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› Master / Regional Franchises


What is Master / Regional Franchising?

An Executive Level Business that you can match to your existing corporate Skills, Talents, and Interests.
Great for the 40+ experienced entrepreneur!

It is all about building a BRAND NAME quickly by opening franchise locations to dominant the marketplace. And understanding the important synergy of ‘None of Us are as Smart as All of Us’

The words, Master and Regional in this case, are referring to the same type of franchise marketing. The words are usually interchangeable. Many once small franchise companies, such as Century 21 Real Estate, have grown into large multi-national companies via Regional franchising. Most international franchise expansion is executed via Master Franchise agreements awarded to hands on investors for all or part of a foreign country.  

For example, Century 21 began in 1972 growing quickly via Regional franchising. The company had 28 US Regional Franchisors and 1 Canadian Master Franchisor within a few years. In less than seven years from its initial creation by its founders, the company grew to over 7,000 US franchise locations in a very bad 1970’s economy.

In this case, the Master Franchises (MF) discussed here are within the USA where Regional territories have been created by the Franchisor (similar to the C21 example) for the synergistic expansion of their franchise company. In most cases, these are ‘Baby’ franchise companies who need the efforts of others (the MF’s) to grow successfully. The Parent Franchisor is willing to share on-going royalty and franchise sales revenue for the length of the Master Franchise agreement in order to recruit others to help expand the company with their ideas, marketing expertise, and capital within their respective geographical region. For the few, ground floor Master Franchisees, the personal and financial rewards can be huge.

What if you came up with the idea of a new franchise concept that explodes in your local area as it is much needed. Imagine having control of this concept and receiving royalties and franchisee fees on a consistent basis. Imagine having an idea like McDonald's or Century 21 and having people excited to buy your opportunity. Imagine having access to the best business experts via the Franchisor to help guide you in your new venture. These opportunities are often rare, yet there are such MF businesses available if you know where to look, and understand the pros and cons of the Parent Franchisor’s structure, concept, and financial stability. It’s important to note that mature Master Franchise relationships are seldom sold when they are truly successful as they remain with the family that had the initial insight to invest their time and talents with the ‘Baby’ franchisor.

With Master Franchising, you get all of the benefits mentioned above but without the expense of having to develop the concept from scratch. You get control of the successful franchise system in a specific geographic area, a proven track- record that works; the brand name and even a partner in the form of a corporate office and other Master Franchisees to give you valuable support, latest innovations and business expertise when you need it.

As a Master or Regional Franchisee, your ways of generating income are much greater than that of a normal franchise. With a normal franchise, you are generally offering the product or service directly to the end user customer such as in a retail store. With a Master Franchise, you can generate income through your own stores, if you wish, with a significantly reduced royalty and franchise fee. In addition, you can generate additional income through:

Franchise Fees

When you sell a franchise, you receive a franchise fee. Most franchise fees are between $25,000 to $50,000 and in a typical master franchise program, you keep part of the fee… usually 50%.

Ongoing Royalties

This is the ultimate income source. Once you help set up the franchises, you receive royalty income or annuity type income for the rest of the life of those franchises. Imagine receiving 2% to 5% of your franchisee's volume every month.

Products or Additional Services

Often products or additional services needed by the franchisee's outlet can bring excellent additional income.

Real Estate

If real estate is involved with the franchisee's location; often the Master Franchisee is involved in the ‘build to suit’ development of sites and receives other types of real estate related income.

A Very Prestigious Business

The prestige of owning a master franchise and controlling an entire area can give you great satisfaction. Your main job will be to act as a business consultant or mentor to your franchisees and help them succeed in their own business. You will be associated with the elite brand name of the franchise as the main developer of an area even though it will be your franchisees investing their money to follow your leadership.

Improved Quality of Life

Master Franchisees own and enjoy a quality of life comparable to a CEO’s lifestyle once the Regional area is developed.

Low Overhead

You can start small and grow. Many master franchises can begin out of a home office. You do not have to jump into the business with a large office, staff, and other overhead expenses. You can expand as you go. You build equity in the business at a much faster rate than a normal business. Once you sell a few franchises or open your own stores, you increase the value of your business significantly. Not only do you have an existing business with cash flow, you have additional franchise opportunities to sell which gives the master franchise a higher value.

