---
title: "Going multi-unit with multiple brands"
url: https://burnaze.com/article/53041262-8788-4f05-9bd8-d4e3a79a192e
source: "1851 Franchise"
original_url: https://1851franchise.com/going-multi-unit-with-multiple-brands-1459
category: "Franchisors"
industry: "Franchise Industry"
segment: "Franchisors"
topics: ["Development & multi-unit"]
published: 2015-04-09T19:14:00.000Z
modified: 2026-11-01T13:03:36.083Z
image: https://newimage.1851franchise.com/cdn-cgi/image/quality=85,format=webp,width=1280,height=720/story/featureImage/8d777f385d3dfec8815d20f7496026dc9799.png
---

# Going multi-unit with multiple brands

**TL;DR:** Multi-unit franchisors can benefit from diversifying their brands and investments, reducing risk and expanding their business opportunities. This can be achieved by investing in different types of businesses, such as a burger joint, frozen yogurt shop, cleaning service, and mosquito treatment business.

*originally published in 1851 Franchise on 2015-04-09. [Read the original](https://1851franchise.com/going-multi-unit-with-multiple-brands-1459).*

## Story

A case could be made for either strategy, but there’s no denying the potential advantages of becoming a multi-brand franchisee.

**Diversification** Just like in the stock market, spreading your money among varied investments in the franchise world can be a great way to reduce risk. For instance, if one of your franchises sees more business during the summer, investing in a franchise that tends to perform better in winter could be the ideal way to offset profit dips.

**Expansion** Adding more units may be easier with multiple brands, as well. For instance, say you invest in only one company. You want to build up multiple units in your region, but the area can’t sustain too many of the same businesses. Six of the same burger joints in a small town won’t do your bottom line any favors.

However, by focusing on different types of businesses, you may be able to grow your portfolio faster and wider. A burger joint, frozen yogurt shop, cleaning service and mosquito treatment business won’t eat into each other’s profits.

**Correlation** In addition to easier expansion, multiple brands can also be used to complement each other. Take the burger restaurant and froyo shop, for example. If you own both and place them next to each other, you could encourage consumers to visit both while they’re out. A young couple visits your burger place for dinner and then walks next door for some soft-serve.

Depending on the types of brands you invest in, your franchise locations could augment and support each other.

## Entities

- 1851 Franchise (publication)
- Franchise Industry (sector)
- Multi-Unit (company)
- business expansion (topic)
- multi unit (topic)
- brand diversification (topic)
- risk reduction (topic)

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Originally reported by 1851 Franchise (https://1851franchise.com/going-multi-unit-with-multiple-brands-1459). Summarized by Burnaze (https://burnaze.com/article/53041262-8788-4f05-9bd8-d4e3a79a192e).