Building a business, growing a brand while managing day-to-day operations, keeping it profitable and still getting enough sleep is nearly impossible for us mortals. Some businesses, like many consumer products, now come in something like a “plug and play” solution: a franchise.
Having a recognisable brand, a ready-made business plan, as well as training can help you capitalise on market demand without spending long years and a lot of money establishing your business and brand.
Franchising can have considerable benefits. Usually little or no experience in the industry is needed to get started with a franchise, although some prior knowledge of business helps says Franchise Business Review CEO and Managing Director Eric Stites.
Here are some of the hot franchise picks that are most likely to shine in high growth categories in the coming years.
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Franchise Cost: $37,200 – $1.6 million
The international convenience store chain is well known and simple with over 53000 franchises across the world. Customers know what to expect when shopping at 7-Eleven, and that business model has always worked for the store. “Most franchise systems require royalty payments based on a percentage of sales. With the 7-Eleven system, you pay royalties based upon the store’s gross profit, that is, net sales receipts less the wholesale cost of the merchandise you sell,” according to 7-Eleven.
Franchise Cost: $78,700 – $371,000
With over 2 million members in 2,885 sites across the globe, customers have 24 hour access, 365 days a year. With the secure access key and Anytime Fitness state of the art security systems, customers can feel comfortable visiting thousands of locations at no extra cost. The chain credits its top ranking to, “financial strength and stability, growth rate, and size of the system,” according to its website.
Jimmy John’s Gourmet Sandwiches
Franchise Cost: $33,000 – $558,000
Although the big and fat franchises like McDonald’s and KCF still rule the nation, the health trend seems to have an effect and people are moving toward sandwiches and salads. A franchise that’s over 30 years old, JJ’s Sandwiches has thousands of shops across America selling fast and delicious sandwiches. And it just keeps growing. The reason is probably the extensive support and the franchise working closely with franchise owners, guiding them to success.
Franchise Cost: $116,600 – $263,200
True, there’s a Subway pretty much everywhere, but this health trend is actually more than a trend and probably here to stay. This 50 year-old brand with branches in over 100 countries worldwide, remains one of the leading global sandwich chains. The company started making its menu healthier in recent years, which is also helping to attract customers. It’s expanding globally, and many look to be a part of this expansion.
Franchise Cost: $1.2 million – $2.6 million
Like many of the other top franchises, Taco Bell has incredible brand awareness that attracts customers nationally. The Mexican chain has a large peer network of 350 franchisees, and 35% of them have more than 25 years of experience. This support system is helpful when building a business.
Franchise Cost: $413,300 – $1.3 million
Church’s is one of the largest chicken chains recognised around the world. The company is aiming for widespread, rapid growth, so they really support their franchisees. Church’s encourages those with an entrepreneurial spirit to join the successful chain.
Franchise Cost: $3.7 million – $13.5 million
Owned by Hilton, Hampton is a growing hotel chain with serious expansion plans in the US and beyond. Customers like knowing what to expect for their money and, especially when it really counts, will prefer to play it safe. This is where the strength of a franchise brand can really come in handy. Hampton offers tremendous assistance to its franchises, including training, ongoing support with launches and evaluations, and marketing support.
Franchise Cost: $144,000 – $297,000
The beauty & cosmetics industry is also being taken over by franchises, with hair styling services leading the way. The growth of this franchise has been fuelled greatly by its efforts to get franchise owners to expand operations. Hence, many Supercuts franchisees own more than one store, sometimes even up to five from the various brands included under Regis Corp., the owner of Supercuts.
Franchise Cost: $3500 – $75,800
Another clear sign of the health trend getting stronger is the continued growth of gym and fitness franchises. Jazzercise revolutionised the workout industry in the 80s, making it one of the most popular, trusted forms of exercise. It’s gained a cult-like following over the years, and its dance parties are still increasingly popular. Opening a Jazzercise is relatively inexpensive, which draws in many entrepreneurs.
Franchise Cost: $3100 – $50,900
Jan-Pro is a cleaning service company with clients in 13 countries and more than 11,000 franchises. The company offers both international and home-based franchising opportunities. Using the Jan-Pro Tracker System, the company ensures that it provides clients with the best customer service possible. This franchise has been the fastest growing one since last year, across all industries, according to Entrepreneur.com
The franchise categories that showed most growth are fast food, hair styling, fitness centres and cleaning services. This trend is going to continue next year, but your choice of brand should not be based just on growth percentage and popularity. Your location, available capital should help steer you in the right direction.