You Own an Exclusive Territory

Only you and your designated franchisees will be permitted to develop franchise locations in your area. More freedoms exist in a Master Franchise than a normal franchise. You help set the standards of the franchise in your area. You stay up to date on the latest technology. Being part of a larger franchise system allows the best ideas to flow into the corporate office and then into the field.

Master / Regional
You Do Not Need Experience in the Specific Industry

You will receive industry specific training and support from the Parent Franchisor in the beginning and ongoing. It can be started part-time and then you may move to full-time as required by the business you bring on. In other words, sometimes you can keep your day job but you won’t want to.

Best of All

It is a franchise! on its way to becoming a BRAND NAME franchise. Franchises as a whole enjoy a 90% or better success rate. All you need to do is find the right master franchise for you. Master Franchising or Regional Franchises are one of the best-kept secrets in business today… for the right person with the right skills and funding who believes ‘None of Us are as Smart as All of Us.’

Our Goal…

…is to help you develop a solid understanding of Master Franchising. Then based on your skills, experience, desired location and financial ability, guide you in your search for just the right opportunity. The selected Franchisor will explain the details of their program… our intention is to be a value added advisor helping you make an informed decision based on our years of franchise and business experience… working in concert with other third party advisors you will need to make the very best decision.

View Joe’s Personal History with Master Franchising

Master Franchisor Attributes

An individual who can be expected to be successful as a Master Franchisor generally possesses the following qualities:

  • Over 40 years of age
  • Worked in corporate America or owned their own business
  • Possesses sales, business, marketing, operations or management experience or a combination of several.
  • Has a positive attitude with a strong spirit and good work ethics
  • Understands the Art of Leadership
  • Genial personality, likes working with people and has a patience
  • Enjoys helping other people succeed
  • Has at least $200,000 of liquid assets with a minimum net worth of $500,000
  • The desire to build a business vs. buying a business with existing cash flow.

Master Franchising can provide the right person with:

  • A CEO's income which can be generated from these directions:
    • Franchise fees
    • Royalties
    • Revenue from you own primary or ‘model’ franchise
    • Distribution of products (if applicable)
    • Real Estate Development (where appropriate)
  • The franchise will allow you to work with limited number of customers
  • You will have flexibility in your business schedule allowing you to set your own work hours
  • Build an enterprise that you can pass to your children
  • Establish an exit strategy that will allow you to retire with a healthy nest egg or move forward with a new enterprise.
  • Enjoyment of the ‘respect’ your Leadership of Others earns for you.
Jerry and Mendy Tippet

“When a buyer is asked to complete a company’s qualification forms, it’s just good common sense to do it if you are at all interested in their client’s business. From what I have seen, there are far more qualified buyers than there are qualified businesses. The qualification forms are a way of getting to the top of list of good prospects quite easily… a great way to put your best foot forward without a lot of effort.

A quality firm like BizAdvocates just wants to know they have a quality prospect whose financial means is in the ball park for a likelihood of a possible transaction. In our case, Joe and Sandy used their experience with other industry professionals to help us buy the company we inquired about initially with better terms than we expected and better tax advantages for the owners which created a win-win for all.”

Buyers - Jerry and Mendy Tippets
a N. Idaho based Manufacturing Company
Joe and Sandy Camp - each a BizAdvocate
represented the Exiting Party in the 2009 transaction
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Work Hard!……Live Wisely!……Exit Skillfully!
Our Business Focuses Solely On:
  • The Details of an Efficient Exit Strategy
  • The Sale of Profitable Businesses
  • Consulting on Master Franchise Relationships
  • Capital Solutions to Improve the Transaction
    • Bankable Business Plans
    • Third Party Lending
    • Working Capital
    • Inventory Floor Planning
    • Secured Seller Financing
      (when enhancement requires)
  • Key Relationships with Third Party Tax and Legal Advisors
  • How To Properly Acquire A Business
View Joe Camp's profile on LinkedIn