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Running a successful multi-unit franchise operation is no small feat. For many franchise owners, though, the ultimate goal is bigger than boosting today’s bottom line: It’s creating a legacy that thrives in the hands of the next generation.
Succession planning experts emphasize that creating a multi-generational enterprise involves more than simply handing over control. Identifying the right successors, instilling core values, sharing knowledge, and prepping family members to lead all play a role in sustaining and growing what you’ve built.
“If you want a family business to survive multiple generations against all the odds, you have to be thinking about the next two generations: ‘How is this going to survive beyond me?’ It gives you a different sense of purpose,” says McLain Hoogland, president of Nashville-based Hoogland Restaurant Group (HRG), a multi-unit Marco’s Pizza franchisee with 131 locations across 16 states.
Hoogland represents the fourth generation to lead Highland Ventures, a dynamic, fast-growing, family-owned venture management company founded in 1978 as Family Video. His entrepreneurial roots date back to 1946, when Hoogland’s great-grandfather started Mid-State Appliance in Springfield, Illinois. His father, Keith Hoogland, who continues to guide the business as CEO, is credited with expanding Family Video from 40 to more than 800 locations, strategically purchasing the retail real estate that fuels the family’s holdings today.
Building on this legacy, Hoogland has fine-tuned HRG’s growth-focused path as the largest franchise owner and operator of Marco’s Pizza. Along the way, he is mastering what it takes to drive a winning business-first culture that’s adept at creative problem-solving and serves the greater good of the family.
“When you’re looking at succession planning and everything in a family business, you have to give up a little bit of your own personal drive for the larger goal,” Hoogland says. “The larger goal is Hoogland, the family, and the business as a whole. As soon as it starts being, ‘How much money am I going to be worth?,’ ‘How successful am I going to be?,’ then you start making bad decisions for the group.”
Securing a legacy that lasts begins with proactive planning. Ideally, making moves to structure next-generation succession should start early—well before you’re ready to step away. This means setting up the business to run independently from you, selecting the right family members—or, in some cases, a trusted manager or team of employees—and offering opportunities for them to gain a deep understanding of operations and learn how to lead.
There’s no one-size-fits-all transition formula, but investing in education, training, mentorship, and hands-on experience at every business level can be invaluable to help prepare potential successors and ensure they are ready and willing to take on the unique challenges of franchise ownership.
Coleman Curry, 30, grew up learning the ins and outs of business from his father, Pat Curry, a serial entrepreneur and one of the largest Miracle-Ear multi-unit franchisees.
After selling the portfolio of 110 locations in 2020, the father-son duo reentered franchising in 2023 with Urban Air Adventure Park, operating three locations in Texas and Tennessee with two more in development.
This time around, Curry has stepped up to take on a more prominent role in the family-owned company, PJC Investments, as his father assumes more responsibilities outside the business as a recently elected state representative. Curry says he’s ready to use the experience he gained while working in the financial and commodity sectors to carry on the family legacy.
“More often than not, second generations cause the business to fail because of lack of preparation, so it was ingrained in me that one of my goals from a young age was ‘It wasn’t going to be me,’” Curry says. “There are still plenty of obstacles to overcome, but the reality is that part of my role and responsibility is to not only see what he’s built gain momentum, but to take it over and create generational wealth for my family going forward as well.”
While Pat Curry’s time in public service may be ramping up, the self-made business pro’s mission to foster his son’s growth as a leader remains steadfast.
“Coleman’s whole life has developed to get to this point now,” Pat Curry says. “So, my goal now—and one of the hardest things to teach anyone—is that it’s hard to understand what you don’t know. It just takes time and experience.”
Hoogland worked as a video store clerk at age 12, and his five younger siblings grew up involved in various aspects of the family business. That’s because his father embodied the family’s approach to humility and hard work, so the children understood early on that being part of the business legacy was a privilege that must be earned, not an entitlement.
Before being invited into the company, family members must first earn undergraduate and master’s degrees and work at least four years outside the company in director-level positions that demonstrate their capacity to advance before being invited into the company.
“My dad is very clear about what you need to do in order to come into the business, which is you have to be a performer,” Hoogland says. “I think one of the scariest things about a family business is the nepotism that comes with it. You get into a position because of your name even though you don’t have the capabilities of running a part of the business. And that’s where I think family businesses go to die when you start to put people in position just because of the name.”
Hoogland, a Vanderbilt University graduate with an MBA from Pepperdine University, served two deployments as an infantry officer in the Marines before his father tapped him to join Highland Ventures in 2016.
His skill set as a fixer has served him well. After working in boots-on-the-ground positions in a few of Highland Venture’s smaller companies, Hoogland shifted his attention to HRG. Over the next two years, he reorganized the company’s structure, eventually becoming president.
He spent his first five months learning the pizza business, splitting time each day in the corporate office as director of operations before heading out to work the closing shift as a general manager in one of the family’s restaurants.
“That set me up for success,” Hoogland says.
Former Potbelly CEO turned franchisee Bryant Keil always wanted to team up with his son, Hampden Keil, to create a legacy business.
