Pillars of Franchising magazine Issue 1 - Oct/Nov 2021

PILLARS FRANCHISING

Editor-in-Chief

Elizabeth Denham

Elizabeth@PillarsOfFranchising.com

CEO

Kristin Selmeczy

Kristin@PillarsOfFranchising.com

Designer Annie Malloy malloyab@gmail.com

Contributors

Dave Kajganich

Harold Kestenbaum

Nancy Friedman

Susan Scotts

Michele Rempel

Kelly Krueger

Michael Iannuzzi

Welcome to the Inaugural Issue of the

Pillars of Franchising Magazine

Iam beyond thrilled to be back with the Pillars of Franchising family in an expanded role as Chief Content Officer. As a permanent co-host a couple of years ago, I went off on an adventure to learn more about my craft and gained valuable experience in publishing, production, broadcasting, sales and much more! I can’t wait to bring that to the new and improved Pillars of Franchising, LLC.

As you may have heard, Pillars of Franchising has launched from a podcast into a full-service consulting firm. Our goal is to help you select and buy a franchise, grow it to profitability and make your dreams a reality. Our team that includes founder, Fred McMurray, and our successful Million Dollar Franchisees, helps you navigate the process and mentors you to reach your greatest potential. Our mentors include Kristin Selmeczy, Jerry Akers, David Kajganich and Ray Pillar.

Dear Pillars of Franchising Community:

We support you with our leadership team, but we also produce content to help you learn as you build your business. We broadcast interviews with the top folks in their industries, write articles about everything you need to know about franchising and business ownership and help you network with other like-minded people in the franchise space. Stay tuned, more is coming, and you don’t want to miss a thing!

In this issue, we are excited to have Leigh Anne Tuohy as our cover interview. She is the mother from the “Blind Side” movie who took in a child who needed a home (Michael Oher) and continues to advocate for foster kids who need a forever family. She and her husband, Sean Tuohy, have owned up to 140 franchise locations including Taco Bells, KFCs and Long John Silvers. She shares her love of and belief in giving back in her personal and professional lives.

We also feature Laura Spaulding of Spaulding Decon who gives away a franchise territory to a veteran each Veteran’s Day. As a veteran herself, she believes in bringing the opportunity of entrepreneurship to those who served our country.

Jerry Akers, one of our Million Dollar Mentors, has partnered his Great Clips locations with the ALS Association, Iowa Chapter to raise awareness and money for those suffering from ALS. Kristin Selmeczy and Ray Pillar are Molly Maid franchisees who support the Ms. Molly Foundation to raise awareness for domestic violence survivors.

We also have informative articles from Nancy Friedman, the Telephone Doctor, on customer service; Susan Scotts on franchise education; Michele Rempel on marketing; Harold Kestenbaum on legal issues; Kelly Krueger on funding; Michael Ianuzzie on tax/finance and our very own Million Dollar Mentor, David Kajganich on leadership.

Join us on our social media, subscribe on the website and join us every Thursday at 4:00 CT for the Pillars of Franchising live stream! We look forward to serving you, and remember…The Dream Starts Here!

Elizabeth Denham Editor-in-Chief

November 2021

Click on the event you are interested in to email us for the link to join!

The Blind Side’s Leigh Anne Tuohy

Talks the Simple Power of Giving

by Elizabeth Denham

You may know Leigh Anne Tuohy as the matriarch of the family who took in a homeless Michael Oher and adopted and raised him with their other children, Collins and SJ. As told in “The Blind Side” movie, the family embraced a high school-aged child in need of love and a home and provided the tools he needed to become his best self. But that was only the beginning. Through her experience with foster care and adoption, the success of owning many franchise locations across the South with her husband, Sean, and fueled by her devotion to the simple power of giving, Tuohy is working to raise awareness for youth who need a forever home and to help ignite generosity in all those she meets.

“Everyone doesn’t have the ability to adopt, but every single one of us has the ability to make a difference in the lives of these kids,” Tuohy said. “And when the opportunity arises, I think you have to say, ‘yes.’ Together we can make a big change.”

The Foster Care System

There are approximately 420,00 kids that we know of in the foster care system according to Tuohy. And with the pandemic, the opioid crisis, and the struggles throughout the country over the last decade or so, the problem is only getting worse.

“I think the greatest need of kids in our foster care system is support and consistency. One of the biggest problems they face is that there is a revolving door of people coming in and out of their lives,” Tuohy explained. “There is no consistency whatsoever. They don’t have the day-in and dayout support that the typical child has from the moment it’s born to adulthood.”

Tuohy said that clearly, kids need structure and support. They need love and a forever family.

“We know that, and we are working on that, but until we can help achieve that with every single child, we need a way for them to have a routine and structure,” she noted. “The typical number of homes a foster child sees during their time in the system comes to around six or seven. That is not the fault of anyone. it is a very flawed system.”

But Tuohy believes this is a manageable problem.

“Why we can’t fix this system, I don’t know,” she lamented. “There are enough faith-based organizations in this country that if each one – your church, your synagogue, your mosque - took responsibility for one kid in foster care and put them in a home and monitored it, we would wipe out the need for foster care. That doesn’t seem like that daunting of a task.”

While not everyone may be in the position to adopt, there are many things individuals can do to make a difference in the lives of kids or those who are fostering kids. Here are some tips Tuohy suggests to help a family fostering or adopting:

Leigh Anne Tuohy is actively working to help foster kids find their forever homes. She hosts Forever Family Fridays on her Instagram.

If you would like to donate, Tuohy’s Making it Happen Foundation serves deserving but under-served youth. You can contribute here.

If you are interested in adoption of foster care resources, you may visit the Forever Family Friday page here.

For more information, please visit the following:

Making it Happen Foundation

LeighAnneTuohy.com

Everyone doesn’t have the ability to adopt, but every single one of us has the ability to make a difference in the lives of these kids.

• Mentor a child

• Partner with a family for support

• Help out with laundry

• Take a meal

• Drive a child to activities

• Pick a child up from school

• Donate

A Simple but Powerful Decision

As Tuohy tells it, they already had a pretty crazy life when Michael came to live with them. She had a very prolific interior design business at that time. Husband, Sean, was broadcasting 82 games a year for the NBA, and Collins and SJ were heavily involved in sports and school.

“We were chasing our tails already. I tell people all the time, we were not looking to adopt,” she remembered. “The thought that we would go find another kid and bring them in – if you had asked me at the time – I would have said ‘yeah right.’ But God had different plans for us. When you are in the heat of the battle, you don’t look back until you are through it and think – ‘how did we do that?’”

One way they did it was by accepting help when it was offered. Their village pitched in and without them, Tuohy doesn’t know how they would have done it.

“Sometimes when these things come up, you have to think with your heart instead of your head -and we did and thank goodness,” she said. “We are forever grateful that we did.”

Giving Through Franchising

Having owned up to 140 locations over the years that included Yum Brands!, Taco Bell, KFC, Pizza Hut, Long John Silvers, and others, the Tuohy’s incorporate giving as a value in their work as well as in their lives. Now that they are “in the 4th quarter” of life, Tuohy said they are slowing down in business, but they still maintain the culture of family and giving in the 16 stores they still own.

“Giving is at the forefront of what we do and we are very fortunate that we were in Taco Bell and Yum Brands!,” she said. “Taco Bell is a big believer in giving back. I am on the Board of the Taco Bell Foundation, and I am proud of that because we give millions and millions of dollars away to teens in need. It allows our team members to know that they work for an organization that cares and is interested in not only their wellbeing but their education and getting them where they need to be to be the best they can be. “

Tuohy explained that they instill this “giving” mindset into team members from the minute they walk in the door. They are taught that if they see a teammate who has a need, they should let us know so that we can help.

Cheerful Giving

“I am a firm believer that there are two types of people in this world – the givers and the takers,” Tuohy said. “But it’s not about money - it’s more about giving of your time and yourself. That is the difference-maker right there. If you can give of your resources, you certainly should, but it’s about giving of your time. I think when people start doing that, you begin doing it more and it becomes a habit.”

Tuohy advises that starting small is the quickest way to create the habit of giving.

