Franchise Industry Facts

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In the United States, there are an estimated 3,000 different franchisors.

In the United States, there are over 1 million franchised locations owned by franchisees.

The Franchise Industry employs over 25 million people in the U.S.

In 2009, it is estimated that the franchise industry contributed over $2.5 Trillion in contribution to the U.S. GDP.

Almost 6% of all privately owned businesses in the USA are franchises using a prescribed, consistent business model.

The franchise industry accounts for approximately 40% of all retail sales in the US.

A Franchise opens every eight minutes each business day.

The Average Franchise Owner in the United States Earns $70,000 per year.

Franchising is defined as a Method of Distributing Goods and Services to Markets.

Franchise Investments average $150,000 in the 2010 marketplace – excluding real estate.

Average Royalties paid from Franchisees to Franchisors range from flat monthly fees to % basis – (2% – 25%).

The Number One Ranked Franchise By Entrepreneur Magazine is Subway.

The average length of a franchise contract is 10 years.

Singer Sewing Machine Company launched the first franchise model by selling their machines through franchised sales territories.

Franchises provide franchisees with a significantly higher chance of succeeding in business than do independent start up businesses.