Why Semi-Absentee Ownership is Beneficial for Both Franchisors and Franchisees

Breaking into the franchising industry isn’t for light-hearted entrepreneurs. While franchisors give local owners the support and backing of an established company, owning your own business still requires taking a risk. Not everyone can afford to quit their day job to pursue a new career that may not have a steady paycheck right off the bat. That’s why Rick Robinson, founder and president of Services4Franchising, believes that semi-absentee ownership is a beneficial option—for both franchisors and franchisees.

“Semi-absentee ownership gives entrepreneurs a chance to keep one foot in corporate America while they build their own business on the side,” said Robinson. “It also allows brands to create a network of franchisees who excel at managing other employees, ultimately allowing them to scale and expand their businesses.”

According to Robinson, retail brands are better equipped to handle semi-absentee franchisees. That’s because they’re looking for owners who are planning on opening up multiple locations that can run themselves with the help of on-site managers. Service oriented franchises, on the other hand, typically expect their franchisees to be running the day-to-day operations themselves.

The industries that are heavily marketing opportunities for semi-absentee franchisees all have some kind of store front. Clothing brands, restaurant concepts and even hair salons like 18|8 are all looking for part-time owners to develop their businesses.

“Semi-absentee franchise owners are a big part of 18|8’s strategy. Franchisees are interested in our model because of its flexibility and simplicity,” said David Hines, a consultant relations manager with Rhino7 Franchise Sales and Development. “Semi-absentee owners are ideal for the brand as a whole because they’re more financially secure while they work to get their business off the ground.”

Robinson also notes that semi-absentee owners perform well in the franchising industry because they have the ability to rely on corporate teams. When franchisors provide services like marketing and staff training, franchisees are then able to manage their local team from afar. That quality is something that’s highly valued by CycleBar, a premium indoor cycling franchise.

“Semi-absentee owners typically come into CycleBar’s franchise system with a strong set of transferrable skills that enable them to successfully execute the processes that we already have in place,” said Justin Lacava, senior brand manager at St. Gregory Development Group, LLC. “When our franchisees have freedom and flexibility, they’re able to focus all of their energy on their individual strengths instead of wasting their time worrying about marketing and other big picture things that we can do for them on the corporate level. When the right semi-absentee owner enters our system, it makes for a great partnership.”

As retail franchises continue to grow their brands across the country, Robinson predicts that semi-absentee owners will keep playing an important role in the industry. At the end of the day, they bring a level of flexibility and financial security to the table that often times can’t be found in other local owners.

“Franchisors aren’t just trying to build strong brands—they want to create a lifestyle. That’s accomplished when they work with entrepreneurs who are able to assemble a team of dedicated, hard-working employees who can keep the company moving forward,” said Robinson. “If you have to be there every day, it isn’t a successful business. It’s simply a job.”

At Services4Franchising, Robinson has successfully helped more than 800 people find their business opportunity. Robinson is happy to assist and advise anyone who is considering franchising, but may be unsure of the best path to take. He can be reached at: [email protected].