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<a href="https://awrestaurants.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-aw-is-maintaining-momentum-despite-labor-challenges-2719000" target="_blank" rel="nofollow">A&amp;W Restaurants</a>, the 500-plus unit all-American restaurant franchise, is facing labor challenges alongside most of the restaurant industry. According to data collected in late 2021,&nbsp;<a href="https://www.businessinsider.com/restaurant-worker-shortage-continuing-through-2022-survey-2022-2?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-aw-is-maintaining-momentum-despite-labor-challenges-2719000" target="_blank" rel="nofollow">seven in 10</a> restaurant operators reported not having enough employees to support demand at their restaurants, and few expected any sort of improvement in 2022. The challenges reportedly stem from roughly two years of challenges in the industry, including&nbsp;<a href="https://www.businessinsider.com/restaurant-workers-plan-to-quit-abuse-from-customers-managers-2021-10?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-aw-is-maintaining-momentum-despite-labor-challenges-2719000" target="_blank" rel="nofollow">mistreatment</a> from leadership and customers,&nbsp;<a href="https://www.businessinsider.com/restaurant-workers-say-customers-and-tips-have-gotten-worse-2021-10?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-aw-is-maintaining-momentum-despite-labor-challenges-2719000" target="_blank" rel="nofollow">lower tips</a>, turmoil surrounding&nbsp;<a href="https://www.businessinsider.com/restaurant-vaccine-mandate-new-york-bad-reviews-screamed-at-staff-2021-8?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-aw-is-maintaining-momentum-despite-labor-challenges-2719000" target="_blank" rel="nofollow">vaccine and masking mandates</a> and a desire for higher pay and consistent schedules that can be offered in&nbsp;<a href="https://www.restaurantdive.com/news/why-arent-restaurant-workers-coming-back-heres-what-the-data-shows/606198/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-aw-is-maintaining-momentum-despite-labor-challenges-2719000" target="_blank" rel="nofollow">other roles</a>.“The pandemic exacerbated the problem,” said&nbsp;<a href="https://www.linkedin.com/in/randy-cordray-70927855/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-aw-is-maintaining-momentum-despite-labor-challenges-2719000" target="_blank" rel="nofollow">Randy Cordray</a>, A&amp;W’s Senior Director of Operations, “but the quick service restaurant industry as a whole saw some of these trends prior to the pandemic — it was becoming more and more difficult to get that team-member level staff.”As franchisors and franchisees alike look to the future of restaurant operations, A&amp;W is coming together to implement creative solutions. Hands-on field support has played a huge role in the brand’s ability to maintain its momentum despite these challenges. “Our field team goes into restaurants and talks with managers about things like staffing and menu pricing to ensure that costs are covered,” Cordray said.“The corporate team has been super flexible,” said Erica Kelly, A&amp;W owner. “Last fall we had to change our operating hours in order to give full time staff a day off, and they were very flexible in allowing us to make changes as needed.”This collaboration has allowed the brand to continue growing despite the challenges many restaurants have experienced. Q1 growth alone has placed the brand on trajectory to reach its goal of 25 new franchise agreements and 12 new openings in 2022."A&amp;W is an iconic brand that's been around for over a century, and if the first quarter of this year shows us anything, it’s that we still have plenty of growth opportunities ahead of us," said&nbsp;<a href="https://www.linkedin.com/in/john-palumbo-3373008?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-aw-is-maintaining-momentum-despite-labor-challenges-2719000" target="_blank" rel="nofollow">John Palumbo</a>, A&amp;W’s senior franchise director.While there’s no silver bullet to eliminate staffing challenges, Cordray explained that a combination of detail-oriented efforts have supported A&amp;W’s continued growth.&nbsp;“The advantage we have is that we are a high-touch organization, so our franchisees see us in the field and talk to us on a regular basis. It’s easy for us to take what’s working with one operator and share it with another — sharing has been a critical part of this entire endeavor,” he explained.The brand has worked to not only increase compensation but implement other efforts to engage employees.&nbsp;“There are little personal touches that used to be a part of the industry but had fallen out… Things like getting a gift for an employee’s birthday,” Cordray said.&nbsp;Owners have taken charge of the energy within the workplace as well.“I try to only be optimistic,” said Kelly. “Being stressed and pessimistic does nothing for my mental health or the morale of my staff, so we’re instead focusing on showing lots of appreciation for the staff right now.”&nbsp;Kelly has established an employee of the month program and coworker appreciation initiative that allows staff to submit cards recognizing the hard work of their coworkers.“I believe in a labor shortage there are two routes you can take,” she explained. “You can hire anyone who comes through the door, but that will require lots of training, and sometimes people don’t last. Or, what we have been doing is being selective with who we bring on staff. We want a staff that works cohesively and is positive and uplifting.”&nbsp;When the team is happy together and works well as a unit, the restaurant is able to deliver the dining experience that A&amp;W is known for, exceeding just burgers and floats and instead providing customers with positive memories, associations and family traditions.Ultimately, quick-service restaurants are about people through and through. Whether that is the people working the restaurant or those dining in.&nbsp;“The common denominator among fully-staffed restaurants is that they prioritize great culture within their four walls. That allows them to be successful not only in the present but in the long term,” Cordray added.&nbsp;A person-first model that prioritizes connecting with and relating to people is what builds a strong restaurant, and this is what A&amp;W works to instill in franchisees.<a href="https://www.linkedin.com/in/johnnyctaylorjr/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-aw-is-maintaining-momentum-despite-labor-challenges-2719000" target="_blank" rel="nofollow">Johnny C. Taylor Jr.</a>, president and CEO of the&nbsp;<a href="https://www.shrm.org/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-aw-is-maintaining-momentum-despite-labor-challenges-2719000" target="_blank" rel="nofollow">Society for Human Resource Management</a>, says the same. “Don’t underestimate the impact of culture,” he&nbsp;<a href="https://www.usatoday.com/story/money/columnist/2021/10/12/how-can-restaurants-attract-and-keep-good-workers-amid-labor-shortage/6094628001/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-aw-is-maintaining-momentum-despite-labor-challenges-2719000" target="_blank" rel="nofollow">wrote</a>. “Workers tend to thrive in workplace cultures that match their values and persona… Be flexible with employees, show empathy and create an inclusive environment to help employees feel engaged and valued.”As workplace culture becomes&nbsp;<a href="https://www.forbes.com/sites/carolinecastrillon/2021/12/29/why-2022-is-the-year-of-workplace-culture/?sh=6a73e2561bbb&utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-aw-is-maintaining-momentum-despite-labor-challenges-2719000" target="_blank" rel="nofollow">increasingly important</a>, A&amp;W has built a foundation of communication, respect and teamwork that will continue to drive success for both its brand as a whole and individual franchisees nationwide.The total investment necessary to begin operation, not including rent or land costs, is $871,000 to $1,469,554 for a Freestanding Restaurant; $401,000 to $1,051,088 for an Inline Restaurant; and $276,000 to $704,000 for a Captive Restaurant, including a $15,000-$30,000 franchise fee. For more information on franchising with A&amp;W, please visit&nbsp;<a href="https://franchising.awrestaurants.com/?utm_source=1851franchise.com&utm_medium=article&utm_campaign=how-aw-is-maintaining-momentum-despite-labor-challenges-2719000" target="_blank" rel="nofollow">https://franchising.awrestaurants.com/</a>.

