Skip to content

Franchising is Smart, and Entrepreneurs are Catching On

Check out this article from altoonamirror.com about why franchising is a smart business move. For one, it allows you to build your own business with the support of a proven system. Learn more:

Franchises gaining in popularity

By Walt Frank

After his family business was sold, Mike Folcarelli said he was “looking for something to do.”

So in 2014, Folcarelli opened a HoneyBaked Ham Co. and Cafe franchise in the Pleasant Valley Shopping Center.

“I thought at my age (49 at the time), this was the best way to go, instead of starting something from scratch. They have proven marketing and brand recognition,” Folcarelli said. “I looked at others (franchises), not just in the food business. I just decided on this — it just fit my lifestyle.”

Mike Burgmeier worked at the Greenwood Meadows while in high school and college.

“I have an entrepreneurial flair. I knew I always wanted my own franchise,” Burgmeier said.

Burgmeier is the franchise owner of the Chick-fil-A restaurant set to open in March at 106 Sierra Drive, the site of the former Montezuma Mexican Restaurant.

“I started to pursue this in 2013. I looked at several other types of franchises, but I wanted to be in the food retail industry. Chick-fil-A is dedicated to customer service. Their core values and my core values lined up,” Burgmeier said. “I am pleased I have the ability to bring in a franchise like Chick-fil-A, which does tremendous things for the community. It will be a nice place for people to sit down and enjoy a good product. I am excited about that.”

Between 12,000 and 15,000 new franchise businesses open every year in the United States, or between 30 and 40 per day.

There are an estimated 733,000 franchise business establishments in the U.S., meaning about 3 percent of all businesses are franchises, and franchise businesses employ about 7.6 million people directly, said John R. Reynolds, president of the Franchise Education and Research Foundation.

Reynolds said the franchising industry has averaged about 2 percent to 3 percent growth per year in the past few years.

Franchises are very popular these days.

“Franchises are popular because they provide business owners with a systematic approach to owning and operating a business that provides branding, marketing, training and support. It combines the resources of the franchisor and franchisees in the network to get a multiplier effect,” Reynolds said. “Many people buy into a franchise because they want to go into business for themselves, but not by themselves. Being part of a franchise system gives them advantages of not going it alone.”

Judy and Anthony Branda have owned the Greenwood Meadows franchise for about nine years.

“My husband had talked to the people who owned it and told them if they ever wanted to sell it, to let us know. We thought it would be a fun business to get into; when people come in for ice cream, they are happy,” Judy Branda said.

Melvin Milne has owned the Budget Blinds franchise in Altoona for nine years, and the one in State College for five years.

“I was in the construction business. I normally worked for someone else and this was a way to get started; a franchise helps you jump-start a business,” Milne said. “I’ve been in this nine years. The economy was not the greatest when I started. It was difficult at first, but the last couple of years it has been nothing but referrals and repeat business.”

David Rosen is the owner of the Griswold Home Care franchise in Hollidaysburg. He also owns two other Griswold franchises.

“I was a do-it-yourself type of person and I wanted to be more of a franchise person. I liked the idea of partnership. The company was moving in the right direction, and I felt it was a solid company,” Rosen said. “Partnerships bring some expertise and help you achieve success. For me, I really liked the mix and felt it was a good fit.”

Owning a franchise has advantages.

According to the International Franchise Association, owning a franchise allows you to go into business for yourself, but not by yourself. A franchise provides franchisees with a certain level of independence where they can operate their business. A franchise provides an established product or service that might already enjoy widespread brand-name recognition. This gives the franchisee the benefits of a pre-sold customer base that would ordinarily takes years to establish. A franchise can increase the chance of business success because it is associated with proven products and methods. Franchises also offer consumers the attraction of a certain level of quality and consistency because it is mandated by the franchise agreement.

“You have a proven product and the system is in place. You don’t have to re-invent the wheel, just follow the system and try to improve on it in your local market. It comes down to hiring the right people and training them and serving the customers,” Folcarelli said.

But there can be some disadvantages to owning  a franchise.

The franchisee is not completely independent. Franchisees are required to operate their businesses according to the procedures and restrictions set forth by the franchisor in the franchisee agreement. These restrictions usually include the products or services which can be offered, pricing and geographic territory, according to the IFA.

“You have to recognize that you don’t have the luxury to mess with branding and changes,” Rosen said.

Owning a franchise can take a lot of work.

“You do put in a lot of long hours. In this small business, you are the HR guy, the purchasing guy, the sales guy. There is a lot more responsibility than at a larger company. You wear all of the hats,” Folcarelli said.

It is important to do your research before purchasing a franchise.

“Do your homework on any franchise. There are good ones, there are bad ones, there are great ones and horror stories out there,” Milne said.

The first step is to develop a business plan.

“There are many franchise businesses to choose from. What are the types of businesses that appeal to you that also meet your personal and financial goals in your business plan? Lastly, get advice from a qualified franchise attorney before accepting any franchise offers or signing any franchise agreements,” Reynolds said.

