Spadea Lignana

29 11, 2023

LEGAL: Is Your Business ‘Franchisable’?

2023-11-30T10:13:00-05:00November 29th, 2023|Tags: , , , |

As a franchise attorney who has launched hundreds of brands over the last decade, I get asked this question a lot by people exploring whether they want to franchise and those who have launched a brand but have struggled to get traction. There are key business attributes that make a business “franchisable”, however, the first question is more about the founder than the fundamentals of the business. Are you ready and able to be a good franchisor? By Tom Spadea

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27 06, 2023

What Business Are You in?

2023-06-27T16:19:10-04:00June 27th, 2023|Tags: , , , , , |

Seems like a simple enough question. However, I think many franchisors forget they are in two businesses. One is the underlying subject matter expert on the service provided to consumers, such as a restaurant, gym, roofing, etc. But the second, and increasingly more important, as your system grows, is the business of franchising. By Tom Spadea

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27 02, 2023

Legal: Should My Corporate Stores Pay Royalties?

2023-02-27T14:26:24-05:00February 27th, 2023|Tags: , , , , , , |

If you make $100 in profit, that $100 on the open market is worth the multiple of the earnings in the business it is generated. If you pay that $100 in royalties to the franchisor, that $100 becomes an expense to your operating unit and profit to the franchisor. By Tom Spadea

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1 02, 2023

Legal: Top of the Class

2023-02-01T00:18:52-05:00February 1st, 2023|Tags: , , , |

As a franchise attorney, I have witnessed some clients go from a few locations to hundreds in a surprisingly short amount of time. All of them have strong brand name, great unit economics and solid systems, but the primary factor that seems to set them apart is the quality of teaching, advice and coaching the franchisor furnishes to its franchisees. By Tom Spadea

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26 12, 2022

Legal: What Does Winning Look Like?

2022-12-26T12:50:46-05:00December 26th, 2022|Tags: , , , |

Franchising is about creating a community of business owners working out of the same system and sharing the same goals, metrics, brand, system, etc. It is franchise malpractice to not have your franchisees reporting their numbers in a uniform way, which starts with a standard chart of accounts for your franchisees. If you don’t have a standard chart of accounts, then how do your franchisees know what winning looks like? By Tom Spadea

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