How A&W Is Maintaining Momentum Despite Labor Challenges

1851 Franchise

As labor shortages continue to challenge restaurant owners and operators, A&W’s Restaurant Support Center  has teamed up with franchisees to combat the issue, providing additional tactics to retain  existing team members and re-evaluating recruitment strategies.

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Pet Wants

Pet Wants ATL North Celebrates Piedmont Grand Opening, Completing Final Store Conversion Following Whole Dog Market Acquisition

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The Cleaning Authority

From Manager to Multi-Unit Owner: How This Franchisee Built Stability and Success With The Cleaning Authority in Spokane, Washington

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Newk’s Eatery

Photo of Popeyes, Newk's Eatery franchisee Skip Russell

Why This Popeyes Franchisee Is Investing in Newk’s Eatery

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The Cleaning Authority Signs 17 Franchise Deals in 2025 and Sets Its Focus for 2026

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The Junkluggers

Photo of The Junkluggers franchisees Dana and Terri Jones

Husband-and-Wife Team Grow a Mission-Driven Junkluggers Franchise Focused on Local Service

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Why Skilled Trades Are Emerging as the Economy’s Most AI-Resilient Careers

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The Penny Shortage Is Creating a New Risk for QSR Franchise Systems - 1851 Franchise

The Penny Shortage Is Creating a New Risk for QSR Franchise Systems

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Large Domino’s Franchisee Files for Chapter 11 Bankruptcy

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Design with Precision Garage Door Service team members

RF Investment Partners and Burlington Capital Join Forces to Acquire Top Precision Garage Door Franchise

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Private Equity Fuels Jiffy Lube’s Next Chapter as Monomoy Strikes $1.3 Billion Deal

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Franchise Opportunity Deep Dive: A fast-casual restaurant brand serving made-from-scratch sandwiches, salads, soups and pizzas rooted in Southern hospitality.


Newk’s Eatery Franchise Costs, Fees, Profit and Data for 2026

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Amada Senior Care Franchise Costs, Fees, Profit and Data for 2026

Franchise Opportunity Deep Dive: Amada Senior Care is a non-medical home care, assisted living placement, and related senior-support services with multiple revenue streams.

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Visiting Angels Franchise Costs, Fees, Profit and Data for 2026

Franchise Opportunity Deep Dive: Visiting Angels is a senior home care franchise focused on in-home support for seniors and individuals with disabilities.