“When you start, you think, ‘oh my gosh, look at the difference I am making – I am changing someone’s life, or I’m the reason someone smiled.’” she said. “I think it’s a great feeling. Once you get involved and start giving, you begin to wonder – how did I not do this before? You look for opportunities to do more. And that makes you a better person, you instill that in your kids – your kids instill it in their friends. Your hope is that it has a ripple effect.”

The Pillars as We See Them

by Elizabeth Denham

How it Started

Pillars of Franchising was started as a labor of love by our fearless founder, Fred McMurray. He is a champion of social media for B2B companies, Co-host and Executive Producer of Pillars of Franchising, CEO of Linked Local Network – a source for content  to help professionals achieve work-

life balance and CEO of Westvyne, a marketing company in Shell Beach, California with a global clientele.

In 2013, Inc. magazine listed McMurray as one of 54 social influencers. His mission is to provide a digital platform for online

communities to connect via social media networks to the local, offline community – leading to new relationships, increased support systems and shared resources. Inc. magazine listed McMurray as a Twitter Social Media Influencer for 2013-2019.

Fred is an entrepreneur, speaker and platform blogger on social media topics for small business. He has co-developed the Digital Dominance Index Methodology for measuring the growth of a digital/social media presence. In addition, he was an early adopter of LinkedIn in 2003 and has worked on developing models for the development and growth of social media groups.

In 2010, he co-founded the Linked Local Network which is a co-creator content network to

How It’s Going

help professionals achieve worklife balance. The network develops creative Community Voices and interesting internet radio show content to the Linked Local Network audience.

McMurray continues to research the development of co-creator or syndication peer networks for individual, small to mid-sized business and nonprofits. Equally at home designing software solutions, trouble-shooting computer networks or building online community networks, McMurray

understands the technology needs of small to medium-sized organizations.

In February 2018, Fred teamed up with his client, Ray Pillar to launch the Pillars of Franchising internet radio show. Pillars of Franchising is now a live multi-channel virtual event broadcast every Thursday at 4:00 pm central time. Listeners can chat live at the Pillars of Franchising website or call 323-5805755 to listen and ask questions.

Pillars has launched from a podcast into a full-service consulting firm. We help you select and buy a franchise, grow it to profitability and make your dreams a reality. Our team of Million Dollar Franchisees helps you navigate the process and mentor you to reach your greatest potential. We support you with our leadership team as well as interviews with the top folks in their industries. Stay tuned, more is coming, and you don’t want to miss out on an opportunity to secure your financial future!

If you are a potential or current franchisee, we can help you with:

Finding the right franchise

• Navigating the purchase process

• Finding a mentor

• Building a network

• Reaching your goals

If you are a franchisor, we can help you with:

• Attracting new franchisees

• Marketing your business

• Lead generation

• Generating visibility

• Reaching your goals

What are the Pillars of Franchising?

Pillar 1: Finding the Right Opportunity

Finding the right opportunity for business ownership is not as simple as looking at a catalog and picking one that looks like fun. There are a lot of factors to be considered:

• Cost of the franchise

• Franchise fees

• Royalties

• Marketing fees

• Your financial situation

• Are you solvent enough to cover your living expenses while you are ramping up your new location?

• Existing franchisee performance

• Training, tools and mentorship provided by the franchisor

• Culture of the franchise system

• Competition

• Available revenue streams

• Market conditions

• Opportunity for growth

• Competition in industry

• Your passion for the product/services

• You skills/talents/interests

• Resale value/opportunity

• The right fit for you individually

Pillar 2: Training, Mentoring and Support

Training both in the initial stages of franchise ownership and continuing education throughout the life of your business is critical to your success. When looking for a franchise, it is important to evaluate:

• Onboarding training

• Skill-based training

• Training in operations and systems

• Leadership training

• Marketing training

• Technology training

• Continuing education throughout the evolution of the business

Pillar 3: Growing a Profitable Business

Franchising is a great way to start your path in business ownership. When you buy a franchise, there is a proven business model, a system for running that particular business in place and the support you need from the franchisor for problem-solving and growth. When you buy a franchise, it is important to:

• Follow the business plan.

• Understand the operations manual inside and out – and follow it.

• Stay true to the brand in marketing, process, quality and customer service. Don’t reinvent the wheel.

• Stay in touch with your franchisor/corporate office and develop that relationship to help you in times of uncertainty or crisis.

• Ask for help when you need it.

• Network with other franchisees.

Pillar 4: Working to Build Community

In a franchise system, the best news is that you are not alone. As the franchise community loves to say, you are in business for yourself, but not by yourself. They love to say it because it is true! Take advantage of your franchise community and bend the ears of those who have been around longer. Once you do that, look outward and get involved in your local community. The more entrenched you are, the more your participate (sponsor teams, do fundraisers, sponsor events) the more the community will support you.

Results: Success and Transitioning

Pillar 5: Improving the Brand

Keeping true to your franchise brand is critical to your success. If people come to expect one thing from a brand and get another, it is a BIG turnoff. Here are some examples of ways you can improve the brand and do your part for the franchise:

• Ensure your team understands why consistency is important. Get them to buy-in to the brand. This builds customer loyalty.

• Understand the brand assets from the logo to the color scheme to the messaging. Use them consistently and appropriately.

• Start small and scale your business. You cannot start where you want to end. As you become more proficient and more accomplished, you can build at a pace that you can ensure consistency. Don’t go for too much too fast.

• Evaluate the performance at each of your locations. Knowing where you are will help you know where you need to be.

Once you understand and implement the Pillars of Franchising, you are ready to enjoy your success and prepare for the future. Prepare an exit strategy whether you have future generations coming into the business or you want to sell. Here are some tips:

• Understand that most franchises do not survive the retirement of the original owner without a succession plan. This is a non-negotiable necessity for your success.

• Create a trusted team of advisors.

• Understand the value of our business and prepare supporting documents.

• Get your documentation in order.

• Identify a successor.

• Vet a successor.

• Create an appropriate legal and financial team to help you through the process.

We can help you with any of the Pillars of Franchising through our consulting, mentorship and resources. Contact us today for more information.

YourFuture@PillarsOfFranchising.com www.PillarsOffranchising.com

Welcome Elizabeth Denham

Back to Pillars

The Pillars of Franchising is thrilled to announce that former co-host, Elizabeth Denham has joined the team as Chief Content Officer. She will be responsible for publishing the Pillars of Franchising magazine as well as producing content for the podcast, social media and other upcoming projects.

by Pillars Staff

“Having Elizabeth back on the Pillars team is exciting with her background in publishing, podcasting and media,” CEO Kristin Selmeczy said. “We have big things coming this year, and she will be a great addition to our growing team.”

Together with Selmeczy and Fred McMurray, founder and Chief Marketing Officer and Executive Producer of Pillars, the leadership

team now has everything in place to become a force in the franchising space.

“We have been growing and learning for the last several years, and we have built a Million Dollar team of mentors,” McMurray said. “Now, it is time to put our knowledge and experience into action and help others on their path to successful business ownership. Elizabeth has

the knowledge and experience to help us get the information to our audience in a compelling way.”

Denham is looking forward to the challenge.

“I have so much respect for Fred and Kristin and the mentors on the team,” she said. “And I love having the space to create something new and different with people who have the best interests of our guests, sponsors and clients in mind. And it is awesome to know I am working with people who prioritize integrity in all they do.”

The new trajectory of the business opens the door not only to a mentoring program, but also offers franchisors and suppliers the opportunity to work with Pillars through sponsorships on all platforms.

“We have more than 6,000 viewers each month, and we will have a healthy distribution for our magazine,” Selmeczy said. “We want to use our platform to help businesses get the word out and grow their businesses as we grow ours.”

Pillars of Franchising

Pillars of Franchising has launched from a podcast into a full-service consulting firm. We help you select and buy a franchise, grow it to profitability and make your dreams a reality. Our team of Million Dollar Franchisees helps you navigate the process and mentor you to reach your greatest potential. We support you with our leadership team as well as interviews with the top folks in their industries. Stay tuned, more is coming, and you don’t want to miss out on an opportunity to secure your financial future!

