The hard truth: Franchise growth depends on who you keep, not just hire

Labour is not just a line item. It's the engine behind your franchise’s ability to grow

The hard truth: Franchise growth depends on who you keep, not just hire

There is an emerging pattern in our conversations with existing and developing franchise brands. What’s puzzling is that these are brands that should be growing but can’t. Not because the concept is weak or the market isn’t there. The real struggle, in recent years, lies in holding onto staff long enough to stabilize operations and eventually expand.

I’ve spoken with franchisors across multiple industries: restaurants, retail, construction, education, and they all experience the same challenges. Those with loyal teams have nurtured those relationships for years. Others have struggled with getting new hires to remain for the past few weeks. The gap comes down to one thing: how seriously they’re treating their workforce.

The ones seeing long-term success aren’t doing anything out of the ordinary. They’re building relationships. They’re involving staff in the brand and its success. They’re paying more than minimum wage and offering benefits that actually matter. Their team sees a future with them, and that stability becomes their growth advantage.

On the other hand, newer franchisors often face a different reality. They’re trying to grow, manage costs, and juggle expansion priorities all at once. But when labour is treated as a short-term problem, it often turns into a lasting bottleneck. Brands with strong potential are hitting a wall because they didn’t plan for what scaling really requires operationally.

Let’s also acknowledge the shift that’s already happened. The workforce is not what it used to be. Loyalty isn’t assumed. People move on quickly and juggling employees and their demands is not a task for the faint of heart. If you are not offering anything meaningful, you’ll keep spending time and money just filling gaps. Hiring whoever has a heartbeat out of desperation isn’t sustainable.

Here’s my advice: when you do find competent, reliable people, make it hard for them to leave. That doesn’t always mean more money. Sometimes it’s flexibility. Sometimes it’s a clear path forward. Sometimes it’s just treating them like they’re more than replaceable.

Build a team that cheers for your growth before you consider expansion. That kind of culture doesn’t happen by accident. And if you’re serious about growing your franchise, this must be part of the strategy and not a reactive fix when things start slipping.

Growth doesn’t come from branding alone. It comes from execution. And execution comes down to your people.

ABOUT THE AUTHOR
Mila Kuzmicka
Mila Kuzmicka
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