1851 Growth Club: How Universal Commissions Can Help You Win

1851 Franchise CEO Nick Powills built The 1851 Growth Club on transparency, and it’s this transparency that led him to create its universal commissions, meaning a ll brands in the 1851 Growth Club pay exactly $20,000. This allows the Growth Club to guide the franchisee to the right brand — the one where the franchisee is most likely to win at franchising. Half of this fee is paid by the franchisee, and the other half is paid by the franchisor. Through this forthrightness, 1851 Growth Club aims to empower both franchisee and franchisor towards mutual success.

Not only does a universal commission make the investment fair for both parties, but it also ensures a suitable pairing.

“ The franchisor that matches with that candidate ends up being the right fit for that candidate,” said Powills. “This means we're not playing games in terms of whichever franchisee pays the most gets the most deals.”

Powills knows that transparency like this is not a given in the franchising world. His pet peeve? Misleading advertisements.

“The ads that drive me nuts are when I see a coach or consultant say we work with you for free. They don't. The franchise fees have skyrocketed — they are actually costing the franchise candidate more,” Powills said. “We can't have open discussions if we're not playing the same game.”

Powills admits that the 1851 Growth Club’s universal commission is not the way forward for everyone. “It's not going to work for every brand,” he said. “There are brands that are on an accelerator path that this won't work for.”

However, the Growth Club can still win without the participation of all brands. In the end, the universal commission cap at $20K is there to “make a difference,” Powills said, “and to disrupt the way that franchising is done.”