Elizabeth Denham

Elizabeth Denham has worked in publishing for most of her career. She has a passion for highlighting the voices of those who are doing good in the world – both professionally and personally. She was founder and formerly Publisher and Editor-in-Chief of The Franchise Woman magazine and co-founder of The Coterie for Women.

Elizabeth has had an extensive career in writing, digital media and marketing. She recently published

two accountability guides, Get Shit Done (for women) and Getting It Done (for middle school boys). She is Editor of Relocating Fauquier County and has edited and written for Relocating Baldwin County. She has written and published two books: “Sweeten the Deal: How to Spot and Avoid the Big Red Flags in Online Dating,” a memoir and advice book for women going through divorce and dating and “Moving Day: Overcoming the Fear of Change,” a children’s book. She wrote a blog on the Huffington Post for five years and has appeared on HuffPost Live and the Daily Brew television program. She has also been featured on John Tesh’s “Intelligence for Your Life” as a relationship expert. She uses her project, “Pursuit of Humanity: Voices of Ala bama,” to demonstrate her belief in the humanity of all and to advocate for the acceptance and understanding of the LGBTQ community.

Connect with Pillars of Franchising on the following platforms:

Elizabeth has the knowledge and experience to help us get the information to our audience in a compelling way.

“

Laura Spaulding Gives Back:

The Gift of a Lifetime for Veterans

by Elizabeth Denham

Laura Spaulding wants to offer veterans a head start and clear path to success after their military service – and she is putting her money where her mouth is. Her annual Veteran Franchise Giveaway has launched its search for a qualified veteran to receive the gift of a Spaulding Decon territory of his or her choosing and the waiver of 100 percent of the $45,000 franchise fee.

“People make a huge sacrifice when they volunteer to go into the military service,” she said. “And there is no program that fosters entrepreneurship for these men and women. I want to reward their sacrifice and the sacrifices of their

families and give them a leg up in business ownership.”

Included in this giveaway is a year of personal mentorship from Spaulding.

“I want to mold a deserving candidate into a successful business owner by teaching them the skills I wish I had when I started,” she noted. “I want to help the winner avoid making some of the mistakes I made in the beginning.”

While candidates will have to be able to qualify through a vetting process, the only requirements to apply are that entrants have served in any branch of the armed forces and have been honorably discharged.

As a former military serviceperson, herself, Spaulding recognizes the strengths and skills veterans possess and said some of the highest performers in her franchise system come from military backgrounds.

“We have seen that veterans do particularly well in our system,” she said. “Their ability to follow process and operate in a well-defined system is solid, and that complements the strength we have in our brand, operations and procedure. We seek veterans as franchisees, and we would love to have more.”

How to Enter the Veteran Franchise Giveaway

Send an email to Franchise@ SpauldingDecon.com

Include: Your name

Address

Branch of service

Recent photograph

Brief bio

Description of why you would make a good franchisee

We will announce this year’s winner on Veteran’s Day, November 11, 2021.

If you are interested but miss the deadline, please apply for the 2022 giveaway and note that in your email.

Good luck! Thank you for your service.

Spaulding Decon has 47 locations across the country and is a leading, nationwide cleaning, decontamination and restoration service provider. The company offers a recession-proof model of in-demand, high-profit services including clean up of accidental deaths and bio-hazards, hoarding and drug labs as well as mold remediation and water damage restoration. They also buy houses for cash to flip or to retain as rental properties (another revenue stream offered to franchisees). With multiple revenue streams and national contracts in place, the business is ripe for continued growth and success.

For more information about Spaulding Decon and the Veteran Franchise Giveaway, please visit www.SpauldingDecon.com

Their ability to follow process and operate in a well-defined system is solid…

The Dream Starts Here

Pillars is now a full-service consulting firm.

We help you select and buy a franchise, grow it to profitability and make your dreams a reality.

If you are a potential or current franchisee, we can help you with:

• Finding the right franchise

• Navigating the purchase process

• Finding a mentor

• Building a network

• Reaching your goals

If you are a franchisor, we can help you with:

• Attracting new franchisees

• Marketing your business

• Lead generation

• Generating visibility

• Reaching your goals

Before You Invest in a Franchise...

READ THIS

by Harold Kestenbaum

For many, the choice to invest in a franchise business is an exciting, often life-changing one. Some people invest their entire savings to live out the American dream, so it is important to be informed. Like any major decision, research and education are imperative when deciding if you should franchise your business.

Business ownership through franchising is the equivalent of going into business for yourself but not by yourself. There is a sense of security knowing there are systems to follow and support available when you need it. All franchises are not created equally; here are some tips to check and double-check off your list before diving in with heart, soul, and life savings.

Before You Invest: Research

Do the basic homework first by researching the franchise business. How long have they been in operation? What’s the story behind its origins, meaning who started it and why? Do you agree with the mission statement or relate to the founder? Learn about the industry, the business and the people behind it.

Then, make your list for further education.

• Ask if you can shadow a franchisee or participate in “a day in the life” of the owner. This will help you determine if you like the business.

• Spend time with the franchisor – the franchisor/franchisee relationship is like a marriage – it lasts for many

Item 1: Company background and history, competition & regulation in the industry.

Item 3: Litigation history for the last 10 years.

Item 4: Bankruptcy history for the last 10 years.

Item 5: Fees you will be paying franchisor and its affiliates upfront.

Item 6: On-going fees you will pay the franchisor and its affiliates.

Item 7: A chart that lists the likely costs to open the business that you will have in the first few months of operation (told in a range).

years and a good relationship between franchisor and franchisee is critical to a positive franchise experience.

• Validate! Speak to as many franchisees in the system as you can to find out what they like and dislike about the support and training they receive, both in the beginning and ongoing.

• Speak to as many former fran-

Item 12: Territory description, review the territory description here and determine if the method of defining “Territory” will allow the franchisor to sell a territory to someone else, which will interfere with your business.

Item 20: 5 charts showing how many franchises are open and how many the franchisor intends to open. Read the footnotes as well as the disclosure. Retain an experienced business/franchise accountant to review the audited financials to determine if this franchisor is financially strong enough to support the system in place and the growth that is anticipated.

An Informed Decision is the Right Decision

Business ownership through franchising can be a rewarding endeavor that changes your personal and professional life forever. It’s worth a hard look beforehand. Dot your Is and cross your Ts. As with any major crossroad, an informed decision is the right decision.

chisees as you can to find out why they left the system and what they liked and disliked about the support and training they received.

• Put your reading glasses on. Make sure you read through all 23 items of the FDD (Franchise Disclosure Document) you have received; particularly be familiar with:

Harold L. Kestenbaum joined Spadea Lignana in 2019, having unrivaled experience in the franchise industry and in franchise law. He founded and served as President and Chairman of the Board of FranchiseIt Corporation. Harold also authored the first book dedicated to the entrepreneur who wants to franchise called “So You Want to Franchise Your Business.” Contact Harold at hkestenbaum@spadealaw.com or call at 215.774.3365 x136.

What is the Million Dollar

Mentoring Program?

by Elizabeth Denham

Pillars of Franchising strives to educate those looking to own their own businesses about the benefits of franchising. Through interviews, research and multiple perspectives, we showcase all things franchise. People don’t seek to “buy” a franchise, they are seeking to “invest” in a franchise brand. The list of resources and partnerships we have continues to grow:

• Franchisors

• Realtors

• Franchisor (parent companies)

• Financial Strategists

• Lawyers

• Accountants

• Wealth Managers

• Franchisees

Our experienced Mentors have or continue to run successful franchise businesses that exceed one million dollars in annual sales. Their backgrounds, experiences and goals may vary, but they share the same passion for entrepreneurship and franchising. The mentors will question, listen, coach and counsel as potential buyers seek the franchise brand that is right for them.

