Minorities in Franchising: Unlocking Growth, Opportunity & Economic Equity

Next year, I’ll be heading to New York University . Like a lot of people my age, I’m excited, nervous, and trying to make sense of the world I’m stepping into. It’s a world that still has serious problems, but it’s also a world where barriers that once felt permanent are finally starting to crack. Not all at once. Not evenly. But undeniably.  That matters, not just socially, but economically. Especially in business. I grew up around entrepreneurs. I’ve seen how opportunity compounds when people are allowed to participate fully. And I’ve also seen how much talent gets wasted when doors are closed for reasons that have nothing to do with ability. Inclusion, to me, isn’t a slogan or a checkbox. It’s a practical idea with real consequences. The Past Wasn’t Fair, and Pretending Otherwise Helps No One For a long time, access to education, capital, and ownership followed a narrow path. If you didn’t look a certain way, come from the right background, or know the right people, your chances were smaller before you even started. That’s not opinion. That’s history. But something important is happening right now. We’re watching those systems loosen. It’s not perfect, and it’s not finished. But the fact that more people can build businesses, raise capital, lead companies, and shape culture than ever before is not an accident. It’s the result of pressure, awareness, and a generation that’s less willing to accept “that’s just how it is” as an answer. When people talk about inclusion as if it’s controversial, I think they miss the point. Inclusion doesn’t take opportunity away. It expands the field. Business Gets Better When More People Are Allowed to Play One of the clearest places you can see this shift is in entrepreneurship. When ownership becomes accessible to people who were historically excluded, the market gets smarter. Products get better. Services improve. Companies reflect real communities instead of theoretical ones. This isn’t charity. It’s competition. Different perspectives create better decisions. Leaders who have had to navigate obstacles tend to be more resourceful, more disciplined, and more connected to real customer needs. When those people are allowed to build, everyone benefits. The idea that business excellence only comes from one background was always false. We just didn’t always have systems that proved it. Inclusion Is Showing Up in Real Ways What gives me optimism isn’t just language. It’s structure. More schools are opening doors to first-generation students. More lenders are rethinking how risk is evaluated. More franchise systems are realizing that strong operators don’t all look the same, but they do share traits like discipline, leadership, and follow-through. Technology has helped too. Access to information is more democratic than ever. You don’t need to be born into the right room to learn how businesses work. You can study, connect, test ideas, and build credibility faster than any generation before. That doesn’t mean effort is optional. It means effort finally has a fairer chance of paying off. Life Is Bigger When Barriers Are Lower This shift isn’t just about money or business titles. It changes daily life. When people feel included, they participate more. They take risks. They invest in their communities. They think long-term instead of just surviving the short-term. That creates a different kind of society. One where success isn’t rare because it’s guarded, but because it’s earned. One where people compete on ideas and execution, not access. I don’t believe inclusion makes things weaker. I think it makes them more honest. My Generation Doesn’t Want a Smaller World People my age get criticized a lot. Sometimes fairly. But one thing I see clearly among my peers is this: we don’t want a smaller world. We want a bigger one. We want systems that reward contribution. We want workplaces where competence matters more than background. We want leaders who understand that talent is everywhere, even if opportunity hasn’t always been. That doesn’t mean ignoring history. It means learning from it and doing better. Why This Moment Matters Every generation inherits a version of the world. Then it decides what to keep and what to change. Right now, we’re in a moment where inclusion isn’t just an idea. It’s becoming infrastructure. And infrastructure lasts. When barriers come down, momentum builds. When momentum builds, progress accelerates. And when progress accelerates, it becomes very hard to justify going backward. That’s what gives me confidence heading into the next chapter of my life. I don’t expect the world to be fair. But I do expect it to keep getting fairer. And that makes it a better place to live, build, and belong. Not because everyone is the same, but because more people finally get a shot to show what they can do.

