What steps do you recommend to anyone preparing for a sale or exit?

One inevitable aspect of franchise ownership is that, at some point, the time will come to sell the business. Whether a franchisee is just beginning the ownership journey or approaching the end of a decades-long run, having a clear exit strategy is essential. The best time to prepare for a sale is long before deciding to sell.

Franchise Update spoke with several multi-unit restaurant franchisees about how owners can position their businesses for a successful transaction. The common theme is that preparation is key to the process. Franchisees should maintain accurate, well-organized financial records and establish documented operating systems that allow the business to function consistently without relying solely on the owner. Building a strong management team and workforce is equally important. A business that can operate effectively without its owner is likely to be more attractive to prospective buyers and easier to sell.

Owners should also have a thorough understanding of their leases, contracts, franchise agreements, and other financial or legal obligations that could affect a sale. Because selling a business can be a lengthy and complex process, franchisees should assemble the right advisory team well in advance. Working closely with experienced attorneys, accountants, and business brokers can help owners identify potential obstacles, maximize the value of the business, and navigate the transaction from preparation through closing.

In honor of Labor Day, we asked other multi-unit franchisees what their typical work week is like. Some owners try to maintain a consistent schedule with certain hours and days of the week, while others may vary between responsibilities in the office or the field. The restaurant industry requires long hours and owners to be on call, even if they are not physically present.

See the Franchisee Bytes section below to get an inside look at the typical work week of a multi-unit restaurant owner.

Marshall Degani

Company: Neptune New Millennium, LLC
Brands: 6 Kolache Factory
Years in Franchising: 25

Start two to three years before you want to transact. Get your financials clean and professionally prepared, because buyers pay for verifiable cash flow, not stories. Build a management team that runs the stores without you. A buyer is purchasing the business, not your seventy-hour weeks. Keep remodels and equipment current so nobody discounts your price for deferred maintenance. Read your franchise agreement's transfer provisions early so the franchisor's approval process and fees don't surprise you. Finally, assemble your CPA, attorney, and (if needed) a broker before you need them.

Jason Thomas

Company: Marquee Coffee LLC
Brands: 3 Bad Ass Coffee of Hawaii
Years in Franchising: 3

The decision to sell or exit a business is always hard. Preparation builds on the same discipline as everyday operating procedures: maintaining clean financial records, strengthening sustainable EBITDA, securing favorable leases, documenting operational systems, and forming a management team that can perform without the owner’s daily involvement. Building a business that is easy to understand, scalable, and not dependent on one individual should be the goal, whether you sell or not.

Kristy Rans

Company: Prime Hospitality Group
Brands: 12 Ruth’s Chris Steak House
Years in Franchising: 20

Begin preparing well before you intend to transact, and build a process that accounts for every part of the business, not just the transaction itself. Strong financial reporting, documented operating systems, a deep leadership bench, clear diligence standards, and defined legal, financial, operational, and integration steps are all essential. These processes should be easy to execute for future acquisitions and expansion projects. It is also important to understand your real estate, franchise agreements, liabilities, and long-term obligations, while surrounding yourself early with an experienced legal team.

Matt Roth

Company: Geaux Route Partners
Brands: 3 Walk-Ons Sports Bistreaux
Years in Franchising: 7

We haven't reached that point yet, but the biggest thing I think about is what happens to the team after you're gone. I've seen situations where a private equity group or new owner takes over a family-oriented, mom-and-pop operation and changes the culture. The original owners make their money and move on, but then the business and the team struggle. If you care about your team and the culture you've created, you need to think about how to protect those things for the long term, not just what the business is worth financially.

Franchisee Bytes

What is your typical work week?

Typically, Monday is my office day focused on reviewing performance, planning ahead, and following up on priorities. I’m an operator at heart and don’t like being stuck behind a desk, so I spend as much of the rest of the week in the field as I can, visiting our stores, inspiring our people, and staying close to the business.
-Brian Bailey, CEO, Team Bailey, 160 Domino's

I am generally in the restaurants from 10 a.m. to 6 p.m. However, I am always answering emails, putting out fires, overseeing marketing, and participating in meetings.
-Shak Patel, Multi-Unit Franchisee, Breaking Bread LLC, 6 Potbelly, 1 The Halal Guys

My schedule is more or less sectioned into monthly rotations. I consistently travel within the U.S. to different markets and restaurants once a quarter, and I travel overseas once a quarter to Pakistan as well. I have weekly calls with senior leadership that I never miss and monthly calls with our financial team to ensure I stay as involved as possible even while things change very quickly.
-Nadeem Bajwa, Co-founder and CEO, Bajco Group, 270+ Papa Johns

It’s hard for me to say I’m ever fully off. My mornings are typically the busiest, and I end my day in the afternoon. I stay connected to the business every day in some capacity. I may take a weekend day off here or there.
-Alex Anthraper, Multi-Unit Franchisee, Anthraper Restaurants, 22 IHOP, 1 Applebee's

I try to keep it to five days as much as possible, but that sixth day sneaks in sometimes. I try to reserve the seventh day for worship.
-Andy Cabral, CEO, Vigario Management, 25 Dunkin’, 9 Baskin-Robbins

Six to seven days a week. I usually spend Monday through Friday in the office or traveling. I use the weekends to catch up or prepare for the upcoming week.
-Tom Lovelace, Owner/President, Tom Lovelace Group, 96 Papa Murphy’s

Usually around 50 to 60 hours, depending on the season. The holidays are crazy, but that is also when we thrive.
-Matt Davis, President, The Davis Restaurant Group dba the Honey Baked Ham Co., 22 Honey Baked Ham

I don’t track hours; I work until I get tired. But because I enjoy it so much, it rarely feels like work.
-Christopher Aslam, CEO & Principal, Rock Strategies and various entities, 59 Jack in the Box, 5 Golden Chick, 5 Hawaiian Bros Island Grill