Franchise Secrets Podcast

Most businesses give you time to adjust. Seasonal businesses don't. In this episode, we go deep into the reality of high-pressure seasonal franchises, where 80–90% of revenue hits in just weeks—and one bad decision can sink the entire year. We unpack: -Why "working harder" isn't enough -How seasonality magnifies mistakes -What actually drives customers through the door -The grassroots strategies that outperformed paid ads -Lessons learned from opening hundreds of locations If you've ever considered a seasonal franchise—or already own one—this episode will change how you think about time, marketing, and execution. Timestamps: 00:00 – Why seasonal businesses punish mistakes fast 04:45 – The myth of "you can fix it later" 10:30 – 90% of revenue in six weeks: why timing is everything 18:40 – Why most franchisees work hard… and still lose 27:15 – The moment we realized marketing was the real bottleneck 36:50 – Grassroots marketing vs radio ads (what actually worked) 46:20 – The hub-and-spoke kiosk strategy that changed everything 58:05 – First-year franchise mistakes you can't afford 1:09:30 – Why seasonal businesses forge elite operators 1:18:40 – Lessons that still apply to franchises today 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/ Best Franchise Starter Playlist: https://youtube.com/playlist?list=PLEEithd54kMlgRgsBAo4LWNCMSOthnK0r&si=TD1z25-ie2d23rGm https://youtube.com/playlist?list=PLEEithd54kMle5_OUXiuLbc_UPBtz1vTE&si=uCOgDya1VnnCarDf https://youtube.com/playlist?list=PLEEithd54kMk2Kw07KwZGWgF8UTx9N5_T&si=ZldjBOqFanGE-JUL #Franchise #SeasonalBusiness #Business

Most people are using ChatGPT to avoid thinking — not to become better leaders, investors, or business owners. In this episode, Erik Van Horn breaks down exactly how he uses AI as an advisor, not a yes-person. From family-office GPTs and tax strategy to deal analysis, franchise decisions, and leadership judgment — this is how AI should challenge your thinking instead of replacing it. If you're using ChatGPT to move faster without thinking deeper, this episode will make you think about how you use AI. Timestamps: 00:00 – ChatGPT Is Making Leaders Lazy (Better vs. Lazier) 01:27 – Why AI Becomes a "Yes Person" 03:54 – Using ChatGPT as an Advisor (Family Office GPT) 06:28 – Preparing for High-Stakes Franchise & Business Meetings 10:55 – LOIs, Deal Structure, and Saving Legal Costs 12:05 – Entity Structure, C-Corps, QSBS & Tax Strategy 16:54 – Why Most Business Owners Have Weak CPAs 20:03 – Augusta Rule: A Low-Hanging Tax Strategy 23:13 – Analyzing Financials & Company Performance with AI 31:04 – Leadership Decisions: Forcing AI to Challenge You 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/ Best Franchise Starter Playlist: https://youtube.com/playlist?list=PLEEithd54kMlgRgsBAo4LWNCMSOthnK0r&si=TD1z25-ie2d23rGm https://youtube.com/playlist?list=PLEEithd54kMle5_OUXiuLbc_UPBtz1vTE&si=uCOgDya1VnnCarDf https://youtube.com/playlist?list=PLEEithd54kMk2Kw07KwZGWgF8UTx#9N5_T&si=ZldjBOqFanGE-JUL #AI #Leadership #franchising

