Franchise Conversations with Fexingo: Buying, Running, and Scaling Franchise Businesses

Episode 32 of Franchise Conversations with Fexingo dives into a growing trend among franchisees: dynamic pricing. Lucas and Luna explore how a handful of multi-unit franchisees in quick-service and retail have started adjusting prices in real-time based on demand, local competition, and time of day. They break down a concrete case from a franchisee operating 14 Subway locations in Phoenix, who saw...

Franchisees are increasingly adopting aggressive rent-negotiation tactics borrowed from the hotel industry — percentage rent clauses, co-tenancy protections, and gap options — to protect margins as lease renewals spike in 2026. Lucas and Luna examine how a mid-sized QSR franchisee in Orlando used a 'turnover clause' to cut rent by 18 percent, and why franchisors are starting to offer lease-advisor...

In this episode of Franchise Conversations with Fexingo, Lucas and Luna explore a growing trend among franchisees: using pop-up locations as low-risk tests before committing to full-scale expansion. They dissect a specific case from a multi-unit QSR operator who launched a pop-up in a suburban food hall, spending only $40,000 to validate local demand, foot traffic, and labor availability over a 90...

Franchise marketing funds are a multi-billion-dollar pool, but in 2026 franchisees are demanding more control over how that money is spent. Lucas and Luna dig into the shift from brand-mandated TV ads to local digital experiments, the rise of franchisee-led marketing committees, and a specific case: how a 150-unit quick-service brand in the Southeast reallocated 40 percent of its national fund to...

Episode 28 of Franchise Conversations with Fexingo dives into an emerging trend: franchisees using insurance products — specifically captive insurance and finite risk programs — to build internal capital for expansion. Lucas and Luna explore how franchisees are shifting from traditional bank loans to insurance-based self-funding, citing the case of a multi-unit restaurant operator who saved over $...

Franchisees have long accepted that they must buy equipment, ingredients, and uniforms from the franchisor — often at a markup. But in 2026, a growing number of franchisees are pushing back. They're forming purchasing cooperatives, suing to open up approved-supplier lists, and in some cases building their own distribution networks. This episode drills into one concrete case: the Subway franchisee...

Lucas and Luna explore the rise of revenue-sharing agreements among franchisees as an alternative to traditional bank loans and SBA debt. They break down real examples like a multi-unit Jimmy John's operator who raised $2 million from passive investors at a flat 8% revenue share, and a franchise group that pooled capital to fund a new brand rollout. The episode covers the legal mechanics, the typi...

In 2026, franchisees across the U.S. are organizing into independent associations to demand collective bargaining rights, challenging decades of franchisor dominance. Lucas and Luna examine the landmark case of 7-Eleven franchisees in Texas who formed the National Coalition of Franchisee Associations and are pushing for a federal 'Franchisee Fairness Act.' They break down how the current system le...

In 2026, a wave of franchisees is challenging noncompete clauses in their contracts, arguing they stifle mobility and income. Lucas and Luna dissect the case of a Firehouse Subs franchisee in Florida who fought a two-year, three-mile noncompete after selling his store—and won. They explore how the FTC's 2024 rule (later blocked) shifted the conversation, why states like California and Minnesota al...

Lucas and Luna explore the rise of dual-brand franchise locations—where a single storefront houses two franchise concepts under one lease. They examine the numbers behind co-branding at companies like Yum! Brands (which runs KFC-Taco Bell combos) and Inspire Brands (which tests Dunkin'-Baskin-Robbins hybrids). Citing a 2025 Franchise Business Review survey showing 34% of multi-brand franchisees re...

Episode 22 of Franchise Conversations examines the growing backlash against mandatory mediation clauses in franchise agreements. Lucas and Luna dive into a specific case: a Midwest-based quick-service franchise facing a class-action from franchisees who claim the mediation clause was used to bury legitimate disputes. Lucas walks through the typical mediation-fee split—often 50-50 but with the fran...

Franchise lawsuits are up 40 percent year-over-year in 2026, according to the American Arbitration Association. Lucas and Luna dig into two specific cases: a fast-casual brand that sued 12 franchisees for underreporting revenue, and a fitness franchise where the franchisor was found liable for misrepresenting protected territories. They break down the three contractual clauses that trigger most di...

