Papa Murphy’s Offering Stores As Franchises

Following a difficult 2016 and the resignation of its top executive, Papa Murphy’s announced plans Tuesday to sell company-owned stores as franchises with the help of a consulting firm. The Vancouver-based seller of take-and-bake pizza will rely on Franchise Performance Group to help sell stores. In the announcement, executives said refranchising was always part of the plan. “Our long-term strategy has always been to deliver attractive returns through an asset-light, franchised business model,” said board chair Jean Birch, who replaced Ken Calwell as CEO at the start of the year, in a statement. By selling company-owned stores, Papa Murphy’s trades one revenue stream for another: Instead of from pizza sales, its revenues will come from royalties, licensing fees and property rentals paid by franchisees.