Building a Franchise Empire

If you plan to own multiple franchises, you must successfully expand the number of units you own. In doing so, you will find that you can’t oversee every store and operation hands on. To overcome this challenge, you will need a strong layer of management in place to keep your business running on all cylinders.

Trust is probably the hardest challenge when allowing other managers to run your operation while you’re not available. However, it is a critical business decision that you have to face. You need to find a balance between enabler, coach, and manager. By all means avoid becoming a micromanager who needs updates on every aspect of the business. There are ways to get the information you need at the time you need it. The micromanager often creates more tension, frustration and constant distrust amongst employees. This micromanagement methodology leads to unsatisfactory experience for the customer. The best managers must earn the trust of the customer consistently to be successful.

The best way to address customer experience is high-quality training, protocols, and clear communication. Every team needs a playbook, and it’s up to the franchise owner to design the plays and get everyone who is employed speaking the same language. Sales gains can dissipate if owners don’t find ways to retain customers and get involved in the community. Franchisers will look for owners who can build a business by growing word-of-mouth excitement and contribute to local activities and charitable cause. They also want to see owners who have good relationships with real estate brokers and developers, as well as different suppliers, which helps expedite the process after an agreement is signed and before a store actually opens.

Sun Holdings, Inc., was founded in 1997 by now President and CEO Guillermo Perales.. Their operations have created 12,000 local jobs, and they plan to continue to grow. They also have 42 T-Mobile stores in their portfolio.

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