As the Chief Development Officer for Marco’s Pizza, I’ve had a front-row seat to the evolving priorities of today’s franchise investors. From seasoned multi-unit operators diversifying their portfolios to newcomers, the criteria for investment have shifted. While strong unit economics and brand equity remain vital, strategic investors are now scrutinizing something deeper: scalability under pressure, operational agility, and a clear pathway to sustainable growth.
In today’s high-interest, capital-constrained market, these aren’t just nice-to-haves, they’re the new standard. Here’s how I see the franchise investment landscape evolving, and how forward-thinking brands like Marco’s Pizza can evolve with it.
Franchising Offers Strategic Value in a Complex Market
Economic uncertainty has always had a way of clarifying priorities. In recent years, we’ve seen a sharp rise in investor interest across the franchise space, particularly in quick-service restaurants (QSR). Why? Because franchising offers something many business models can’t: a repeatable, resilient, and scalable structure, backed by support and proven systems.
We’ve seen this firsthand. Our growing franchise base is made up of both seasoned operators and savvy investors from adjacent industries. They’re choosing franchising not just because it offers growth potential, but because they want a business model that performs under pressure. QSR has historically proven recession-resilient, with pizza leading the category in affordability, efficiency, and consumer demand.
To best appeal to this mindset, it’s important for franchises to go beyond franchise marketing as a concept, but instead as an asset class. Position it as a resilient investment vehicle, and back that claim with data on same-store sales performance, recession-era performance, and scalability metrics.
Meeting Investors Where They Are—With Smarter Financing Models
With borrowing costs at their highest in decades, access to capital is a bigger barrier than ever. The smartest brands aren’t waiting for interest rates to drop; they’re actively reengineering how they support new franchisees.
At Marco’s, that’s meant designing financing options and royalty incentives that reduce upfront strain and create breathing room during the critical ramp-up phase. We’ve also cultivated partnerships with lenders who understand the nuances of franchise cash flow, helping operators unlock smarter, more flexible funding.
In this climate, leaders need to audit their financial offering. Can you restructure royalties, defer initial fees, or partner with lenders to simplify funding approvals? Strong operators are still out there, but they expect flexible, thoughtful capital solutions.
Ramp-Up Support Is the New Differentiator
It’s no longer enough to hand franchisees a manual and wish them well. Brands that want their operators to succeed must offer hands-on guidance during every phase of development, from site selection to training, launch, and beyond.
Now more than ever it’s essential to deploy proprietary location intelligence tools, collaborate on real estate strategy, and provide onboarding through a dedicated launch team alongside ongoing support. This ensures that operators don’t just open quickly, they open smart, with systems ready to optimize performance from day one.
Modern Investors Demand Transparency and Agility
Today’s investors aren’t just asking “What’s the ROI?” They want to know how fast you can pivot, what your tech stack looks like, and whether your leadership has a track record of innovation. This level of scrutiny isn’t intimidating, it’s healthy. And brands that welcome it will attract the most sophisticated operators.
From digitizing the customer experience to integrating machine learning for demand forecasting, the industry is making major strides in operational tech. But what matters more is how these tools empower franchisees—streamlining labor, improving accuracy, and boosting margin.
Today, franchisors must build materials that speak to operational performance, leadership stability, and system-wide innovation. While flashy projects can draw attention, serious prospects want strategic clarity and infrastructure confidence.
Strong Brand Support Is a Competitive Advantage
Franchisees aren’t looking for cheerleaders, they’re looking for partners. Especially in times of disruption, the strength of the franchisor-franchisee relationship is tested—and top-tier brands double down on support.
During the pandemic and subsequent supply chain disruptions, we made it a priority to overcommunicate. We adapted procurement strategies, refined logistics, and listened closely to our operators. That commitment continues today through Marco’s Independent Franchisee Association (MIFA), operational feedback loops, and real-time data sharing.
As a franchisor, don’t wait for disruption to prove your value. Create mechanisms for proactive feedback, show how you act on input, and make franchisee satisfaction a key performance metric.
Community Connection Is a Strategic Advantage
Another increasingly important factor in franchise investment decisions is community engagement. Today’s franchisees aren’t just looking to open businesses, they’re looking to establish themselves as trusted local partners. At Marco’s, many of our investors are deeply committed to making a difference in the neighborhoods they serve, viewing community involvement as both a personal value and a strategic business move.
This approach aligns with consumer expectations. People want to support brands that give back and feel locally rooted. Whether it’s sponsoring youth sports teams, partnering with local nonprofits, or hosting fundraising events, Marco’s franchisees are building strong community ties that drive both goodwill and guest loyalty.
Philanthropy and local market awareness are a competitive differentiator, one franchisors need to learn to harness. Community investment can help new franchisees establish credibility, accelerate brand affinity, and position themselves as indispensable neighbors from day one.
Attracting today’s best franchise candidates isn’t about being the fastest-growing, it’s about being the most prepared. Strategic investors are seeking more than a good brand. They want infrastructure, flexibility, a clear path to scale, and a partner who understands the realities of operating in today’s economy.
At Marco’s, we’re proud of the systems we’ve built, but prouder still of the franchisees who bring those systems to life every day. Their success is our benchmark. And in a franchise environment defined by discernment, that alignment is what separates strong brands from the rest.
In a time where margins are tight and expectations are rising; strategic franchising offers a path forward for brands looking to scale with savvy operators. But success in this space doesn’t come from the brand name alone. It comes from alignment on vision, execution, support and the belief that when franchisees win, we win.
By Gerardo Flores, Chief Development Officer, Marco’s Pizza