Throughout the process there, will be targeted ad campaigns available for custom audiences.  These will greatly benefit partner exposure and growth. We know that franchisors want serious candidates who:

• Are financially approved

• Knowledgeable / well informed

• Passionate

• Possess personalities that fit the brand culture

• Have experience that will benefit the brand

• Are committed to growth

• Are diverse and reflect communities around the globe

Through the Million Dollar Mentor Program, our mentees will be able to explore the franchise investing process while streaming their experience live on the Pillars of Franchising show. They will have the opportunity to check out pre-recorded videos of all “Pillarized” partners of the show. Through our extensive library of resources, some of the most commonly sought-after information is quickly available as are resources for individualized assistance on cross-generational channels. Who knew that looking for a franchise, while a lot of work, could be so much fun?

If you are interested in learning more about our Million Dollar Mentor Program, contact us at YourFuture@PillarsOfFranchising.com

The mentors will question, listen, coach and counsel as potential buyers seek the franchise brand that is right for them.

“

Franchising’s

Life Lessons

by Michael Iannuzzi

As an advisor to many franchise businesses, I often get to see firsthand the charitable nature of the franchise community. There are many ways franchisees and franchisors give back to their communities to name a few:

• Numerous foundations set up by franchisors

• Team sponsorships that local franchisees are part of

• Annual days of service

• Community outreach

Aside from the immeasurable impact the franchise community has in terms of charitable contributions, the industry is also a job generator, creating about 7.6 million jobs through 800,000 franchise businesses in the U.S. alone, according to the International Franchise Association (IFA).

With a tradition of giving back to local communities and a track record for creating jobs, one of franchising’s greatest qualities, which often gets overlooked, is the impact franchising has on preparing teenagers and young adults for life in the real world.

Franchising, in my opinion, should be thought of as the ultimate paid business internship, offering unique training to high school and college kids across the nation. Working in a franchise teaches these young employees how to run a business, customer relations, how to deal with conflict, how to think on your feet and how to succeed. These employees are learning key life skills that could be applied to many different careers and these thoughts led me to reflect on my own personal experiences.

Growing up, I was fortunate to have had the opportunity to work in my uncle’s pizzeria as one of these young employees. Now, this wasn’t a franchise, but with such a large volume of pizza franchises out there, there are definitely parallels. My brother and I went to work at a very young age, making boxes at the pizzeria. We initially worked two days a week and, as we got older, we started to bus tables, help out at the register, learn how to change money, learn how to speak to customers, answer the phone and take orders. As an adult, you may say “what’s the big deal?” As a kid, this is major stuff. I eventually left the pizzeria and went on to work at a few other restaurants, working as a

waiter and in other roles. One of the owners gave me control of the dining room, leaving it to my discretion to comp a drink or a dessert, which was a tool used to increase customer satisfaction and loyalty. Looking back, these life experiences were game changers for me.

Fast forwarding to the present, I am now a CPA, a partner at my firm, and co-leader of Citrin Cooperman’s Franchise Accounting and Consulting Practice. Some may believe that my past experiences growing up in restaurants from a young age had no impact on my career today. I would say whole heartedly that those experiences were just as important as what I learned while earning my college degree. The life experience gained from serving people, watching how others interacted, overcoming challenges and learning how to talk to people are lessons that can only be learned in real-life scenarios. I apply a lot of what I learned then to what I do now. I truly believe that the lessons learned at these restaurants helped pave the way for my career. Franchising gives back in many forms, and for many years to come.

miannuzzi@citrincooperman.com

Michael Iannuzzi is a partner and co-leader of the firms franchise practice providing audit and accounting, business consulting and advisory, and tax planning services to a wide spectrum of franchise related businesses. Michael works with franchisors and multi-unit franchisees in a variety of industries, including, but not limited to, fitness and athletic centers, children entertainment centers, junk removal companies, mobile concepts, Quick Service Restaurants (QSRs), and grocery stores.

Links –

Franchise Website Link - https:// www.citrincooperman.com/industries/franchising

Social Media:

Michael Iannuzzi - https://www. linkedin.com/in/michael13/ Citrin Cooperman: https://www.linkedin.com/company/citrin-cooperman/

https://twitter.com/citrincooperman

https://www.facebook.com/Citrin.Cooperman.CPAs/

https://www.instagram.com/citrincooperman/

Franchising, in my opinion, should be thought of as the ultimate paid business internship…

Million Dollar Mentor

Meet Kristin Selmeczy,

Million Dollar Mentor and CEO of Pillars of Franchising

About Kristin

Kristin Selmeczy, Million Dollar Mentor and Pillars of Franchising’s CEO, owns Molly Maid of Bloomingdale and Mt. Prospect. She has extensive experience in customer service and relationship management in the retail and service industry as well as in HR practices, project management, networking and leadership skills. As of 2021, she has 15 years of experience in buying, selling and expanding franchises. She also has practical experience in new business growth and

by Elizabeth Denham

business acquisition with a consistent focus on key metrics to ensure profitability and satisfaction with a franchise system and brand.

Kristin also serves on the board of Ms. Molly, a nonprofit organization supporting victims of domestic violence across the United States through various fundraising and awareness campaigns. Ms. Molly supports numerous shelters and has distributed more than one million dollars in donations.

About Kristin’s Career

Kristin’s journey in franchising began 15 years ago after a long, corporate day in a terrible snowstorm. She picked her kids up from daycare and began the journey home that took just over 3 hours. No formula, no diaper or clean clothes left. With two hours to go and two crying kids, Kristin called her husband and said, “This is so wrong. I’m not doing this anymore… not to myself or the kids.” And she never looked back.

Her first year as a Molly Maid franchisee, she was Rookie of the Year. The second year, she acquired her first additional territory. The one thing that became clear was that the territory size she originally purchased was not large enough to hit the million-dollar target she had set for herself. It was this first expansion that taught her

about the importance of market demographics. She expanded again in 2014 and again in 2018. Franchising has allowed Kristin to be a present and involved mother for all three of her children. She has been available for classroom parties, sports, theatre, karate, all of the things her divorced and working parents couldn’t be.

“My husband and I decided early on that the business we chose had to allow for those things,” Kristin said. “While there are many material things you could talk about, time with my family has been the single most fulfilling thing my Molly Maid franchise has given me,”

Kristin’s Mentorship When mentoring, one thing Kristin does differently than others is that she focuses on the future vision someone has.

“I am not a hard-core numbers person,” she said. “I never have been. But what I do have is HR and training background. I focus on “fit” from the other side of the numbers. I

think that’s what makes working with our Pillars Team so great! I will always take my mentee and ensure we also involve one of the guys who are strong in financials to ensure that part of the formula works too! It’s about knowing your strengths and having partners that complement your skillset!”

Kristin firmly believes you can’t choose a franchise simply for the money, nor for the lifestyle - it must be both. There are many great models out there that people haven’t even heard of yet. Emerging brands are popping up all of the time!

“I think our Million Dollar Mentor team approach to helping others is the way buying a franchise should be done,” Kristin noted. “Teamwork provides so much more than individuals could provide alone!”

5 Ways to Kill

the Conversation

by Nancy Friedman

Creating a good rapport with your customers is critical to your success. Whether you are trying to make a sale, build a business relationship or provide support to an existing customer. Good and intentional conversation can make a customer keep coming back for more. And poor or thoughtless words can kill a relationship quicker than you can say, “sorry!” So, keep this in mind as we move forward:

Killer words help make your customers, your potential customers, friends, and family veer away from the real point of your conversation.

Best we eliminate them from our routine and vocabulary. It’s not easy to do. If it were easy, everyone would be doing it … and we know that’s not happening! We’re giving you the Top 5 Killer Words (there are more, of course) that irritate folks the most. Remove them and watch the scene go smoother.

1. “No problem.” – The customer is thinking, “When was I a problem?” I believe we can thank the islands for this one. When we take a cruise and ask for anything, what’s the first thing the waiter says? Right, “No problem.” On vacation in the ISLANDS, NO

PROBLEM may be tolerated. But here, it needs to be The GOLD STANDARD: “You’re welcome,” or “My pleasure,” “Happy to help,” and a host of other ways to let the customer know you’re glad to do that. “No problem” is no good! Lose NO PROBLEM. It can kill the conversation.

2. “Our computers are so slow.” –Big excuse. Everyone’s computer runs slow occasionally. When you complain about your computer, it’s perceived as though you’re complaining about your company. And perception is reality. Take the time to say, “This might take a bit longer than I’d like it to. Tell me about…” and then ask a benign question that will take time and let the customer talk. While most people do understand slow computers, they don’t like the excuse. It kills the conversation.

