The Franchise Life

Ep. 10 - Rhino 7 ”Managed Model” Investments: 4 Franchise Investments That Can Be Fully Passive (You Heard That Right!)


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Sound good to be true? That's what I initially thought, as well.

 

A "managed model" means that the corporate franchisor will manage the entire business for the franchisee, only requiring 2 hours per month of the franchisee's time once the business is up and running. Each franchisor has a corporate management team that will do everything from A to Z to get the business up and running to manage daily functions.  

 

Some highlights of the "Managed Model" structure include:

  • In addition to the traditional royalty, management fees range from an additional 4 to 5% of gross revenue
  • Hosting two 1-hour calls per month with the franchisee on details of the business, KPIs, goal setting, and Q&A
  • Recruiting, training, and management of the franchisees' staff
  • Handles bookkeeping, payroll processing, billing, and collection of fees payable to the franchisee.
  • Oversight of advertising, promotions, and marketing.
  • Real estate location and build-out for brick & mortar concepts, and more.
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    Interested to know what these four franchise brands are? Well, listen to the full podcast for a brief overview of each + more information on the "managed model" approach.

     

    If you are interested in learning more about market availability and investment levels for any of these brands, reach out to me at [email protected] or 319.440.0857.

     

    Please give us a follow on Instagram @fusionfranchising for future episodes. https://www.instagram.com/fusionfranchising/?igshid=NmNmNjAwNzg%3D

     

    And if you liked this episode, please give us a 5-star rating wherever you listen to your favorite podcasts!

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    The Franchise LifeBy Stacie Shannon

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