The father and son are multi-unit franchisees with 13 sandwich shops open and 22 more in the development pipeline planned for Maryland and Virginia. They bring unique perspectives to building an enduring partnership with their brand and each other.
Bryant Keil was a regular customer of Potbelly before he purchased the neighborhood sandwich shop in 1996, growing from a single Chicago location to a vibrant nationwide chain of 250 locations.
He retired in 2008 but was lured back into the business after discussions with Potbelly CEO Bob Wright, who impressed the former executive with Potbelly’s strong growth trajectory after pivoting to a franchise-focused organization.
It was an easy choice to team up with Hampden Keil, 26, who grew up in the brand.
“I started in the very first store, and that’s how I got my experience. Hampden did the same thing, and that’s what we do with every employee,” Bryant Keil says. “We’re a great family company, but we also have incredible people who work with us and have a tremendous amount of experience and talent. One person can’t be a company. It’s a team effort. That’s certainly what we have. And without that, we would be in trouble.”
Before joining the family business, Hampden Keil, the oldest of Keil’s four children, was on the fast track at Lettuce Entertain You, where he oversaw operations.
The pair enjoy a solid working relationship running the business, and if opinions ever differ, they meet in the middle.
“I like that I get to learn a lot from my dad, seeing the things that he sees and notices are sometimes different from the things that I notice,” Hampden Keil says. “We’re both very high-touch individuals and definitely care about the little details. And I think Potbelly as a brand does a great job of emphasizing that as well.”
Family-owned businesses can offer distinct advantages over their nonfamily counterparts thanks to their long-term vision, strong commitment, and deep loyalty. There are also unique complexities and challenges.
Transitioning children into a business often brings hurdles, from unresolved family dynamics to resistance to change. Clear roles, open communication, and mutual respect are essential.
At Highland Ventures, Hoogland and his brother Ben Hoogland who oversees the real estate company, have well-defined positions, allowing them to effectively lead the family enterprise as co-COOs. A recently established family council keeps the entire Hoogland family aligned, providing regular updates on the business as they pave the way for the involvement of a fifth generation, which already includes 15 grandchildren.
The legal and financial considerations of franchise ownership must also be navigated. Experts say it’s critical to leverage the advice of attorneys, accountants, and other external advisors to structure the business and develop a comprehensive succession plan.
The plan should also address tax implications, estate planning, ownership transfers, and franchisor approval, which is especially critical in franchise agreements.
Pat Curry credits a family partnership structure and strategic trusts for preserving assets and minimizing tax issues over the years and across generations.
“Don’t be afraid to structure properly on the front end,” he says.
Succession planning for the next generation is an evolving process that requires adaptability by all involved.
“There’s no silver bullet. It’s a series of events that, as a father, a manager, a mentor, and all of the above, you have to figure out as you go and then make decisions,” Pat Curry says. “I think a lot of people miss that. They get this plan in their mind starting with all their hopes and dreams from when their child is born. Very few of those hopes and dreams survive all the way through. So, you’ve got to read the room and adapt to situations, people’s lives, your kids’ lives, and to conditional things that have occurred.”
Success also requires knowing when to step back .Bryant Keil is confident his son will take over thoughtfully when the time comes. Until then, he’s enjoying the ride and the rewards of building his family business.
“He’s teaching me just as much as I’m teaching him,” Keil says. “In terms of a legacy, there’s no question in my mind that Hampden can run this business and continue to grow it. We’re partners in it and having a blast doing it together.”
Written by M. Scott Morris
Successful multi-unit operators will eventually ask themselves an important question: “What’s going to happen to the business that I’ve worked so hard to build?”
“I always wanted to build this business for my kids,” says Gary Avants, president of Avants Management Group, which owns more than 30 Zaxby’s in six states. “When I found out about 12 years ago that the failure rate for transferring the business from generation one to generation two was 75%, I said, ‘I didn’t like those odds.’ And the third generation is like 99%.”
Avants’ response was to hire a family succession consultant, who worked with the family for several years and helped Avants and his children understand their gifts.
“For my oldest daughter, Melissa, he felt like her talent was in operations,” says Avants, who’s based in Athens, Georgia. “My son’s gifts were more in training and working with employees, so he’s in HR, and he felt like MaryStuart had more of a marketing background.”
Melissa Avants Crowe is vice president of Avants Management Group, Jordan Avants is director of human resources, and MaryStuart Avants Hulsey is director of marketing and guest services.
The family members had quarterly meetings with the consultant, who doubled as a family therapist. Family members could call him at any time to discuss issues that arose.
Avants has also sought out other experts. Two years ago, he and his wife attended a family business seminar that included owners of about 50 businesses that ran the gamut from generation one to generation seven.
“I learned a lot. The first thing for a family business to be successful is everyone needs to be engaged,” he says. “I can seriously say that my family and my children are definitely engaged. They come to work every day, and they know what they have to do.”
Avants is also creating business covenants, a collection of policies and procedures that can help his family when making decisions without him.
“When I’m not around in the future and there’s an issue, at least they have something they can lean on to guide them in making the best decision they can make,” he says.
According to the succession plan, Crowe will become president soon. Avants will become CEO. “As a family, we’re planning on her taking my place,” he says. “I’ll step back, and she’ll be running the company.”