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LAST UPDATED: January 2026 FRANCHISE WEBSITE:<a href="https://www.newuwomensclinic.com/franchise-locations/">&nbsp;https://www.newuwomensclinic.com/franchise-locations/</a> 1851 NEWSROOM:&nbsp;<a href="https://www.1851franchise.com/new-u-womens-clinic">https://www.1851franchise.com/new-u-womens-clinic</a> NUMBER OF LOCATIONS: 2 REPORTED COST TO GET IN: N/A (See below) REPORTED ROI (Item 19): N/A (See below)New U Women’s Clinic &amp; Aesthetics is redefining women’s health, offering one of the first fully integrated “inside-out” women’s wellness franchise models in the country. By combining hormone therapy, medical weight loss, aesthetics, IV therapy and comprehensive women’s health into one luxury-driven, clinically grounded experience, the brand is filling a massive void in both the health care and med spa markets. For franchisees, New U provides a powerful combination of emotional purpose, strong consumer demand and a fully systematized business model.<h2>1. What Is the Brand Overview for New U Women’s Clinic &amp; Aesthetics?</h2><h3>About the Brand</h3>New U Women’s Clinic &amp; Aesthetics was founded in 2020 in Washington’s Tri-Cities region by&nbsp;<a href="https://www.newuwomensclinic.com/meet-the-team/">Dr. Rachel Fidino</a>, a two-time cancer survivor and double-board-certified APRN. After experiencing early menopause at 32, significant weight gain and a lack of clinicians willing to address hormone imbalances, she recognized an urgent gap in women’s health care.New U was built to solve that problem. Its signature “inside-out” model integrates wellness, medical care and aesthetics into one cohesive ecosystem — not as separate departments, but as essential components of whole-patient well-being. The result is a clinic that delivers luxury hospitality and evidence-based medical care in one seamless experience.Mission: To provide whole-patient, relationship-driven women’s health and wellness services that combine clinical excellence, emotional intelligence and exceptional hospitality.Vision: To transform women’s health nationwide through a scalable, values-driven model that treats the root cause of wellness needs and redefines how women experience care.<h3>Unique Selling Points (USPs)</h3><ul><li>A true “inside-out” care model integrating medical weight loss, hormone therapy, aesthetics, IV therapy and women’s health under one roof.</li><li>A boutique, hospitality-inspired patient experience (comfort menu, spa water, curated ambience).</li><li>Personalized, long-term care plans instead of transactional, one-off treatments.</li><li>Evidence-based medicine anchored by a founder with deep clinical expertise.</li><li>A clinic environment designed to be warm, luxurious and emotionally supportive.</li><li>Services and care pathways specifically designed around women’s hormonal, metabolic and aesthetic needs.</li><li>Proven patient loyalty, satisfaction and retention at the flagship location.</li></ul><h2>2. What Are the Franchise Opportunity Details?</h2><h3>Why Franchise With New U?</h3><ul><li>First-to-market franchise model in the women’s health category.</li><li>Highly systematized operations and SOPs developed over five years at the flagship clinic.</li><li>Comprehensive onboarding, training and ongoing support.</li><li>Strong consumer demand for holistic women’s wellness and medically credible aesthetic services.</li><li>Multi-revenue-center model capturing several fast-growing industries at once.</li><li>Recurring revenue potential from memberships, wellness programs and long-term care plans.</li><li>Founder-led brand with values of integrity, empathy and patient-first care.</li><li>Early adopters benefit from prime territory availability in major U.S. markets.</li></ul><h3>Available Territories</h3>New U is targeting national expansion first looking to grow out of its Washington headquarters. The brand has additional strong interest in developing Dallas-Fort Worth, Houston and Austin, Texas; Phoenix and Scottsdale, Arizona; Miami and Tampa, Florida; Denver, Colorado; Nashville, Tennessee; Charlotte, North Carolina; Salt Lake City, Utah; and Las Vegas, Nevada. To inquire about the availability of a territory, prospective franchisees can&nbsp;<a href="https://form.jotform.com/252253479064056">contact the company directly</a>.<h3>Investment Overview</h3>New U has not publicly disclosed franchise fees, initial costs, ongoing fees or performance/ROI data. Prospective franchisees interested in learning more can&nbsp;<a href="https://form.jotform.com/252253479064056">contact the company directly</a>.<h2>3. What Franchisee Support Does New U Provide?</h2><h3>Pre-Opening Support</h3>New U provides extensive hands-on support to its franchisees starting immediately after the contract is signed. This support begins with real estate guidance and assistance with site selection.Once a location is secured, the company coordinates architectural standards and clinic design to ensure brand consistency. Franchisees also receive a comprehensive pre-launch marketing strategy to roll out the brand effectively in their new market.In terms of staffing, New U offers models, hiring guides and cultural onboarding for both clinical and non-clinical roles. Finally, franchisees are given access to proprietary clinical protocols and operational playbooks to ensure the delivery of high-quality services and efficient business operations.<h3>Training Programs</h3>New U provides a multi-phase training system for owners and staff, including clinical aspects, covering protocols, wellness pathways and treatment standards to ensure high-quality patient care.In addition to clinical and operational skills, the program offers training on leadership development and emotional intelligence, as well as continuous education to integrate new services and technologies as they emerge.