Mom-and-pops using multiple-franchising to grow larger.
For seasoned mom-and-pop businesses like Madden’s Ace Hardware, 1 store,
or even 2, are no longer enough.16 years after starting
with a 5,000-square-foot storefront in a South Daytona plaza, Mark and Gerri Madden are getting ready to open their 3rd Ace Hardware in the Daytona Beach area, giving them a total of 28,000 square feet of retail space.Their $2 million, 11,000-square-foot store at 261 Ridgewood Ave. in Holly Hill is scheduled to open about Nov. 1. ‘This is it, we’re done, this is the last one,’ Gerri Madden joked with a city inspector as she installed shelving earlier this month at the Holly Hill building. Setting up her 3rd store within 2 years had left her feeling both happy and weary.
But Mark Madden quickly amended his wife’s comment. ‘This is the last store that this generation of Maddens will build, but there’s a 2nd generation coming up. My son Richard is showing strong interest in further expanding the business.’
Multiple-store operations like that of the Madden family have become the norm for the 4,600-store Ace chain, said Jeff Gross, Ace’s retail development manager for Florida. ‘At least half to 2-thirds of our Florida stores are operated by owners who have more than one store,’ Gross said.
The trend of franchisees opening more than one location has helped many of what are basically small businesses to become bigger and more successful. Nationwide, 65,000 franchisees operate more than 1 location, having an average of 4 sites apiece, according to FRANData, an Arlington, Va.-based franchise research firm.
Besides the Maddens, another local Ace Hardware operator with 3 locations is Leslie Anderson, who owns 2 Palm Coast stores and 1 in Bunnell. The Maddens‘ new store is 1 of about 16 the Ace chain plans to add in Florida this year, Gross said. Another new Volusia County store is planned for Deltona on Fort Smith Boulevard.
Multiple-location franchising also dominates the area’s fast-food scene.
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