Street Smart Franchising - Quick Franchise, Franchising, Facts & Statistics

Here's interesting Franchise facts from Joe Matthews and AZFranchises.com.

• There are an estimated 2,000 different franchisors (franchise companies) operating in the U.S.
• There are more than 770,000 franchise retail outlets in the U.S.
• Over 200 new companies decide to franchise their businesses each year.
• The Franchising industry employs over 8 million people in the U.S.
• Annual U.S. Retail franchise sales in 2000 - $1 trillion
• The franchise industry accounts for nearly 50% o all retail sales in the US
• A new franchise business opens every 8 minutes of every business day
• Approximately one out of every 12 businesses in the U.S. is a Franchise Business
• More than 75 different industries use franchising as a means to distribute goods and services
• The average initial franchise investment is $250,000 - excluding real estate
• The average royalty fees paid by franchisees range from 3% t 8% o monthly gross sales depending on the industry.
• Most franchise companies have fewer than 100 units
• The average length of a franchise contract is 10 years (don't know this but this is probably accurate)
• Largest franchise industry- Fast Food
• Globally, McDonalds is the largest Franchise Company . Subway is the largest in the United States. In Feb 2004, Subway officially overtook McDonalds in the United States.