Mike Potts on Why 70% of Franchise Software Projects Fail (And What to Do Instead)

Mike Potts on Why 70% of Franchise Software Projects Fail (And What to Do Instead)

Mike Potts has been building custom software for middle market companies since 2008 without raising a dollar of outside capital. His firm, Feature23, carries a 95% client success rate in an industry where 70% of projects fail. In this episode, Mike breaks down exactly why that gap exists and what it costs companies who get it wrong. We get into the understanding gap, the reason most technology projects fail before a single line of code gets written. We talk about the operational tax, the hidden cost of bad software that never shows up on a balance sheet but shows up everywhere else. And we talk about what actually made Superior Fence and Rail acquirable, and why their technology stack was cited in the transaction as a core driver of value. Mike also shares his take on the build vs. buy decision, why most mid-market companies default to off-the-shelf solutions that quietly erode their competitive advantage, and the one question every franchise operator should be asking before making any technology investment. This one is dense. Worth a full listen. Topics covered: * Why the average software failure rate is still above 70% * The understanding gap and how it kills projects from day one * What Feature23 calls the operational tax and how to spot it * Build vs. buy for franchise operators and when each decision is right * How Fence360 contributed to SFR's acquisition outcome * Why bootstrapping forces better client decisions * The impact mapping framework Mike uses to invert how clients think about technology * AI in the middle market, what's working, what's overhyped, and where the real gains are * Connect with Mike: feature23.com [http://feature23.com] | LinkedIn: linkedin.com/in/hackmp/ [https://www.linkedin.com/in/hackmp/]

Why Franchisees Don't Follow Your Systems (And How to Fix It) | Joel Worthington

Joel Worthington spent 16 years as a pastor before becoming president of Mr. Electric -- and it turns out those two jobs aren't that different. He walked into a brand with 40 franchisees arguing on the floor, no validators, and revenue heading the wrong direction. By the time he left, they were doing $205M. In this episode, Joel breaks down how he rebuilt trust from zero, why most brand presidents lose the room before they say a word, and the exact framework for getting franchisee buy-in when you're asking them to change.

He Did $10M at 22, Sold the Company, and Came Back Smarter — Eric Smith of PAC Exteriors

Eric Smith built a roofing company from scratch at 22, scaled it to nearly $10M in a single year, sold it, and walked away from the industry entirely. Then life — and a partnership with the right guy — pulled him back in. But this time, he's doing it completely differently. Eric is the co-founder of PAC Exteriors, a Colorado-based roofing company taking a disciplined retail-first approach in a market where everyone else is chasing hail. Instead of following the storm restoration playbook, PAC is carving out a niche in the Colorado mountains — complex projects, high-value homeowners, and a business model built to last beyond the next big hailstorm. In this episode, Eric breaks down why he walked away from $8M in potential storm revenue to protect his brand identity, how retail cashflow changes everything, and what it actually means to build a company you'd want to sell — even if you never do.

Why Angie's Leads Are a "Sucker's Bet" (and What 25-Year Roofing Marketer Carm Taglia Does Instead)

Carm Taglia spent 25 years marketing every kind of business before niching down to roofers - and he has zero patience for the way most contractors are still buying leads in 2026. In this episode he breaks down why renting leads from Angie's List is "a sucker's bet," why Google is de-indexing thin contractor websites by the thousand, and what AI search is actually rewarding right now (hint: it's not what your old SEO guy is selling you). We get into: * The real math on Angie's leads vs owned marketing (and why he calls it "washing money") * Why the BBB and Reddit are suddenly two of the most trusted sources in AI search * The 40-60% of roofing calls that never get answered, and what that's actually costing you * Why a roofer in Atlanta just won a 6-figure commercial bid by being first to send the quote * How to grill a marketing agency before you hand them a check * The one thing every roofer should install in the next 30 days Carm runs Roofing Rev Marketing. He also got the seed money for his first agency by winning Fear Factor. Twice. You'll want to hear that part.

How Joe Dominiak Thinks About Franchise Growth After 25 Years of Fixing Broken Brands

Joe Dominiak has spent 25 years fixing broken franchise systems across some of the biggest brands in the country. Now he's not fixing anything. He's scaling a machine. As VP of Franchise Operations at Superior Fence & Rail, the fastest growing fencing franchise in America, Joe breaks down what actually separates winning franchise systems from the ones that quietly fall apart. We get into how SFR selects franchisees instead of hiring them, why reputation score trumps revenue as the number one metric, what a $1 billion brand looks like from the inside, and why the company that owns the data owns the market. If you own a franchise, want to own one, or just want to understand how elite operators think, this one is for you.