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MASTER FRANCHISE Imagine earning half of the franchise fees and royalties generated by all of the Subway or UPS Store locations operating within your city or state.
That is what it means to own a "Master franchise." The Master is a sub-Franchisor who shares in each dollar of revenue generated by all of the units operating within his/her territory. A rare opportunity. Master franchise opportunities are rarely advertised. And, because few Franchisors choose to offer Master franchises, the ones that become available usually sell quickly.  The best opportunities are often those with brand names that you may not recognize — at first. Have you ever thought about what it would have been like to be a "ground floor" franchisee for McDonald's? Imagine having an idea that exploded into a business with people clamoring to buy your franchise. Imagine having successful entrepreneurs with proven expertise and a time-tested business system available to share advice and help make your dreams a reality. The key is to get in early. After a franchise system matures to the point of having a recognizable brand, the opportunities become either VERY expensive or completely non-existent. How does it work? The Master takes on the responsibility of helping to develop and grow the franchise brand within an exclusive territory. The Master owns the development rights to this territory, with the initial investment tied to the territory population and number of units a specific territory can potentially accommodate. An additional investment will need to be made to open at least one franchise unit in the territory. The Master will be the majority owner of this unit, which becomes a training center and a showcase for prospective franchisees. This unit also provides the opportunity to generate a revenue stream. Returns on investment are threefold. First, when a franchise is sold in their territory, the Master receives a large percentage of the franchise fee. Second, the Master shares in the monthly royalty revenue each franchise pays the master franchisee. This monthly revenue grows as units grow. The third source of revenue is from the unit(s) the Master owns. Sounds incredible, but it's true. Some of the most recognizable names in franchising have used this method to grow their business. Listed below are a few franchises that have used Master franchising to help develop their brand.
More than likely you recognize many of these brand names today. The big question is: In 1983, would you have invested in owning a Master franchise within a new and unproven franchise system called Quizno's Subs or Mail Boxes Etc. (now The UPS Store)? Or, in 1995, would you have invested in a franchise called Curves? Today, Curves is one of the fastest growing franchise systems on the planet, opening 900 units a year and $1 Billion in annual revenue. By using this system, Franchisors are able to have representatives located throughout the USA working together to open franchise units. Without Master franchising, many companies would find it impossible to have a national development team on staff. A pathway to wealth creation. According to many experts, a Master franchise usually has two to three times the earning power of a normal franchise. While a normal franchise makes money operating units, a Master franchise generates income several ways. Listed below are key characteristics of a typical Master franchise:
Because of the high income potential, the initial investment is really quite low compared to the value that is likely to be built. |
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