The REAL Relationship Dynamics Between Franchisors and Franchisees

What defines a strong franchisor-franchisee relationship, and when is it time to exit? In this solo episode, Erik Van Horn unpacks the REAL dynamics between franchisors and franchisees, sharing his experiences across both sides of the table. 

He reveals critical insights into identifying a supportive franchisor, managing strained relationships, and recognizing when it’s time to exit a distressed franchise. Through real-life stories, he uncovers the costly impact of missed warning signs and the importance of factoring in opportunity costs before making tough decisions.

For expert tips on franchise dynamics and growth strategies, subscribe to Franchise Secrets!

“Every time I sold at a loss, it's the best thing I did. I've probably lost over a million dollars over the years in bad businesses, and most of it were things I could've avoided. But I've made way more money than I have in the losses." ~ Erik Van Horn

In This Episode:

- Defining a distressed franchise and when to consider selling

- 4 Types of franchisor-franchisee relationships

- Warning signs: good franchisees with bad franchisors

- How to evaluate franchise financials and avoid deeper losses

- Why opportunity cost matters in exit timing

- Structuring protective deals and understanding opportunity costs

Resources: 

🌐 Consult with Erik - https://form.jotform.com/222685728939070

🌐 Want to buy a franchise? Connect with Erik here - https://forms.gle/n4JedEuU5p7asE617   

🌐 Want to franchise your business? Connect with Erik here - https://forms.gle/n4JedEuU5p7asE617 

🌐 Franchisees and franchisors find proven tactics and strategies to scale YOUR businesses - https://scalablefranchise.com/

Connect with Erik Van Horn:

🌐 Website - https://franchisesecrets.com/   

📷 Instagram - https://www.instagram.com/erikvanhorn/  

👍 Facebook - https://www.facebook.com/erik.v.horn/  

💼 LinkedIn - https://www.linkedin.com/in/evanhorn/