<h3>Operational Support</h3>New U Women’s Clinic &amp; Aesthetics franchisees are supported with guidance on marketing, including campaigns and managing the brand's presence across social media. The franchisor also assists with human resources, offering systems for efficient hiring and continuous development of the clinic's employees. Finally, franchisees receive ongoing access to brand updates, evolving best practices and direct coaching to ensure continued alignment and success within the franchise system.<h3>Technology and Tools</h3>New U offers franchisees several essential systems to support their operations. This includes access to proprietary Standard Operating Procedure (SOP) platforms and clinical protocols, ensuring consistency and high quality across all locations.The franchise also provides comprehensive technological support, such as practice management and appointment scheduling systems, as well as digital marketing support tools to help with patient acquisition.<h2>4. What Are the Franchise Requirements for New U?</h2><h3>Eligibility Criteria</h3>New U does not specify any franchisee requirements with regard to liquid assets, net worth or experience.<h3>Operational Commitments</h3>New U expects franchisees to be hands-on, especially early. The brand strongly prefers full-time owner-operator involvement during the first year to help establish the team, reinforce systems and set the tone for the patient experience. Semi-absentee ownership may be considered on a case-by-case basis once the clinic is fully staffed and running smoothly. Across every stage, franchisees are expected to uphold New U’s standards for hospitality, ethics and clinical integrity.<h3>Funding Assistance</h3>New U does not publicly promote any specific financing programs or lender partnerships for franchisees.<h2>5. What Is the Market Potential for Women’s Health, Wellness and Aesthetics?</h2><a href="https://www.grandviewresearch.com/industry-analysis/medical-spa-market">The U.S. med spa market was valued at $21 billion in 2024 and continues to grow</a>. Hormone therapy and medical weight loss markets are projected to grow significantly due to aging demographics and increased interest in personalized care. Women increasingly seek holistic care that traditional medical systems can’t provide.<h3>Competitor Analysis</h3>New U competes in both the health care and aesthetics sectors, but stands apart due to its integrated, clinically credible and hospitality-driven model.Primary competitors include:&nbsp;<a href="https://1851franchise.com/franchise-deep-dive-vio-med-spa-franchise-costs-fees-profit-and-data-2723625#stories">VIO Med Spa</a>,&nbsp;<a href="https://1851franchise.com/heights-wellness-retreat-franchise-costs-fees-profit-and-data-for-2025-2730988">Heights Wellness Retreat</a>,&nbsp;<a href="https://1851franchise.com/dermani-medspa-franchise-costs-fees-profit-and-data-for-2025-2730987#stories">dermani MEDSPA</a>,&nbsp;<a href="https://1851franchise.com/glo30-franchise-costs-fees-profit-and-data-for-2025-2730986#stories">GLO30</a>,&nbsp;<a href="https://1851franchise.com/franchise-deep-dive-skinovatio-medical-spa-franchise-costs-fees-profit-and-data-2727329">Skinovatio Medical Spa</a>,&nbsp;<a href="https://1851franchise.com/franchise-deep-dive-formah-body-sculpting-franchise-costs-fees-profit-and-data-2725342">Formah Body Sculpting</a> and&nbsp;<a href="https://1851franchise.com/franchise-deep-dive-qc-kinetix-franchise-costs-fees-profit-and-data-2725531#stories">QC Kinetix</a>.<h2>6. What Is the Application Process for New U Franchisees?</h2><h3>Steps to Ownership</h3><ol><li>Initial Inquiry:&nbsp;The candidate completes the franchise interest form to start the process.</li><li>Introductory Call: The candidate meets with the development team to review the brand overview, values and market availability.</li><li>Business Model Deep Dive:&nbsp;The candidate reviews the FDD, operating model, service offerings and financial expectations.</li><li>Founder Call:&nbsp;The candidate speaks with CEO Dr. Rachel Fidino to confirm alignment and cultural fit.</li><li>Discovery Day:&nbsp;The candidate visits the flagship clinic in Washington’s Tri-Cities region to experience the model firsthand.</li><li>Final Approval and Franchise Agreement: If both sides agree, the candidate signs the franchise agreement and secures the territory.</li><li>Onboarding and Pre-Opening:&nbsp;The new franchisee begins site selection, design, training and marketing setup; timing varies, but openings typically take 6 to 12 months depending on real estate.</li></ol>Want to learn more about franchise opportunities on 1851 Franchise? Be sure to visit our&nbsp;<a href="https://1851franchise.com/power-rankings">Power Rankings</a> to read more on brands making moves.&nbsp;Every great franchisee had help buying a franchise. Want to learn more about how 1851 helps franchisees find the right franchise opportunity? Visit&nbsp;<a href="http://www.1851growthclub.com">www.1851growthclub.com</a> and start your journey.Disclaimer: This content is for information only. You should not construe any such information or other material as legal, tax, investment, financial, or other advice. Nothing contained on this site constitutes a solicitation, recommendation, endorsement, or offer to buy or sell any franchises, securities, or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the franchise and/or securities laws of such jurisdiction.&nbsp;All content in this article is information of a general nature and does not address the detailed circumstances of any particular individual or entity. Nothing in the article constitutes professional and/or financial advice, nor does any information in the email constitute a comprehensive or complete statement of the matters discussed or the law relating thereto. You alone assume the sole responsibility of evaluating the merits and risks associated with the use of any information or other content in this article before making any decisions based on such information or other content.

