Most franchise owners pour years of hard work into their business, but many don’t think about what happens when it’s time to step away. Whether it’s planned retirement or an unexpected event, having a solid succession plan in place is critical. In the recent episode of The Advisory Board Podcast, host Dave Hansen sits down with Jerry Akers, a franchise industry expert with decades of experience in multi-unit ownership, franchise scaling, and next-generation leadership. Akers, who owns 34 Great Clips locations and multiple The Joint Chiropractic clinics, has dedicated his career to helping franchisees grow their businesses and plan for a successful transition.
The discussion highlights the urgent need for exit strategies in franchising. With 60% of franchise owners currently in the baby boomer generation, the industry is facing a major shift. Without a clear plan, businesses risk operational disruptions, legal battles, and financial instability. Akers shares hard-earned lessons on how franchisees can protect their employees, retain business value, and leverage next-generation leadership to drive future success.
The Importance of Succession Planning (7:51 – 9:02)
Franchise owners often focus on daily operations and growth but overlook long-term sustainability. Without a succession plan, unexpected events can lead to operational paralysis, financial setbacks, and legal challenges. Many franchisees delay these discussions, assuming they have time, but a sudden transition<7b> can put the business at risk. Implementing structured exit strategies early ensures a seamless transition while protecting the franchise’s financial health.
Securing Employees During Transitions (11:42 – 13:48)
A sudden ownership change without a plan can leave employees feeling uncertain about their job security. This often leads to staff resignations, further disrupting operations. Having a clear transition plan prevents confusion and ensures that employees remain engaged. Franchise owners who communicate their plans early build trust and morale, allowing their teams to focus on daily operations without fear of instability.
Generational Leadership Benefits (22:54 – 24:33)
Bringing in next-generation leadership can modernize operations and drive growth. Younger leaders understand evolving customer preferences and are more adept at leveraging new technology and marketing strategies. Franchise owners who gradually transition leadership responsibilities benefit from a stronger operational structure while retaining control during the handover process.
Communication as a Growth Driver (28:05 – 29:41)
Adopting modern communication tools allows franchises to scale efficiently and maintain consistency across locations. Automated CRM systems and structured communication channels help franchisees stay connected with employees and customers, reducing mismanagement and improving overall customer experience. Franchise owners should explore technology-driven solutions to optimize their internal processes and maintain brand consistency.
Scaling for Efficiency and Growth (33:14 – 35:03)
Franchise growth doesn’t mean working ten times harder, —it requires the right strategies. Successful multi-unit ownership involves economies of scale, centralized management, and a scalable operational framework. Franchisees who invest in proper education and training from day one are more likely to expand successfully without feeling overwhelmed.
Wrap Up Thoughts
Franchise owners put years of effort into building successful businesses, but without an exit and transition strategy, that success can be short-lived. Implementing a succession plan protects the business, employees, and long-term financial stability. Investing in next-generation leadership and leveraging technology ensures that the franchise continues to thrive beyond the original owner’s tenure.
Those looking to secure their legacy and scale effectively should start planning today. For more insights, check out the full episode of The Advisory Board Podcast featuring Jerry Akers.
