Traits of Effective Multiunit Operators

The old saw is that every independent restaurateur with one unit wants two units. And every operator with two units wants three units … and so on. For many start-up operators the restaurant dream is a large multiunit concept. Even McDonald's started with a single unit.

There is nothing wrong with thinking big; however, dreams are not the same as plans. So, what do the proverbial "Big Boys" believe it takes to succeed in the world of multiunit restaurant operations? Hopefully, this article will help you assess your traits -- and desire -- to expand your business.

It's hard to single out one trait that will lead to success in the multiunit world, says Don Fox, CEO of Firehouse of America LLC, which operates the 508-unit fast-casual restaurant chain. "I think there are a number of them. At the start is very good economic business savvy. You can manage things under the roof of one restaurant using your personal view, if you will, and being hands-on, and you can run a financially viable operation through your presence. But as soon as you become multiunit -- even just going to two restaurants -- all of a sudden you need to be able to use systems and methods of measurement that are of an entirely different nature. It is fundamentally important that multiunit operators have that."

Of course, that is one of the reasons for this website -- to give operators education and information to develop those systems.

Another essential trait, Fox says, is frugality, which he says plays a major role in becoming a multiunit operator. "It's having the financial frugality, both personally and in your business, to be able to reserve and develop the capital that lets you go out and expand and get into the position of being a multiunit operator. Those financial elements are very important." At present, 30 Firehouse Sub restaurants are company-owned.

Beyond the ledger, Fox sees a great need for what he says is "the big intangible of people skills -- being able to develop a team and provide inspirational leadership. To become a multiunit operator and have optimal success you have got to get in place teams, and in particular general managers, who will have an entrepreneurial spirit themselves as to how they run those restaurants, and manage them as if they're their own."