Are you looking for greater control over your financial future? Do you want more cash flowing into your bank account every month, to enjoy the tax advantages of the wealthy and to build equity that is yours to sell or leave as a legacy? If so, you should consider leveraging the proven systems of a franchise to build and scale wealth.
Here are 3 ways to build and scale wealth through franchising…
Option one would be to keep your full-time job and invest in a franchise as a semi-active owner, thereby, creating an additional revenue stream coming into your house that you don’t need that then can be turned around and invested in passive investments such as real estate syndication. This strategy does not work for every franchise, nor does it work for every investor, but I can align the right opportunities to you if this appeals to you, and I can help you know what questions to ask and topics to consider as you move through the discovery process. If you do have the right job and skillset that would afford you the opportunity to invest as a semi-active investor, you would create velocity with your money because you would have income from your W2, the
franchise business, and eventually, passive investments.
Option two would be to invest in a franchise as a full-time executive owner who works on the business not in the business. We would start with your goals and dreams so that as you are exploring opportunities, you can align your income goals to average unit volumes and net cash flows, so you can determine the scale to which you would need to grow to achieve your wealth goals. Once you select the business, you would secure all the territories of that franchise that you need so that you can scale the business to match your wealth goals. This strategy is clean and would offer you the most opportunities to consider, as all franchisors love owners who are full-time invested in building a big business. In time, you would scale your team and begin to step back into that semi-active role or even build the business and position it for sale. Many owners get incredible resale values on their successfully scaled franchise business because there is so much data from within the system for the incoming investor to examine that it is easier to make a case for the multiple you are asking for than if you were selling a private mom and pop business.
Option three would be to invest in a franchise that affords you vertical and horizontal scale meaning you can build out 2,3,4 territories/locations of one brand and then come back and overlay a second franchise business but serving the same customers who you met with the first business. There are many home services franchisors who are looking for this type of empire builder because the franchisor would rather have fewer franchisees with bigger franchise businesses than a bunch of single territory or single brand operators. In this scenario, franchisors sometimes build the infrastructure of marketing, call centers and technology to support multiple home service brands, and then attract investors with this vision. This option can be an incredible way to build and
scale wealth and enjoy many economies of scale through shared systems, technology and even employees.
To begin your journey to realize your dream to build and scale wealth through franchising, contact me today.
