what franchise to buy into

From the restaurant and food-service industry to business services or fitness categories, only you can decide which is the best franchise to own. It all depends on your interests, experience, finances and risk aversion. Since there are thousands of franchises in the United States to choose from, the list below is just a starting point.

Full Answer

What to consider before buying a franchise?

What to Consider Before Buying a Franchise

• Make Sure Your Family is On Board. Owning a franchise—or a business of any kind—is truly a family affair. ...
• Count Your Cash. ...
• Reach Out to Other Franchisees. ...
• Do Some Soul Searching. ...
• Test the Product. ...
• Understand What You’re Getting Into. ...
• Talk to a Franchise Consultant. ...
• Come Up With an Exit Strategy. ...
• Consult With Franchise Experts. ...
• Do Your Due Diligence. ...

What is the best franchise to invest in?

The 50 Most Popular Franchises Of 2022: Our Most Popular Franchises to Buy & Own

• American Business Systems, LLC. ...
• Blue Coast Savings Consultants. ...
• FranServe - Become a Franchise Consultant! ...
• Oxi Fresh Carpet Cleaning®. ...
• Allstate Insurance Company. ...
• College Hunks Hauling Junk & Moving. ...
• Minuteman Press International. ...
• Skyhawks Youth Sports Camps. ...
• Chem-Dry Carpet Cleaning. ...
• Costa Oil – 10 Minute Oil Change. ...

What to know before you buy a franchise?

If you’re interested in franchising, you should explore the following:

• Any and all existing reports: Now’s the time to put your detective hat on. To start, get a Uniform Franchise Offering Circular (UFOC). ...
• Associated rules and regulations: Every franchise is different. ...
• Contracts: The contract between the two parties usually benefits the franchisor more than the franchisee. ...

What is a franchise and should you buy one?

A franchise refers to a system of doing business in which a parent company (the franchisor) sells the rights to a system of doing business to individuals (franchisees). Each franchisee pays a franchise fee in order to buy into the system, then pays ongoing royalties for the right to continue using the franchise’s name and trademark.

What is the most profitable franchise to get into?

Most Profitable FranchisesDunkin'7-Eleven.Planet Fitness.JAN-PRO.Taco Bell.Orangetheory Fitness.Great Clips.Mac Tools.More items...•

Which franchise is best to buy?

12 Most Profitable Franchise Business Opportunities In IndiaTumbledry.Subway.Giani's.Jawed Habib Hair and Beauty Ltd.InXpress.DTDC Courier And Cargo Ltd.Lenskart.FabIndia.More items...

What is the most profitable franchise to own 2022?

Top 14 Most Profitable FranchisesMcDonald's. Units in operation: 39,360. ... Dunkin Donuts. Units in operation: 12,800. ... Taco Bell. Units in operation 12,800. ... Subway Franchise. Offers Financing: Yes. ... Anytime Fitness Franchise. Units in operation: 4,904. ... Sonic. Royalty: 2.5% - 5.0% ... Planet Fitness. Royalty 7.0% ... Orangetheory Fitness.More items...

What is the number one franchise to own?

Top 100 Franchises 2022RankNameCountry1KFCUnited States of America27-ElevenUnited States of America3McDonald'sUnited States of America4Marriott InternationalUnited States of America16 more rows

Is a franchise a good investment?

If you're a fledgling entrepreneur or a seasoned business person wanting to diversify your holdings, you've probably wondered, “Are franchises a good investment?” The simple answer is yes, especially if a great opportunity presents itself. There is an obvious appeal to starting a business via buying a franchise.

What are the 4 types of franchising?

The four types of franchise business you can invest inJob or operator franchise. These owner operator franchises are usually home based, which keeps overheads down to a minimum. ... Management franchise. ... Retail and fast food franchises. ... Investment franchise.

Can you get rich owning a franchise?

The bottom line is that while a franchise can make you independently wealthy, it isn't a guarantee. Choosing the right business in the right industry, and going in with preexisting entrepreneurial experience and/or existing wealth can help, but your income-generating potential may still be somewhat limited.