By any measure, Kevin Rutland has already lived a life most people only dream about.  A standout linebacker at the University of Missouri, Rutland went on to play in the NFL for the Jacksonville Jaguars and Kansas City Chiefs. He competed at the highest level of professional sports, learning what it takes to perform under pressure and lead inside a locker room built on discipline, accountability, and teamwork. But when his football career ended, Kevin faced the same question many professional athletes eventually confront: What’s next? Today, Rutland is answering that question through franchise ownership with Fundraising University and building a business that gives back to the very communities that shaped him. A Family Business That Built the Foundation Kevin and his wife, Sydnea, are already accomplished entrepreneurs. The couple owns and operates a Chick-fil-A franchise in Houston — an achievement often compared to winning the lottery in franchising circles. Chick-fil-A receives tens of thousands of applications each year and selects only a small fraction of operators. Sydnea took the lead in running the restaurant, and together they built a thriving operation. For Kevin, the experience provided something even more valuable than financial success: confidence. “Seeing how a world-class franchise system operates from the inside gives you a whole new level of belief in yourself,” Kevin says. “It showed me that ownership was something I could really do.” With their Chick-fil-A established and thriving, Kevin was ready for a business of his own — one where he could channel his leadership skills, competitive drive, and passion for youth development. Looking for Purpose, Not Just Profit Like many former athletes, Kevin explored coaching. Working with high school and prep school players was rewarding, but he found himself craving something more entrepreneurial — something that allowed him to build an organization, lead a team, and create long-term impact. That’s when Kevin and I began reviewing franchise opportunities together. We explored home services, supplemental education, and corporate cleaning concepts. Each had merit. But when Kevin learned about Fundraising University, something clicked immediately. Fundraising University is a performance-based fundraising franchise that partners with high schools, youth sports teams, and community organizations to help them raise serious money — without relying on the outdated model of only selling candy bars, popcorn, or discount cards. Instead, Fundraising University teaches student-athletes how to communicate, ask for donations confidently, and work together as a team to reach real financial goals. The result is fundraising campaigns that routinely generate tens of thousands of dollars for programs that desperately need funding. For Kevin, the mission was personal. “I know what it costs to run a sports program,” he says. “Buses. Equipment. Field time. Travel. There are always budget shortfalls. And too often, some kids miss out because their parents can’t afford to cover the gap.” Fundraising University gives coaches real budgets to work with — allowing them to buy safer equipment, fund travel, and ensure no player is left behind because of finances. A Coach’s Franchise What truly sets Fundraising University apart is its coaching culture. This is a franchise system built by former coaches and sales leaders who believe in training, accountability, and leadership development. Franchisees don’t need to be natural salespeople. They need to care about youth development, believe in teamwork, and be willing to learn. The franchisor’s internal culture mirrors a locker room: structured, supportive, performance-driven, and relentlessly focused on helping franchisees win. Kevin is not a born salesperson — but he is a relationship builder, a motivator, and a leader. In other words, he’s exactly the type of franchise owner Fundraising University is built for. Before Kevin had even finished his formal discovery process, he had already reached out to the superintendent of his own high school district in Houston and secured a verbal commitment to help fundraise for their athletic programs. That’s how quickly this opportunity moved for him. Building a Legacy in Houston Kevin officially signed his franchise agreement in Q2 of 2025. He currently operates a single territory but already has plans to build a multi-unit operation across the Houston metro. The business model is asset-light and scalable. Franchisees build long-term relationships with athletic directors, coaches, principals, and booster clubs — becoming trusted community partners rather than transactional vendors. For Kevin, the business represents more than income. It’s about legacy. The father of two young daughters, ages eight and three, Kevin is building something they can grow up watching — an enterprise rooted in service, leadership, and community. “This is about giving kids the same opportunities I had,” he says. “Sports changed my life. If I can help open doors for other kids, that’s success to me.” A New Chapter in Entrepreneurship Fundraising University is the kind of franchise that attracts purpose-driven owners — people who want to make a living and make a difference. From the gridiron to the boardroom, from the locker room to the community, Kevin Rutland is turning competitive drive into community impact — one school, one team, and one student at a time. As his franchise advisor, I couldn’t be more excited to watch him build what will soon become one of the strongest Fundraising University platforms in the country. For Kevin Rutland, the game has changed. But the mission remains the same. Lead. Serve. Win together. About the Author Over the past 25 years Aaron Bakken has been the owner of 7 franchise businesses, 6 of his own companies, a franchise executive, franchising consultant and board member with a franchisor.

Black History Month is more than a celebration of the past—it’s a reminder of what’s possible when opportunity, determination, and access come together. It’s a time to reflect on progress made, acknowledge challenges that remain, and highlight the paths that continue to open doors for future generations. One of those paths is franchise ownership.  Across the country, more Black professionals and entrepreneurs are turning to franchising as a way to take control of their financial futures, build something lasting, and create impact beyond themselves. And for good reason. Franchising offers a unique blend of structure, support, and scalability that can accelerate success while reducing many of the risks associated with starting a business from scratch. A Proven Path to Ownership Entrepreneurship has long been a cornerstone of economic empowerment. Yet for many, access to capital, mentorship, and proven systems has historically been limited. Franchising helps bridge that gap. By investing in an established brand, aspiring business owners gain: A proven business model Training and operational guidance Ongoing support and resources Brand recognition from day one Rather than reinventing the wheel, franchise owners are able to focus on execution, leadership, and growth—key ingredients for long-term success. The Rise of Emerging Brands One of the most exciting shifts in franchising today is the growth of emerging brands. These concepts often operate in high-demand sectors such as home services, health and wellness, business services, and education. They typically require lower startup costs, offer flexible ownership models, and provide opportunities to grow alongside the brand. For many Black entrepreneurs, these emerging franchises represent more than just a business—they represent access. Access to ownership. Access to scalable income. Access to a seat at the table earlier in the growth cycle. And with that access comes influence—the ability to shape culture, hire locally, and reinvest in the community. Ownership That Extends Beyond the Bottom Line What I hear most often from clients isn’t just a desire to make money. It’s a desire to build something meaningful. Franchise ownership allows individuals to: Create jobs and mentor others Build equity instead of simply earning income Establish businesses that can be passed down Strengthen the communities they serve This is where franchising becomes more than a transaction—it becomes a legacy. The Power of Guidance and Education Success in franchising doesn’t happen by accident. It comes from understanding the model, choosing the right opportunity, and having trusted guidance along the way. Organizations like the International Franchise Association’s Diversity Institute continue to play a critical role in expanding awareness and access. At the same time, experienced franchise consultants help aspiring owners navigate the process with clarity—ensuring the business fits not just financially, but personally and professionally. The goal isn’t simply to buy a franchise. The goal is to build the right business. Looking Forward As we recognize Black History Month in 2026, the momentum around entrepreneurship and ownership continues to grow. Franchising stands out as one of the most powerful tools available for turning ambition into action and vision into reality. The next generation of franchise owners will not only run successful businesses—they will create opportunity, strengthen communities, and redefine what success looks like for those who follow. And that is a story worth telling. ABOUT THE AUTHOR Dave Sullivan is a Senior Franchise Consultant with The Franchise Consulting Company. He works with executives, professionals, and first-time business owners to identify franchise opportunities aligned with their goals, financial profiles, and desired lifestyles. Contact Dave at daves@thefranchiseconsultingcompany.com .

