Episode Overview

Title: Before You Go Multi-Brand, Watch This! (Franchise Empire Rules)
Podcast: Unemployable with Jeff Dudan
Host: Jeff Dudan (Homefront Brands)
Guest: Mary Kennedy Thompson
Episode #: 237
Release Date: December 19, 2025

This episode digs deep into the realities, challenges, and best practices of building a franchise empire, with a special focus on the distinction between multi-unit and multi-brand ownership. Drawing from Mary Kennedy Thompson’s extensive franchise leadership experience—including at Neighborly and as a multi-unit franchisee—this practical conversation is a must-listen for anyone considering rapid expansion in the franchising world.

Key Discussion Points & Insights

1. Multi-Unit vs. Multi-Brand Franchising

• Defining the Difference:
  Mary immediately distinguishes between multi-unit and multi-brand franchising.
  • Multi-unit: “You’re a subject matter expert in that business and all what you’re doing there is learning how to be operationally excellent and put the right leadership team in place that can run the business when you’re not there.” (01:02)
  • Multi-brand: Each brand has distinct needs; leadership must be tailored to individual brand cultures and operations.
• Operational Lessons:
  Mary shares her own journey:
  • “When I had my second shop, I went to my second shop and my first shop started falling apart because I didn’t have the right team in place...” (01:22)
• Mistakes to Avoid:
  Many operators mistakenly assume success in one brand or unit can be replicated without adjustments:
  • “The biggest mistake that I see is someone will say, well, I’m really good at running this brand, therefore I should be good at running all the other brands.” (03:08)

2. Evaluating Expansion Readiness

• Market Penetration Comes First:
  Before expanding, assess:
  • Are you in the top 25% of system market penetration?
  • Is your current business as profitable as it should be?
  • “If you’re not, you’re spending money to open another location or do another business that you’re not even making the most of what you have.” (02:12)
• Leadership & Succession Planning:
  Build a team “that operates better because you’re not there.” and have a solid plan for succession and leadership, including championing each brand individually.

3. When Does Multi-Brand Work?

• Geographical Constraints as an Edge:
  Sometimes multi-brand makes sense, particularly when geographically constrained.
  • Example: Franchise owner in Canada “could go wider within those brands because he had gone deep and it made perfect sense.” (04:42)
• Shared Services Synergy:
  Efficiencies are possible—“If I’m doing this for advertising, I can do this plus this, plus this...” (05:04)
• Champion for Each Brand:
  Ensure someone “knows and loves that brand” and can teach specifics to shared service teams.

4. Selecting a Franchise Brand for Expansion

• Physical Location Considerations:
  Retail and fitness concepts require significant upfront investments and location constraints.
  • “It seems like the retail based locations lend themselves to being multi unit ... You’re stamping out another little factory, little profit factory, and you’re doing it exactly the same.” — Jeff Dudan (07:24)
• Profitability Realities:
  “I had 100% increase in my overhead, but I did not necessarily have 100% increase in my revenue...” — Mary Kennedy Thompson (08:08)
• Funding Growth:
  Success in the first few locations makes sourcing capital easier. Build relationships with regional banks and ensure you can demonstrate proven operations with solid P&Ls.
• Leadership at Every Location:
  Mary: “A leader is somebody who cares about what happens there, that has a growth mindset ... and keep them there so that the organization can grow.” (10:30)

5. Building a Scalable, Generational Business

• End Goal Clarity:
  Define what you want from your business (e.g., selling, passing to family, employee ownership) as this shapes structure and operations.
• Customer Connection is Key:
  Maintain operational excellence and retain the heart of what makes each unit successful to customers, regardless of scale.
  • “I remember one time I had a customer that came in and she said, I love coming to this store because this store is much better than the other store. ... They become connected to the people there.” (09:06)

6. Strategic Pillars for Franchise Growth

Mary shares the four cornerstones her teams follow, drawing a parallel from BNI to franchising:

1. Customer First (“Members First”)
2. Attract Top Talent
3. Simplify Processes
4. Execute Brilliantly

• “If I can do those four things and be hyper focused on those four cornerstones... it gets faster and easier. Faster and easier.” (13:10)
• Importance of consistency: Don’t allow each location to “do some things differently”—simplicity and discipline matter.
• Execution at the customer level: “Executing brilliantly means... what is the experience my customer has?” (13:54)
• Memorable analogy: “If I ran a hamburger company, I’d eat a hamburger every day. I’m so glad I don’t because it wouldn’t do well for my waistline.” (13:57)

Notable Quotes & Memorable Moments

• On Growing Beyond Your First Success:
  • “You have to succeed in the opportunity that you’re currently in to get the next opportunity to win the next opportunity.” — Jeff Dudan (12:02)
• On Leadership Consistency:
  • “Leadership matters. Every location needs a leader. And that doesn’t mean a $200,000 a year leader. A leader is somebody who cares about what happens there...” — Mary Kennedy Thompson (10:30)
• On Planning for the End Game:
  • “What is your end game? Do you want to hold it and your children are going to step in? Or is this something sometime in the future you may sell?” — Mary Kennedy Thompson (11:36)
• On Simplifying and Scaling:
  • “What happens, What I found was by the time I got to three locations, I had so many complicated processes... I allowed each store to do some things differently. I shouldn’t have, I should have had the discipline of. And we got there, but it took me a couple of years to get there. I did it the hard way.” — Mary Kennedy Thompson (13:42)

Timestamps for Key Segments

| Timestamp | Segment/Topic | |-------------|--------------------------------------------------------------| | 00:00–02:12 | Multi-unit vs. Multi-brand; early operational lessons | | 03:08–05:20 | Multi-brand leadership, championing brands, mistakes | | 05:51–08:06 | Brand selection, expansion strategy for physical locations | | 08:06–12:02 | Funding expansion, leadership depth, customer connection | | 12:02–13:57 | Strategic pillars, simplified processes, executing brilliantly|

Takeaways for Aspiring Franchise Empire Builders

• Master your current operation before seeking more.
• Multi-brand is much harder than multiplying units of the same brand.
• Only expand once you’re in the top 25% in penetration and profitability.
• Build champion leaders for each brand.
• Shared services create synergies—but only if operational nuances are honored.
• Be clear about your end game from day one.
• Never lose the operational and cultural magic that customers love—and always keep leadership at the heart of every location.
• Systematize, simplify, and execute—every time, everywhere.