What is the fastest growing franchise in the world?

Browse franchises by categoryFranchise name/rankCategory/Description# 1 7-ElevenConvenience Stores Convenience stores# 2 Century 21 Real EstateReal Estate Real estate# 3 KFCChicken Chicken# 4 Stratus Building SolutionsCommercial Cleaning Environmentally friendly commercial cleaning and disinfecting6 more rows

What is the most lucrative business?

What's the Most Profitable Business to Start in 2022?22 Profitable Businesses to Start in 2022. ... Ecommerce Business. ... Dropshipping Business. ... Vacation or Home Rental. ... Online Courses. ... Bookkeeping or Accounting Services. ... Graphic Design Business. ... Digital Agency.More items...•

Which franchise is best in 2022?

Franchises provide a strong corporate and management framework, plus marketing, merchandising and production support....Bluevine Business CheckingDunkin' ... Anytime Fitness. ... Planet Fitness. ... Orangetheory Fitness. ... Primrose Schools. ... Kiddie Academy. ... Kumon Math and Reading Centers. ... Ace Hardware.More items...•

How much is a Starbucks franchise?

What are the Financial requirements for a Starbucks licensed store? You need to pay the licensing fee of between $50,000 – $315,000 and you must have over $1,000,000 in liquid assets to be considered for a licensed store by Starbucks.

How much do franchise owners make?

When researchers accounted for the inflations caused by the few top franchises, it was established that the average annual income of 51 percent of franchisees is less than 50,000 dollars. The study also found that only 7 percent of franchise owners earn over 250,000 dollars a year.

Which is best franchise to buy in India?

Top 10 Profitable Franchise Business Opportunities in IndiaTumbledry Franchise Store.Kalyan Jewellers Franchise.Domino's franchise store.Dr Lal Pathlab Franchise.FirstCry Franchise Store.VLCC Franchise Salon.Kidzee Franchise.Jockey Franchise Store.More items...•

What is the fastest growing franchise in the world?

Browse franchises by categoryFranchise name/rankCategory/Description# 1 7-ElevenConvenience Stores Convenience stores# 2 Century 21 Real EstateReal Estate Real estate# 3 KFCChicken Chicken# 4 Stratus Building SolutionsCommercial Cleaning Environmentally friendly commercial cleaning and disinfecting6 more rows

Is it profitable to own a franchise?

Buying a franchise might seem like easy money, but those royalties and fees will quickly cut into profit margins. The majority of franchise owners earn less than $50,000 per year.

How much do 7-Eleven owners make?

Salary Details for a Franchise Owner at 7-Eleven The estimated base pay is $81,982 per year. The estimated additional pay is $58,226 per year.

Are you ready to be a franchise owner?

You should take some time to assess your personal goals, financial health and reasons for seeking business ownership. Here are some questions you can ask yourself:

How long do you have to provide a franchise disclosure document?

According to the Federal Trade Commission, franchisors must provide this document to a prospective franchisee at least 14 days before signing a contract or accepting any fees.

What is a great clip?

Great Clips is a haircutting service. Franchise owners receive the latest updates in technology and training along with the name recognition that comes with having been around for over 30 years.

Why is UPS a good franchising company?

UPS Stores help people send and receive packages. It is one of the better franchising options due to its financial stability and brand recognition.

What is chem dry carpet cleaning?

Chem-Dry Carpet Cleaning is one of the most popular carpets and upholstery cleaning services in the world. They have over 3,000 franchises and are always looking for new, great owners.

How long does it take to get a 7-11 franchise?

7-Eleven is one of the most popular convenience stores in the country. Getting started with a 7-Eleven franchise takes a few months and it comes with training. Brand recognition is also strong with 7-Eleven.

What is Ben and Jerry's ice cream?

Ben and Jerry's is an ice cream brand well-known for its fun flavors and socially conscious practices. Franchise owners open up a local shop and serve the brand’s unique desserts to customers.

What is chem dry?

Chem-Dry is the world's leading carpet and upholstery cleaning company with over 3,000 franchises in over 50 countries. Get more information today about Chem-Dry!

