{"id":43280,"date":"2023-03-16T17:18:27","date_gmt":"2023-03-16T21:18:27","guid":{"rendered":"https:\/\/www.thefranchiseking.com\/?p=43280"},"modified":"2023-05-20T14:25:21","modified_gmt":"2023-05-20T18:25:21","slug":"franchise-earnings-claims","status":"publish","type":"post","link":"https:\/\/www.thefranchiseking.com\/franchise-earnings-claims","title":{"rendered":"Why You Need To Change How You Analyze Franchise Earnings Claims"},"content":{"rendered":"\n
\"franchise<\/figure>\n\n\n\n

It’s great when you run across six-figure franchise earnings claims<\/strong> online. Almost makes you want to buy<\/a> that franchise. Especially when it reads like this:<\/p>\n\n\n\n

1-800-Paint-It<\/strong><\/p>\n\n\n\n

Revenue: $587,335<\/strong><\/p>\n\n\n\n

EBITA—-$280,404 <\/strong> <\/p>\n\n\n\n

(Earnings before interest, taxes, and amortization<\/em>)<\/p>\n\n\n\n

In other words, franchisee earnings. <\/p>\n\n\n\n

And who wouldn’t<\/em> want to make $280k? <\/p>\n\n\n\n

Let’s Call 1-800-Paint-It To Check On Those Earnings Claims<\/h2>\n\n\n\n

Would you like the contact information for 1-800-Paint-It?<\/p>\n\n\n\n

Well you can’t have it, because I just made that name up. But here’s the thing. <\/p>\n\n\n\n

As of late, I’ve been seeing more and more of these “franchise earnings claims<\/em>” online. Why?<\/p>\n\n\n\n

Because a new breed of franchise marketers has jumped into franchising<\/em>. <\/p>\n\n\n\n

They’re aggressive, and everything they do has to do with numbers<\/a>. <\/p>\n\n\n\n

Revenue numbers. Profit numbers<\/a>.<\/p>\n\n\n\n

Numbers, numbers<\/a>, numbers. <\/p>\n\n\n\n

Numbers, schmumbers<\/em>. <\/p>\n\n\n\n

Thing is, these numbers don’t matter at all. Why is that, Joel?<\/p>\n\n\n\n

Because you’re looking at them wrong.<\/p>\n\n\n\n

Wait…aren’t they important?<\/p>\n\n\n\n

Isn’t it important to find out how much the franchisees are making<\/a>?<\/p>\n\n\n\n

Of course it is. <\/p>\n\n\n\n

Just not in the way you’re looking at them.<\/p>\n\n\n\n

Watch the video. <\/p>\n\n\n\n