Non-Mediocre Franchising | Build Around Outcomes, Not Just Onboarding

yeah so um and it's interesting you say that you know i know we talked a little bit before the show and um you know it's the thing about going to speak at other franchisors conferences is that i can say things to their franchisees that they they need to hear but it's difficult for you to say it to your own franchisees now interestingly enough i'm at a point in my career where i'll say it to our franchisees i just don't care anymore right because at the end of the day all i care about is their outcome We're here, we're going to use tools, tactics, but philosophies to help our leading owners win.

We want a smaller number of large franchisees.

So when you talk about things that franchise owners need to hear, there's a couple of things like it is your obligation, not your opportunity, but your obligation to be positively actively engaged in the system and you know and there's a great study by fran connect that has a um they over 800 franchisors and thousands of franchisees but a positively actively engaged franchisee will have 6.3 times the results of an actively disengaged franchisee okay so now there's three categories there's actively positively engaged There's actively disengaged, and then there's actively negatively engaged, right? You've got your naysayers.

And I do this all the time, and I talk to franchisors, and it's like, hey, 20% of your network is going to be the most incredible franchisees you've ever had, 20, 25%, right in there typically.

They're influencing and create, they're breaking the four minute mile.

They're providing leadership and they're influencing the next 70%.

But then there's always going to be 10% of people that are struggling for one reason or another.

Now it could be struggling with the business.

It could be struggling personally.

It could be a new franchisee that hasn't kind of got with the system yet, or kind of hasn't figured it out.

They might've, they might've gotten into the system and realized this isn't the easiest dollar that I can make.

And, you know, they go back and I mean, you have franchisees that scratch that itch.

And a year later, they're like, hey, somebody just gave me a $250,000 consulting job where I get to play golf three times a week.

You know what? That's easier money.

I'm going right back to that.

You know, can you help me sell my business? So, you know, so when you, you know, and really, you know, we're a platform of outcomes.

So, you know, it is worth the conversation to say to a franchise owner that, look this business ownership's hard if you're in a franchise if you're an independent business it's always hard we're in a very dynamic time with technology now so you know there's evolution of ai and i mean we've remade our our entire tech stack in the last six months you know we did a staff acquisition of a cfo or c chief technology officer their data scientists their technology and we've revolutionized everything inside of the home front platform And our franchise owners have now the very best of AI technology confined within the walls of our of our system that goes to every corner of our system.

So they get this great data visualization, great insight to ask it any question at all.

And we can poke through to the outside and get market data as well.

So, you know, and that's a big problem to solve.

Right.

But, you know, it's it's you know, so so our ability to have these adult conversations with our top performers so that we you know, that they can be positively, actively engaged and they can influence that next 70 percent of people that are good people that are just trying hard to figure it out.

Right.

And and then also, too, you know, when there's people that are investing all their time being negatively engaged, that you know that's actually negative for the system and i've i've been part of a system uh where uh you know the company was sold and it didn't go as expected and look when you know when you are actively negatively engaged all you're doing is and i tell them i say look think about it this way if you're in a group of five or six franchisees and you're spinning around for an hour about everything that's wrong there's no solutions there's no resolution you're just caught you're doing that as a practice every time you have one of those calls just take ten thousand dollars out of the resale value of your business just go ahead i mean you know so you do that 50 times a year once a week just take 500 000 out of your pocket you know what what is the point in you know even dogs know not to go to the bathroom where they eat you know so you know so so a lot of what i get to talk about with these other brands is like okay what does it mean to be positively actively engaged how do i help how does a franchise system uh have high engagement right so that you know through committees uh through the fac through the events that you do, through the channels that you communicated on, not too many channels, so that everybody has the ability to be top to bottom transparent, and everybody's looking at the same things, everybody's looking at the right things, and it's clear the things that I need to do.