What is Superior Wash?

Superior Wash is the leader in on-site commercial truck and company fleet washing. With 25 years experience and the best franchisee support systems, our franchisees have a distinct advantage over what little competition there is. Learn more about this exciting opportunity.

What is ground guys?

The Ground Guys® represents a business ownership opportunity in a familiar, stable industry. We allow franchise owners to experience the lifestyle they’ve always desired full of freedom, flexibility & infinite possibility. Our franchise owners are not in the lawncare business managing people, they’re in the people business handling lawncare.

What is N-Compass TV?

N-Compass TV has created a network of community-based entrepreneurs who have a business in Indoor Digital Billboards. Screens are placed inside popular places of business in a protected territory. Advertising is then sold to local businesses for exposure to consumers in the area. These ad sales result in residual monthly income.

What is tread connection?

Tread Connection is the leader in mobile wheel and tire services. We offer customers convenience and service unmatched in today’s automotive industry. If you have the drive to grow your own business, here’s the opportunity to be an industry changer by partnering with Tread Connection!

What is synergy homecare?

SYNERGY HomeCare offers compassionate entrepreneurs a most personally and professionally rewarding franchise opportunity. Our industry-leading franchise systems position you for explosive growth over the next two decades as the Baby Boomers reach their senior years. The opportunity is obvious, and timing could be perfect for you.

What is concrete technology?

Concrete Technology is part of the multi-billion dollar industry of concrete restoration and beautification. We are dedicated to training you for your success. Learn more about the costs, benefits, and available locations today!

What is the purpose of the list of franchisees in the exhibits section?

Also, in addition to finding out about the franchise brand’s strength as noted above, it’s wise to use the list of franchisees in the Exhibits section to talk with people who are already living the life you want to live as the franchisee of a certain brand.

What is the FDD for franchises?

The FDD, which all franchises are required to give to a potential franchisee no less than two weeks before any contracts are signed, covers different facets of the franchise operation from costs to obligations and more. Items 5 through 7, specifically, cover the initial investment and ongoing costs of a franchise.

How to find out how solid a franchise is?

Beyond researching the brand and marketing aspect of a franchise via secondhand information, you can discover more about how solid a franchise is by speaking with current (and in some cases former) franchisees of a brand. This task is made somewhat easier by the presence of a list containing the contact information for all of a franchise system’s franchisees in the United States in the Exhibits section of the FDD.

What is the draw of being a franchisee?

You have to put in the work to be successful, but part of the draw of being a franchisee is that there is an entity there to help guide you. Within Item 11 of the FDD, there is an overview of the support a franchise gives to its franchisees, including training. Review this section carefully and don’t be afraid to ask the franchisor if you have any questions.

Why are royalty fees important?

Furthermore, royalty fees play a very important part in the future development of the franchise system . If the franchise isn’t gaining enough money in royalties, it risks not being able to adequately keep up with sustaining the franchise through the years.

What are the pillars of a franchise?

Entrepreneur suggests taking into account five areas that it refers to as pillars: 1) start-up costs and fees; 2) size and growth; 3) brand strength; 4) support; and 5) financial strength and stability.

What does item 5 through 7 cover?

Items 5 through 7, specifically, cover the initial investment and ongoing costs of a franchise. The Wall Street Journal suggests franchise owners being prepared to pay at least 20% of the initial investment from your own money. And remember, not all franchise businesses turn a profit right away.

What is the Kumon method?

The Kumon Method for improving math and reading comprehension was first created in 1958, based on a curriculum developed by Toru Kumon in Osaka, Japan. Today, Kumon Math and Reading Centers help students learn critical math and reading skills that prepare them for more complex concepts later on in their education. With a low cost to entry and high demand, Kumon can be a great opportunity to help students get a leg up on their education, while also creating a great business opportunity for prospective franchisees.

What is franchise investment?

All franchises come with some kind of investment, which usually comprises corporate fees, startup costs, real estate, staff, equipment and other expenses, too. Your investment will be contingent on several things, but the two most important are the mandatory expenses set by the parent company to get up and running as well as the regional expenses that dictate costs (in other words, some markets are more expensive than others).