3. “Calm down.” – Oh man. This one makes the hair on the back of their necks stand up. In any movie or television show I’ve watched lately when someone is told to “calm down,” the next words are, “Don’t you tell me to calm down.” And the argument goes on. There are times when the people may need to vent. Your job is to listen and come in at the appropriate time with sympathetic wording. Telling folks how to handle their actions isn’t a great idea. Get rid of the expression “calm down.” Very few, if anyone, has ever calmed down after being told to ‘calm down.’ It usually leads to trouble.

4. “It’s not our policy.” – Ouch! Okay, okay, most every company has policies, and it’s something we need to deal with daily, I’m sure. What is not necessary is blurting that out first and foremost to the customer. “It’s NOT our policy.” The policy should be rephrased so it starts off in a more positive way. We like to say,

“rejecting gently.” And rephrasing policies are a good way to soften the blow and explain in a more TLC way what will happen.

Next time you find yourself saying, “That’s not our (their) poli-

5. “Yes, but…” – Hmm, what’s wrong with that? We all say it. Well, what’s wrong with that is the minute we say “yes, but” the person feels something negative is coming. If you have ever said, “I love you so much, but…” There’s a condition coming, isn’t there? Here’s one way to change that:

“Yes, we can do that. There is, however, a $50 additional fee.” Sounds better, doesn’t it?

cy.” Stop. Regroup and reword. Buffer it with, “Let me see what we can do. Normally the policy of the company doesn’t allow last-minute changes.” (The request should be restated, so they hear you’re going to go to bat for them.)

“However, we can sure tackle this. Let me double-check.” What happens is sometimes when we go back and check, it works. And of course, sometimes it doesn’t. But at least we double-checked. We tried. And we didn’t just slough it off with, “I’m sorry, it’s not our/ their policy.”

Most people have phrases and sayings they don’t like or that aggravate them. Keep a list of your killer words (along with ours) and avoid them the best you can.

Nancy Friedman is a popular speaker in the franchise family industry and a highly respected customer service expert. Email: Nancyf@telephonedoctor.com. During COVID, call her cell at 314276-1012 or office: 314-291-1012 (central time) and visit www.nancyfriedman.com. Need a company zoom meeting? Or a 30-minute RX Shot in the Arm for your team? We’d love to share our tips, ideas, skills and techniques with you and your team.

Killer words help make your customers, your potential customers, friends, and family veer away from the real point of your conversation.

The Ms. Molly Foundation.

Celebrating 25 Years of Giving Back During Unprecedented Times

by Elizabeth Denham

In April, the Ms. Molly Foundation celebrated 25 years of supporting all who experience domestic violence in this country. With the pandemic gripping the world, 2020 was particularly hard on those who suffer violence at the hands of abusers in their homes or their intimate relationships.

“Last year was difficult on two fronts,” Michelle Robles, Director of Systems for Molly Maid USA said. “It was difficult for women suffering from domestic violence, and it was also difficult for shelters who support these women and rely on monetary donations as well as in-kind donations to function effectively.”

Robles said that the number of incidents increased dramatically over the last year-and-a-half due to people being in closer proximity for long periods since offices and schools worked remotely. This gave rise to more opportunities for violent interactions and dangerous power and control dynamics.

“The hours women could escape their abusers during the day for work were gone,” she noted. “Now, they were with their abusers all day every day. And there were more opportunities for abusers to assert power and control over their victims by withholding the vaccine from them or by feeding them misinformation. It was a totally different way to isolate them.”

But there is some good news. While donations to the Ms. Molly

Foundation were down overall last year, customer donations continued to come through.

“We were pleasantly surprised that customer donations barely changed during the pandemic,” Robles explained. “Our customers are very loyal, and we were pleasantly surprised that we ended last year with approximately $75,000 in donations overall.”

Franchisee donations were down because they are made per cleaning, and with COVID-19 restrictions, cleanings were significantly reduced. In an average year, donations stay around the $225,000 to $250,000 level.

Robles mentioned that most of their donations come in between October and December each year due to the fundraising they do for Domestic Violence Awareness Month, so she is hoping to see donations for this year meet or exceed those of 2020.

“Our ‘Make a Difference Drive’ is launching in October,” she said. “So, I would love to see the numbers closer to the 200s again.”

Robles said that this cause is something many of their loca-

Making a Difference Drive for October’s Domestic Violence Awareness Month

How can you help?

Make a tax-deductible donation to the Ms. Molly Foundation: Click Here to donate

Ms. Molly Foundation also participates in AmazonSmile, a simple way for you to support your favorite charitable organization every time you shop, at no cost to you. Click Here to add the Ms. Molly Foundation to your Amazon account

Ms. Molly Foundation

2020 was particularly hard on those who suffer violence at the hands of abusers.

According to the American Journal of Emergency Medicine, there was a dramatic increase in domestic violence in 202.

tions embrace and get excited about, and she noted that they have owners who donate their time by cleaning local shelters, cleaning the office space of shelters in addition to the fundraising they do for their local organizations.

Robles said Neighborly has also gotten involved in the cause with the Ms. Molly Foundation and is helping to get the word out and get other brands involved.

Fig. 1(A). Percent increase in US domestic violence in the locations studied in 2020. (B). Percent increase in US domestic violence in the locations studied 2020.

“If a local Molly Maid office supports their local shelter, 100 percent of the customer donations go to that shelter,” Robles explained. “Corporate donations from Neighborly (the parent company of Molly Maid) go to the general fund, and locations without a local shelter affiliation go to the general fund.”

“I am excited to get to in-person events again,” Robles said. “We are excited about our vendor booth at the Neighborly Reunion and sharing with the other brands the importance of this issue. It can happen to anyone in any group, and the more we can get the word out and get others to buy into the idea of raising awareness and supporting the foundation, the more we can do.”

For more information, please visit www.MollyMaid.com

Molly Maid has always looked for ways to give back to our communities. In 1996, the founders established the Ms. Molly Foundation, a nonprofit organization that supports victims of domestic violence. The mission is not only to increase public awareness of domestic violence, but also to provide assistance to local agencies that support victims in the communities we serve.

Eagle Status Performance Coaching

ACHIEVE IMMEDIATE AND LASTING RESULTS!!

Workplace success is right around the corner. In the workplace, 85% of your success depends on your ability to build relationships.

See the people in your business:

• Gain insights into strengths and weaknesses

• Develop areas for increased success

• Gain an appreciation for each other

• Understand others’ perspectives and needs

• Recognize patterns of behavior and understand interaction dynamics with all personality styles

• Create better relationships, adapt for better communication and see growth in all relationships

Key roles I play for companies and teams I work with:

• Human Behavior and DISC Trainer and Consultant

• Manager Trainer for Multi-Unit Business Owners

• Performance and Communication Skills Trainer

• High Performance Teamwork Development

• Personal Development and Performance Coach

BOOK A NO-PITCH STRATEGY CALL HERE

Million Dollar Mentor

Meet Jerry Akers, Million Dollar Mentor

About Jerry

Million Dollar Mentor Jerry Akers is President of Sharpness Inc., DBA Great Clips, and MOCA Inc., DBA The Joint Chiropractic. He also serves as Regional Developer and Franchisee for The Joint Chiropractic. As a lifelong entrepreneur, he has owned a wide variety of businesses in his 40-year career. For the past 13 years, he and his wife have grown their Great Clips group from one salon to 36, and now, with the entry of their children into their business life, plan on adding several more.

by Elizabeth Denham

Akers currently serves on the board of the International Franchise Association (IFA), on the Great Clips MARC franchisee leadership board, the International Franchise Association’s Franchisee Forum, the National Federation of Independent Business State Leadership Council and the Iowa State Cosmetology Board.

About Jerry’s Career

After 20+ years of researching franchise opportunities, the stars finally aligned when Jerry was approached by a business broker to buy an under-performing Great Clips location. Utilizing the business skills he and his wife had acquired in their 25-year corporate careers, they were able to vastly improve the business and use it as a springboard to continue to grow.

