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Avoid 3 Common Mistakes, Advises Mooyah’s Owner


Gala Capital's Anand Gala, center, is the new owner of Mooyah and a Franchise Times Dealmakers winner.

Anand Gala is a long-time franchisee of Jack in the Box, Del Taco, Famous Dave’s and others, and he has now crossed the aisle to form Gala Capital and purchase his first franchisor, Mooyah Burgers, Fries & Shakes. He believes many franchises stumble over a few common mistakes, which he plans to avoid at Mooyah and any additional brands he buys. 

“Some of the most common ones are simple, but maybe we all take them for granted,” Gala told me. Gala is among the 10 winners of the 2018 Franchise Times Dealmakers awards, which we’re preparing to publish in the April issue.

No. 1: Having the wrong people on the bus. Many franchises are started by “extremely passionate people” who may have been in very large companies and essentially fulfilled only one function. “If you’re in finance, you know that company’s finances really well” but not much else. Or, they might have general business experience but not industry-specific experience.

“So having a mismatch, or an inability to really right-size the overhead with the right people in the right places, is a common mistake,” he said.

No. 2: Thinking it’s simple. Another “very, very common mistake is that they think that it’s really easy, that you just sell a bunch of franchises and they just get open. They don’t get open by themselves,” he said. Young franchises don’t necessarily define exactly what demographics are needed for their sites to succeed, for example. “They don’t really know, because they opened one near their house. What if that mall is in the wrong demographic?”

No. 3: Pocketing money as if it’s yours. “And then another common mistake, they think they’ll sell a bunch of franchises, and that’s my money. But no, it’s not actually, because you need to spend money on training, on travel, on people….And it rarely, rarely works like that . And then you have a large cleanup to do,” he said.

“They miss the point that the franchisees are their customer. And so it becomes a vicious cycle in many cases, unfortunately, and we think we can break that cycle and restore a sense of enthusiasm” in the brands that Gala Capital buys.

Watch for more advice from our Franchise Times Dealmakers winners in the April edition.











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About This Blog

The latest news, opinions and commentary on what's happening in the franchise arena that could affect your business.

Laura MichaelsLaura Michaels is editor of Franchise Times. She can be reached at 612.767.3210, or send story ideas to lmichaels@franchisetimes.com.
Beth EwenBeth Ewen is senior editor of Franchise Times. She can be reached at 612.767.3212, or send story ideas to bewen@franchisetimes.com.
Nicholas UptonNicholas Upton is restaurants editor at Franchise Times. He can be reached at 612.767.3226, or send story ideas to nupton@franchisetimes.com.
Mary Jo LarsonMary Jo Larson is the publisher of Franchise Times Magazine and the Restaurant Finance Monitor.  You can find her on Twitter at




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