How many states does Sonic have?

Sonic is an American fast-food staple with unmissable branding, mostly fueled by their drive-in style of service and unique soft drinks. With franchises in 46 states, Sonic offers a strong franchise opportunity that comes with a cult following for their unmistakable menu items (cherry limeade, anyone?) as well as core staples that customers expect and love.

What is Keller Williams?

Keller Williams has a reputation for providing real estate agents with opportunities to grow professionally while helping their clients find their dream homes. The company began in 1987 and has been attracting agents through profit-sharing agreements and other perks, which can make it easier for franchise owners to recruit and retain top talent.

What type of loan do entrepreneurs take?

Many entrepreneurs choose to take advantage of a business loan, including SBA loans, business lines of credit, term loans and equipment financing. To begin, check out the best franchise financing options.

Is Anytime Fitness a franchise?

Few fitness franchises are as hot right now as Anytime Fitness. This gym franchise focuses on offering group workouts as well as solo workout equipment. Best of all, the franchise provides members with a keycard to access the gym during off-hours, allowing people to work out on their schedule. Operating costs are low, and name recognition is high — so high, in fact, that there are currently 4,000 locations worldwide.

Is Ace Hardware a good franchise?

Ace Hardware is an excellent franchise prospect for providing an antidote to the big-box home improvement store experience, which is typically marked by unhelpful staff and overwhelming product choices. Instead, Ace Hardware locations pride themselves on hiring staff that put customer service at a premium and keeping product choices to a reasonable selection. Their franchises make it easier for local hardware stores to remain competitive against mega-stores by way of their cooperative structure and store-brand products.

What is Showhomes home staging?

If you’ve ever watched HGTV and marveled at all those beautifully decorated homes, Showhomes Home Staging could be the franchise for you. The company takes vacant and other homes for sale and revamps them with temporary furnishings and accessories so that they look neat, clean, and stylish.

How many franchises does Image One have?

Who knew cleaning could be lucrative. Image One is a commercial cleaning service started in 2010. It started franchising the following year and now has 103 franchises across the country. For $15,000, franchisees get training in the proper commercial cleaning methods, equipment, cleaning supplies, billing and paperwork, money collecting, marketing, and on-going support. The company also offers help with obtaining insurance and discounts on additional supplies and equipment.

What is a cruise planner franchise?

Cruise Planners franchisees sell full-service vacation packages, including cruises, land-based vacations, trip insurance and car rentals. The Coral Springs, Florida-based company was started by veteran travel agent Michelle Fee in 1994 and began franchising in 1999. Getting started costs $10,995 and includes a six-day in-person training course in Fort Lauderdale, Florida, ongoing home office support and $1 million in insurance.

How much does it cost to get a staged home?

A survey by Coldwell Banker Real Estate found that staged homes spent half the time on the market than ones that weren’t staged and sold for more than 6% above the asking price. Potential franchisees can get started for $10,000 which includes in-person training at the company’s Nashville headquarters, proprietary CRM software, website creation, hosting, and SEO, and a one-on-one business coach.

How much money do you need to open a McDonald's franchise?

All that convenience, however, can come with a hefty price tag. To open a Taco Bell or McDonald’s franchise, for example, you have to have at least $750,000 in liquid assets. To open a KFC, your net worth has to be at least $1.5 million. The average initial franchise investment is $250,000, excluding real estate, says the IFA, and average royalty fees paid by franchisees range from 3% to 6% of monthly gross sales.

Why do people buy franchises?

One of the most appealing reasons to buy a franchise is that you’re buying a proven concept rather than starting a business from scratch. The operating details, marketing plan and advertising campaigns all have been developed and tested by the franchisor, and often you can connect with numerous other franchisees to gauge what it takes to be successful.

How much does a realtor charge to sell a house?

