In 2005, Franchising Helped Power SMB Market, According
to Entrepreneur Magazine's 27th Annual Franchise 500(R)
Wednesday January 4, 9:05 am ET
IRVINE, Calif., Jan. 4 /PRNewswire/ -- Entrepreneur magazine's
27th annual ranking of the top franchise opportunities in the
United States reveals that 2005 saw phenomenal growth in the
franchise industry - growth that helped power the small and
medium business (SMB) market to new heights. In 2005, Franchise
500® companies brought in a combined total of $134.2 billion in
sales. There was also an 11% increase in the number of franchise
units between 2004 and 2005 - nearly three times the percentage
of growth that occurred between 2003 and 2004. The growth in all
franchise categories across the board shows that franchising was
a major force in the growth of SMBs in 2005.
Spurring this growth are several market factors: more and more
individuals are seeking to realize their entrepreneurial dreams,
jaded corporate employees are ready to apply their business
savvy and skills to their own businesses, and there is a
generation of baby boomers who are not quite ready to retire. In
addition, experienced entrepreneurs are increasingly embracing
franchising as a way to expand their existing businesses, while
well-known franchise companies and new franchises are looking to
fill gaps in the marketplace. All of this has added up to
exceptional growth and lots of potential for those looking to
become business owners.
Among the hottest franchise categories Entrepreneur's annual
ranking revealed are do-it-yourself meal preparation businesses,
eBay consignment stores, pet products and services, kids'
specialty services, and fitness and weight-loss businesses.
Top 10 franchises for 2006
1) Subway
2) Quiznos Sub
3) Curves
4) The UPS Store
5) Jackson Hewitt Tax Service
6) Dunkin' Donuts
7) Jani-King
8) RE/MAX Int'l, Inc.
9) 7-Eleven Inc.
10) Liberty Tax Service
For the 14th time, Subway has been named the number-one
franchise in Entrepreneur's Annual Franchise 500®. Founder Fred
DeLuca realizes this is a collaborative win, saying, "Franchisee
energy is really amazing in what it brings to the organization.
We're very much in the people business in that there are two
important groups you have to work with: customers and
employees." With 20,740 North American locations and more than
2,000 inquiries from potential franchisees each week, Subway is
poised for continued growth.
This year both the No. 1 and No. 2 ranked franchises are
sandwich shops. Quiznos Sub, last year ranked No. 3, took a step
closer to toppling its primary rival by moving up to the No. 2
spot.
About the Franchise 500®
Entrepreneur's Franchise 500® is the world's first, best and
most comprehensive listing of franchise opportunities. Franchise
500® rankings are determined by numerous factors, including
financial strength and stability, growth rate and size of the
system, number of years in business and length of time
franchising, start-up costs, litigation, percentage of
terminations and whether the company provides financing.
For the complete story and listing, pick up a copy of the
January 2006 issue of Entrepreneur magazine or read about it on
Entrepreneur.com at
http://www.entrepreneur.com/franchise500.
About Entrepreneur Media Inc.
Entrepreneur Media Inc. is an organization of people dedicated
to empowering entrepreneurs worldwide to start and grow
successful companies. To provide entrepreneurs with the relevant
information they need to make informed decisions, Entrepreneur
Media Inc. offers a full range of products and services.
Products include: Magazines - Entrepreneur, Entrepreneur's
Startups, Entrepreneur Mexico, and Entrepreneur Philippines;
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EntrepreneurPress.com and Freebks.com; Book Publishing -
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Guides; Also - Conferences and Custom Publishing.
Other products and brands are registered trademarks or
trademarks of their respective owners/companies.
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Source:
Entrepreneur Media Inc.
