I’ve informally mentioned my role as a part owner in a new Franchise that is taking the Pacific Northwest by storm. This month my first distribution check comes in and I therefore wanted to share with you my journey to profitability.
In full disclosure, I use the term “profitability” lightly. As a minority shareholder, I have been working with Playlive Nation, a new video gaming franchise, for almost three years. This is the first revenue check. It’s a good reminder that becoming a successful franchisor is a long-term strategy.
While monetarily this check doesn’t resemble more than a nice dinner in downtown San Diego, for the journey of a franchisor it’s a monumental moment. It defines the future path for PlayLive Nation as a successful franchise. To get to this point, it means we have vetted a proven model, built a solid legal foundation, created partnerships, sold franchises and equipped franchisees to successfully make a profit.
Because we are strategic and intentional about the way we are growing this franchise, I am confident that it will become a thriving nationally recognized brand. At that point both franchisees and franchisors will see a more substantive form of profitability.
Anyone can talk about franchise strategies for growth, importance of strong legal footing, protecting the brand, building revenue streams and navigating the FDD.
It’s a completely different thing to actually implement them.
I’m a seasoned franchise lawyer. I’ve worked on both sides of the table with franchisees and franchisors. With franchisees, I ensure that the franchise they are purchasing is a solid investment and review the FDD. For franchisors, together we identify the viability of their business model, put in the legal safeguards, establish the FDD and more.
I’ve enjoyed every minute of it.
Now I’m a part franchise owner. This gives me the ability to put my extensive experience to application. My main role with PlayLive Nation focuses on the legal aspects, helping frame the infrastructure, assisting in growth development strategy and working with business brokers.
When I joined the organization in 2011, they had a few corporate locations. I came in to partner with the founder to help navigate PlayLive Nation’s entrance into the franchising world.
PlayLive became an official franchise in 2013. In our first year we sold 3 franchises. At the end of 2014, we sold six. As of right now, we have 10 stores open. While we have sold others, it will be several years before they are operational as well.
The growth strategy that best served us was leveraging the business broker model. We offered a high commission to franchise business brokers so they would aggressively find quality potential franchisees. Overall, we are very pleased with our start out of the gate. As we expand to other states, we anticipate our numbers of opened locations to continue to increase. To accommodate for this growth, we will be increasing our franchisee support teams.
Which is where things start to get exciting.
Over the next few months I will be sharing my PlayLive Nation journey with you. Like all new franchisees, we’ve experienced our fair share of struggles, challenges and successes. By sharing what I’ve learned, I want to help you determine the best path for growing your business.
If you are currently exploring franchising as a model to expand your business, leverage the experience and knowledge of a franchise lawyer to help set you up for success. I can now proudly say that I have experience both as a franchise lawyer and a part owner of a profitable franchise.