Most real estate brokers charge a commission, ranging from 3% to 6% or more , to sell your home based on the sale price. Help-U-Sell Real Estate, established in 1976, has a different playbook. It was the first fee-for-service real estate franchise in the country, meaning that it charges a flat fee for its services to list, market and help close on the sale. Franchises cost $15,000 to get started and include training, front- and back-office support, marketing supplies and ongoing coaching.

How much does it cost to become a chem dry franchise?

Costs to become a Chem-Dry franchise owner can vary widely depending upon your starting equipment purchases—but some franchisees have begun the process for as little as $56,495, including the franchise fee. Fortunately, if you decide you're interested in opening a Chem-Dry franchise and need help with the initial investment, this franchisor offers internal financing options to help you get started.

What is stratus building solutions?

Stratus Building Solutions focuses on bringing environmentally friendly solutions to meet the janitorial needs of office buildings, retail shopping centers, restaurants, and more. This franchise started in 2006 and brought on 91 units in 2017 alone.

What is an ongoing investment?

Ongoing investment - This is the money you'll need to run the franchise on an ongoing basis. Personal finances - A few franchises require the owner to have a minimum net worth before they're eligible to purchase a franchise. Others have liquidity requirements.

What is franchising a company?

For one thing, a franchise already has an established brand and customer base. The parent company—or franchisor as they're called more commonly—has already done some of the hard work, such as creating the business concept, designing the logo, and developing marketing materials.

How much does it cost to buy a franchise?

Each of these franchises has an upfront franchise fee of $50,000 or less and a total initial investment of $110,000 or less.

Where is Superglass Windshield Repair located?

Based in Orlando, with locations operating worldwide, SuperGlass Windshield Repair is among the best inexpensive franchises to buy. Focusing on mobile service has allowed this franchisor to keep pace with customer demands, while also keeping startup and overhead costs low for franchisees.

How many mosquito squads are there?

Founded in 2009, Mosquito Squad is one the best-known names in pest control nationwide. Since that time, they have over 200 franchise locations and $50 million in sales. Their franchise fee is cheap, plus Mosquito Squad has third-party lender relationships to help facilitate financing, making it easy to get into business ownership.

What is a franchise agreement?

Your formal contract is called the franchise agreement, and it’s a document you should review very, very carefully. This is a binding document that lists your fees, obligations and more. If you have any questions, now is the time to ask them.

What is a scout location?

Scout a location. A location is a prime part of opening a franchise — and succeeding. You’ll want to consider whether you’re renting a space or buying a building (though most owners rent, at least in the beginning). Of course, you also have the option to run your business from home if you’re not client-facing.

What is a franchise discovery day?

If possible, attend a Discovery Day. A large portion of franchises, both big and small, offer what’s called a “Discovery Day” in which prospective franchisees spend time at the corporate headquarters or in an existing franchise location.

What are the parts of owning a franchise?

There are a few different parts of owning a franchise, including doing your research, getting hands-on, understanding your finances and launching your business. Understanding each is key to picking the right franchise and getting off on a positive foot for future success.

Why is it important to have a consistent experience across locations?

No matter how well you do, you’ll always be paying some form of franchise fees to headquarters, which means all of the money you make isn’t your own.

Is lack of flexibility a problem for entrepreneurs?

A lack of flexibility may also feel a bit stifling for some entrepreneurs; the corporate framework can be very helpful at times, but if you want to break out of the box with new ideas or offerings, you might not be able to. After all, you’re representing not only your business, but also a larger company as a whole.

Is it bad to own a franchise?

Potential drawbacks to owning a franchise. Of course, owning a franchise isn’t all roses. First and foremost, there’s the upfront cost. Franchises can be expensive, especially in high net-worth and busy markets, which means a big investment for a business that isn’t established yet.

Start-Up Costs and Fees

• The first question on the path to finding the best franchise for you to buy is: Can I afford it? One of the best places, if not the best place to start your research into how much a franchise will cost you to open is the franchise disclosure document (FDD) of the brand you are interested in. The FDD, which all franchises are required to give to a p...

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Size and Growth

Brand Strength

Franchisor Support

Financial Strength and Stability of The Franchise