Top 10 Fastest Growing Franchises
How Many Did Stores the Top Franchises Open Last Year?
Thinking about buying a franchise this year? Many entrepreneurs try to avoid the fastest growing franchises in their purchasing decisions, fearful of market saturation and increasing competition in the marketplace.
In fact, fast-growing franchises are a plus for entrepreneurs looking to invest: these are companies willing and able to work with new franchisees, as evidenced by their track records and financial successes. Additionally, the costs associated with being a franchisor for a fast-growing company are (generally) lower than less established franchisors, and the name-brand recognition is high.
So without further ado, the Top 10 Fastest Growing Franchises in 2006 were (all numbers preceding franchise names are the amount of franchises opened in 2006, according to the January 2007 edition of Entrepreneur Magazine):
1. 1690 - Subway
Franchise startup costs: $75,000 - 223,000 with $15,000 of that as franchise fees. All U.S., Canadian and foreign regions considered or available. 8% royalties.
2. 1265 - Jan-Pro Franchising International Inc. (commercial cleaning)
Franchise startup costs (from website): "On average, the cost for a Master Franchise territory or major metropolitan area is based on $17,500 for every 100,000 in population." Canadian and U.S. regions available, with these locations already taken. 10% royalties. Also #8 on the Top 20 Low-Cost Franchises according to Entrepreneur Magazine.
3. 682 - Dunkin' Donuts.
Requires liquid assets of $750,000 for 5 franchises, with $1.5 million total net worth to open a franchise. Also has specific demographic, site and lease requirements. Great franchise territory map which lists territories available as well. 5.9% royalties.
4. 595 - Coverall Cleaning Concepts.
Franchise startup costs: $6,500 - 36,000 with $6-32,000 of that as franchise fees. All U.S., and Canadian regions considered; internationally only master licenses are available at this time. 5% royalties. Also #20 on the Top 20 Low-Cost Franchises according to Entrepreneur Magazine.
5. 536 - Jazzercise, Inc.
Specific franchising and business-related costs to expect for first-time franchisees listed here, including "initial franchise fee of $1,000 in the U.S. and $500 in other countries" and monthly franchise fee of 20% of all revenues. One of the most inexpensive franchises to buy into (#12 according to Entrepreneur Magazine).
6. 508 - Jackson Hewitt Tax Service.
Complete franchise investment calculated for interested parties here; small markets franchise fee is approx. $10,000, medium markets $16,500 and regular markets are $25,000. Also #1 on the Top 20 Low-Cost Franchises according to Entrepreneur Magazine.
7. 425 - RE/MAX International Inc.
Franchise startup costs: $25-199,000 with $13-25,000 of that as franchise fees. All U.S., Canadian and International regions considered. Royalties vary. Also #2 on the Top 20 Low-Cost Franchises according to Entrepreneur Magazine.
8. 405 - CleanNET USA Inc.
Franchise startup costs: $11,300 - 34,100 with $8.6-16,300 of that as franchise fees. All U.S., Canadian and International regions considered. 3% royalties. Also #13 on the Top 20 Low-Cost Franchises according to Entrepreneur Magazine.
9. 281- Bonus Building Care.
Franchise startup costs: $7,200 - 13,600 with $6,500 of that as franchise fees. All U.S., Canadian and International regions considered. 10% royalties. Also #10 on the Top 20 Low-Cost Franchises according to Entrepreneur Magazine.
10. 280 - Jani-King. (commercial cleaning)
Franchise startup costs: $3,900 - 36,000 with $3-32,000 of that as franchise fees. All U.S., Canadian and International regions considered. 10% royalties, however, as stated on their franchise website, "Jani-King offers new Franchisees a range of fees based on the amount of initial business offered by the local Regional Support Office." Also #3 on the Top 20 Low-Cost Franchises according to Entrepreneur Magazine.
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