More than a decade ago, Lisa Welko started Ellipse Fitness, a niche fitness studio in Appleton.
The interest was so high that she added a second location in Darboy. Then she had one of the members ask about duplicating the concept and opening a studio in Green Bay. That began a journey into franchising.
“Like anyone in the franchise world, everyone falls into it in some way,” she said. “We (she and her husband, Brad) were running our two locations and were approached with a request to become a franchisor. We went through the research on how to do that. It was a long, tedious process that started with someone saying, ‘Hey, I would love to have that business.’”
Eventually, after Ellipse Fitness became a franchise, Welko sold it to one of the franchisees who owned a studio in St. Louis.
“Once sold, I thought I was out of the franchise business, but that changed when an attorney I know said I should consider franchise consulting because I had learned so much in the process of franchising Ellipse,” she said.
That led her to a conference in New Jersey where she started to look at the franchise business through a consultant’s lens. It was the beginning of her pursuit to learn as much as she could and gain certifications that qualified her to start a consulting business.
As Welko was exiting Ellipse Fitness in 2015, she began to work as a part-time consultant, and Integrity Franchise Group was formed.
She said, “I loved being an entrepreneur and wanted to see how I could help other people and do it with a high level of integrity. I recognized that a lot of people I would work with might decide that this wasn’t for them, but for the ones who really want to own a business, I knew this would be a good option.”
The process starts with a questionnaire prior to the first meeting. The top questions relate to the amount of money and time available to own and run a business. Then it is a matter of matchmaking skills and interests with potential franchises.
Welko has about 900 franchise options available. The way it works is that a franchisor contracts with Integrity Franchise Group as a representative. It is beneficial for both parties.
“We save the franchisors so much time in vetting people. We also help with marketing so that they aren’t looking for a needle in a haystack,” she said. “For us, it allows me to have access to hundreds of options for prospective owners.”
Although many of her clients do not buy a franchise, Welko is happy to work with them to determine if it is the right move for them. Once the questionnaire has been completed, the matchmaking process begins. About 10 options are presented, and of those, about three garner additional interest.
She said it’s like talking to a real estate agent when searching for a property. Options are presented and the agent helps with providing additional information, showings, advice in writing an offer or selling a home, and recommendations on financing and other areas related to achieving a successful closing.
For Welko, to provide the best service possible to clients, that means having a solid knowledge of the industry.
“There is a lot of trial and error and doing research through the franchise organizations to get to know the franchises,” she said. “Every week is a balance of client work, research, and relationship building.”
It also means understanding trends in the marketplace. She said there is growth in the areas of health and wellness, longevity, home services, and senior care. As she works with clients, she sees that many of them are looking for ways to diversify their income while continuing at their current jobs. For those people, it is more of a part-time side business. Other buyers are people who are aging out of jobs and looking for a business where they can be the boss.
The franchise model offers benefits versus a startup.
Welko said, “It is a proven system, has possible brand recognition, offers training and support, and most importantly, you are not by yourself. There are people to link arms with; the power of the system and that group of business owners is amazing.”
Along with her staff of five, Welko’s satisfaction is in making matches and helping people realize the dream of owning a business. She is passionate about helping entrepreneurs make their dream come true, and besides that, she said she is “really good at it.”
Since starting in 2015, she has made hundreds of matches. She has also seen great changes in the way consulting takes place. It has gone from mostly in-person and telephone meetings to where almost all business is conducted on Zoom. Also, the number of options has increased from mostly food-related business to so many other industries.
The number of franchises continues to grow to where there are now about 4,000 in the country. Many are small; some are so big that they don’t need to work with businesses like hers. But, for the large number of those that do, there is no additional fee for the franchisee. The franchise pays a finder’s fee to the consulting broker.
Having a well-educated and informed person like Welko makes the process much easier without costing more.
“If you want to own a business and aren’t sure what it should look like, my job is to educate and empower you,” she said. “I spend a good portion of my time talking one-on-one with prospective business owners, helping them assess their goals and whether business ownership — specifically through franchising — is a good fit.”
Welko says some of the most practical advice she’s heard is offered by H. Jackson Brown Jr., “The best preparation for tomorrow is doing your best today.”
Following that advice has led her and her husband into taking another foray into the franchise world. They purchased a Gameday Men’s Health franchise and opened their first location last year in Appleton. A second location of the specialty men’s health and wellness clinic is planned for Green Bay.
Brad Welko oversees the operations of the clinic, and she assists while continuing to focus on the growth of the franchise consulting business. Looking ahead, she said that they would like to be able to partially retire in the next five to 10 years.
“Hopefully, by then, we are starting to unwind and have partial retirement on the horizon,” Welko said. “We are working up to 60 hours a week, and for now, I know we need to keep our feet on the gas. I don’t see ever stopping, but I would like to be able to slow down and maybe just ease my foot off the gas pedal a little.”
Tina Dettman-Bielefeldt is co-owner of DB Commercial Real Estate in Green Bay and past district director for SCORE, Wisconsin.
This article originally appeared on Green Bay Press-Gazette: Lisa Welko plays matchmaker, matching entrepreneurs with a franchise that suits them
Reporting by Tina Dettman-Bielefeldt / Green Bay Press-Gazette
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