Multi-Unit Franchisee Magazine Issue II, 2016 | Page 48

MULTI BRAND Like most successful people, Scott believes it’s important to give back to his community. He also is a self-taught musician who has always loved music and plays several instruments. He parlayed those two interests into founding the nonprofit “Pick Your Passion” Foundation for the Arts, which encourages underserved children to participate in the visual, culinary, and “Hard work and dedication will get you where you want to go.” performing arts. When all is said and done, Scott finds a deeper meaning to what his business is really all about. “Title Boxing Club is more than just helping people get back into an old pair of jeans or develop a six-pack,” he says. “It’s more about transforming lives by creating a healthy and sustaining lifestyle.” MANAGEMENT Business philosophy: Know as much as you can about your business, but only do what you are good at and build a team to handle the rest. Management method or style: I try to mimic Arthur Blank, owner of the Atlanta Falcons. He always had an open door policy and he really wanted to know what was going on in his players’ lives. He would ask, “How can I help you in life?” That influenced me and I try to do the same with my people. I don’t want this to just be a job for them, but a career. Greatest challenge: Probably balancing personal and business life. It’s tough. But it’s also a challenge knowing how best to grow my business, building consistency, finding solutions, and working through problems. How do others describe you? I guess it depends who you ask. What is most consistent is “genuine.” One thing I’m looking to do better: Boy, now this could make a long list. I’d like to become more efficient with my time. How close are you to operations? Very. I am in my clubs just about every day. What are the two most important things you rely on from your franchisor? I am a guy who needs that playbook. I rely heavily on the franchisor for a lot of things. If I had to choose two, it would be operating system and marketing strategy. What I need from vendors: To supply all the boxing equipment, retail, etc. How is social media affecting your business? Social media has been great. It’s definitely a huge piece when it comes to marketing. How do you hire and fire? We have a simple process in place when it comes to hiring, and the process could take anywhere from 1 week to 3 months, depending on the individual. I have only had to terminate one employee so far, and I can say it was my least favorite part of the job. How do you train and retain? The training process always begins with a series of videos that must be watched. Then we have them shadow employees, and our GM does a great job with the entire training process. To retain employees, I believe giving them an opportunity to work in a fun environment where they can grow is key. How do you deal with problem employees? We use a merit system. Fastest way into my doghouse: Having to be told something repeatedly. BOTTOM LINE Annual revenue: $200,000. 2016 goals: To double our annual revenue. Growth meter: How do you measure your growth? By three metrics: memberships, personal training, and retail sales. Vision meter: Where do you want to be in 5 years? 10 years? In 5 years, the plan is to be building out the 7th Title Boxing Club location in the Atlanta area. How is the economy in your region affecting you, your employees, your customers? This is hard for me to answer because I’ve only been operating the clubs for just over a year now. Come back in a couple of years and I’m sure I can fill you in. Are you experiencing economic growth in your market? I’m not sure how much is related to our local economy, but we have doubled our sales in just one year of operations. How do changes in the economy affect the way you do business? It’s still too early in the game for me to tell. How do you forecast for your business? By keeping a close eye on what’s working and what’s not working. For example, I saw that we needed to 46 cut back on the marketing expenses we had at one of our clubs. That helps me identify what to do going forward. Experience with private equity, local banks, national banks, other institutions? Why/why not? I have self-funded my business. What are you doing to take care of your employees? All of my employees are commission-based earners. There’s no earning cap here for them. I try to provide opportunities for them to be more than employees and to become partners in this business as we grow. How are you handling rising employee costs (payroll, minimum wage, healthcare, etc.)? Right now, all my employees are part-time. But as we grow I would like to be able to offer a 401(k) plan and other benefits. It’s important for me to take care of my employees. How do you reward/recognize top-performing employees? All of our employees are commission-based with no cap, so the harder they work the more they see. What kind of exit strategy do you have in place? That’s a good question. I’m still young and very new to franchising. But I do realize that I will need to address this at some point. For now, I’m actively involved in operating my clubs and in growing them, and that’s where my focus is. MULTI-UNIT FRANCHISEE IS S UE II, 2016 muf16-2_scott.indd 46 4/2/16 2:33 PM