Bed Bath & Beyond Is Betting on Franchising to Make a Comeback
After filing for bankruptcy and shuttering all its stores in 2023, Bed Bath & Beyond is planning an unexpected revival — this time through franchising. The once-iconic big-box retailer wants to rebuild its brand around smaller, community-focused stores run by local owners instead of corporate executives.
“Throw away your old perception of the footprint,” said Brian Luciani, Chief Growth Officer at SMB Franchise Advisors. “We’re not targeting 50-unit owners — this is about one or two local franchisees making an impact in their communities.”
A Smaller, Smarter Bed Bath & Beyond
Unlike its massive past stores that sold everything from towels to toasters, the new franchise model will focus on smaller, curated spaces. About 80% of products will come from the brand’s centralized system, while the remaining 20% will be localized to reflect each community’s needs and tastes.
This approach allows Bed Bath & Beyond to keep its brand consistency and purchasing power, while also giving franchisees flexibility to offer unique local items.
Franchisees will also share profits from the brand’s online business — eliminating the common conflict between local stores and e-commerce sales.
The Revival Team Behind the Plan
The comeback is being led by Marcus Lemonis, the television personality known for The Profit, Secret Millionaire, and Celebrity Apprentice. Lemonis, who also served as former CEO of Camping World, was appointed Executive Chairman of Beyond Inc., the parent company of Bed Bath & Beyond, Overstock, and Buybuy Baby, earlier this year.
He’s joined by:
Brian Luciani – SMB Franchise Advisors (franchise strategy and development)
Ron Taylor – VP of Franchise Development
Amy Sullivan – Retail Omnichannel Organization
Tom Spadea – Spadea Lignana Franchise Attorneys
“Marcus Lemonis is a visionary business leader,” said Tom Spadea. “He understands how to build billion-dollar businesses — this is a great use of franchising.”
Why Franchising Makes Sense
Spadea describes the franchise model as “the best of both worlds.”
“The real goal is to combine the scale and tech of a big company with the personal touch of local ownership,” he explained.
Franchising allows Bed Bath & Beyond to grow faster without massive capital investment, while empowering small business owners to operate under a trusted national brand.
The model has proven effective across other industries — and with SMB Franchise Advisors’ track record scaling brands like The Goddard School, K9 Resorts, and GymGuyz, the team is optimistic about replicating that success.
A Difficult Retail Landscape
The home goods sector has been particularly rough for big-box retailers. After Bed Bath & Beyond’s collapse, Franchise Group Inc. — the owner of American Freight and Buddy’s Home Furnishings — also filed for bankruptcy. While American Freight shuttered all 328 stores, it’s now slowly returning under new ownership, with about 60 stores back in operation.
The broader retail shakeup shows how volatile the market remains — but also how franchising may offer a more resilient path forward by decentralizing ownership.
What’s Next
SMB Franchise Advisors will develop the franchise framework, including fees, territory structures, and support systems. Spadea Lignana will handle the legal documentation, including the franchise disclosure document (FDD) and development agreements.
Bed Bath & Beyond expects to finalize its franchise offering within six months, paving the way for its first franchise stores to open in 2026.
“It’s rare to launch a brand that’s ready to scale from day one,” Spadea said. “This is big news — not just for Bed Bath & Beyond, but for franchising as a whole. It shows that even big corporations now see the value in local ownership.”
The Bottom Line
Bed Bath & Beyond’s comeback story isn’t about reliving its past — it’s about reinventing retail through a grassroots, franchise-first model that blends big-brand strength with local entrepreneurship.
If it works, it could become a blueprint for how legacy retailers reinvent themselves in a post-bankruptcy, digital-first era.
