Overview

Private equity firms find franchisors to be attractive investments.  Franchisors are attractive targets because of their well-known brands, proven business methods, recurring and predictable revenue, built-in management, and limited capital needs.  PE firms will typically own a franchisor for 5 to 7 years, and then seek an exit.  Thus, they are both buyers and sellers of franchisors.

FranVestors lists private equity firms interested in franchising, as evidenced by their current or past ownership by one or more franchisors.  The PE firms are listed in alphabetical order.

The listed PE firms are likely to be seeking franchisors as additions to their portfolios, and will periodically also be selling franchisors.  Most such buying and selling by PE firms takes place with the assistance of M&A Advisors.

In some cases, franchisors will be listed in connection with more than one PE firm.  This may be because more than one PE firm owns the franchisor.  Or, it could because one PE firm owned the franchisor at a point in time prior to another PE firm owning the same franchisor.