image of new u women's clinic and aesthetics franchise and financial investment information

Franchise Opportunity Deep Dive: New U is a category-creating women’s health and wellness franchise integrating clinical care and preventive wellness.

New U Women’s Clinic & Aesthetics Franchise Costs, Fees, Profit and Data for 2026

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How much can franchisees make? It’s a question many prospective owners ask before investing in a franchise. While earnings tend to be driven by variables such as industry, location and general management skills, a proper understanding of the key factors driving profitability can help franchise owners develop expectations that are realistic.&nbsp;Multi-unit franchisee&nbsp;<a href="https://www.linkedin.com/in/mangesh-patel-9368569/">Mangesh Patel</a>, who’s readying the launch of six&nbsp;<a href="https://www.beefobradysfranchise.com/">Beef ‘O’ Brady’s</a> restaurant locations in the Macon, Georgia area, shares insights from his franchising experience.<h2>Understanding Franchise Income</h2>Keeping operational costs in check can have a major impact on overall earnings. Taking a proactive approach to expenses such as food and labor, as well as payroll and scheduling, can help align actual franchise income with general expectations for the business.“I just had a meeting with a couple of people, and they said, ‘You talked about a 25% profit margin, but I’m only doing 12%.’ So, I looked at the figures they sent me,” Patel said. “Their&nbsp;<a href="https://1851franchise.com/calculate-restaurant-franchise-profit-2730476">restaurant</a> food cost was running at 37%, which should be around 30%. The national average is about 32%. If I do things correctly, my average food cost needs to be at or below 30%. And payroll should run around 18%. But many people run 25 to 28%.”So,&nbsp;<a href="https://1851franchise.com/unraveling-franchise-earnings-how-much-can-you-really-make-2723935">how much can franchisees make</a>? Here are five areas to consider.<h2>Practical Tips for Prospective Franchisees</h2><ol><li>Control Costs From Day One:&nbsp;It’s important to monitor payroll, food and supply costs closely. Overstaffing and inefficiencies can quickly reduce profits.</li><li>Plan For The Opening Surge:&nbsp;Traffic within the first few months of opening is likely to be higher. It’s important to adjust staffing and inventory accordingly, and pay close attention to how those levels change as time goes on.</li><li>Invest In Training:&nbsp;Properly trained workers can help reduce waste and improve overall service, which has a direct effect on net income.</li><li>Understand Your Market:&nbsp;Each market is unique and revenue potential will vary depending upon location, demographics and competition.</li><li>Track Metrics Regularly:&nbsp;Food cost percentages, labor ratios and weekly sales data act as key indicators operations may need to be adjusted.</li></ol><h2>What Profitability Really Comes Down To</h2>Patel notes that if franchise owners manage labor and costs properly, it’s not impossible to achieve strong cash flow even in the first year, bucking some franchising trends.So,&nbsp;<a href="https://1851franchise.com/how-much-can-you-make-as-a-franchise-owner-2724761">how much can franchisees make</a>? While results tend to vary, careful planning, disciplined operations and a proactive approach to assessing initial costs are essential. But by grasping and guiding the elements that drive franchise profitability, franchise owners can maximize overall business earnings, scaling a business that’s sustainable financially over the long term.Want to learn more about franchise opportunities on 1851 Franchise? Be sure to visit our&nbsp;<a href="https://1851franchise.com/power-rankings">Power Rankings</a> to read more on brands making moves.

How much can franchisees make? This guide explains what drives franchise earnings and how to manage costs, with expert tips from multi-unit owner Mangesh Patel on maximizing your franchise income.

