Best Franchises To Own: The Top 12 To Buy In 2021
Nashville, Tennessee - ( NewMediaWire ) - December 20, 2020 - Consumer-Guardian.org announces the release of the report “Best Franchises To Own.”
Continue reading to find out more about the top 12 franchises to own. Skip ahead to the pricing comparison for the top franchises.
- #1 McDonald’s
- #2 Dunkin’ Donuts
- #3 UPS
- #4 7-Eleven
- #5 Taco Bell
- #6 Pearle Vision
- #7 Sonic Drive-In
- #8 JAN-PRO
- #9 Dream Vacations
- #10 Ace Hardware
- #11 Supercuts
- #12 Anytime Fitness
Top 12 Most Profitable Franchises in 2021
The following 12 franchises represent a diverse list of over a variety of industries. These particular franchises do not necessarily represent the most profitable, though each has the ability to turn a serious profit with the right entrepreneur.
Estimated Initial Investment/Franchise Fee: $1.5 million
When it comes to brand recognition, McDonald’s is certainly at the top of the list. It would be difficult to find a franchise with better brand recognition. When you own a McDonald’s franchise, no matter where in the world you are, you already have a loyal fanbase built-in.
As many smart business owners know, having a loyal fanbase means generating a good profit.
Of course, it is important to know that purchasing g a McDonald’s franchise requires a serious initial investment. Those who have limited access to funding a franchise may find this particular pathway a difficult one.
Franchisees need to have a minimum of $500,000 in liquid assets to be considered during the application process. Franchisees must also put down a cash payment of 25% to secure the location.
Estimated Initial Investment/Franchise Fee: $1 million
Dunkin’ Donuts is similar to McDonald’s in that brand recognition is incredibly strong. In the Northeast especially, Dunkin’ Donuts coffee shops have a huge fanbase. Some people believe it to be a true cultural institution of the region.
Like McDonald’s, Dunkin’ Donuts franchisees benefit from a top-notch support system from Dunkin’ HQ. However, it also requires a serious initial investment. Candidates must have at least $250,000 in liquid assets to spare, as well as a minimum net worth of $500,000 for every unit.
The franchise fees depend on the state and location. Those in less sought-after areas may find the barrier to entry easier to break. Dunkin’ provides particular initial franchise investors with discounts, including those who are planning on opening multiple locations or qualified veterans.
Estimated Initial Investment/Franchise Fee: $250,000
Over the past three years, the UPS Store has ranked within the top five on the Entrepreneur Magazine Franchise 500 List. With top-notch support for new franchisees, comprehensive training, name recognition, and a wonderful reputation, UPS is a very powerful franchise.
It does not require the same initial investment as opening up a fast-food franchise like the above two, all while providing the same name recognition and incentives.
Guidant Financial recently partnered with UPS to offer qualified investors financing for franchise purchases. Guidant Financial also provides special veteran financing, as well as financing for those planning to open stores in rural areas.
People applying must have at least $60,000 upfront.
Estimated Initial Investment/Franchise Fee: $500,000
The 7-Eleven name is certainly a household name. In fact, the brand holds the title as the number one convenience store in the world. Even after many decades of serving consumers, the growth that the store sees is impressive.
Thanks to the company’s turnkey store design, an operator can get started in as little as three months. These three months include application, training, and testing.
Estimated Initial Investment/Franchise Fee: $1.7 million
Taco Bell might just be one of the most successful 20th-century restaurant concepts. The history of Taco Bell dates back to the 1950s. A Mexican food business started by Glenn Bell in Downey, CA, became extremely popular. Eventually, the restaurant concept would go on to become a worldwide sensation.
As of now, the company is the industry-leading Mexican-style quick-service fast-food chain. The chain is owned by Yum! Brands Inc. Each stand-alone restaurant costs somewhere between $1.2 million and $2.6 million without the costs of land or leasing.
The company offers a top-notch training program that centers around brand training, as well as a variety of Yum! University quality leadership courses.
Estimated Initial Investment/Franchise Fee: $500,000
Pearle Vision was founded back in 1961 and quickly became one of the most revolutionary franchises in the world of eye care. It was the first business to meld the medical and retail experience. It continues to be one of the most successful franchise opportunities in the modern world.
Pearle Vision was purchased by the world’s most prominent eyewear brand, Luxoticca, providing Pearle Vision franchise owners with access to a supreme range of sunglasses, designer glasses, and more.
