Now more than ever, individuals who desire to own their own business are turning to franchising rather than attempting to start a business on their own. Consider the following:

  • There are 732,000 franchise establishments.

  • 7.6 million jobs come directly from franchise establishments.

  • 13.2 million jobs are because of franchising.

  • One out of every 12 Americans in the private sector works in a franchise business or has a job because of franchising.

  • $674.3 billion of economic output comes directly from franchise establishments.

  • $1.64 trillion of economic output is because of franchising.

  • 5 cents out of every dollar of economic output in the private sector is because of franchising.

  • $404.6 billion of Gross Domestic Product (GDP) comes directly from franchise establishments.

  • $925.9 billion of Gross Domestic Product (GDP) is because of franchising.

  • It is estimated that food and beverage franchises account for 36% of the establishments and 48% of the annual financial output of the U.S. franchise industry.

  • Approximately one out of every 10 businesses in the U.S. is a franchise business.

  • A new franchise business opens every 7 minutes of every business day.

  • According to Franchise World Magazine, a franchise business has a 92% success rate after 5 years compared to a 23% success rate of an independent business after the same period of time.

  • Although only 3% of businesses in North America are Franchises, 40% of retail and service business is conducted by those franchises every year.

Franchising Defined

Franchising Defined

Review the FTC's definition of a franchise and why franchising is one of the most successful expansion methods for many different types of businesses.

Benefits of Franchising

Benefits of Franchising

There are many benefits associated with franchising a business. Review the key benefits here.

15 Key Questions

15 Key Questions

We invite you to complete our 15 Key Questions Quiz to assist you in determining if franchising is the right method of expansion for your company.

Business Expansion Methods

Business Expansion Methods

We share the pros and cons of franchising and four ``non-franchise`` business expansion methods--licensing, joint ventures, partnerships and corporate-owned locations.