How Much Can Franchisees Make? A Guide for Prospective Franchise Owners

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<a href="https://hardeesfranchising.com/">Hardee’s</a>, a 65-year-old burger chain best known for its Thickburgers and breakfast biscuits, is facing a fast-moving round of closures driven by a franchise dispute rather than a bankruptcy filing.&nbsp;<a href="https://www.inc.com/ava-levinson/hardees-shutting-dozens-restaurants/91282586">Inc. recently reported that</a> 77&nbsp;<a href="https://1851franchise.com/franchise-deep-dive-hardees-franchise-costs-fees-profit-and-data-2721286">Hardee’s</a> restaurants are expected to close within two weeks as one of the brand’s largest franchisees exits the system.&nbsp;According to the report, Hardee’s is suing&nbsp;<a href="https://www.arcburger.com/">ARC Burger</a> — a franchise operator owned by&nbsp;<a href="https://www.highbluffcap.com/">High Bluff Capital Partners</a> — alleging the company fell behind on required payments and other contract obligations. Twenty-eight locations had already gone dark as of late December, with remaining sites scheduled to shutter across eight states: Alabama, Florida, Georgia, Illinois, Missouri, Montana, South Carolina and Wyoming.&nbsp;At the center of the complaint is the franchising “stack” of ongoing fees and pass-through costs that keep a system running. ARC Burger allegedly owes more than $6.5 million, including royalties, advertising fund contributions, technology and training fees, rent and taxes, and that payments stopped in December 2024. Hardee’s also argued in the lawsuit that the franchisee’s cash flow was not being used to bring accounts current.&nbsp;Hardee’s, for its part, is framing the shutdowns as a contractual enforcement issue, not a brand-wide retrenchment. “These closures are a result of ARC Burger’s failure to cure its defaults under its franchise agreements, despite solid sales,” a Hardee’s spokesperson said.&nbsp;The situation highlights a familiar franchising pressure point: unit economics. Inc. reported that Hardee’s operates more than 1,800 U.S. restaurants and that average annual sales per location are less than $1.2 million, well below averages cited for&nbsp;<a href="https://1851franchise.com/franchise-deep-dive-wendys-franchise-costs-fees-profit-and-data-2722520">Wendy’s</a> and&nbsp;<a href="https://1851franchise.com/how-much-does-it-cost-to-buy-a-mcdonalds-franchise-2724654#stories">McDonald’s</a>. Lower volumes can leave franchisees with less room to absorb higher labor, food and occupancy costs while staying current on fees.&nbsp;Hardee’s said it is working to limit fallout for workers and communities and is looking for ways to reopen closed restaurants. For franchising, the next chapter will likely involve finding replacement operators, transferring sites and rebuilding compliance — a reminder that franchise growth depends as much on franchisee solvency and execution as it does on consumer demand.Read the original article&nbsp;<a href="https://www.inc.com/ava-levinson/hardees-shutting-dozens-restaurants/91282586">here</a>.Want to learn more about how 1851 helps franchisees find the right franchise opportunity? Visit&nbsp;<a href="https://www.1851growthclub.com">www.1851growthclub.com</a> and start your journey.

Hardee's Franchise - ARC Burger Lawsuit - 1851 Franchise

The closures stem from alleged unpaid royalties and missed franchise obligations by a major operator, not a broader chainwide collapse for the Hardee’s system.