The face of American franchising is undergoing a profound transformation. For decades, the industry offered a proven path to business ownership, yet that path was not equally accessible or representative. Today, a powerful convergence of demographic shifts, technological adoption, and a renewed focus on community-centric business is paving the way for a new era. The future of franchising is not just diverse; it is being actively shaped by minority entrepreneurs who are leveraging their unique insights to build stronger brands and forge deeper community connections.  The New Vanguard: Tech-Savvy and Community-Embedded The next generation of minority franchise owners is entering the arena with a distinct advantage. They are digital natives, adept at leveraging social media, local SEO, and digital marketing tools to build hyper-local brand awareness at a fraction of traditional advertising costs. This tech-savviness allows them to compete effectively from day one. But their real superpower is cultural competence. They inherently understand the nuanced needs, preferences, and communication styles of their communities. This isn't about generic marketing; it's about authentic connection. A franchise owner who is part of the community they serve doesn't just see a market—they see neighbors, family, and a network built on trust. The Community as Blueprint: Solving Problems, Not Just Selling Services The most successful minority franchisees of the future will excel by applying a fundamental business principle: businesses thrive by solving problems. For these entrepreneurs, the franchise model provides the system, but the community provides the blueprint. This means identifying and addressing specific, often overlooked, needs within their locale. Consider the emerging franchise categories ripe for this approach: Health & Wellness: Franchises offering tailored fitness programs, specialized nutritional guidance, or preventative healthcare services can address disparities in community health outcomes. Educational Enrichment: STEM programs, tutoring services, or language immersion schools that respect cultural contexts can fill critical gaps in local education. Senior Care: Culturally sensitive in-home care services for aging populations, particularly in communities with multigenerational households, represent a growing and deeply needed sector. Specialized Food & Beverage: Brands that allow for menu localization or that introduce authentic ethnic cuisines to broader audiences through a scalable model are seeing tremendous growth. The opportunity lies in taking a franchise’s core service and adapting its delivery to meet community-specific challenges. A lawn care franchise in one area might focus on pristine suburban yards, while in another, it might pivot to offer eco-friendly pest control or community garden maintenance, based on the owner's insight into local desires. The System as a Springboard, Not a Straitjacket Forward-thinking franchisors are recognizing this shift. The brands that will attract the best and brightest minority talent are those that offer flexibility within the framework. They provide robust training and operational systems while empowering franchisees to make local marketing decisions, tailor community outreach, and sometimes even adapt service offerings. This "glocal" approach—global brand strength with local relevance—is key. Franchisors are increasingly establishing dedicated diversity teams, creating mentorship programs pairing new minority owners with successful ones, and actively working with lenders who understand this demographic's potential. Building Wealth and Legacy This movement is about more than representation; it's about economic empowerment and legacy building. Franchising offers a structured path to generational wealth—an opportunity historically less accessible to minority communities. As these entrepreneurs succeed, they create jobs within their communities, reinvest locally, and become role models, inspiring the next cycle of business owners. The business they build is a sellable asset, a legacy that extends beyond a single career. The Next Decade: A More Resilient Industry The prediction for the next ten years is clear: the franchises that intentionally embrace and support diverse ownership will be more innovative, more resilient, and more profitable. They will benefit from a wider range of perspectives, deeper community roots, and the ability to tap into underserved markets. The future of franchising is a mosaic, with each piece—each franchisee—contributing their unique perspective to create a stronger, more vibrant, and more equitable whole. The brands that listen to these entrepreneurs, and the entrepreneurs who skillfully blend a proven system with community intelligence, are the ones who will define the industry's next chapter. About the Author Jewan "Jack" Tiwari is a seasoned franchise consultant and business broker in the Washington, D.C. area. He specializes in guiding entrepreneurs through acquisitions, sales, and SBA financing to build and exit successful franchise ventures. Contact Jewan “Jack” at Jack@TheFranchiseConsultingCompany.com for strategic advisory.

