What Are Franchise Sales Organizations?

Franchise Sales Organizations

Franchise Sales Organizations

Franchise Sales Organizations are one of the most innovative and interesting developments within the greater franchising industry.  Traditionally, franchisors would each hire their own in-house sales guy or sales team to process leads.  But, what many franchises have found is that if you hire the wrong sales guys or have turnover within your franchise development department, regardless of how great your actual franchise opportunity is, your franchise sales performance may be in jeopardy of greatly underperforming.

So, what many franchisors are now doing is saying to themselves, “I don’t really care who handles my franchise sales.  I just want to drive a lot of leads and a lot of deals, and whoever can perform the best in-house or outsourced gets the job.”

Where FSOs tend to greatly out perform in-house franchise guys is on doing the right things from a marketing perspective to drive enough leads to close more deals more often.  Let’s face it, it’s going to take somewhere between about 100-150 leads to close a franchising deal these days.  But, most franchise sales guys in-house are hesitant to ask for more funding to drive more franchise leads.  And, even when they do get approval to spend more money, they often times don’t know which keywords on Google Ads to spend more money on, what types of keywords they should be writing more content for SEO, how to drive more quality leads on Meta / Facebook / Instagram, or which portals are actually driving the highest quality leads today.

Because of this, it’s very easy for in-house sales reps to get stuck and no longer be able to increase the number of deals that they are closing each year.  And, it can sometimes be daunting to ask your CEO to drive another 200-400 leads per month, knowing how much work that will be for you to personally call that many people.  Or, you might be afraid that with more lead flow will come more sales reps who may end up taking you out of a job.

Long story short, it’s quite often a conflict of interest for an in-house sales guy to increase lead flow and sales.


Which Franchise Sales Organizations (FSOs) Are The Best?

While my opinion on this changes each year, currently my favorites are:

  1. Lead PPC – While we used to just be a franchise marketing agency, we now offer FSO services.  And, the fact that we can control both the lead generation and sales side of things gives us a leg up on just about anybody.
  2. Franchise Evolution Partners – I like these guys a lot.  They do a great job and aren’t overly expensive.
  3. Franchise Fast Lane – Franchise Fast Lane has redefined what it means to be an FSO.  They have now sold close to $1B in franchise fees, which is insane.  Sadly, unless you are already one of their FSO clients, it’s very hard to get them to work with you, and their “Carpool” service can at times be lack luster for many franchisors.
  4. Rain Tree – Rain Tree is a solid FSO.  We’ve worked with them on probably 50 accounts over the last decade, and we’re big fans of what they’re able to do.
  5. Fran Dev Co – While a smaller FSO, Fran Dev Co is making many strides and has reasonable rates.
  6. REP’M – Also a great FSO.


What Do Franchise Sales Organizations (FSOs) Do?

Franchise Sales Organizations (FSOs) play a critical role in the franchise industry, acting as the key drivers behind the growth and expansion of franchise networks. Their primary function is to guide franchisors through the intricate process of selling franchise units, ensuring that the expansion strategy aligns with the brand’s long-term goals and market potential.

FSOs begin by meticulously identifying potential franchisees who fit the franchisor’s profile of an ideal candidate. This involves analyzing various factors such as financial capability, business acumen, and alignment with the brand’s values and culture. By leveraging their extensive networks and industry expertise, FSOs are able to attract high-caliber prospects who are more likely to succeed as franchise owners.

Once prospective franchisees are identified, FSOs facilitate the entire sales process, from initial contact to closing the deal. They conduct thorough assessments and vetting procedures to ensure that each candidate meets the franchisor’s criteria. This includes background checks, financial evaluations, and interviews. The goal is to establish a solid foundation of trust and compatibility between the franchisor and franchisee, which is crucial for a successful partnership.

In addition to identifying and vetting potential franchisees, FSOs also provide essential support in marketing and lead generation. They develop and implement strategic marketing campaigns tailored to attract suitable candidates, employing a mix of digital marketing, social media, trade shows, and other promotional activities. By doing so, they help to maintain a steady pipeline of interested and qualified leads, maximizing the efficiency of the sales process.

Furthermore, FSOs often offer training and support to new franchisees. This might include comprehensive onboarding programs that cover everything from understanding the brand’s operational standards to mastering the business model and following the franchisor’s guidelines. Providing this level of support ensures that new franchisees are well-prepared to launch and operate their franchises successfully.

In conclusion, Franchise Sales Organizations are indispensable to franchisors looking to expand their reach and grow their brand. FSOs streamline the franchise sales process, ensuring that only the most qualified and compatible candidates are selected. Through their expertise in marketing, vetting, and support, they enhance the likelihood of successful franchisee-franchisor relationships, ultimately contributing to the sustainable growth of the franchise network.


Need Help?

If you would like to speak with us about potentially having us help drive quality franchise leads or become your FSO Franchise Sales Organization, please fill out our Contact Us form.

Also, here’s an article about How To Find Franchise Sales Jobs.