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Private equity interest in franchise acquisitions continues to rise, but many owners still misunderstand how PE funds operate — and what that means before, during and after a sale.
Beyond preparing for the sale itself, franchise owners looking to exit must prepare for the personal, professional and financial shifts that come with the sale.
Franchise owners improve their odds of a successful sale by clearly telling a simple financial story, backing it with organized performance data and documenting repeatable systems.
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Partnering with the right private equity firm can accelerate franchise growth, unlock operational efficiencies and strengthen long-term value.
When it comes to the idea of selling a franchise, there’s more to the process than merely finding a buyer. Preparation is crucial when it comes to ensuring a smooth handoff.
Facing post-pandemic profit struggles, Denny’s is going private. The 72-year-old American diner icon was just acquired for $325 million by a group of investors and its largest franchisee.
Effective post-sale management hinges on qualifying buyers, defining the seller’s limited role, steadying teams and coordinating closely with the franchisor.
Business broker Luke Middendorf explains how to ready a franchise by proving SDE, staging a data room, starting lease assignments early and removing single points of failure.