Lucas and Luna dive into a fast-growing franchise strategy: mobile and delivery-only units. They break down why brands like KFC and Taco Bell are experimenting with smaller footprints and ghost kitchens, and what it means for franchisees weighing lower build-out costs against thinner margins. With real numbers on unit economics and a case study of a two-year-old mobile Smoothie King location in Ch...

Episode 19 of Franchise Conversations with Fexingo. Lucas and Luna explore the emerging trend of sub-franchising, where successful franchisees themselves become mini-franchisors, licensing their operating model to other investors within the same brand. They examine the 2024 case of a Jersey Mike's operator in Florida who sub-franchised to five new units, the legal and financial mechanics involved,...

Lucas and Luna dig into a growing trend in franchising: brands buying back their most successful franchisee-owned locations. They examine why companies like Inspire Brands and Yum! Brands are spending billions to repurchase units from multi-unit operators, and what that means for new franchisees entering the system. Lucas breaks down the financial logic — how a buyback can lower a brand's effectiv...

In this episode of Franchise Conversations with Fexingo, Lucas and Luna explore a growing trend: franchisees acquiring nearby locations from other franchisees rather than opening new units. They drill into the economics of 'in-system M&A,' looking at a real case from a multi-unit Jimmy John's operator who bought three existing stores in a single market. The hosts break down the cost savings—acquis...

Lucas and Luna explore how franchise chains and multi-unit operators are increasingly using artificial intelligence to site new locations. Rather than relying on gut feel or simple traffic counts, AI models now analyze demographics, competitor density, drive-time patterns, and even satellite imagery to predict revenue within 10 percent. The hosts walk through a real example: a mid-size quick-servi...

Lucas and Luna dig into a quiet but powerful shift in franchising: the shrinking of exclusive territories. They trace the trend through two real cases — a Chick-fil-A operator who built four units inside a once-exclusive three-mile radius, and a Subway franchisee whose 2010 territory contract became worthless by 2022. The hosts explain why brands are compressing territories to boost density and sa...

This episode dives into a growing but underreported trend in franchising: franchisees choosing not to renew their agreements when the initial term expires. Lucas walks through data from the 2025 Franchise Business Economic Outlook showing that non-renewal rates have climbed to roughly 12 percent, up from 7 percent a decade ago. He focuses on one specific case — a multi-unit franchisee of a major q...

Lucas and Luna dig into a frustrating reality for franchisees: corporate-mandated initiatives that drain time, money, and morale without boosting the bottom line. Drawing on recent surveys from the International Franchise Association and a case study of a major quick-service brand's failed loyalty app rollout, they explore why franchisees are pushing back harder than ever. Lucas explains the finan...

Lucas and Luna dive into the strategy of co-branded franchise locations—two brands under one roof. They examine the economics behind Yum Brands' KFC-Taco Bell combos, the operational challenges of dual training, and why co-branding can lift revenue per square foot by 20 to 30 percent. Featuring data from a 2025 FRANdata study and a case study of a multi-unit operator in Houston who added a second...

Lucas and Luna break down the technology stack decisions that separate profitable multi-unit franchisees from struggling operators. Using the example of a 12-unit Jimmy John's franchisee in Phoenix who saved $47,000 annually by switching from a legacy POS to a cloud-native system, they explore why most franchisees over-invest in software, when to automate payroll and scheduling, and the one tool c...

In Episode 10 of Franchise Conversations, Lucas and Luna examine a surprising strategy in multi-unit franchising: clustering locations close together. They break down how Subway and Domino's used density to dominate delivery markets, why some franchisees see 30 percent higher margins in clustered vs. scattered units, and the risks of cannibalization. Using real data from a 2024 franchise performan...

In this episode of Franchise Conversations with Fexingo, Lucas and Luna explore a powerful but underused strategy in franchising: franchisees owning the real estate under their businesses. They break down the numbers behind a typical ground lease versus owning the property, using a hypothetical mid-range restaurant franchise with $1.2 million in annual revenue. Lucas explains how owning real estat...

Lucas and Luna dissect the royalty fee structure that underpins every franchise system. Using the case of a mid-size quick-service burger brand charging 6 percent of gross sales, they walk through what that percentage actually buys a franchisee — from national marketing funds to supply chain leverage to ongoing R&D. They contrast this with emerging flat-fee models and tiered royalty structures, as...