“Check out the company as a whole, its financial situation, how long they have been in business, what kind of talent do they have. Talk to other franchise owners to see if they are willing to talk to you about the franchise. Talk to new ones and others who have been in it for three to five years to get their perspective on the franchise,” Rosen said. “I looked at four or five organizations; Griswold emerged for me. I liked its vision and mission of serving people.”

Reynolds said it is not difficult to get a franchise.

“There are franchises available for less than $100,000, and others for more than $1 million. It’s important to consider a franchise business that meets your personal and financial goals and plans,” Reynolds said.

Click here to see more from altoonamirror.com.

Ronald G. Olson

President

Ron Olson has been President and a Director of NTY Franchise Company since October 2006. Ron’s background included starting his career at Dayton’s Department Store, where he held many management positions. In 1977 he opened his own furniture store in Minnesota, which was a Drexel Heritage prototype store. In 1988 he co-founded Grow Biz International, now called Winmark. The first franchise rights that Olson purchased and started marketing was Play It Again Sports. Olson continued buying the Franchise rights for Once Upon A Child, Plato’s Closet, and Music Go Round. Today there over 1,000 Franchise locations.

Under NTY Franchise Company, the franchise rights were bought for Clothes Mentor and New Uses. In 2013 Olson bought Laptop Exchange and changed the name to Device Pitstop. In 2014 the company opened NTY Clothing Exchange and NTY Kids, now Children’s Orchard. There are currently 204 stores sold and 133 stores opened under the NTY Franchise umbrella.

Chad Olson

Chief Operations Officer

Chad Olson has been Chief Operations Officer of NTY Franchise Company since January 2007. From May 1994 to December 2006, he held various positions for Winmark Corporation (f/k/a Grow Biz International, Inc.), including Field Operations Manager for the Once Upon a Child concept from 1999 to 2002, and Regional Operations Manager for the Plato’s Closet concept from 2002 to 2006.

Sarah Primmer

Vice President of Finance & Human Resources

Sarah Primmer is the Vice President of Finance and Human Resources for NTY Franchise Company. She joined the company in January 2014. Prior to joining NTY, Sarah spent over 25 years as the controller and business manager of a local sales and marketing firm calling on Target stores.

Michael D. Smith

Vice President of Strategic Planning

Michael D. Smith has held numerous roles with NTY Franchise since 2010. He is currently the Vice President of Franchise Development and Strategic Planning. From December 2000 to July 2010, Michael held the position of Chief Executive Officer and Co-Founder of the franchise company Laptop Xchange. From June 1994 to December 2000, Michael held numerous roles within the Grow Biz International brands of Play It Again Sports and Computer Renaissance. These roles included Corporate Store Management, Field Operation Specialist, and Franchisee.

Jenny Mann

Vice President of Operations | Executive Director of IT

Jenny Mann is the Senior Vice President Clothes Mentor and Children’s Orchard. In February of 2024, Jenny took on her current role overseeing IT, Marketing and the e-commerce platforms for both brands. Prior to this, Jenny was the Director of Marketing for NTY Franchise Company since January 2013. Jenny started with the NTY Franchise Company in 2008 with Clothes Mentor and has held many roles, including; Store Manager, New Store Opener, and Regional Operations Manager. Before joining NTY Franchise Company, Jenny worked for Old Navy (Gap, Inc.) and Target in management roles.

Michelle Vaudrin

Senior Director of Operations

Michelle Vaudrin is the Senior Director of Operations for Clothes Mentor and Children’s Orchard. Prior to joining NTY Franchise Company in March 2016, she worked in leadership roles for Burlington, American Eagle and Macy’s. Michelle attended University of Wisconsin-Stout with a degree in Retail Merchandising and Business Administration. She brings extensive background in training of strategies, merchandising, customer service and multi-unit store operations to the team.

Ashley Huebner

Director of Marketing

Ashley Huebner oversees NTY Franchise Company’s marketing and advertising efforts to drive sales, build brand awareness and lead the planning on how to effectively market both brands. She leads creative initiatives for NTY Franchise Company, driving the brands’ vision in aesthetics, tone, and trends to elevate our brand position as a leader in the resale category. Ashley joined the Clothes Mentor team in March of 2015. Ashley has 8+ years of Graphic Design experience. Ashley holds a strong background in design, user experience, and a passion for creativity. She holds a BA degree in Advertising and Art.

Jessica Fix

Franchise Contract and Office Administrator

Jessica Fix is the Franchise Contracts and Office Administrator for NTY Franchise Company. She started with the company in January of 2018. Jessica works alongside the Franchise Development Team and provides office support to the headquarter office. She has 20 years in the franchise industry, previously working for Carlson Leisure Group/Travel Leaders Franchise Group in a variety of roles, such as Database Coordinator, Legal Contract Administrator, and Executive Assistant to the Franchise Sales Team.