The Most Profitable Franchises for 2024?
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- เผยแพร่เมื่อ 31 มี.ค. 2024
- What franchises have the highest revenues? And which franchises are earning millions more than a McDonalds for 1/10th of the investment? Today on Franchise City.
First, how much do big name franchises make, then we'll look at industries where a far lower investment can earn millions more than even a McDonalds.
(Taken from the 2023 disclosure:)
McDonalds highest earning restaurant grossed $16,757,000 and their lowest restaurant did $579,000. The average revenue for a McDonalds was $3,545,000. Cost to buy a franchise is $1,469,000 to $2,503,000, but keep in mind McDonalds has been closing stores over the past years, over 400, so we could be seeing a market saturation point.
Average revenue of a Taco Bell traditional location is 1.9 million and investment is $1,373,600 to $3,370,100. While we have these up lets do a quick overview Chick-fil-A 6.7 million average location, which is actually the highest average revenue in the QSR 50 of all fast food brands. (and a Chick-Fil-A only costs $10k to open we did a video Ill place above and at the end of this video) Wendy's 1.9m average, Dunkin 1.2m, but there are big differences in revenue depending where you open your store some parts of the USA are higher, and Subway estimated around $510K average per year but they are also a lower investment starting at $229,050 to $522,300.
These are the big name franchises most people are familiar with. But are they the most profitable franchises? We just did a video: top 7 mistakes people make buying a franchise and one of those was "familiarity bias". People buy these big name franchises because they assume bigger, more well known means better. But that's not always the case.
Food franchises are more expensive to open, often costing millions of dollars, leases are often expensive and hiring can be a challenge. But what happens if we go outside the food industry and into the services. Think cleaning, construction, flooring, printing. Many of these franchises can be operated from a home office or small warehouse, have fewer employees, lower overhead and a much smaller investment, but can be just as or more profitable then food.
For example, a commercial cleaning master franchise is around a $250k investment and has average sales over 3 million dollars a year. Commercial cleaning isn't a sexy industry but that's equal to a McDonalds average revenue at a fraction of the investment. Owners don't clean the acquire commercial cleaning contracts and then sell those contracts to people looking for a cleaning franchise.
Sign franchises also cost around around $250k and top earners are generating over 14 million dollars annual revenue. The owner manages a team of designers and signage experts and networks with local business.
Some staffing franchises have top owners over 40 million dollars a year with an investment of around $170k. The average gross revenue is over 4 million. In a staffing franchise owners network with local businesses and provide staffing solutions.
You may recall a senior care franchise we referenced a couple of years ago was doing over 54 million dollars a year, that's the highest revenue I have ever seen, however they are no longer disclosing financials so we know senior care can and has reached that amount, but we don't know what it is for 2024. An at home senior care franchise sends caregivers to peoples homes and is a much more scalable model that a single food location. Owners manage teams of caregivers, and often meet with families that are seeking to hire caregivers. Senior care franchises can be started as low as $120k and in some states can be operated from home.
So you can see many industries in 2024 still beat food from a profit perspective but why does that not matter and why should you not really care?
If you were going to become a professional athlete would you look for which sport is the most profitable and then go into that sport? Oh, basketball players are the highest paid, I'm going to become a basketball player even if you might be terrible at basketball. Obviously you pick the sport you are good at, and the money follows. If you became a basketball player but you are 4 feet tall, you wont be successful. You should have become a jockey.
Its the same with franchising, everyone has different abilities, skills, strengths, weaknesses and unique variables in their own city and demographic. Don't look for the most profitable franchise, look for the franchise you are going to best at running, will enjoy running and is best suited to your specific market.
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@FranchiseCityOnline
Wow! If the maid looks like the one in the still picture, I want to order maid service today! 😁
I hear what you're saying, but I will open a Subway, followed by a 7-Eleven. Then I will open a 7-Eleven with a Subway inside it. lmao
"You should have become a jockey" 🤣
Finally something positive!!!!
Good info im in Discussions with a Caring Franchise Mgr, they start at 49k and I get a Military Discount @ 39k its a work from home or small office to train staff...
How’s the process going just wondering I was looking similar field
Great example of the sport requiring. So surprised with the healthcare profits. Thank you for sharing
Thanks Hassan!
What would be the best way to reach out to you for more information on one of the business you mentioned in this video? I see on your site a form to fill out, but it seems I fill that out once I am ready to start the business, correct? I definitely want FC to start me on my journey, but would like to do more research the business mentioned before hand. Thank you
Thx for the question. Yes, we suggest a 3-6 month timeline to starting the business. The reason for that is beyond a 6 month timeline so much can change. The preferred franchise territory could be sold, local market conditions and the economy can radically change along with dozens of other factors that will impact our ultimate suggestions. We dont have a problem answering general questions, but any specific data that is relevant today may not be so in 1-2 years. If you have general questions: info AT franchise.city or check out our franchise education playlist :-)
What about the “Nora mental health franchise”?
Did you happen to mention the unicorns and rainbows that come with “pick the franchise you like to do”? Money doesn’t work that way. I love playing basketball, should I open a basketball gym or senior facility ? One makes money , one barely exists
Exactly - not what you "like to do", but what you are good at doing! I'm thinking seniors basketball gym is a hit 🙂Thx for watching.
@@FranchiseCityOnline you would be 100% wrong
@@SonnySinghGlobal OK then - I will suggest that our clients choose a business they are terrible at operating. Thanks for the insight.
@@FranchiseCityOnline point made. By fault. I just feel you could give a bit more insight and actual positive advice with franchises that are in your videos. Half of them are smashing either the franchise or someone ability to get one or their ROI. I know I came here looking for a solution