• How did franchising help finance growth?

  • Sources:

    Franchising helped finance growth by providing a structured model that allowed individuals to own and operate their franchises using a proven playbook and shared systems. Brian Scudamore, CEO of 1-800-GOT-JUNK?, highlighted how franchising enabled rapid expansion by making franchisees act like owners. This model helped the company grow from $2 million to $100 million in six years, emphasizing the significant financial growth franchising can facilitate 1 .

    Scudamore detailed that creating standardized systems and processes, much like McDonald’s, allowed for this scalable model. Franchisees had "skin in the game" and were motivated to grow their businesses, contributing to the collective success 1.

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