Hardee’s Lawsuit Targets Franchisee as 77 Restaurants Prepare to Shut Down

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The linear sales funnel is dying. Prospective buyers are no longer filling out a form at first glance and waiting for the phone to ring. They’re doing the majority of the heavy lifting before they even make themselves known to the franchisor. For franchisors, this means one key thing: you must know exactly where candidates spend their time. No guesswork. And you have to adjust your strategy accordingly.And, in today's buyer world, the biggest buzz term is 2026's ride or die for franchise brands – Ai.&nbsp;If you are trying to sell a franchise today, you must meet candidates where they are (four walls, Ai, website, social advertising).&nbsp;Focusing on a strong digital footprint first and then lead generation will help the brand with validation and will lay the foundation for trust before the first conversation even happens. Still, franchisors must know where to find their candidates and be confident the candidates are being sent to the right place.“We consistently see the strongest lead performance from Google Search (paid and organic), social platforms such as Facebook, Instagram and LinkedIn and our franchise development website,” said&nbsp;<a href="https://www.linkedin.com/in/erinlsnyder">Erin Snyder</a>, head of franchise development at&nbsp;<a href="https://handelsicecream.com/handels-franchise/">Handel’s Homemade Ice Cream</a>. “Because all awareness and advertising efforts ultimately funnel candidates to our development site, maintaining a highly optimized, mobile-first web presence is critical for conversion.”<h2>The "Hidden" Channels: Authentic Research via AiSEO</h2>While Google and major portals are often where a candidate might start a broad search, the deep research happens in the shadows. This is where candidates scroll, mindlessly or otherwise, simply observing rather than clicking “apply” immediately; or, ask Ai chatbots about the best franchises to buy, the blind spots, the why nots, and, of course, the whys.Right now, Ai plays a key role in this research stage. Buyers want the truth.&nbsp;For franchisors, this means your content strategy must pivot. It is no longer enough to post stock photos of happy business owners. You must document the journey, showing the behind-the-scenes reality that proves your concept has staying power.<h2>The Pivot From Print to Digital Interactivity</h2>While print media has been a channel for franchise development in the past, its static nature has made it less effective as the buyer’s journey has shifted to digital. Buyers are generally looking for channels that will allow them to click, read and continue the search immediately.“Traditional print media has largely become a thing of the past for franchise development,” Snyder said. “What has been encouraging, though, is seeing many of these publications successfully pivot to digital formats that offer greater interactivity, stronger analytics and far better linkability than print ever could.”This creates a more dynamic experience for the candidate. In addition to a digital article, franchisors can embed a “day in the life” video, for example, or hyperlink a deeper dive on costs and profits for instant validation.This shift also allows franchisors to track return on investment more effectively. Instead of guessing if an article or ad worked, digital publications allow you to see exactly who clicked through, allowing for retargeting and smarter budget allocation.<h2>The Conversion Hub: Your Mobile-First Website</h2>Once a candidate has discovered you on Google, watched your videos on TikTok and read about you in a digital publication, they finally arrive at the destination: your franchise development website.This is the bottom of the funnel, where you will win or lose a candidate. Because all other channels point here, your website cannot just be a digital brochure. It has to be a conversion engine. And crucially, it must work perfectly on a smartphone.The question can’t just be “Do we have a website?” Questions about the website should surround usability and readability. Is navigation easy on a smartphone? Does the site load quickly? Is it readable? If a prospect has to pinch-and-zoom to read your investment costs and financial performance, they will leave.An optimized, mobile-first presence is critical because it serves as the collection point; all other awareness efforts funnel potential franchisees to the site. The user experience here should validate the trust built on other channels. However, accessibility is only half the battle; the content itself must be unsparingly open. The website is the channel where you must prove your value proposition with hard data.“Across all channels, the messaging needs to be clear, concise and consistent,” Snyder said. “Candidates should be able to easily find transparent investment ranges and financial requirements, a clear value proposition, compelling franchisee success stories, key differentiators from competitors and straightforward next steps for how to inquire.”When you treat your website as a transparency engine rather than a gatekeeper, you change the dynamic of the eventual sales call. A candidate who has already consumed your financial data and success stories arrives at the inquiry stage educated and qualified. This allows the development team to skip the basic fact-finding and move straight to strategy and fit.“When a candidate submits an inquiry, the first conversation should build on what the candidate has already learned,” Snyder said “ensuring they understand the opportunity they are considering, clarifying details, personalizing the discussion to their goals and moving them into a structured education process rather than starting from scratch.”<h2>Allocating the Budget: The "Ideal Candidate" Approach</h2>While a presence across multiple channels — from search and social to digital publications — is key, understanding exactly how much to invest in each option is the next hurdle. There is no single, magical approach to budgeting; a brand selling multi-million-dollar franchises needs to develop a presence in different places than a low-cost, mobile franchise will.To spend effectively, you must deeply understand your ideal franchisee profile. Once you know who is investing, you can begin working on where to find them. For example, a high-net-worth investor might be on LinkedIn and reading digital trade journals, while a first-time investor or someone seeking an owner-operator model might be influenced by local Facebook ads.“Franchisors should start by understanding their ideal franchisee profile and then allocate budget toward the channels where those prospects spend the most time,” Snyder said. “The mix will naturally look different for a high-investment, multi-unit candidate than for a first-time owner-operator. Beyond that, it’s critical to consider overall brand awareness and invest in channels that consistently get both the brand and the franchise opportunity in front of qualified prospects. A balanced approach that supports both awareness and lead capture tends to produce the strongest results.”<h2>Key Takeaways and Next Steps:</h2>Make sure you have a content footprint that answers the top 25 questions asked about your brand in Ai and Google searchs.Review your mobile experience: Open your franchise development site on your phone. If it takes more than three seconds to load or if the "Apply" button is hard to find, fix it immediately.Embrace "lo-fi" video content: You don't need a production crew. Use a smartphone to record "day in the life" videos with your franchisees and post them to social to build authentic trust.Ensure transparency and continuity:&nbsp;Candidates need to be able to find the information they’re looking for, and the experience should be consistent between a social page and a franchise development site. Make sure your value proposition is clear across all channels.Embrace innovation, but don’t count out the classics:&nbsp;Look at the whole picture. Many candidates are exploring opportunities on supplemental platforms like social media or in the results of a Google search, but they’re still looking at the franchise development site, too. Don’t confine yourself to the “old reliable” methods, but don’t leave them behind, either.Budget by persona, not platform: Don't just "do Facebook ads." Define exactly who your buyer is, and spend your money only on the channels where that specific person consumes content.For more information on franchise growth channels, check out these related stories on 1851 Franchise:<ul><li><a href="https://1851franchise.com/how-to-use-social-media-marketing-to-promote-your-franchise-2727185#stories">How To Use Social Media Marketing To Promote Your Franchise</a></li><li><a href="https://1851franchise.com/building-a-franchise-website-that-converts-key-features-and-best-practices-2727363#stories">Building a Franchise Website That Converts: Key Features and Best Practices</a></li><li><a href="https://www.youtube.com/watch?v=vlfduHqGy7I">How to Sell Franchises | The Buyer Persona</a></li></ul>

To succeed in the shifting landscape, franchisors must understand the buyer’s journey, identify the ideal franchisee profile, and build a digital presence that meets candidates where they are.