I absolutely love the month of February, for a few good reasons. Firstly, I was born in February, on a Wednesday afternoon February 2, 1977. (Yes, I’m a groundhog baby.) The other reason is, I as a history buff, enjoy studying Black History. (not just in February alone) I have researched biographies of Fredrick Douglas, Booker T. Washington, etc., and of the “DC Hat Lady” which we will read about in this article. Enjoy. Every so often, history reaches across generations, taps you on the shoulder, and says, Pay attention. This one matters. For me, that story is Vanilla Beane—known to many as Washington, D.C.’s beloved “Hat Lady.” Her life didn’t just impress me; it recalibrated me. In an age obsessed with overnight success and viral shortcuts, Vanilla Beane stands as a corrective lens. She reminds us that legacy is not rushed, that excellence is built stitch by stitch, and that entrepreneurship—real entrepreneurship—is less about timing the market and more about honoring the work. Born in 1919 in Wilson, North Carolina, Vanilla Beane entered a world that offered no welcome mat to Black women, let alone entrepreneurial ones. She grew up picking cotton and tobacco, educated in a one-room schoolhouse, shaped by discipline, faith, and responsibility. Opportunity did not knock politely at her door. She chased it—quietly, persistently, and without complaint. When she moved to Washington, D.C., she didn’t arrive as a business owner. She arrived as a worker. Elevator operator. Seamstress. Mail clerk. Jobs some would dismiss, but Vanilla did not. She treated each role like training camp. Watching. Learning. Filing away insight the way others file excuses. That’s the first lesson her life etched into me: entrepreneurs are students long before they are owners. While working in a building that housed a millinery supply company, she observed the craft of hat-making. Not from a classroom. From curiosity. From proximity. From respect for the trade. Eventually, she stepped into that world, learning millinery not as a hobby, but as a calling. Here’s where the story gets dangerous—in the best way possible. At 60 years old, when society quietly suggests you should start slowing down, Vanilla Beane opened her own business: Bené Millinery & Bridal Supplies . No venture capital. No glossy pitch deck. Just skill, reputation, and the courage to bet on herself. As a franchise consultant, that detail stops me every time. Sixty. Not “too late.” Not “past her prime.” Not “what if.” She was right on time. For decades, her shop became more than a storefront—it became a sanctuary. Her hats crowned women of dignity, faith, and influence. Church mothers. Community leaders. Civil rights icons. Maya Angelou. Dorothy Height. Hats that didn’t just sit on heads, but carried presence. Vanilla Beane didn’t chase scale. She chased excellence. And excellence, when honored long enough, scales itself. Her work eventually found its way into museums, stamps, halls of fame, and city proclamations. Yet she kept working—well into her 90’s and beyond. Six days a week. Hands steady. Standards high. Ego absent. That’s the second lesson she impressed upon me: success that lasts is rooted in service, not spotlight. As someone who coaches business owners and guides individuals into franchising, I see far too many people disqualify themselves before the market ever does. “I’m too old.” “I should have started earlier.” “I missed my window.” Vanilla Beane is the rebuttal. She didn’t just start late—she finished strong. Her story reminds me that business ownership is not reserved for the young, the loud, or the trendy. It belongs to the disciplined. The faithful. The prepared. The ones willing to master a craft and show up consistently, even when no one is clapping. Franchising, at its best, mirrors her path. It honors proven systems. It respects structure. It rewards those who are willing to learn before they lead. Whether you’re expanding an existing business through franchising or stepping into ownership through a franchise model, the principle is the same: there is dignity in following a proven path—and power in executing it well. Black History Month is not just about remembering names; it’s about reclaiming lessons. Vanilla Beane’s life whispers—and sometimes shouts—that it is never too late to build something meaningful!!! Never too late to own your labor. Never too late to turn skill into legacy. If her story stirred something in you—if you feel that nudge telling you there’s more ahead—I’d welcome the conversation. Whether you’re exploring franchise ownership, considering franchising your existing business, or simply seeking clarity on your next move, your journey deserves intentional guidance. Vanilla Beane built her crown one stitch at a time. Your next chapter may be waiting for the same courage. When you’re ready to talk seriously about your franchise journey, reach out. History favors those who act. LET’S GO!!! About the Author Jimmy Ray Whiteside II guides leaders, veterans, and career changers own what’s next through smart, strategic franchise choices. Empowering everyday professionals to build wealth and freedom through franchise opportunities they believe in. Contact Jimmy Ray at JimmyRay@TheFranchiseConsultingCompany.com .

