Empowering Entrepreneurs Building Wealth through Franchising
Our guest states that the success rate of franchisees from the companies he represents is around 90% after 5 years. What industry-specific challenges do these franchisees face, and how do they overcome them?
In this episode, we chat with franchising guru Jon Ostenson and dive deep into the thriving world of non-food franchising.
Jon shares his extraordinary journey from finance whiz to franchise expert, emphasizing the power of a franchise system’s support and success rates eclipsing independent startups.
With insights on strategic investment choices, financing savvy, and the mastery of assembling 'A' teams, Jon illuminates pathways to profitable entrepreneurship.
For everyone dreaming of business ownership, this episode offers a blueprint for success directly from a mastermind in franchising. If you're ready to level up your entrepreneurial game, Jon's wisdom is your launching pad.
Exploring Alternative Investments in Real Estate: "90% of our clients end up purchasing something that was never on their radar. So it is so much fun when the slight bulb moments have. And I've had doctors buy installation businesses." — Jon Ostenson
Top Takeaways
1. **Leverage Your Corporate Experience**: Utilize the skills and work ethic developed in the corporate world as they are valuable assets when transitioning to entrepreneurship or franchise ownership.
2. **The Power of Franchising**: Franchises provide a systematic approach to business ownership with the support of a proven business model, substantially increasing the chances of success.
3. **Diverse Opportunities in Franchising**: Franchising isn't just about food; there are vast opportunities in non-food industries, and these can sometimes offer quicker returns on investment and higher margins.
4. **Success Rates and Pitfalls**: While franchisees boast a high success rate, common reasons for failure include not adhering to the system, overly entrepreneurial spirits causing disruptions, and resistance to coaching.
5. **Value of Mastermind Groups**: Engaging with peer groups for support and shared learning can significantly enhance an entrepreneur's journey and lead to better decision-making.
6. **The Significance of Mentorship**: Having mentors and seeking professional advice is crucial in navigating the complexities of the franchising world and avoiding common pitfalls.
7. **The Role of Strategic Partnerships**: Success in consultancy and franchising can be amplified through strategic partnerships, leveraging networks instead of relying solely on a large team.
8. **Financing Franchise Investments**: Understanding the various financing options, such as SBA loans and ROBS programs, is critical for entrepreneurs looking to purchase a franchise.
9. **Importance of Team Building**: Investing in top talent and building a strong team right from the start can benefit the business immensely, driving growth and ensuring operational excellence.
10. **Long-Term Planning and Balance**: Entrepreneurs should have a clear endgame in mind, focusing not only on building successful businesses but also on maintaining a good work-life balance and preparing for eventual transition to roles in mentorship or charitable endeavors.
Memorable Moments
07:38 Finance student keeps options open, gains experience.
14:54 Observation about family and business, entrepreneurial success.
20:03 Existing businesses pose inherent risks, rethink paradigms.
23:24 Franchisees can succeed with the right support.
24:50 Private equity invests in franchising for growth.
29:46 The value of franchise vs. entrepreneurship.
33:29 Exploring opportunities for active or silent involvement.
36:19 Many clients buy multiple units and territories.
41:36 Transitioning to part-time work, focusing on family.
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Running a business doesn’t have to run your life.
Without a business partner who holds you accountable, it’s easy to be so busy ‘doing’ business that you don’t have the right strategy to grow your business.
Stop letting your business run you. At Harper & Co CPA Plus, we know that you want to be empowered to build the lifestyle you envision. In order to do that you need a clear path to follow for success
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Copyright 2025 Glenn Harper
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