After hitting the million-dollar mark within the first three years of franchising and growing to 36 locations in less than 17 years, Jerry and his wife have a plan to grow to 50 locations by their 20th anniversary in the business. Together, they have grown individual, under-performing salons by two times within three years after acquiring each one through better operations, team building and training and superior marketing. They typically break even on new stores in less than 12 months.

Jerry’s Mentorship

While working plenty of hours, Jerry enjoys the fact that he can do it from anywhere in the world rather than at the office.

“We have adapted our life to include traveling to places we may not have been able to go prior to franchising,” he said. “We bought a lake house where we spend about half our time, and we entertain family and friends. We enhance our life as we choose with fewer financial concerns.

Jerry and his wife are excited that they have brought the second generation into our business with the addition of two daughters and a son-in-law who currently run the day-to-day operations of our Great Clips franchise.

“We are impacting multiple generations of family through franchising,” he noted. “Giving our employees and family more opportunities, more income and a better future has now become a driving factor in our decision-making so that we can positively impact hundreds of lives.”

Jerry is looking forward to growing his role as a leader in franchising through the Pillars of Franchising Million Dollar Mentor Program.

“I believe my strongest business abilities are long-range strategic thinking, problem-solving, superior marketing skills and team building,” he said. “My love for franchising and what it does for individuals and families as well as what it does to strengthen our country overall is at the forefront of my thinking at all times. I believe in building something that is profitable and changes the lives of franchisees and, by extension, changes the lives of hundreds and thousands of employees!”

Giving Changes

by David Kajganich, Million Dollar Mentor

We were in trouble. We had been operating three other successful sports bars for over 10 years, however, this one, in its fourth year was failing… badly. It was in the process of posting a $250,000 loss for the year when I met with one of my partners.

We had just been served notice that we were going to be shut down for failure to pay our property taxes. Yes, things were bad. When he asked, “Can you turn it around,” my immediate response was “I don’t know.” That was an odd response from me because facing challenges as entrepreneurs and leaders is what we do. However, I was shaken. I had just returned from observing our operation and we were…bad. I mean, we were operating so poorly that we ran out of burger buns during the dinner rush...on a Saturday night!

At that point, he said we have no choice. We owed over $2 million on the building and the business and we had no way of recovering if we closed. Fifteen minutes before the deadline and subsequent padlocking of the doors, we paid the necessary portion of the property tax to remain open.

We had no money and no time to waste. We had to turn it around fast. One obvious thing was that we needed to fix the operations and improve our product quality, service and hospitality. That was obvious. Everyone and anyone could see that. Truthfully, that was the easy part. We always focused

on those aspects. However, we let this one slip and now we were paying the price.

But, there was another factor in play. One that wasn’t so obvious. We had lost the trust of the community.

When I say the community didn’t trust us, most people would assume I mean that the customers couldn’t trust the quality or experience they would receive. Again, that was apparent by the comments we received! But it went deeper than that.

Everything

You see, this business was in a small, tightly knit community. The type of community where word travels fast. A community that places a high value on family, kids and schools. A lot of communities are similar. It took one sentence for me to realize what went wrong.

I asked a customer, why don’t the parents come in here after the high school football game? His response shook me.

“You don’t want us here.”

I couldn’t believe it. How did they get that impression? Evidently, one of our “managers” and a bartender thought that they were too much of a hassle to deal with and told them so!

Now, I knew what I had to do. From that point forward, everything, and I mean everything, we did was geared towards being a pillar in the community. We made it a mission that the community would be proud to have our sports bar in their city. Even while we were barely able to pay our bills, we invested in the community.

We supported the school’s sports, drama clubs, bands, etc. We hosted community fundraisers, supported youth sports and local charities. We became so focused on helping and giving, that it

didn’t even matter that we could barely afford to do it.

It really is true that you must give to receive.

It just so happened that, we received more than we gave - both in sales and in the love we received from the community.

When giving comes from the heart, it will always make a difference.

From that point forward, everything changed. Our sales increased 40 percent the first year and were double within three years. And the business was fun!

We became so impassioned with helping that we became known more for that than what our business was! The reciprocation from the community was amazing. They supported us because they could trust that we were there to support them.

Everything we did, focused first on “how can we help?” From helping disadvantaged families to special needs children to those stricken with cancer - we wanted to make a difference.

What started as a way to get back on solid financial footing turned into a focus on helping without regard for “what’s in it for us?”

David Kajganich is one of Pillars of Franchising’s Million Dollar Mentors. He began his career in franchising in 1992 when he became the first franchisee for Buffalo Wild Wings. Within the first year, he reached more than one million dollars in revenue, and for nearly three decades, he successfully ran multiple units until he sold the business in 2020. David was also involved as an area director for a quick service sub sandwich concept as well as for a fitness franchise. Through his experiences, he honed his skills in the areas of leadership, performance coaching, influence and persuasion to help franchise owners get the most out of their managers and employees. He is currently a performance coach through his business, Eagle Status Performance, LLC. You can reach David at david@davidkajganich.com.

“ We had lost the trust of the community.

Great Clips Gives Back

Through ALS Association Support

by Elizabeth Denham

As the owner of Sharpness, Inc., DBA as Great Clips, Million Dollar Mentor Jerry Akers has been partnered with the ALS Association, Iowa Chapter for the last five years raising money to support and elevate the quality of life for those living with this devastating disease and to help support research to improve treatment and eventually find a cure.

“We get into working with causes because it is the right thing to do,” Akers said. “It’s giving back to the community. It’s giving back to populations that could use some extra support. And it’s working with great people like our friends at the ALS Association.”

As a business owner, Akers believes in giving back to the community that gives so much to business owners like him.

“I think we owe it to the community to give back. The community

allows us, as franchises to grow and prosper,” he said. “It is the least we can do for those who support us.”

Akers chose ALS Association, Iowa Chapter as a partner because he had previously worked with the Chapter Executive Director Josh Nuss on a Muscular Dystrophy campaign. This was a natural extension as Nuss started working with the ALS group.

“We wanted to bring our customers into it and get them en-

gaged,” he explained. “If you ever see anyone who deals with ALS, you will really want to help out because it is devastating. “We talk about it a lot in the time before we plan the Ice Bucket Challenge each year. Almost everyone who sits in our chairs has known someone who has gone through it, and there is a tremendous emotional involvement with that because of how horrifying this disease is.”

Akers said that now, it takes on a life of its own each and every year. The staff looks forward to it, and it

leads to more of a warm and fuzzy feeling with Great Clips’ clients because everyone talks about it and gets excited to help.

And Akers is not above a bribe.

“If they raise enough money, they

get to dump an ice bucket on a general manager. If they reach a higher amount, they get to dump buckets on my daughters who work the business with me,” Akers explained. “And to get the golden nugget at the end of the rainbow, if they reach the highest threshold,

they get to dunk me. It’s a very emotional thing for our entire organization to feel like we are helping a deserving community of people.”

Emily Vanni, Development Director of ALS Association, Iowa

Services ALS Association, Iowa Chapter Provides

• Education

• Medical Resources

• Communication devices

• Wheelchairs

• Adaptive silverware

• Quality of life grants

• End of life plans

• Caregiver resources including:

• Learning labs

• Support groups

• Resources for kids

• Camps for kids

I think we owe it to the community to give back. The community allows us, as franchises to grow and prosper.

Chapter said they have raised more than $50,000 over the years with Akers and his Great Clips organization.

“May is ALS Awareness Month, and we do a point of purchase fundraiser that month with Jerry’s groups,” she said. “When you check out, you can donate and get a coupon for a haircut. They hang buckets in the store to represent donations and get people into it.”

Vanni said that, as many know, ALS is a debilitating disease, and the ASL Association has a goal of making it a livable disease by 2030.

“Four years ago, there was a new treatment that slows the progress of the disease by 33 percent, and that was the first new treatment in 21 years,” she said. “It’s not

enough. We want to increase life expectancy, improve the quality of life for people living with ALS and help support them and meet their needs.

Vanni said when you donate through the Iowa chapter, 86 percent goes to the local chapter to support their efforts, and 14 percent goes to national advocacy.