Celebrating Black History Month means more than honoring the past—it’s about investing in the future of Black ownership. Too many founders chase scale without knowing what they’re actually scaling. The goal isn’t just more revenue—it’s more value.  That’s why Black Enterprise named Anago Cleaning Systems the #1 franchise opportunity for Black entrepreneurs across multiple industries. Why? Because Anago isn’t just selling cleaning services—they’re selling a path to generational wealth through a Master Franchise model that builds real equity, not just income. Most founders want freedom. Few have the systems to achieve it. Anago changes that. Started in 1989 and franchising since the early ‘90s, Anago offers a business model that flips the script: instead of buying a job, you become the CEO of a franchise system in your own city. You don’t mop floors—you scale a network. As a Master Franchise Owner , you: Sell unit franchises to individuals who operate cleaning businesses. Land commercial cleaning contracts and assign them to your unit franchisees. Collect royalties for the life of those contracts—month after month. This creates 7 revenue streams from franchise sales, royalties, insurance, advertising, equipment, and more. And with territories often covering 1–3 million in population , the earning potential is substantial. In fact, Anago's average annual sales in 2022 hit $2.739 million per territory . Why Black Entrepreneurs Are Winning With Anago Truth is, the franchise world isn’t always built for inclusion. High costs, insider networks, and limited support often block the door for Black founders. Anago flips that playbook: Lower entry point than many executive franchises. At $98,000 for a Master Franchise license, it’s accessible compared to other empire-building brands. Robust support infrastructure. From Day 1, franchisees receive 24/7 access to Anago’s corporate team, 9+ on-site visits in the first 2 years, SEO-backed lead gen, and an internal call center that handles billing for year one. No royalties for the first 6 months —meaning you keep every dollar while you ramp. The impact? Franchisees start faster, scale smarter, and keep more cash in hand to grow. It’s no wonder Black Enterprise called it the top franchise for Black entrepreneurs looking to diversify wealth streams and exit corporate dependency. From Corporate to Empire: Who’s Thriving with Anago Many Anago Master Franchisees come from high-powered roles—former SVPs at Fortune 500s, ex-presidents of multi-unit franchise brands, and tech leaders from companies like HP and Best Buy. But it’s not about titles—it’s about drive. Anago is built for: Mid-to-senior professionals ready to exit the rat race. Sales and ops-minded leaders who can recruit and mentor. Legacy builders looking to create something that outlasts them. The franchise model is executive, not operational. Owners work Monday–Friday, 9–5. No cleaning, no nights, no weekends. It’s a high-leverage model designed for builders , not just operators. The Commercial Cleaning Industry: Stable, Scalable, and Resilient Let’s talk industry. The $100 billion commercial cleaning sector is recession-resistant by design. You can’t outsource cleaning to another country. You can’t automate it with AI. You can’t run a school, hospital, or office without it. In the post-COVID era, demand for disinfection and cleanliness has exploded. Recurring contracts. Predictable cash flow. Low churn. That’s the kind of foundation most businesses dream of—and Anago delivers it at scale. A Platform for Ownership, Not Just Hustle What makes Anago powerful for Black entrepreneurs isn’t just the financial upside. It’s the structure. Anago offers: A real business , not just another side hustle. A system of mentorship —you’re mentoring other unit franchisees, helping them grow their cleaning businesses. A blueprint for wealth that can be passed on or sold. That’s impact. As one Master Franchisee shared during Discovery Day: "I didn’t just want a franchise. I wanted control. I wanted to build a system where I could uplift others—and get paid to do it." That’s the Anago model. The Bottom Line Anago isn’t just a top cleaning franchise—it’s a blueprint for Black entrepreneurial leadership. In a market where most opportunities are built for scale but not transferability, Anago stands out. It’s recurring revenue, clear systems, deep support, and wide-open markets. Most founders chase scale without knowing what they’re scaling. With Anago, you scale ownership, not just operations. You build a business worth buying—even if you never sell. Want in? Visit AnagoMasters.com or DM “EMPIRE” to get a breakdown of open territories and funding options. 👉 Want to hear directly from the source? Check out The Franchise Growth Show where I sat down with Adam Povlitz, CEO of Anago Cleaning Systems , to unpack what makes this model unstoppable: Watch now Simple? Yes. Easy? No. Worth it? Absolutely. About the Author Joe Carter is the founder of Twin Flame Group, partner at the Franchise Consulting Company, and host of The Franchise Growth Show. He helps growth-stage founders scale strategically, build transferrable value, and exit on their terms. Contact Joe at JCarter@TheFranchiseConsultingCompany.com .

