Why People Become Multi-Unit Franchisees
Just like retail stores attract customers with offers and discounts, franchisors offer reduced rates per unit when buying more than one franchisee. Some franchisors, especially in the food service industry, found the way to succeed in the competitive restaurant space was to rely on multi-unit franchisees.
Today, many successful franchises award contracts to multi-unit franchisees only and are steering away from selling single unit deals. As a multi-unit franchise owner, you:
1. See a much greater financial gain in the long run.
2. Have increased negotiating power with real-estate developers.
3. Receive preferred pricing on supplies, products and marketing services.
4. Realize cost savings on labour because you can house human resources and accounting departments under one roof.