From VHS Tapes to Values-Based Businesses: Lessons from 30+ Years in the Franchising Trenches

During the mid-1980s, Friday nights meant a trip to your local video rental store to pick out a movie or two for the weekend. This was the golden era of home video rentals, a booming industry that I was fortunate enough to be a part of.

I embarked on my franchising journey with West Coast Video in the heart of Philadelphia. I didn't just own a single store; I owned five. This franchise, which predated even Blockbuster, was my introduction to the world of franchising.

As I expanded my footprint to New York, I quickly realized that passion alone wasn't enough. The financial aspects of running a franchise were equally important. Balancing the books, managing cash flow, and investing in growth were crucial elements of my success. And as I learned to navigate these complexities, I began to understand the true intersection of passion and profit in the franchising industry.

Now, with nearly 20 years of experience in the industry, I've transitioned from being a franchise owner to a franchise consultant as well, guiding others on their franchising journey.??

I’ll unpack some of my biggest lessons learned in this article.

Diversify & Dominate

In expanding and diversifying my portfolio, I owned a number of Hollywood Tans locations and even launched an independent dietary supplement company. Each venture was different and required a deep understanding of the market and a clear financial strategy.?

Diversification was a learning curve, but it helped me maximize profits and fulfill my passion for entrepreneurship. I even had to navigate the challenges of a failed partnership in a tanning salon chain, which taught me valuable lessons about partnership, risk, and the importance of making informed decisions.

Collaboration & Consulting

After years of owning and operating franchises, I decided to transition to consulting. This move allowed me to use my experience to guide potential franchise owners. As a consultant, I could combine my passion for franchising with my goal of helping others achieve financial success.?

Over the years, I've learned so many lessons that can benefit potential franchise owners.

For instance, it’s crucial to choose a franchise that you're passionate about. But it's equally important to understand the financial implications of your decision. I've seen many passionate entrepreneurs struggle because they didn't have a clear financial plan. I also learned from my own experiences, such as the financial management of multiple franchises and venturing into new industries.

As a franchise consultant, my role is to guide potential franchise owners toward the right fit. I help candidates find franchises that align with their passions and financial goals. This involves a deep understanding of the candidate's needs and a thorough analysis of potential franchises. It's a challenging role, but it's also incredibly rewarding. I love seeing the success of the franchise owners I've helped!

Secrets To Choosing the Right Franchise

As we delve deeper into the franchising journey, one of the most critical steps is choosing the right franchise. This is a delicate balance of art and science. It's a process that requires a deep understanding of the market, a clear financial strategy, and a genuine passion for the business. But it's more than just a business decision - it's a life decision. It's about finding a franchise that not only meets your financial goals but also aligns with your lifestyle, values, and long-term vision.

Over the years, I've developed a comprehensive process to guide potential franchise owners through this critical decision. This process is not a one-size-fits-all approach, but rather a personalized journey tailored to each individual's unique needs and aspirations.

The first step is understanding. I learn about their needs, passions, and financial goals. This involves in-depth conversations about their interests, skills, and what they envision for their future. It's about getting to the heart of what they truly want from their franchise business.

Next, I take into account the practical aspects. This includes their financial capacity, desired level of involvement, and preferred location. It's essential to consider these factors to ensure the franchise opportunity is a realistic and viable option for them.

Then comes the matching process. Using the insights gathered, I match them with franchises that align with these factors. This involves researching potential franchises, analyzing their business models, and assessing their market potential. It's about finding opportunities that not only align with their passions but also have the potential to deliver the financial success they're seeking.

But the process doesn't end there. Once potential matches are identified, I guide them through the evaluation process. This involves reviewing the Franchise Disclosure Document (FDD), speaking with existing franchisees, and meeting with the franchisor. It's a thorough process designed to provide a clear and comprehensive picture of the franchise opportunity.

Finally, I provide ongoing support as they make their decision. This can involve helping them secure financing and recommending a franchise attorney or accountant to help take you across the finish line of planning to the victory of your grand opening. For me, It's about providing them with the tools and support they need to start their franchise journey on the right foot.

This process is designed to take the guesswork out of choosing a franchise. It's about making an informed, confident decision that aligns with both their personal passions and financial goals. After all, the right franchise can be a powerful vehicle for achieving both business success and personal fulfillment.

Lessons from the Trenches: Challenges in the Franchising Industry

The franchising industry is filled with opportunities but also presents its fair share of challenges. I've faced many of these challenges head-on, from the early days of West Coast Video to my current role as an award winning franchise consultant.

For example, the COVID-19 pandemic wielded a double-edged sword, bringing forth an array of challenges while also unveiling new opportunities in the franchise industry. The enforced lockdowns and restrictions disrupted the usual foot traffic and operations, severely straining revenues. Some franchises had to deal with supply chain disruptions, and adapting to the new norms of hygiene and social distancing was an essential yet often costly endeavor.

However, the pandemic also acted as a catalyst for change and innovation. As unemployment surged due to layoffs, many individuals sought refuge in entrepreneurship, viewing franchise ownership as a viable pathway. This burgeoning interest necessitated a recalibration of my consulting approach to efficiently guide these budding entrepreneurs.?

Moreover, the pandemic expedited the adoption of technology, with franchises integrating online ordering, contactless payments, and virtual consultations as part of their operations. This shift not only helped franchises to weather the storm but also positioned them to thrive in the post-pandemic landscape.

The Franchise Journey: From Ownership to Mentorship

My journey from franchise owner to consultant has been a lesson in balancing the practical and the passionate.?

I’ve also come to appreciate the power of mentorship. As a current franchise owner, my focus is primarily on my own ventures. But as a consultant, I have the rewarding opportunity to guide others on their franchising journey.

This role allows me to share my knowledge and experience, helping others avoid the pitfalls I encountered and capitalize on the opportunities I've discovered. It's a testament to the power of mentorship and the value of shared experiences in the franchising world.

Looking for a Trusted Guide?

Remember, you don't have to navigate this journey alone. As a franchise consultant, I'm here to guide you toward your perfect fit, helping you balance your passion with profit and make the most of your franchising journey.

Get the conversation started by connecting with me on LinkedIn, visiting me online at FranchiseWithBob.com, or scheduling a call to discuss franchising opportunities!