What was the net change in the number of franchised Management Recruiters outlets during 2023?
Management_Recruiters Franchise · 2024 FDDAnswer from 2024 FDD Document
| Outlet Type | Year | Outlets at the Start of the Year | Outlets at the End of the Year | Net Change |
|---|---|---|---|---|
| Franchised Outlets | 2021 | 265 | 246 | -19 |
| Franchised Outlets | 2022 | 246 | 203 | -43 |
| 2023 | 203 | 170 | -33 | |
| Company Owned | 2021 | 0 | 0 | 0 |
| 2022 | 0 | 0 | 0 | |
| 2023 | 0 | 0 | 0 | |
| 2021 | 265 | 246 | -19 | |
| Total | 2022 | 246 | 203 | -33 |
| 2023 | 203 | 170 | -33 |
Source: Item 20 — OUTLETS AND FRANCHISEE INFORMATION (FDD pages 58–65)
What This Means (2024 FDD)
According to Management Recruiters' 2024 Franchise Disclosure Document, the net change in the number of franchised outlets during 2023 was -33. This means that the franchise system experienced a decrease of 33 franchised locations during that year. This figure is derived from having 203 franchised outlets at the start of 2023 and 170 at the end of the year.
It is important to note that this net change reflects the overall system-wide performance and does not necessarily indicate the performance of individual franchise locations. Potential franchisees should investigate the reasons behind the net decrease in locations, such as terminations, non-renewals, or transfers, to better understand the dynamics of the Management Recruiters franchise system.
Analyzing trends in outlet changes over multiple years can provide a more comprehensive understanding of the franchise's growth and stability. In this case, Management Recruiters saw a decrease in franchised outlets in 2021, 2022 and 2023. Prospective franchisees should inquire about the factors contributing to these changes and how Management Recruiters is addressing them to support franchisee success.