What specific challenges arise when transitioning from a single-unit to multi-unit franchisee, and how did you overcome them?

Welcome to the second issue of Multi-Unit Restaurant Franchisee—Paths to Success. Each newsletter will feature a single question, with responses from different multi-unit franchisees speaking directly from their experience. It will be emailed to subscribers every 2nd & 4th Monday.

A second section, “Franchisee Bytes,” will feature responses to a more personal question from a different group of multi-unit operators (favorite book, who they’d like to have lunch with, best advice, what do people not know about them, last vacation, etc.).

The collected responses will cover a wide range of multi-unit operator perspectives on the food, franchising, and business landscape in 2024, offering subscribers solutions to shared challenges and a glimpse into the lives of successful multi-unit restaurant franchisees.

MATTHEW TUCK

Company: PS Venture Holdings, LLC

Brands: Hungry Howie’s Pizza (36), Penn Station East Coast Subs (3)

Years in franchising: Hungry Howie’s franchisee since 2005 (operated as many as 65 restaurants as Director of Operations for Hungry Howie’s Properties before retiring in 2022); Penn Station franchisee since 2019.

The biggest challenge in scaling your organization is that it becomes less about your personal ability in operations and more about your ability to develop a strong culture. While we all develop policies and procedures for our business, it’s impossible to account for every situation. Surrounding yourself with like-minded people who understand your priorities and goals is paramount.

Early in my career I relied solely on my operational ability. I was fast and had a knack for customer service. Growing beyond a single location, I learned the value of truly teaching my team and ensuring that they didn’t just understand what to do, but why we do it that way. It sounds simple, but taking this approach, rather than simply barking orders, will help your team understand that you truly value them.

You need to run your business with the understanding that your people are your greatest asset and that your success depends on your ability to lead them. As I grew, I learned that true leadership is based on three simple principles: 1) Be clear on your expectations; 2) Be consistent; and 3) Always do what you say you’re going to do. That’s how you build loyalty. And once you have loyalty from your team, you will earn the loyalty of your customers.

JP CARUSO

Company: 3Natives Boca Yamato

Brands: 3Natives Acai & Juicery (2)

Years in franchising: 2

My name is JP Caruso. Tyler Cameron and I are not only best friends, but business partners at two locations now. We opened up our second location together in Delray Beach, Florida, in late August of 2023. We have another location in Boca Raton on Yamato Road.

We have learned a lot these past few months about the challenges of running multiple locations. The hardest challenge, as one can guess, is not having the ability to be in two spots at the same time. It seems like when it rains it pours in the restaurant industry. You have twice the amount of work and responsibilities. So you have to rely on your team a lot more. You have to put trust in your team and delegate more work. You have to still maintain those relations with your teams and show them that you care, even though you can’t be in both shops all the time.

Doing this also can backfire, though. When an employee decides to leave, now you have the challenge to find someone else who can do the task that person had. You have to train them and teach them – all while making sure the rest of your teams are still running up to par. You don’t want the operations of one shop to ever slack because you are too focused on making sure the other shop’s operations are running smoothly. It’s all about balance and making the most out of your time each day. It is a large learning curve, but an exciting one. It is a challenge we are up to and still learning from every day.

DUSTIN MULLIS

Company: Coup Management LLC

Units: Zaxby’s (7, 8th under contract)

Years in franchising: 19

I joined the Zaxby’s brand in 2012 after spending 7 years with Chick-fil-A. Since joining, I’ve opened a total of 7 units with another one under contract. We started out with a “middle management mode” and ultimately landed on an owner/operator model where our key people have equity in the business. I feel that to scale and achieve the results I expect of our stores, the only way to do that is by empowering the leaders within the restaurants and rewarding them for their efforts. This allows me to continue to grow and provide a true growth path for the leaders within my organization.

VIOLET GINTSIS

Brands: Beyond Juicery + Eatery (5)

Years in franchising: 4

Transitioning to a multi-unit franchisee has been an exciting journey with several growth opportunities. A significant challenge we’ve navigated is in staffing, particularly finding the right people and managing turnover. We’ve transformed this challenge into an opportunity by prioritizing recruitment, constantly reviewing needs, and proactively hiring, striking a balance between thorough training and efficient labor management. Partnering with organizations serving underserved communities has not only broadened our candidate pool, it has also has made a positive impact in the communities we operate in.

Although a challenge, we’ve thrived in maintaining brand quality across multiple stores. Implementing a regional manager system provides operational oversight and training, fostering teamwork and shared successes. Daily check-ins and regular meetings facilitate open communication, ensuring that our teams are able to quickly resolve challenges. We reinforce our commitment to exceptional service by consistently responding to customer feedback. Viewing challenges as opportunities for improvement, our dedication to training, clear communication, and high expectations create a positive work environment. Overall, the journey to become a multi-unit franchisee has been worthwhile, marked by positive growth, collaboration, and resilience. We’re eager to keep the momentum going into the years ahead.