Owning a franchise is a smart way to diversify your portfolio and take control of your future. If you already own a franchise location, it’s time to think bigger. Learn how to scale your business and increase your franchise empire by transitioning to multi-unit franchise ownership.

The latest research reveals that at least 56% of franchises are owned by multi-unit operators. Owning multiple locations enables franchisees to ramp up profits and dominate their region. It creates additional revenue streams and allows franchisees to use economies of scale. Multi-unit franchises can share resources between locations to improve operational efficiency and strengthen brand presence in the region.

What Types of Businesses Should You Invest In?

There are a few different ways you can expand your franchise empire: 

  • Expand your brand: You can expand your business by adding more locations of the same franchise. This strategy is easier to manage because you’re already familiar with business operations, and it’s simpler to streamline operations across markets.

  • Add a complementary brand: If nearby territories aren’t available or the market is already saturated, investing in a complementary business may be a better way to grow.

    If you own a Bath Tune-Up franchise, adding Kitchen Tune-Up allows you to provide renovation services for both kitchens and bathrooms. Vertical expansion increases the number of services you can offer in a community where you’ve already built a solid reputation.

    Adding a complementary brand can provide year-round revenue. It’s a good choice for franchisees with seasonal businesses. For example, many landscaping franchisees add holiday light businesses to their portfolio to ramp up sales in the winter.
  • Pick a new industry: To mitigate risk, you can open a new franchise in a different industry. This strategy ensures you have diverse revenue streams and can build a business in your existing community.

H2: Steps to Expand Your Franchise

Once you’ve decided how to build your empire, follow these steps to successfully transition into multi-unit ownership:

Step 1: Analyze Market Potential

Start by looking at your local market. Is there enough demand in the area for an additional location?

Pay close attention to local competitors and consumer needs. Many franchisors require you to purchase an additional territory.

You’ll likely need to acquire an additional franchise territory to grow your business. Determine if a territory is available near your existing location—proximity can help streamline operations.

Step 2: Secure Financing

Create a budget for expansion costs, staffing, and marketing for the new location. If you own a brick-and-mortar franchise, you must secure real estate and hire staff in your new market.

Even if you own a mobile franchise, adding work vehicles and recruiting extra employees to serve customers may be necessary.

Explore the different funding options for your new venture, such as SBA loans or private investors. You can also reinvest profits from your original location to facilitate growth.

Step 3: Undergo Additional Training

Attend training if you’re launching a new brand to learn the ins and outs of the franchise requirements. Even if you’re opening the same brand, you’ll need to participate in additional training or network with existing multi-unit operators to learn best practices.

Step 4: Build a Strong Team

Hire experienced managers to oversee your locations so you can focus on growth. Multi-unit operators must delegate effectively while maintaining oversight to keep operations running smoothly.

Bath Tune-Up Eases Growth Hurdles

Bath Tune-up, a bathroom renovation franchise, enables you to launch a low-investment franchise with strong growth potential. Our business model is designed to operate from a home office or small showroom and is easy to scale. Focusing on appointments makes scheduling and staffing easier to manage.

A single territory starts at 41,000 households. Expanding your customer base is as easy as adding territories. The average sales for a single-unit franchise open at least one year was nearly $304,000 in 2024, and the average sales for a multi-unit owner with at least two territories was close to $603,000.* Approximately half of Bath Tune-Up’s franchisees are multi-unit operators.

A new report from Houzz reveals specialty contractors anticipate revenue growth of 12.4% this year as demand for niche services continues to grow. With the average age of homes in the U.S. rising, homeowners are turning to home renovation to improve functionality and stay up-to-date with current design trends. According to Angi, bathrooms rank high on the list of services they prioritize.

Inquire now to learn more about investing in a Bath Tune-Up franchise to pursue multi-unit franchise ownership.

*See Franchise Disclosure Document for details.

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