When people think of Shaquille O’Neal, they often think of power: broken backboards, thunderous dunks, and an unmatched physical presence. But Shaq’s most impressive legacy, especially when viewed through the lens of Black History Month, may not be what he did on the basketball court, rather what he built after the fact.  Shaq’s story is ultimately one of ownership, discipline, and franchising at scale . Let’s dive into his impressive legacy, and how you can copy and paste the same strategy into your own life (dunks not included). Built, Not Given Raised in a military household, Shaq was taught structure, accountability, and respect early on. His stepfather, a U.S. Army sergeant, emphasized discipline over entitlement. He ultimately influences that which would later define how Shaq approached business and life. Basketball opened doors, but Shaq has been clear: the goal was never just to earn money; rather it was to learn how money works. He even embodies this in his own family life - promising his children the struggle of learning the value of a dollar and promising nothing in inheritance. That’s not just words, it’s backed up with action. From Superstar to Strategic Franchise Owner While Shaq dominated the NBA for nearly two decades, he was quietly preparing for life after basketball. Yes, he made magazine covers. Yes, he won championships. Yes, he scored massive brand deals. Yet despite all his success in the media and sports, instead of chasing flashy endorsements alone, he focused on scalable, repeatable business models that work . Franchising in particular became his vehicle of choice, and as he grew, he quickly became one of America's most successful portfolio holding franchisees. At one point, Shaq owned or held stakes in hundreds of franchise locations , including: Quick-service restaurants Fitness concepts Car washes Retail and service-based franchises Rather than betting on a single venture, Shaq leaned into diversification through franchising , favoring businesses with strong systems, recognizable brands, and everyday demand; and you can do the same. This approach allowed him to create income streams that didn’t depend on fame, athletic performance, or media cycles; just through execution - execution of proven models, scaled at large across the United States. Why Franchising Worked for Shaq Shaq has openly shared that franchising appealed to him for three reasons: Proven systems : he didn’t need to reinvent the wheel Operational leverage : strong operators could run day-to-day execution Community impact : franchises create local jobs and economic mobility For Shaq, franchising wasn’t necessarily passive—but it was scalable. He surrounded himself with experienced operators, trusted leadership teams, and brands with staying power. What separates Shaq from many former athletes is that he paired ownership with education. After leaving LSU early for the NBA, he later completed his degree, earned an MBA, and ultimately a doctorate in education. That commitment showed up in his investing philosophy. Shaq didn’t chase hype. He studied financials, unit economics, leadership teams, and long-term brand viability. In other words, he approached franchising like an operator, not a celebrity. A Blueprint for Modern Black Entrepreneurship Shaq’s franchising success represents a powerful evolution of wealth-building: Moving from income to equity From endorsement to ownership From visibility to durability Rather than relying on a single industry, Shaq built a portfolio designed to last—one rooted in systems, people, and everyday consumer demand. His restaurant portfolio includes approximately 50 locations, including Big Chicken (40 locations, his flagship brand co-founded in 2018 with 350+ more in development), nine Papa John's in Atlanta, and one Krispy Kreme. He formerly owned 155 Five Guys restaurants and 17 Auntie Anne's Pretzels locations. Why This Matters During Black History Month Shaquille O’Neal’s legacy isn’t just about basketball greatness. It’s about redefining what success looks like after the spotlight fades. His story highlights a model of entrepreneurship built on ownership over optics, scale over short-term wins, and education over impulse. Shaq didn’t just dominate a sport. He mastered franchising, and built a legacy that works even when he doesn’t. Here’s what’s cool - you can do the same. Maybe you don’t have a $10m budget, but getting started doesn’t require you to break the bank. Having an experienced franchise consultant not only will expedite your search for the perfect opportunity, but it will also eliminate the time wasted on opportunities that look flashy, but ultimately don’t fit your needs and skills. As an award winning franchise consultant, I pride myself on helping people considering business ownership finding the right franchise, efficiently and effectively. If you would like to learn more about working with me, it would be my pleasure to assist you through this exciting process. About the Author Magnus Nilsson is a US Naval officer and Award Winning Franchise Consultant, he embodies systems and processes not only for his business, but also for his life.

