Himalaya: Listen. Learn. Grow.
Franchisee Connect with Michael G Pullman
How to save $250,000 by working with a franchise lawyer
Mike Reagan is a franchise attorney with Warshawsky Seltzer, a boutique law firm specializing in franchising.Mike started in franchising working in his family’s Fast Signs franchise. This experience gave him a taste for franchising and inspired him to become a lawyer who specialized in the franchising model.
Mike’s time with Kahala Group started when they were only 60 units and over the next 17 years he helped the brand grow to owning 19 quick service restaurant brands with over 3200 locations! Working with the brand as they went through many acquisitions, Mike looked at 19-20 businesses for each acquisition Kahala made, meaning he has looked at literally thousands of franchise businesses and he’s been able to distill some ‘best practices’ out of all that experience.
Mike imparted two quarter of a million dollar pieces of advice into our interview today:
- “If you’re going to sign a lease, put the lease in a holding company with a personal guarantee that has an exit clause - if you exit the business you’re only liable for 6-12 months rent.”
- “If you’re signing a 10-year agreement with a franchisor, which most are, add an exit clause where if you exit the business, you pay X.”
Thank you Mike!!
More show notes are available at FranchiseeConnect.com/058
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