with franchise ownership. Some owners treat their ventures as family affairs and work with spouses, relatives, and even adult children.
At the Fat Brands Summit, I had an opportunity to chat with one such owner. A former engineer, he had worked in the food industry as a teenager and was passionate about feeding people. Plus, having seen how food businesses work, he knew some of the pitfalls.
Because he wanted to make the right decision, he spent two years researching and analyzing different food-related franchises. He settled on a concept that required a small footprint and had fewer food prep and operational demands than more complex options.
The brand he invested in was ultimately acquired by FAT Brands, affording him even more corporate resources, a broader network to build his business, and the cost savings, technologies, trend-tracking, and operational expertise that larger franchisors can provide.
