Insights by bill beckham
— A 27-year finance exec, franchise owner, and founder of Franchise Clarity. No fluff. Just what you need to know before you invest…
Franchise Failures Are More Common Than You Think
Franchising is often positioned as a safer way to own a business—brand recognition, a proven model, training, and support all bundled into one package. Compared to starting from scratch, it feels like the odds are in your favor.
But here’s what rarely makes it into the sales pitch: franchise failures happen more often than most people think.
The Franchisor’s Business Model: What You Should Be Evaluating (But Probably Aren’t)
When prospective franchisees evaluate opportunities, they tend to focus on the unit economics—how much revenue a location can generate, what the margins look like, and how quickly they can break even. That’s important, but it’s only half the story.
5 Due diligence mistakes that cost franchisees thousands
Franchising can look like a “safer bet” than starting from scratch. But every year, smart people still lose money because they rushed through due diligence or trusted the wrong person. This article provides an overview of five common mistakes I see over and over again — and how to avoid them.
roi math: what item 19 really tells you (and what it doesn’t)
For many prospective franchisees, Item 19 is the most scrutinized part of the Franchise Disclosure Document (FDD).
On the surface, it looks like a shortcut to understanding how much money you might make. But here’s the reality: Item 19 is a starting point — not a conclusion. And reading it at face value can lead to costly assumptions.
Why the FDD Doesn’t Tell the Whole Story
The Franchise Disclosure Document (FDD) is meant to protect buyers. It’s long. It’s legally required. It looks official.
But here’s the truth: The FDD is a starting point, not the full story.