Franchising Facts

Percentage Of All Retail And Service Sales Through Franchise Outlets:
Currently at 35%; it is estimated that 40% - 50% of all retail and service sales will be through franchise outlets by the year 2010.

Number Of Franchise Outlets:
Currently at 650,000; this number is estimated rise over 1,000,000 by the year 2010.

Number Of Companies That Franchise: Currently there are approximately 5,000 companies that franchise; due to the increasing awareness and popularity of the franchise concept, this number is expected to grow to 9,000 by the year 2010.

Dollar Sales Through Franchise Outlets
Currently at $1 trillion in the U.S., it is expected to reach $2 trillion dollars by the year 2010.

75 industries use franchising to distribute goods and services to consumers.

Average initial investment level for nearly 8 out of 10 franchises, excluding real estate, is less than $250,000.

Average royalty fees range from 3% to 6% of monthly gross sales.

Most franchise companies have fewer than 100 units.

Average length of franchise contract is 10 years.

Top 10 Franchise Industries*

1. Fast Food
2. Retail
3. Service
4. Automotive
5. Restaurants
6. Maintenance
7. Building & Construction
8. Retail – Food
9. Business Services
10. Lodging

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