What does this mean for the entrepreneur? Well, this accessibility is simply a way for franchise owners to generate serious revenue.
Estimated Initial Investment/Franchise Fee: $2.5 million
The Sonic drive-in Chain is known for high-quality customer service and operational excellence. From 2012 to 2018, the brand saw the average gross sales per store increase from $1,072,000 to $1,256,000.
It is similar to many businesses within the fast-food industry, as it has incredibly strong name recognition with loyal fans all over the United States. There are more than 3,500 locations sprinkled across the United States.
Beyond having one of the strongest brand names in fast-food, it is highly-regarded as a technological innovator. From cutting-edge POS systems to mobile apps to online delivery to interactive menus, it might just be one of the most forward-thinking fast-food brands on the list.
Estimated Initial Investment/Franchise Fee: $4,000 - $50,000 (depending on franchise type)
JAN-PRO is a commercial cleaning franchise, offering some of the best cleaning services for other businesses. They are a bit different from other franchises on the list, as they offer multiple franchising options.
These franchising options include international master franchise, executive business franchise, and home-based franchise. As of right now, JAN-PRO is the number one commercial cleaning business in the country with top-of-the-line support, flexibility, and income.
Estimated Initial Investment/Franchise Fee: $10,000
Dream Vacations is one of the top home-based travel agency franchises around. The beauty of Dream Vacations is that it does not have any inventory or overhead for the franchisee to worry about, keeping the initial business investment very low.
In fact, many franchisees are able to launch a franchise business through Dream Vacations with only $3,500, making it one of the best low-cost franchises around.
Dream Vacations is a highly-recommended franchise for veterans, thanks to the fact that the company provides discounted investment prices.
Estimated Initial Investment/Franchise Fee: $600,000
There are three types of franchise opportunities available through Ace Hardware. Every franchisee has the option to open a brand new Ace Hardware location, convert a current space into an Ace Hardware, or open an ace Hardware Grocery.
Ace Hardware Grocery converts space that was previously unused into an Ace Hardware, creating an additional store within an existing store.
The third option is the best business opportunity for those who don’t want to spend a lot. It is worth noting that Ace Hardware waives the initial franchise fee for veteran buyers too.
The unique Ace Hardware business model creates an excellent opportunity to create profit through new franchise locations or conversions. Thanks to the marketing support, training, and name recognition of the Ace company, as well as the incredible supplier network, raking in substantial income after the purchase is quite easy.
It is also important to note that Ace hardware does not collect royalty fees every month as most companies do. Not having to deal with the franchise fee can cut out huge expenses every month.
Estimated Initial Investment/Franchise Fee: $200,000
When it comes to salon franchises, Supercuts might just be one of the most recognizable names in the game. The company has been in business for more than 40 years at this point, with over 2,600 stores throughout the country.
Beyond haircut offerings, there are plenty of unique franchise opportunities through supercuts, including the offering of additional salon services or selling hair products.
While Supercuts franchise owners do not need to have prior salon industry experience, the company does prefer that an entrepreneur has prior experience in management.
Buyers must have $500,000 in their net worth to open up a Supercuts with an initial investment of at least $150,000. Lastly, Supercuts checks credit during the application process, as well. They will work with an entrepreneur looking to secure a franchise loan through FranFund.
Estimated Initial Investment/Franchise Fee: $300,000
Anytime Fitness provides owners with a unique opportunity, as the facilities are open 24/7/365. With service availability alone, there are plenty of great opportunities to generate major revenue. As of now, Anytime Fitness says that they sign up one new member every minute. That fact alone is a true justification for market growth.
What is interesting is that Anytime Fitness, similar to Ace Hardware, does not collect a monthly fee. Owners of Anytime Fitness Franchises must pay a flat $699 monthly fee instead, which makes continued costs much easier to predict.
Bottom Line - What Are The Best Franchises To Buy?
Determining the most profitable franchise opportunity requires a fair amount of research, as the best franchise for one entrepreneur might not be the best franchise opportunity for the next entrepreneur.
Investors should analyze the franchise disclosure document from the potential franchisor and speak with at least one franchisee from every franchise they are considering to receive detailed and accurate information regarding business operations, profitability, and more.
It is also important that investors look past the numbers too. An entrepreneur should inquire about franchisee satisfaction regarding franchisor support and business outlook. Doing so is one of the best ways to receive a more holistic sense of a business to decide whether or not it is worth putting an investment of time and money into.