“The average cost to support someone living with ALS is $250,000 per year in out-of-pocket expenses,” she stated. “No one can afford that.”

Akers plans to keep growing his business and, in turn, increasing his ability to give back.

“We have a lot of fun raising money for ASL,” Akers said. “We get enthusiastic and get people excited, but the gravity of the reality of those living with it and their families is always at the forefront of our minds. And we can do more.”

Facts About ALS

• Veterans are twice as likely to develop ALS.

• A bill was recently passed that ALS patients can get SSDI no matter their age.

• Insurance approvals do not keep up with the progression of the disease as it changes quickly.

• There is a 3-4 year life expectancy upon diagnosis.

Emily Vanni

Josh Nuss

How Royalties and Franchise Fees

Actually Benefit Franchisees

by Susan Scotts

Do you think it’s easy to build a successful business from scratch? Sure it is! All you have to do is come up with the idea for a product/service. Then you have to have enough time and money to market, operate and manage the business, create and execute an operating plan, have access to capital and expertise, go it alone

and economically and emotionally withstand the time to build the business. This can take years of trial and error -- not to mention money! Good luck!  Then, once your business is up and running, who are you going to call when you don’t know what to do or need advice from someone working in or on the same exact business?

Or you could go the franchising route. Franchising is a proven business model with a strategy to expand business and with a proven, replicable system of doing business. The idea, tools, technology, training and ongoing support are built in. Even better, the system and all the tools are constantly updated for you.

The benefits of an established system can include (but not always):

• Development of systems and brands

• Successful operating systems and business software

• Initial and ongoing training and coaching support

People are, however, often reluctant to invest in a franchise thinking investment is too much or the royalties and fees are too high. Seeing it in a different way may help you understand the advantages of this investment.

The franchise fee is the investment that puts a franchisee into business -- not as a partner -- but as a participant. Think of it as an entry fee for the replicable system that is built, proven and constantly updated.

By leveraging the strength of the group, these fees reflect the value of becoming a part of a well-developed, comprehensive system behind the brand. Additionally, many franchises have ongoing royalties. A great percentage of royalties (which can range from 6 percent to 25percent) are actually reinvested into the system to continually refine and update every part

• A well-developed marketing and advertising plan

• Costs of qualifying candidates, administration and legal expenses

• Assistance with selecting and building a successful site location and help with buildout, if needed

• Discounts on purchasing initial and on-going supplies and equipment

• On-going trend research and additional revenue streams

• New vendors and digital platform

of the business and can include updating training, operating systems, support systems, market analysis to stay on the cutting edge, new technology, advertising methods and additional training. These investments all that ultimately benefit YOU as a franchisee and cost money to provide. The royalties are reinvested into the system to benefit YOU.

So now I ask you, How much time and money would you have to invest to create and keep current, all these systems and benefits to have a successful business of your own?  Maybe it is time to give franchising a try.

Susan Scotts is a multiple award winning career transition coach with The Entrepreneur’s Source® and possesses three decades of experience in helping em- power individuals to become entrepreneurs through franchise business ownership. For a complimentary consultation, she can be reached at 561-859-9110 or SScotts@EsourceCoach.com

“

Do you think it’s easy to build a successful business from scratch?

Meet David Kajganich, Million Dollar Mentor

by Elizabeth Denham

Owner, Eagle Status Performance, LLC

About David

David Kajganich began his career in franchising in 1992 when he became the first franchisee for Buffalo Wild Wings. Within the first year, he reached more than one million dollars in revenue, and for nearly three decades, he successfully ran multiple units until he sold the business in 2020. David was also involved as an area director for a quick service

sub sandwich concept as well as for a fitness franchise. Through his experiences, he honed his skills in the areas of leadership, performance coaching, influence and persuasion to help franchise owners get the most out of their managers and employees. He is currently a performance coach through his business, Eagle Status Performance, LLC.

About David’s Career

David said it took his first location about six months to become profitable. Subsequent locations were profitable much sooner because of the name recognition of the franchise and because of experience becoming better operators. One location took several years to reach profitability, however, once it did, the sales continued to climb and eventually, more than doubled over the next several years.

David appreciates that while this business took a lot of hard work and dedication, it also offered opportunities he would not have had otherwise.

“While I worked extremely hard, I was able to have more flexibility than I would have with my corporate job,” he said. “This allowed me to pursue additional interests that not only made me a better franchisee but enabled me to serve others and add value to them in different areas.”

David’s Mentorship

David believes that while operating the businesses, the real secret to his success was the training and skills he developed in the areas of leadership, performance coaching, influence and persuasion. He invested a lot of money and many years learning, understanding and developing the necessary skills to extract the highest performance from managers, employees and even athletes. He has a unique ability to help franchise owners get the most out of their managers and employees.

Retirement Funds to buy a business…

NO WAY!!.... but maybe...

by Kelly Krueger

Have you ever?

• Had a job with a retirement plan?

• Contributed to a company retirement plan?

• Changed jobs and rolled over your retirement funds into the new company’s plan?

• Purchased employee stock?

If you’ve done any of these, then you already understand the basic principles of a ROBS or Rollover as Business Startups.  The difference between a traditional retirement plan and a ROBS strategy is in the way the retirement funds are used.

With your traditional 401(k)/IRA, you are investing in your future wealth by growing your savings through contributions.  When you reach retirement age, you can tap into your funds and any pre-tax contributions will then be taxable.  And if you work for a company that offers stock, you have the option of purchasing shares.  Should you want or need to tap into your retirement funds, you may be able to, provided the company allows withdrawals (i.e., loans, in-service or hard-

ship distributions); however, the monies will be subject to taxes and possibly early withdrawal penalties that can be upwards of 40 percent of the distribution.

A ROBS strategy, on the other hand, is an investment in you and your business now. Qualified

retirement funds are rolled into a retirement plan sponsored by a newly created C-Corporation –your company.  These funds are used to purchase stock in the company, and the proceeds are then used for the business.  With this strategy, there are no loan repayments, taxes or penalties.

There are guidelines that must be followed, and the plan must show permanence, which can be achieved by contributing to the retirement plan which in turn rebuilds your wealth for the next adventure – your retirement.

Kelly Krueger is a Benetrends is the pioneer of ROBS funding, helping thousands of entrepreneurs launch their business dreams for nearly 40 years. To learn more, schedule a consultation.

Kelly Krueger is a Senior Consultant at Benetrends Financial with over a decade of franchise and business funding experience.  Benetrends has been a leader in the financial services industry for nearly 40 years, helping entrepreneurs understand their funding options and develop smart capitalization strategies. Kelly has a well-rounded, empathetic approach to assisting her clients.

Prior to her position as a Sr. Consultant, Kelly was a Financial Services Professional with Prudential; where she earned the following professional licenses: Series 6, Series 63, Life & Health.  She also worked as a Pharmaceutical Specialty Sales Professional for near 14 years for both Schering-Plough and Sanofi-Aventis. Contact Kelly at 267.328.1296 or kkrueger@benetrends.com

A ROBS strategy, on the other hand is an investment in you and your business now.

Million Dollar Mentor

Meet Ray Pillar, Million Dollar Mentor

by Elizabeth Denham

About Ray

Million Dollar Mentor Ray Pillar is President and Owner Molly Maid of Aurora-Naperville. After years in the high-tech industry, he and his wife made a shift to business ownership and invested in a Molly Maid franchise. After 18 years and several expansions, his business is one of the largest in the Molly Maid family employing 48 hard-working employ-

ees. Ray is now semi-retired from the business and enjoys traveling and being part of the Pillars of Franchising Million Dollar Mentor Program and the live stream show.

About Ray’s Career

In the early part of the 2000s, Ray found that the high-tech industry in which he had been employed all his life, was in constant change. Working

for a landline telephone equipment manufacturer at a time when the world was moving to cellular technology put the writing on the wall. At age 55, he was laid off. He decided it was too early to retire and even if he wanted to, he did not have enough money in the bank. His decision? To take his father’s advice and invest everything he had in a business. Understanding that statistically, 80 percent of all business start-ups fail, he knew the odds were better when starting in a franchise - an 80 percent chance of success! Deciding to stay away from high tech and food, Ray and his wife

invested their savings in the well-known and well-respected franchise, Molly Maid. In the first five years, they invested most of the revenue back into the company, including expanding with two other territories. At that point, the business grew as much as 25 percent some

Ray’s Mentorship

Ray started his company with the end in mind and put great managers in place. In the beginning, he worked 60 hours or more each week. Today, he works approximately six per week.

