When Is a Business Ready To Franchise?

There are no shortage of questions prospective franchisors should ask themselves before taking on a franchise model: Is the business profitable? Does the product or service have broad appeal? Is the business easily replicated? Is there adequate time, capital and resources to invest in a franchise model? But once each of those questions has been answered in the affirmative, how can a business owner know that they are truly ready for franchising?

Landon Eckles, the co-founder and CEO of franchise brands Clean Juice and Freecoat Non-Toxic Beauty Bar, shared his journey into franchising and the key indicators he looked at before launching his two health-based, holistic brands into franchising. 

Loyal Clean Juice Customers Fueled Demand for More Locations 

Clean Juice was the first brand Eckles opened. The company started with four corporate-owned locations before even dipping their feet into the franchising waters. However, Eckles says there was a clear demand among the brand’s client base for more locations. 

Eckles admits he didn’t know much about franchising going into the process, but he says he knew it was the right time.  

“Our guests kept coming in and saying ‘Hey, is this a franchise? or ‘Where can I open one of these?’ or ‘I would love to bring this to my community and franchise this!’ It really just came out of the demand from our guests.”

The process didn’t happen immediately, and Eckles says he took time to educate himself on franchising and how to build an effective franchise disclosure document. Once he felt he understood how to grow his brand as a franchise, he started interviewing franchisee candidates. The first Clean Juice franchise location opened in Charlotte, North Carolina in 2017. Since then, the brand has grown to more than 100 locations in 23 states, making it one of the fastest-growing franchises on the market. 

“Our franchisee marketing was very organic,” Eckles explained. “Most of our franchisees started as passionate guests. We know our guests really well. We know who comes to Clean Juice, and we found that in the beginning, a lot of our franchisees were our guests, so it actually wasn't very challenging to come up with a marketing plan and a strategy because we knew our guests really, really well.” 

Clean Juice’s Complementary Franchise: Freecoat Non-Toxic Beauty Bar 

After successfully launching the Clean Juice franchise and seeing the breadth of the health and wellness market, Eckles decided to leverage his resources to launch a complementary franchise, Freecoat Non-Toxic Beauty Bar. 

“Health and wellness isn't just about what you eat,” Eckles said. “It's about a lot of different things. It can be about beauty, it can be about fitness, it can be about so many different things that lead into health and wellness food. We knew we wanted another franchise concept — and one that was complementary to Clean Juice.”

Eckles said his wife and business partner Kat had stopped getting her nails done due to the headaches she would get from the fumes, so they began researching an opportunity for a non-toxic method.

“The non-toxic aspect in nail salons is a new concept, and once you’re in the salon and not hit with all those chemical smells, it’s an enjoyable and healthy experience,” said Eckles. “The brand positioning made a lot of sense and was very similar to what we were already doing with Clean Juice.”

The Brand Must Be Differentiated and There Must Be Demand

The Eckles say their passion for health and wellness and their desire to make the best smoothies and juices possible stoked the success of Clean Juice. The brand’s reputability led to a thriving customer base and widespread demand for franchise opportunities. That thriving franchise model in turn led to a complementary health-and-wellness model. 

There must be a differentiator, and there must be demand for this differentiator, Eckles said.

“Franchising is a specific business model that makes sense when the unit economics makes sense,” advises Eckles. “It has to have something out there that can clearly show what separates the brand from its competition. The prospective franchisee must be abel to see right away how the business is going to scale and how the corporate team is going to support them. There's a lot to consider, but If people are asking for it, the demand is there — go after it. If they're not asking for it, idon’t force it; go back to the drawing board and think a little bit more before you decide to franchise.”