Inspired by the behavioral economics experiment created by Harvard Business School professor Max H. Bazerman.  Imagine this: You're in a classroom. An instructor holds up a crisp $20 bill and offers it to the highest bidder. Bidding starts at $1. But there’s a twist—both the highest and the second-highest bidders must pay their bids. Only the highest bidder gets the cash. At first, it seems easy. Someone bids $1. Another goes to $2. But soon, something strange happens. People don’t stop. Someone bids $20. Then $21. Then $22. The second-highest bidder doesn’t want to lose the $19 they’ve already bid… so they keep going, just to minimize their loss. Eventually, someone might pay $30 to win a $20 bill, just to avoid losing more. This isn’t just a classroom experiment. It’s a perfect metaphor for how many people buy a franchise. The Escalation of Commitment Trap Buying a franchise is a major life decision. It involves time, money, emotion, and often, identity. Most prospective franchisees: - Spend hours researching different industries - Interview with multiple franchisors - Attend discovery days - Hire a franchise attorney - Tell friends and family they’re starting a new venture Each of these steps—valuable on its own—builds emotional momentum. You feel like you’re moving forward. You're investing energy. You don’t want that effort to be “wasted.” Even if red flags emerge (maybe the financials look shaky, or the culture feels off), you’re tempted to continue. “I’ve already come this far,” you think. “I might as well finish it.” This is the same logic as the losing bidder in the $20 auction. Psychologists call this escalation of commitment—a cognitive bias where we continue investing in something because of what we’ve already put in, even when future gains are uncertain. Social Proof and Scarcity: The Hidden Bidders Franchise systems often market with urgency and exclusivity: - “Only two territories left in your area.” - “Another candidate is looking at the same region.” - “This brand is blowing up—we’re closing new deals every day.” You’re told that if you don’t act now, someone else will. It sounds like information—but it’s really just noise. This is the second factor in the $20 auction: other people’s actions influence yours, even when you don’t understand their motives. Why did that guy bid $17? What does he know that I don’t? Better match him… or go one higher. In franchising, the same thing happens. You see others buying in, or sense you’re “falling behind.” You don’t know if they’ve done their due diligence, or if they’re just as emotionally invested as you are. But their momentum influences yours. How Do You Avoid the Franchise Auction Trap? The lesson from the $20 auction isn’t “don’t play.” It’s don’t play emotionally. Here's how smart franchise buyers apply this wisdom: 1. Define Success—Before You Shop Before looking at a single franchise, outline your: - Financial goals - Operational preferences - Lifestyle goals - Comfort zones 2. Track Your Thinking Use a franchise comparison worksheet or advisor-led dashboard to keep track of: - What you like about each brand - What concerns you - How it stacks up against your criteria 3. Watch for Escalation Red Flags Some signs you're slipping into auction-mode: - Continuing due to sunk costs - Ignoring your gut - Rushing to beat a deadline Ask yourself: “If this were the first day I saw this brand, would I still move forward?” 4. Embrace Strategic “No’s” Saying “no” after exploration isn’t a loss—it’s clarity. 5. Get an Advisor Who Isn’t Bidding, Too Work with someone who will help you stay objective—not just push a deal. The Franchise Isn’t the Prize—Your Future Is Franchise decisions are too important to be made like bids in a classroom experiment. You’re not trying to win a brand—you’re choosing your future. Don’t bid. Build. About the Author Mike Martuza is a Senior Franchise Consultant and Partner with Franchise Consulting Company and author of The Franchise Rules: The No-Nonsense Guide to Finding a Franchise That Fits." With decades of experience in entrepreneurship, coaching, and strategic business development, Mike helps aspiring business owners find the right franchise that aligns with their goals, values, and lifestyle. Contact Mike at mikemartuza@thefranchiseconsultingcompany.com .

Black History Month is both a celebration and a call to action. It honors the achievements of Black leaders, entrepreneurs, and community builders who advanced opportunity in the face of systemic barriers—and it challenges today’s business community to widen the pathways to ownership. Franchising is one of the most powerful ownership models in America. It offers a playbook, a brand, training, vendor relationships, unit economics, and operational systems—assets that can reduce the risk of starting from scratch. Yet access to franchising, like access to many wealth-building vehicles, has not been evenly distributed. If franchising is about replicable success, then the industry must ask: who has historically been invited into that success, and what practical steps can we take now to expand the circle? This Black History Month, it is worth focusing on a simple idea with profound implications: increasing Black franchise ownership is not only the right thing to do—it is a strategic growth lever for brands and a durable investment in local economies. A legacy of entrepreneurship—and the unfinished work of equitable access Black entrepreneurship is not new; it is deeply woven into American history. From early mutual aid societies and Black-owned enterprises formed during and after Reconstruction, to the growth of business districts like Tulsa’s Greenwood (“Black Wall Street”), Black entrepreneurs have consistently built businesses as engines of independence, resilience, and community stability. But history also makes clear why “entrepreneurial spirit” is not enough on its own. Discriminatory lending, redlining, unequal access to capital markets, and fewer high-net-worth networks have had compounding effects over decades. These realities influence who can write a franchise check, secure a lease, withstand a slower ramp-up period, or qualify for traditional financing—especially in the first unit, where risk is highest and margins can be thin. The result is that many highly qualified Black operators and professionals—people with the talent to run multi-unit enterprises—are simply underrepresented among franchisees and franchisor leadership. Black History Month gives franchising an opportunity to be explicit about closing that gap, using the industry’s strongest tools: process, systems, and accountability. Why franchising is uniquely positioned to expand Black ownership Unlike many independent small businesses, a well-structured franchise system can lower key barriers: