How Buddies Built a Franchise System Where Nearly All Owners Scale Up

Most people think franchising means restaurants and retail. But Buddies Home Furnishings is proving there’s massive opportunity well beyond food — especially in the fast-growing rent-to-own category. In this episode of How I Franchise This, Alex sits down with Mitchell Lee, Head of Franchise Development at Buddies, to break down how the brand built one of the highest multi-unit ownership rates in franchising — with over 85% of franchisees operating multiple stores. They dive into: How the rent-to-own model works (recurring revenue, high AUVs, and 24-hour delivery) Why this category is truly recession-resistant and how it flexes with economic cycles What top operators do from day one that separates them from the bottom quartile Buddies’ approach to territories, conversions, and sustainable system growth How Mitchell evaluates candidates — and the traits shared by great operators If you’re exploring franchises beyond food or want to understand what makes a scalable, multi-unit model actually work, this conversation delivers a rare look from the brand’s side of the table.