Understanding Growth on Both the Franchisee and Franchisor Side

In a recent episode of the Freedom Formula, I had the pleasure of speaking with John Smith, the Executive Director of Franchise Operations at Fastest Labs. With over 230 franchised locations specializing in drug, alcohol, and DNA testing, John's insights into the business growth are invaluable. 

Journey into Franchising

John’s started off as a franchisee with Fastest Labs. He and his wife opened a location several years ago when there were only around 20 or so. After successfully running that franchise, he decided to sell it and transition to the franchisor side where he could use his experience to help others grow their businesses.

Starting a Fastest Labs Franchise

John met his wife while studying in Dallas. After college, they both recognized that the traditional careers they were in — he in hospitality and her at Enterprise Rent-A-Car — weren’t the paths they wanted to take. After some planning, they took a leap of faith and opened a Fastest Labs franchise location, leveraging her father’s network as the founder of the brand. It was a challenging yet rewarding journey!

Model Overview

Fastest Labs is built around a brick-and-mortar model, typically not requiring high-end commercial spaces. The primary clientele consists of individuals needing drug tests for employment purposes, which they facilitate through partnerships with businesses. Franchisees focus their efforts on building B2B relationships, positioning themselves as essential services for companies.

Sales and Market Entry

It’s true that many companies already have existing vendors for drug testing, but that’s not a dead end. John found that sometimes businesses are open to change and franchisees can bring in competitive advantages through personal relationships and tailored services. The key is establishing a connection and showing the added value Fastest Labs can offer.

Profile of a Successful Franchisee

Successful franchisees share a common trait: hustle. They are committed and have a desire to grow their business, regardless of whether their goals are small or ambitious. What I observed in John and I see in my own franchisees is that it’s all about dedication to the work and building relationships, reflecting what it takes to be a thriving entrepreneur.

Scalability and Management

As franchisors scale, maintaining relationships becomes more complex, yet it’s about systemization and delegation without sacrificing the personal touch. They need to leverage technology to streamline operations while ensuring teams and franchisees remain engaged and connected. What’s crucial is fostering an environment that encourages everyone to contribute and uphold the mission.

Risks and Rewards

There’s always risk in entrepreneurship, but operating within a franchise system can often mitigate some of those risks. It allows for a structured path to growth that may not be present in standalone ventures. As we’ve seen, the entrepreneurial spirit thrives in those who are willing to take calculated risks, and that’s a strong focus in our brand culture.

Closing Thoughts

It’s all about identifying what you want out of the business you’re creating—whether that’s a side project or a scalable operation. For us, fostering community within our franchisees and helping them grow aligns with our mission.

Photo by Edward Howell on Unsplash

This article was written by Neel from MaidThis Franchise, a remote-local franchise opportunity for people looking to escape the rat race and reach financial freedom. Learn more here.