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ActionCOACH

ActionCOACH® is the world’s largest business coaching franchise. Currently, ActionCOACH has nearly 1,000 coaches in over 80 countries working with more than 18,000 businesses to improve results and enhance their success trajectory. With more than 30 years of experience ActionCOACH delivers proven business development systems and processes which change lives and positively affect local communities economies. Entrepreneurs who become business coaches with ActionCOACH get the financial freedom and personal fulfillment of working in a business focused on helping others.

Founded in 1993 by Australian-born entrepreneur and best-selling author Brad Sugars, ActionCOACH is one of the fastest-growing franchises in the world. Recognized as a top franchise options for Women and Veterans by Franchise Business Review, ActionCOACH is also a fixture on Entrepenures.com annual TOP 500 Franchise list and is the top business coaching franchise.

ActionCOACH offers executive entrepreneurs and professionals an opportunity to leverage their extensive business experience and skill sets in a way that immediately helps and impacts owners and their businesses. As an ActionCOACH franchise owner you can tap into more than more than 3,500 strategies for business success, and help businesses of all sizes achieve more profit, build better teams and create lasting change in their organizations through ongoing “business re-education”.

Currently ActionCOACH offers franchise opportunities world-wide and there are two main franchise models which offer a unique set of features and benefits.


The Firm:

A Firm owner owns a business asset that can appreciate over time just like any other tangible asset. You will have a semi-exclusive territory or territories where you can serve. A Firm builds and develops a team of professional coaches in order to further its reach and help the Small business within that community.  Coaches work as employees or 1099 contractors for the Firm Franchise Owner.
 
You will be in business for yourself but not by yourself. This is one of the most important reasons for partnering with ActionCOACH. You get support, help with systems, marketing, sales, operations, and everything a business needs to thrive.
 
Each local business will join this group that meets weekly, monthly and Quarterly. Along with this, they will have online training as well. As the Firm Owner, you don't have to run these meetings, you can hire coaches to run the meetings for the Firm. This is a franchise so the training, material, Intellectual Property, and 30 year credibility and track record is there.
 
Just copy and paste the system. All this requires is someone with a Business Mindset, Loves to help people, has some professional skills (Sales, Marketing, Admin, etc..) or willing to dedicate time to learn these skills that can translate into running a business. This Franchise Model offers them time and money. They can work less and make more.  Most importantly, the Firm Franchisee owner is building a firm that is a saleable asset unlike so many of the buisness coaching competitors where their clients fade away when the owner retires and there is no asset to sell because the busienss is so tied to the  cusiness coach owner's talents and expertise.

ctionCOACH 2.0: the Firm Franchise and the FDD

When starting the Business Coaching industry 30 years ago, ActionCOACH was a single coach, owner operator model, called a “Practice”, with no territory exclusivity working from a home office. Along the way, we allowed Coaches to add another coach or two to their Practice which some did, but most didn’t. It was truly a “be a coach” model.

All the “me too” brands copied and that is largely what the industry is today, single coaches or very small groups of coaches mostly working from home offices with no real scalability or salability. They own a job not a real business and it will die when they retire.

As ActionCOACH continued to grow and mature, we innovated various growth models with our best Franchisees who had the biggest visions. We wanted to create a model that allowed for true wealth creation, scalability and semi-passive ownership.

We eventually perfected our current “Firm” model which is designed to be both scalable and highly saleable. It is analogous to a larger law firm compared to a solo attorney office. The Firm franchisee can even provide its employee business coaches the opportunity to “make partner” if the Franchisee wants to allow for that.

An ActionCOACH Firm can be semi-passive or active and the Firm is operated from a professional office (a shared office like Regus or WeWork is sufficient) and has a semi-exclusive territory of approximately 10,000 businesses in contiguous zip codes.  One executive office can support multiple territories with small satellite offices allowing for significant economies of scale.

The Firm owner will immediately starts building their team to both grow faster, have added capacity to support more clients and even position their staff to buy them out in the future when the Firm owner elects to retire.

After testing, measuring and tweaking the Firm franchise model for several years alongside the Practice business coaching model, in 2022 we were so confident with the model and the future of the Firm, ActionCOACH officially stopped selling Practices and now only sells Firm franchises.

The full transition to Firms will continue until all the current Practice owners eventually retire, upgrade to Firms or get absorbed by a Firm. 

IMPORTANT TO KNOW:  In the interim, during the transition and maturing of Firms, there are several things to note:

  1. Item 19:
    1. Since ActionCOACH transitioned to “Firms only” very recently in 2022, we don’t yet have many long-term mature Firms.
    2. Most of our Firms are either newer or are led by long term former Practice owners who upgraded their franchise to a Firm.
    3. We still have a lot of legacy Practice owners who are grandfathered and by their nature of wanting to be self-employed as a “coach” have far more modest income goals.
    4. Therefore, as strong as our Item 19 is, the financial representation is not yet nearly as strong as the Firm model is actually designed to deliver or what they will hear directly from our Firm builders during due diligence.
    5. So, simply tell them it is a very strong Item 19 and that they will be very impressed with the financial model compared to anything else in the industry or in other industries that typically require long leases, inventory, build-out, etc.  
    6. We will guide them on the specifics and the existing Firm owners will validate the opportunity.
  2. Item 20:
    1. Prior to focusing on the Firm franchise model, we were very coach centric and counted each individual coach as a “unit”, even if they did not own the franchise.
    2. In 2021 when we knew the Firm franchise model would truly be our future, we realized most “coaches” going forward would be employees (W2 or 1099) of our Firm owners.
    3. We therefore decided to reclassify non-franchise owner coaches in Item 20. To do so, we had to “terminate” the business coaches who were not franchise owners  in the FDD, even though these coaches were still here as employees/contractors of Firm franchisees or Practice franchisees.
    4. This reclassification and explanation are explained in footnotes in the FDD under Item 20.
    5. On the surface, it can appear as if we had a large exodus of “units” a few years back when it was merely a reclassification of coaches who didn’t own the franchise in the first place.
    6. This is something we explain to your candidates so they can read the FDD in its proper context.

During the Due Diligence process, we explain those dynamics so your candidates will know the history, will be able to envision the future will understand the FDD.  They will validate the history and the earnings potential directly with our trail-blazing  Firm owners.

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