Growing a Franchise

What Should Franchisors Never Outsource? Franchise Business Coaches
Franchise business coaches play too direct a role in franchisee performance, accountability and brand alignment to be handed off lightly.

Growing a Franchise

Franchise business coaches play too direct a role in franchisee performance, accountability and brand alignment to be handed off lightly.

As franchise systems grow, outsourcing can start to look like an easy fix. It can ease pressure on internal teams, bring in outside expertise and help a brand move faster. But some roles are harder to hand off than they first appear.
One of the clearest examples is franchise business coaching.
Mike Greenblatt, senior vice president of business development and strategic growth at the franchise accounting firm BeanSquad, said brands need to be careful about who guides franchisees in the field.
“They should not outsource their franchise business coaches,” he said. “Some franchisors will outsource to a franchise broker group, for example, but you want to hold those FBCs as employees who truly want to see the franchise grow and the concept work.”
Franchise business coaches are often the most direct link between the franchisor and the franchisee. They help operators improve performance, work through challenges and stay aligned with what the brand expects.
In many systems, franchisees lean on their coach for more than routine check-ins. That person is often the one helping them think through problems, stay accountable and figure out how brand standards apply in the real world. When those coaches are internal, they usually have a better read on leadership priorities and a closer connection to the brand’s long-term goals.
For Greenblatt, the issue is less about whether an outside group can do the work and more about whether its priorities match the brand’s.
“There are always going to be other motives from an outsourced group,” Greenblatt said. “It may be in their best interest to promote their services, accounting services or advisory services. With an in-house franchise business coach, you want alignment from the corporate office. They need to agree that if the franchisee succeeds, you succeed.”
That kind of alignment helps keep a franchise system moving in the same direction. When the people advising franchisees are closely tied to the brand, their guidance is more likely to reflect what leadership is trying to build across the system.
Once that connection weakens, things can start to drift. Advice may vary from one operator to another. Expectations may feel less clear. Over time, that can show up in uneven performance or frustration on the franchisee side.
For brands weighing what to keep in-house, the takeaway is fairly straightforward: roles that directly shape franchisee performance and accountability are harder to hand off than they might appear.
That does not mean outsourcing is off the table. Many brands rely on outside support for bookkeeping, marketing execution, technology and other specialized work. Those functions can often be handled externally without affecting how the system operates day to day.
Franchise business coaching is different. It sits too close to the relationship between the brand and its operators. It influences how expectations are communicated, how problems are solved and how consistent the system feels from one location to the next.
Franchisors should start by identifying which roles have the greatest influence on franchisee behavior and results. Those are usually the ones worth keeping close.
It also helps to look at incentives. Even a strong outside partner may be working toward goals that do not fully match the franchisor’s priorities or the franchisee’s needs.
Franchise systems depend on alignment. Franchise business coaches play a central role in maintaining that alignment, making them one of the hardest roles to outsource without unintended consequences.
Want to learn more about how 1851 helps franchisors grow their franchises with confidence? Visit www.1851growthclub.com and see what we can do for you.
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