Most business owners believe their company is valuable because it makes money. They're wrong. In this solo episode, Erik Van Horn explains why owner-dependent businesses are worth far less than founders realize, even when they're profitable. If your business only works because you're involved in everything, buyers don't see an asset — they see a job. Erik breaks down: -The "most expensive org chart in America" -Why being indispensable kills enterprise value -A personal health scare that tested his businesses -The difference between cash flow and a sellable asset -How to start removing yourself as the bottleneck without blowing up the business If you want real optionality — whether that's selling, stepping back, or building a better lifestyle — this episode will change how you think about your business. Timestamps: 00:00 – The most expensive org chart in America 03:45 – Why doing everything weakens your business 07:20 – The pride trap of "I do it all" 11:40 – Why buyers avoid owner-dependent companies 15:55 – A real health scare that tested the systems 20:30 – What a healthy business looks like without the owner 25:10 – $500K working 60 hours vs $350K working 5 30:05 – Why growth can still drain cash 35:40 – Cash flow vs enterprise value 41:15 – The real test of business health 45:30 – Practical ways to remove yourself as the bottleneck 51:00 – The mindset shift founders must make 55:10 – Final takeaway: build for value, not ego 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/ Best Franchise Starter Playlist: https://youtube.com/playlist?list=PLEEithd54kMlgRgsBAo4LWNCMSOthnK0r&si=TD1z25-ie2d23rGm https://youtube.com/playlist?list=PLEEithd54kMle5_OUXiuLbc_UPBtz1vTE&si=uCOgDya1VnnCarDf https://youtube.com/playlist?list=PLEEithd54kMk2Kw07KwZGWgF8UTx9N5_T&si=ZldjBOqFanGE-JUL #EnterpriseValue #Sellable #Systems

I've complained about franchisors — even great ones. But it wasn't until I experienced fear-based leadership firsthand that I truly understood what good partnerships actually look like. In this solo episode of Franchise Secrets, I break down the partnership levers behind my best franchise deals — the exact ways partnerships have allowed me to scale across franchising, investing, advisory roles, and brand building without working nonstop or needing to own everything myself. From early family partnerships to building Front Street, I walk through the real-world lessons that shaped how I evaluate partners today — including the difference between control and leverage, why fear kills franchise systems, and how the right partners help you build a much bigger pie. If you're a franchisor, franchisee, or investor trying to grow smarter (not just harder), this episode will give you a framework you can actually use. Timestamps: 00:00 – Complaining About Franchisors (Even the Great Ones) 02:25 – Why Leverage Is the Foundation of Great Partnerships 02:47 – Partnering With Family: Lessons From My Parents 04:47 – Why I Don't Need to Own 100% of the Business 06:53 – Lever #1: Distribution You Can't Buy Overnight 10:21 – Lever #2: Credibility and Becoming "The Franchise Guy" 14:03 – Lever #3: Speed, Alignment, and Moving Without Delay 18:04 – Lever #4: Insight and Specialized Expertise 22:03 – Lever #5: Capital and the Solo Salon Studios Story 30:32 – The Ultimate Test: When 1 + 1 Must Equal 11 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/ Best Franchise Starter Playlist: https://youtube.com/playlist?list=PLEEithd54kMlgRgsBAo4LWNCMSOthnK0r&si=TD1z25-ie2d23rGm https://youtube.com/playlist?list=PLEEithd54kMle5_OUXiuLbc_UPBtz1vTE&si=uCOgDya1VnnCarDf https://youtube.com/playlist?list=PLEEithd54kMk2Kw07KwZGWgF8UTx9N5_T&si=ZldjBOqFanGE-JUL #FranchiseSecrets #BusinessPartnerships #FranchiseGrowth

Erik Van Horn and Jeff Herr break down one of the most explosive franchise categories ever created: salon suites. They reveal how the model went from unknown to industry-dominating, why private equity rushed in, and what made it one of the highest-leverage real estate plays in franchising. From early headwinds and financing challenges to scaling 10,000–29,000 sq ft locations, this episode offers a candid, behind-the-scenes look at disruption, growth, and building enterprise value in a new market. Timestamps: 00:00 – Creating a Disruptive Franchise Category 02:50 – Storytelling Lessons From Napa 05:10 – Discovering the Salon Suite Opportunity 08:20 – The Real Estate Insight Behind Salon Suites 11:50 – When Sola Took Over the Industry Conversation 17:10 – Industry Resistance & Stylist Education Challenges 23:00 – The Million-Dollar Buildout Era Begins 27:30 – Financing Breakdowns and SBA Pullback 31:50 – Why Private Equity Loves This Model 38:40 – Scaling Into 10,000–29,000 Sq Ft Mega-Locations 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/ Best Franchise Starter Playlist: https://youtube.com/playlist?list=PLEEithd54kMlgRgsBAo4LWNCMSOthnK0r&si=TD1z25-ie2d23rGm https://youtube.com/playlist?list=PLEEithd54kMle5_OUXiuLbc_UPBtz1vTE&si=uCOgDya1VnnCarDf https://youtube.com/playlist?list=PLEEithd54kMk2Kw07KwZGWgF8UTx9N5_T&si=ZldjBOqFanGE-JUL #Franchising #Growth #Disruption

