Case Study: Franchise Business Scaling from 3 to 15 Locations

A quick-service restaurant franchise operator had built three profitable locations over five years. With proven unit economics and financing secured, the owner planned to open 12 new locations within 24 months. However, the financial systems that worked for three locations were completely inadequate for managing fifteen. 

The Problems Holding Back Growth 

Critical issues emerged that threatened the expansion strategy: 

• No consolidated financial view: Each location maintained separate QuickBooks files with different bookkeepers. The owner spent two days monthly manually combining spreadsheets, with often inaccurate results. 

  
  

• Zero performance visibility: The owner couldn't determine which locations were profitable, which menu items drove margins, or what practices to replicate in new locations. 

  
  

• Inconsistent accounting practices: Each bookkeeper followed different processes for categorizing expenses, recording sales, and handling inventory, making comparisons meaningless. 

  
  

• Cash flow uncertainty: Without consolidated visibility, planning expansion spending and managing working capital across multiple bank accounts was nearly impossible. 

  
  

• Investor reporting challenges: Quarterly reports required by growth financing took weeks to produce and came with accuracy disclaimers. 

  
  

With new locations opening every few months, these problems would multiply. The owner needed enterprise-level financial infrastructure immediately. 

The Solution 

The franchise owner partnered with a financial operations specialist to implement a comprehensive transformation: 

Centralized System Implementation (Months 1-2) 

• Migrated all locations to unified cloud accounting platform with location tracking 

• Created standardized chart of accounts across all units 

• Integrated POS systems to automatically feed daily sales data 

• Established single general ledger with location-specific sub-ledgers 

  
  

Process Standardization (Months 3-4)

• Developed comprehensive accounting procedures manual 

• Created weekly close checklist ensuring consistency across locations 

• Implemented centralized accounts payable with location-level expense tracking 

• Standardized inventory counting and COGS calculation methodology 

Automated Consolidation & Reporting (Months 5-6) 

• Built automated consolidation combining all location financials instantly 

• Created KPI dashboard tracking metrics by location (revenue, labor %, food cost %, margins) 

• Implemented weekly flash reports showing performance trends 

• Developed unit economics model and investor reporting package 

  
  

Expansion Playbook Development 

• Analyzed historical data to identify top-performing location characteristics 

• Created financial pro forma template based on actual performance 

• Established benchmarks for new locations and built opening budget models 

The Results :

The transformation enabled confident, data-driven expansion: 

Financial Clarity 

• Real-time consolidated view of all locations accessible anytime 

• Individual location P&Ls generated automatically for immediate comparison 

• Weekly close reduced from 8-10 days to 2 days 

• Investor reports generated in 4 hours instead of 3 weeks 

  
  

Performance Insights Unlocked Analysis of the original three locations revealed: 

• Location A: Highest revenue but only 12% net margin due to excessive labor 

• Location B: 18% net margin with optimized staffing and inventory management 

• Location C: Strong revenue but 4% food cost overruns due to waste 

  
  

These insights immediately improved underperforming locations and created the blueprint for new location success. 

Successful Scaling Achieved 

• Successfully opened 12 new locations over 24 months as planned 

• New locations followed best practices from day one 

• Pro forma accuracy improved—actual performance within 8% of projections 

• Portfolio-wide profitability improved from 14% to 17% 

• Strategic Advantages 

• Identified drive-through locations generated 35% higher revenue with similar costs 

• Discovered lunch was significantly more profitable—adjusted marketing accordingly 

• Real-time labor tracking reduced labor % from 28% to 25% system-wide 

• Annual savings of $340,000 from operational improvements 

  
  

Long-Term Value: The financial infrastructure positioned the business for continued growth and eventual exit at premium valuation due to clean, scalable financial operations. 

How NewVision Supports Multi-Location Business Growth 

At NewVision, we specialize in helping growing businesses scale their financial operations. Our comprehensive services for multi-location enterprises include: 

• Centralized accounting system implementation with location-level tracking 

• Process standardization and documentation across all units 

• Automated financial consolidation for real-time portfolio visibility 

• KPI dashboard development tailored to your business model 

• Unit economics modeling to identify profitability drivers 

• Expansion playbook creation based on actual performance data 

• Ongoing bookkeeping and accounting support for growing operations 

• Investor and lender reporting packages for financing requirements 

  
  

Whether you're scaling from 3 to 15 locations or 15 to 50, NewVision provides the financial infrastructure and expertise to support confident growth. We handle the complexity while you focus on expansion and operations. 

Don't let financial chaos limit your growth potential. With NewVision, you can scale with clarity, replicate success, and maximize profitability across your entire portfolio. 

Contact Us at 📩 engage@newvisionmgmt.com or

Call us at 📞 +1 210-858-6660