Franchising has always been an excellent way of making money. If you’re well-versed in a particular industry but can’t compete against the current participants, these types of companies are just the thing for you.
Franchises are an interesting option if you’re looking to mitigate business risks. You gain access to a business with a proven track record, and all you need to do is steer the ship.
Yet, the truth is not every business is suitable for a franchise. These types of organizations are prevalent within the food and cleaning industries, but they aren’t good for something like heavy machinery. In this article, we’ll take a look at 8 most popular franchise industries and how you may benefit from them.
Food & Restaurants
Restaurants and food vendors are tailor-made for franchising. Fast food chains, in particular, are notorious for being almost always franchised. We all know how successful McDonald‘s, Wendy’s, and Pizza Hut’s business models are.
You can offer just about anything from coffee to donuts, burgers, and other goodies. Although there has been a major shift toward healthy food in the last few years, this hasn’t affected profitability.
Cleaning is another thing that is really easy to pull off. The majority of homeowners in the US prefer hiring a specialized company because these organizations are well-run compared to individual entrepreneurs, and have processes in place to ensure their approach is uniform. This is especially important if you’re running a business and require commercial cleaning.
When looking to franchise this type of business, consider your location, and the needs of the population. Examples of cleaning franchises include, Compass Cleaning Solutions franchise, which offers its customers a wide range of services. Having variability in options for customers can also expand the potential client base you’re hoping to serve.
Another factor to consider is the socio-economic status of the area where you hope to open this kind of franchise. Cleaning services can be costly. Not everyone can afford to hire one regularly. Factor this into your decision for franchising.
In the last few years, companies have been focusing more and more on healthy living. We can notice this trend in just about any business. So, it isn’t surprising that fitness and bodybuilding franchises are becoming more profitable.
An example of a popular fitness franchise is Anytime Fitness. This organization offers individuals group workouts but also equipment for individual exercising. Perhaps the best thing about Anytime Fitness is that you get a personal keycard that would allow you to enter a premise at any time of the day.
Given how busy professionals can be, plus varied work hours, especially with work-from-home culture soaring, a 24-hour fitness business can be highly desirable. Think about the needs of those who prioritize fitness when deciding on locations.
Education is a big concern for any parent. Families are willing to spend tens of thousands of dollars each year just so their child can get a good head start in life.
In the last few years, there has been an increasing trend in early childhood schools. As the competition in the job market becomes fiercer, parents are willing to invest more in child care and early education. Examples of school franchises include Primrose Schools, or Kiddie Academy.
Retail franchising is a massive business in the US, bringing in trillions in revenue (as of 2019), and employing millions of people.
While there is fierce competition in the retail sector, an advantage to considering a franchise here is that there are numerous options to choose from. Then, like with all franchises, you know you are getting a business with a proven concept.
A downside to opening a retail franchise is that brick and mortar stores must compete with online stores, and start up costs can also be high. Depending on the retail sector you choose, your customer base may also be fickle. Consider the fashion industry. Trends come and go, and people change their minds on what’s in or not day-by-day.
Senior care is another major business in the United States. The American population is aging. By 2040, approximately 21% of the population will be older than the age of 65. Many of these elderly citizens live in underserved areas, or have limited access to healthcare. This necessitates out-of-hospital care facilities to support them.
As a result, elderly care companies will continue to expand and increase their reach.
Although it sounds like accounting and finance are not ideal for franchising, there’s a good reason why entrepreneurs invest in these types of licenses. Simply put, when you buy one of these businesses, you don’t have to think about marketing. This puts you at an advantage over smaller, local financial entrepreneurs.
Furthermore, these franchises offer an umbrella of services so your future clients can get all the financial assistance in one place.
Today, there are numerous real estate franchise businesses that can present a great opportunity for young entrepreneurs. Pillar to Post is a home inspection business that specializes in analyzing properties’ features, drawbacks, and advantages.
Keller Williams is another agency that made a solid name for itself. Unlike the previous organization, this franchise identifies top real estate agents and provides training.
Given the explosion of the real estate markets around the country, these real estate franchises could present a unique opportunity to capitalize in these new areas.
Building a business or becoming an entrepreneur doesn’t necessarily have to mean that you start something from scratch. Franchising an already established business allows you to build and expand a successful formula. You’ll be part of an empire and have a piece of it for yourself and your family.