How To Sell Franchises in 2026 — Top Channels Franchise Buyers Use Before They Inquire

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<a href="https://1851franchise.com/why-coffee-franchises-thrive-2025-2729271">The coffee landscape</a> continues to evolve rapidly, with convenience now arguably the most critical factor for consumers. With daily routines accelerating and convenience reigning supreme, the drive-thru model has cemented its status as the most sought-after route for securing that vital caffeine boost.Below is an examination of seven leading drive-thru coffee franchises projected for substantial expansion through 2026.<h3><a href="https://franchising.scooterscoffee.com/">1. Scooter’s Coffee</a></h3><ul><li>Unit Count: 849</li><li>Investment Range: $692,150 - $1,523,400</li></ul>Scooter’s is a national, drive-thru-first system with a mature playbook and heavy franchisor support. The brand publicly positions its model around speed, small footprints and kiosk/drive-thru formats, with disclosed fees and requirements for new operators.<a href="https://franchising.scooterscoffee.com/?utm_source=chatgpt.com">&nbsp;</a><h3><a href="https://www.ziggiscoffee.com/franchise/">2. Ziggi’s Coffee</a></h3><ul><li>Unit Count:&nbsp;100</li><li>Investment Range: $581,500 - $1,759,500</li></ul>Colorado-born Ziggi’s offers flexible drive-thru formats to suit various locations, including single-sided and double-sided drive-thrus, as well as a full café combined with a drive-thru.<h3><a href="https://franchise.thehumanbean.com/">3. The Human Bean</a></h3><ul><li>Unit Count:&nbsp;158</li><li>Investment Range: $562,090 - $1,290,931</li></ul>A pure drive-thru specialist with decades in the lane. Notably,&nbsp;<a href="https://1851franchise.com/franchise-deep-dive-the-human-bean-franchise-costs-fees-profit-and-data-2726955">The Human Bean</a> markets no ongoing royalty fee (operators should still review marketing and other fees in the FDD). The system highlights nationwide growth via franchised drive-thrus.<a href="https://franchise.thehumanbean.com/?utm_source=chatgpt.com">&nbsp;</a><h3><a href="https://franchising.aromajoes.com/">4. Aroma Joe’s</a></h3><ul><li>Unit Count:&nbsp;100+</li><li>Investment Range:&nbsp;$597,821 - $1,825,221</li></ul>New England-rooted and expanding, Aroma Joe’s self-describes as a “drive-thru coffee and energy drink franchise.” The brand specializes in unique flavor combinations for its drinks.<h3><a href="https://www.dunkinfranchising.com/">5. Dunkin’</a></h3><ul><li>Unit Count: 8,499</li><li>Investment Range:&nbsp;$526,900 - $1,832,500</li></ul>A legacy brand with a huge installed base of drive-thrus and a well-documented franchise process and training. For operators seeking scale and national brand power,&nbsp;<a href="https://1851franchise.com/franchise-deep-dive-dunkin-franchise-costs-fees-profit-and-data-2720835">Dunkin’</a> remains a top consideration.<a href="https://www.dunkinfranchising.com/faqs/?utm_source=chatgpt.com">&nbsp;</a><h3><a href="https://www.biggbyfranchising.com/">6. BIGGBY® COFFEE</a></h3><ul><li>Unit Count:&nbsp;440+&nbsp;</li><li>Investment Range: $296,250 - $1,011,500</li><li>1851 Franchise Newsroom:&nbsp;<a href="https://1851franchise.com/biggbycoffee">https://1851franchise.com/biggbycoffee</a></li></ul><a href="https://1851franchise.com/franchise-deep-dive-biggby-coffees-franchise-costs-fees-profit-and-data-2721631">BIGGBY®</a> is a fully franchised system (no company-run stores) with substantial growth momentum. The brand’s relatively moderate entry cost in the white-box format makes it a more accessible option, and it explicitly offers drive-thru formats (modular and site built) that align with the high-speed, convenience-first consumer trend.<h3><a href="https://corporate.thecoffeebeanandtealeaf.com/franchising">7. The Coffee Bean &amp; Tea Leaf</a></h3><ul><li>Unit Count: 1,232 globally, 130 in the U.S.</li><li>Investment Range:<ul><li>Traditional Store: $940,665 – $1,430,177</li><li>&nbsp;Kiosk Format: $551,500 – $916,059</li></ul></li></ul>A legacy premium coffee brand with more than six decades of history, The Coffee Bean &amp; Tea Leaf is actively repositioning for modern convenience-led growth. While historically associated with café formats, the system offers kiosk and non-traditional footprints that align well with drive-thru, high-traffic and limited-space environments.To continue your research, check out some of these related 1851 Franchise articles:<ul><li><a href="https://1851franchise.com/why-coffee-franchises-thrive-2025-2729271">Why Coffee Franchises Are Thriving in 2025</a></li><li><a href="https://1851franchise.com/top-10-low-cost-coffee-franchise-opportunities-of-2024-2727679">Top 10 Low-Cost Coffee Franchise Opportunities of 2024</a></li><li><a href="https://1851franchise.com/15-best-coffee-restaurant-franchises-2726869">15 Best Coffee Restaurant Franchises to Consider for 2024</a></li></ul>

For entrepreneurs looking to invest, the drive-thru coffee segment offers high-growth potential, leveraging consumer demand for quick convenience and optimized, small-footprint franchise models.

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