Operational know-how is built in: Training, SOPs, site selection support, and ongoing coaching can shorten the learning curve. Brand demand can accelerate revenue: A recognized brand can reduce early marketing friction and boost initial traffic. Purchasing power improves unit economics: Vendor networks and negotiated pricing can support margins. Repeatability enables multi-unit wealth building: Franchising is one of the clearest paths from single-unit ownership to multi-unit scale. In other words, franchising can be an on-ramp to ownership—when access is designed intentionally. The real challenges Black franchise candidates still face To move beyond slogans, we have to name the practical obstacles that show up in real deals: Capital stack gaps: Even strong operators can struggle to assemble the full capital stack (franchise fee, build-out, equipment, working capital, and reserves). Many deals fail not because the candidate is unqualified, but because the financing plan is fragile. Financing approval friction: Traditional lenders are conservative. If a candidate is a first-time franchisee without prior ownership history, approvals can become slower, more document-heavy, and more restrictive—sometimes resulting in smaller loan amounts or higher reserve requirements. Site selection and lease leverage: Real estate often decides the outcome of a unit. Candidates without deep broker relationships can end up with weaker locations or less favorable lease terms, which then pressures unit economics. Network access and mentorship: Many successful franchisees cite “who helped me” as much as “what I knew.” In franchising, informal networks matter—introductions to lenders, landlords, attorneys, insurance partners, and experienced operators. When those networks are uneven, outcomes can be uneven. Underwriting that does not reflect operational ability: Some screening processes overweight net worth and liquidity while underweighting operator capability, leadership experience, community market knowledge, and execution track record. None of these challenges are abstract. They show up in LOIs, credit memos, lease negotiations, and day-to-day ramp-up realities. What franchisors and franchise consultants can do now Franchise development is not only about “selling units.” It is about building a healthy, scalable network of capable operators who can win in their markets. If the industry wants more Black franchise ownership, the path is practical and measurable. 1) Build a real ownership pipeline (not a campaign) Brands should treat ownership expansion like any other growth initiative: pipeline strategy, partner strategy, KPIs, and reporting. That means: Setting clear goals for candidate flow and conversion Tracking progression through the funnel (lead → qualified → validated → awarded → opened) Identifying where candidates drop off (often financing or real estate) and fixing those leaks 2) Strengthen the capital strategy: lenders, incentives, and smarter structures Franchisors and consultants can materially improve outcomes by improving the capital plan: Develop relationships with franchise-friendly lenders and SBA partners Provide standardized financial packages that make underwriting easier (clear models, itemized CapEx, working capital assumptions) Consider structured incentives that protect unit economics (e.g., reduced initial fee paired with performance milestones, or phased development schedules that de-risk the first unit) Encourage realistic reserve requirements so new owners are not cash-starved at month three This is not about lowering standards—it is about building deals that can survive. 3) Weight “operator capability” as heavily as “balance sheet” A brand that values long-term performance should screen for: People leadership and hiring discipline Sales and service execution Operational rigor and coachability Local market understanding Resilience under pressure Financial qualifications matter, but operational excellence is what produces royalties, brand growth, and multi-unit stability. 4) Provide real estate and opening support that is truly “hands-on” The opening phase is where many candidates feel the most exposed. Strong franchisors: Help candidates avoid overpaying for rent or build-out Provide vendor introductions and GC discipline Set realistic pre-opening and ramp-up plans Coach marketing execution at the local level, not just at the national brand level If a brand wants to expand ownership inclusively, it must reduce “navigation burden” at the moments that matter most. 5) Create mentorship loops that scale The most cost-effective support is peer mentorship: Pair new franchisees with high-performing operators Build structured office hours and regional cohorts Recognize mentors and reward contributions Mentorship improves performance. It also strengthens culture and retention. The business case is clear Expanding Black franchise ownership is not charity. It is good business. Market opportunity: Black consumers are a significant and influential part of the American economy. Owners who understand their communities can build trust faster and tailor local marketing more effectively—while still operating within brand standards. Network strength: More diverse ownership often leads to stronger local partnerships and higher employee engagement, improving unit stability. Brand resilience: Franchise systems grow stronger when they attract the best operators, not just the most connected. Brands that build inclusive, performance-driven ownership pipelines are positioning themselves for durable growth. A Black History Month commitment that matters Black History Month is a moment for recognition—but also for measurable action. The franchising industry is built on the belief that opportunity can be systematized and scaled. That is precisely why it has the potential to be a leading force in expanding access to ownership. For franchisors, franchise consultants, and development teams, the challenge is straightforward: design your pipeline, capital strategy, support model, and mentorship infrastructure so that highly capable Black candidates can enter, open, and scale with the same probability of success as anyone else. When we expand ownership, we expand the franchise system’s future. And when we do it thoughtfully—through stronger deals, better support, and accountable process—we create what Black History Month ultimately calls for: progress that lasts. About the Author Ozzie Grupenmager is a franchise development and operations consultant with decades of experience supporting franchisors and franchisees across growth, unit economics, and scalable systems. He has worked extensively in franchise strategy, brand expansion, and ownership development. Contact Ozzie at ogrupenmager@thefranchiseconsultingcompany.com .