And if a franchise system can get that and if you look at the ones that have survived over many, many decades, like the ones that that culturally have an honest culture, not everybody's going to love each other.

yeah so um and it's interesting you say that you know i know we talked a little bit before the show and um you know it's the thing about going to speak at other franchisors conferences is that i can say things to their franchisees that they they need to hear but it's difficult for you to say it to your own franchisees now interestingly enough i'm at a point in my career where i'll say it to our franchisees i just don't care anymore right because at the end of the day all i care about is their outcome We're here, we're going to use tools, tactics, but philosophies to help our leading owners win.

We want a smaller number of large franchisees.

So when you talk about things that franchise owners need to hear, there's a couple of things like it is your obligation, not your opportunity, but your obligation to be positively actively engaged in the system and you know and there's a great study by fran connect that has a um they over 800 franchisors and thousands of franchisees but a positively actively engaged franchisee will have 6.3 times the results of an actively disengaged franchisee okay so now there's three categories there's actively positively engaged There's actively disengaged, and then there's actively negatively engaged, right? You've got your naysayers.

And I do this all the time, and I talk to franchisors, and it's like, hey, 20% of your network is going to be the most incredible franchisees you've ever had, 20, 25%, right in there typically.

They're influencing and create, they're breaking the four minute mile.

They're providing leadership and they're influencing the next 70%.

But then there's always going to be 10% of people that are struggling for one reason or another.

Now it could be struggling with the business.

It could be struggling personally.

It could be a new franchisee that hasn't kind of got with the system yet, or kind of hasn't figured it out.

They might've, they might've gotten into the system and realized this isn't the easiest dollar that I can make.

And, you know, they go back and I mean, you have franchisees that scratch that itch.

And a year later, they're like, hey, somebody just gave me a $250,000 consulting job where I get to play golf three times a week.

You know what? That's easier money.

I'm going right back to that.

You know, can you help me sell my business? So, you know, so when you, you know, and really, you know, we're a platform of outcomes.

So, you know, it is worth the conversation to say to a franchise owner that, look this business ownership's hard if you're in a franchise if you're an independent business it's always hard we're in a very dynamic time with technology now so you know there's evolution of ai and i mean we've remade our our entire tech stack in the last six months you know we did a staff acquisition of a cfo or c chief technology officer their data scientists their technology and we've revolutionized everything inside of the home front platform And our franchise owners have now the very best of AI technology confined within the walls of our of our system that goes to every corner of our system.

So they get this great data visualization, great insight to ask it any question at all.

And we can poke through to the outside and get market data as well.

So, you know, and that's a big problem to solve.

Right.

But, you know, it's it's you know, so so our ability to have these adult conversations with our top performers so that we you know, that they can be positively, actively engaged and they can influence that next 70 percent of people that are good people that are just trying hard to figure it out.

Right.

And and then also, too, you know, when there's people that are investing all their time being negatively engaged, that you know that's actually negative for the system and i've i've been part of a system uh where uh you know the company was sold and it didn't go as expected and look when you know when you are actively negatively engaged all you're doing is and i tell them i say look think about it this way if you're in a group of five or six franchisees and you're spinning around for an hour about everything that's wrong there's no solutions there's no resolution you're just caught you're doing that as a practice every time you have one of those calls just take ten thousand dollars out of the resale value of your business just go ahead i mean you know so you do that 50 times a year once a week just take 500 000 out of your pocket you know what what is the point in you know even dogs know not to go to the bathroom where they eat you know so you know so so a lot of what i get to talk about with these other brands is like okay what does it mean to be positively actively engaged how do i help how does a franchise system uh have high engagement right so that you know through committees uh through the fac through the events that you do, through the channels that you communicated on, not too many channels, so that everybody has the ability to be top to bottom transparent, and everybody's looking at the same things, everybody's looking at the right things, and it's clear the things that I need to do.

And if a franchise system can get that and if you look at the ones that have survived over many, many decades, like the ones that that culturally have an honest culture, not everybody's going to love each other.