The Economic Impact of Franchises
Franchises make a significant economic impact across the globe, and specifically in the United States. The franchise business model provides opportunities for a broad spectrum of people, from the newest entry level employee to an entrepreneur looking to get into the business. In fact, one in seven businesses in the U.S. is a franchise, with currently close to 3,400 franchise brands throughout the country.
Franchising is a Key Economic Driver
While the past two years have been challenging to all aspects of life, franchises not only survived but are thriving. In fact, franchising helped lead the economic recovery in 2021. By providing advancement opportunities at all levels of the economic ladder, from entry-level to manager and from manager to owner, franchises across America aided not only large-scale reentry into the workforce, but also the possibility of coming back better than ever.
While some franchises require large inventory, high overhead, and big investment fees, Pet Wants offers a remarkably affordable way to own a potentially lucrative business in an explosive market. Consider that in 2020, the U.S. pet industry reached a historic high with total sales of $103.6 billion, compared to $48 billion in 2010. That is more than a 100% increase in revenue in just ten years.
The Continued Growth of Franchising
Overall, it is expected that franchising will end this year with more than 792,000 establishments, adding a net gain of 17,000 new locations. And franchising plays an important role not only on the national level, but also on the state level. Throughout the country, the Midwest is the second-largest region in terms of franchise establishments with 169,644 employed by franchises and economic output of $171.6 billion.
At the individual level across America, people are turning to franchises to strengthen their own financial outlook. By creating the potential for business ownership and creating additional jobs in the community, franchises are an economic engine to the local economy. Not only are there local business owners and employees at each business location, there are also employees in connected industries that help to support the franchise that are contributing to the economy.
Franchise Owners Enjoy Stability and Growth
Franchises offer stability for owners and consistency for consumers. It can be expensive to start a new business, and sometimes it can be difficult to accurately estimate just how expensive. In fact, half of all new businesses fail within their first year, whereas a typical franchised business is still open after five years. These positive franchising results have led to a positive cycle of growth and the creation of a lucrative industry with an average of 300 new franchise brands is created annually.
Owning a franchise provides national brand power and turnkey marketing campaigns so you don’t have to spend your time building awareness and creating a marketing plan for your business. Pet Wants offers franchise owners a proven system, operational and marketing support along the way, and an engaged owner network to make the dream of business ownership a reality.
With Pet Wants, you can be up and running your own franchise in just a few months. Our franchise director will walk you through our streamlined process towards ownership, answering all of your questions and helping you determine whether becoming a franchise owner aligns with your business ownership goals.