Bobby Brennan, a franchise development and operations expert, shares insights gained from collaborating with 20-25 franchise founders. He discusses the essential traits of elite founders, emphasizing the importance of a 'franchisee-first' mentality. Bobby raises red flags to watch for when evaluating leaders, such as unchecked ego. He stresses the significance of transparency with franchisees and the need for a mindset shift to tackle challenges. Listeners learn how the best founders build trust and navigate growth while maintaining accountability.

Aren Johnstone, CEO of FranchiseRamp, delves into the critical dilemmas of hiring in franchising. He reveals why outside marketers often struggle, likening franchising to a political system where franchisees wield significant power. Aren highlights the pitfalls of hiring ex-e-commerce leaders versus seasoned franchise veterans, and discusses how leadership aiming for quick wins can erode culture. His insights on creating a franchisee-first environment and using innovative strategies, like AI tools for communication, offer valuable guidance for scaling franchises.

In this discussion, Adam Ross, an operating partner and coach, shares insights on rapid decision-making and growth mindset in business. He emphasizes that the fastest-learning brands outperform those with the biggest budgets. Adam reframes 'failure' as validated learning and urges leaders to avoid fixed mindsets that stifle innovation. The conversation also touches on parenting techniques that foster resilience in kids, drawing parallels to leadership. With practical advice, Adam outlines how to create a culture of honesty and curiosity.

Discover how AI can enhance entrepreneurial thinking rather than replace it. Explore the benefits of treating AI as a high-paid advisor for franchise research. Learn to build custom GPTs to streamline tasks, analyze FDDs, and generate detailed industry reports. Erik shares insights on spotting lucrative private equity opportunities and refining prompts for better results. He also emphasizes using AI for content creation while maintaining personal voice and understanding the importance of validating AI outputs.

What does "semi-absentee" actually mean — and what does it cost to get there? Erik Van Horn shares the hard-earned lessons from owning multiple franchise brands, including the moment his manager got arrested right before tax season. Instead of panicking, his systems held — revealing the true power of leverage and layers. You'll learn: ✅ The difference between managing and truly leading ✅ How to build redundancies that protect your income ✅ The real ROI of buying back your time ✅ How to move from owner-operator → district manager → semi-absentee ✅ Why freedom in franchising isn't free — but it's worth it Timestamps: 00:00 The Call That Changed Everything 02:00 Why Most Franchise Owners Never Go Semi-Absentee 04:30 What Semi-Absentee Ownership Really Means 07:30 From One Location to Many 10:00 The Multi-Unit Manager Mindset 13:30 The Moment Systems Saved My Business 16:30 The Real Cost of Freedom ($150K Lesson) 20:00 Buying Back Time: The Practical Playbook 24:00 The District Manager Trap 28:00 Freedom Through Structure 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/ Best Franchise Starter Playlist: https://youtube.com/playlist?list=PLEEithd54kMlgRgsBAo4LWNCMSOthnK0r&si=TD1z25-ie2d23rGm https://youtube.com/playlist?list=PLEEithd54kMle5_OUXiuLbc_UPBtz1vTE&si=uCOgDya1VnnCarDf https://youtube.com/playlist?list=PLEEithd54kMk2Kw07KwZGWgF8UTx9N5_T&si=ZldjBOqFanGE-JUL #Franchise #Freedom #Systems