“I rarely get called because I have given authority to my staff to handle nearly everything that needs to be done,” Ray said. “The time I put into the company now, I really enjoy.”

Ray looks forward to passing along the business lessons he has learned along the way.

years. Within eight years, they reached the million-dollar level in revenue, and 18 years later, his son and daughter-in-law run the day-to-day operations.

“President Ronald Reagan said, ‘Trust but verify.’ If someone wants to start living the life of their dreams, they need to learn to work hard now and plan for that time when they can step back from their business,” he said. “I have successfully done that and can help someone onto that path. Don’t let people say, ‘You can’t do that,’ because if YOU think you can you CAN.”

How Cause Marketing

Can Increase Brand Loyalty

by Michele Rempel

The last 18 or so months have been a huge challenge to many small businesses as well as non profit organizations (understatement of the

year…). Besides looking for workers, both are often struggling to gain back the business and donors they had before the start of the pandemic. In this scenario, “cause marketing” can

result in a boost to both businesses and community organizations and cause potential customers to engage with a brand for the long-term.

What is Cause Marketing?

The term refers to a style of marketing that involves the cooperation of a for-profit business and a nonprofit organization for mutual benefit. For example, TOMS Shoes made a name for itself with their “one-for-one” campaign, where they pledged to deliver a pair of free, new shoes to a child in need for every sale they make. Closer to home, a business might organize a benefit event to raise funds for a local domestic violence shelter and also ask its customers to participate further by donating personal care items to the shelter.

Buying from a cause-minded company seems to mean more to consumers these days. According to a Cone Cause Evolution Survey, the number of consumers who say they would switch from one brand to another if the other brand were associated with a cause or charity has risen to 87 percent.

Cause Marketing in Franchising

For franchisees, cause marketing most likely must be done with the blessing of your franchisor, but your franchise can generate a great amount of goodwill and new business. Done well, cause marketing unites franchisees and their employees with their communities and conveys a positive brand image, boosting their local profile.

Of course, cause marketing is not new, and there has always been a strong partnership between small businesses and community or nonprofit organizations. However,

with all the social media channels and the ability to share information quickly and widely, a campaign can reach larger groups and even have the potential to “go viral.”

How can your business create a cause marketing campaign that benefits everyone involved?

• Choose a cause that speaks to your values and ask for buy-in from your team. The choice must be considered carefully, as small businesses can potentially lose customers if the cause is too polarizing or political, especially now!

• Decide how you want to support the cause. Do you want to have a yearly focus, such as a food drive or a large benefit event or include the cause as part of your monthly marketing campaigns and giving? If you have a small budget, your support for an organization might be to serve as a donation collection point. You might create a donation matching campaign or pledge to give away a certain amount of product or service hours.

• Develop a plan. How will you communicate your campaign through digital marketing, a video series or podcast, email or print materials, or all of the above? Will you create a hashtag? Consider how you can involve your community to communicate to a wider audience, including the beneficiary and its supporters. If your support for the organization is monetary, decide how you

will share the final or ongoing amounts collected.

• Track your results. Although this is often the toughest part of any marketing campaign, it’s helpful to establish a baseline of sales and leads, customer base size or other indicators prior to beginning.

• Be authentic. Again, choose a cause or organization that aligns with your leadership and that you can truly get behind for the long term and that will benefit and even involve your local community.

Cause-based marketing often involves more work and coordination than a well-placed Google ad, but it can increase loyalty among your customer base when they can feel good about doing business with you while benefiting others.

Michele Rempel is the founder and managing partner of Westvyne, a marketing and website design firm based in California and Illinois. For almost a decade, she and her team have been guiding their clients in what to say, how to say it, where to say it, and who to say it to in order to attract and retain customers. For more infor- mation about Westvyne, visit www.westvyne.com

Get to Know Our Mentors

by Elizabeth Denham

Why did you get into franchising?

KS: Better work-life balance while starting a family. My husband and I have a visceral commitment to our children, and this allowed me to be there with them.

JA: As an investment in a business allowing me to leave my “real” job and to create a reoccurring stream of income.

DK: I was working for a corporation at the time and to keep advancing, I would have had to relocate every couple of years. I was not willing to do that. Also, I wanted to be responsible for my own success and income. I just didn’t see myself reaching my ultimate financial and freedom goals unless I was operating my own business.

RP: After being laid off for the third time, I needed to take control of my destiny.

In every issue, we will take a Million Dollar Minute to get the perspectives of our mentors about all things franchising. This Q&A will focus on a variety of topics and get a variety of answers from Kristin Selmeczy, Jerry Akers, David Kajganich, and Ray Pillar. With their varied roles and experiences, they are the Dream Team in franchising. Let’s get to know them!

How long did it take you to reach “million-dollar” status?

KS: Too long! It took 11 years. I was more focused on quality of life for me than hard targets in my business. As my kids got older and more independent, I put my foot on the gas and focused more on my franchise territories. Everyone does it at a different pace, and that is the beauty of business ownership.

JA: Three years.

DK: In our franchise (Buffalo Wild Wings), we are pretty high volume, so we were able to reach it within our first year.

RP: I think it was about seven years. We have since more than doubled that.

What surprised you most about franchising?

KS: The strong sense of commu-

nity. Beyond the office, we spend time together.

JA: The ease of transitioning into a business in an industry you know nothing about. Buying a franchise takes all the mystery out of new businesses and gives you a great system that, if you commit to follow it and engage in your business, you will very likely find success quickly.

DK: How everyone pulls together and helps each other for the success of the brand.

RP: The help that you get, not only from the franchise but also from other owners and the business community.

Tell us something no one knows about you.

KS: I’m an open book, really. I have survived some very private struggles in the past, but I work hard to compartmentalize those

and move forward. I’d like to write a book one day.

JA: I love to cook and prepare meals for my family and friends on a regular basis.

DK: I had a total shoulder replacement last year, and I can no longer race in obstacle course mud runs. I miss it.

RP: In the fourth grade my parents were told I was retarded. In the fifth grade, they were told I was a genius.

What do you do for fun?

KS: All things kids -- baseball, hockey, theatre, PTA, boosters, golf. But for me, personally, I enjoy the sand between my toes and the sun on my shoulders at the beach… it recharges my soul!

JA: Golf, fish, spend time with my family (grandkids are the best!) and, build businesses.

DK: I love to exercise and relax at the beach and the pool.

RP: I love to travel in my class “A” RV, and I love to fix things. I love working in my business.

What is the best thing about franchising?

KS: Flexibility, camaraderie, fun! It allows you to have the lifestyle you choose.

JA: You are not alone! You own your own business but have not only the franchisor to support you but your entire franchisee family!

DK: It shortens the learning curve and saves a ton of time, expense and trial and error since all you have to do is follow the systems that the franchisor has in place.

RP: Your chances for success are much greater.

What’s your biggest pet peeve?

KS: Lack of communication

JA: Franchisees who won’t help other franchisees.

DK: Excuse making.

RP: People who label others without even knowing them.

What has franchising allowed you to do that you would not have had the opportunity to do otherwise?

KS: It has allowed me to be involved in my kids’ lives. I volunteer at school and help with their sports. I was in the first generation of latch key kids. I longed for my mom to be home when I got home, to help at school or to drop me off and pick me up. I can do that for my kids. You only get one shot with your children. I don’t want to miss a thing. I’m now getting my daughter ready for graduation, and we are getting excited about all the fun things in high school as she embarks on her own journey!

JA: I can create multi-generational income and change the trajectory of multiple generations of my family’s lives, and I can also do the same for many employees.

DK: So many things....to sum it up...the freedom to live the life that I have now.

RP: Be very successful!

Kristin Selmeczy Jerry Akers

David Kajganich Ray Pillar