90+ Fascinating Franchise Facts

From going to an office to grabbing a bite of food, we interact with franchisees daily. However, there are many hidden facts that you might not know about these franchises.

90+ Fascinating Franchise Facts

In this article, we will discuss the Franchise fun facts of 2024 which will be helpful for you and your business.

The facts will give you a vision for doing your business and also help you make a strategy for the future. So, let’s begin. 


Top 10 Franchise Facts: Editor’s Pick

Smoothie king's franchise failure
  1. McDonald’s is the biggest franchise in the world, with more than 33,000 locations.
  2. Taco bell was the first restaurant that offered food certified by American Vegetarian Association.
  3. Subway’s franchise revenue is $11 billion in the current financial year.
  4. Domino’s is the biggest pizza franchise in the USA, with gross annual sales of $12.25 billion.
  5. The majority of sports teams in the USA are considered franchises.
  6. Smoothie king’s franchise failure rate is 28%.
  7. The Dallas Cowboys is one the wealthiest NFL franchise, valued at $5.7 billion.
  8. Global esports franchise statistics predict the market to generate $1.5 billion in revenue.
  9. Statistics for 2022 reveal that more than 792,000 franchising companies will establish by the end of the year.
  10. The New York Knicks are one of the wealthiest NBA franchises, worth $ 5 billion.

National Franchise Facts & Statistics

11. As per Zippia, there are approximately 674,000 franchise owners.

65% of all franchises are owned by men

65% of all franchises are owned by men. However, over the past decade, the franchise ownership of women has jumped by 38%, and over the last two years, of all the franchises that opened, 32% are owned by women.

12. U.S. is the biggest franchise market.

In the United States, the franchise sector comprises over 780,000 businesses.

13. U.S. has a massive 453,326 franchisees.

A recent economic survey revealed that the US has about 453,326 franchisees or franchisee-owned businesses out of 4.3 million businesses surveyed. 

14. The Failure Rate of Franchises is Low.

franchise failure rate

In comparison to other businesses, franchisees have a low rate of failure. It is hard to talk about the failure rate of a franchise because it has a low risk compared to starting one’s own new business.

In the franchise industry, the failure rate can be as high as 90% or even 0%.

15. The franchise sector had contributed 3% to the GDP.

Franchise facts revealed that the franchise sector had contributed 3% of the GDP in 2022. The growth of the franchise sector should have exceeded that of the GDP, as expected. increase is 6.1%, or $451million.

16. The Franchise Industry in the U.S. is valued at a whopping $670 billion.

As of 2022, franchises in the U.S. accounts for 2.5% of the country’s total economic output with its valuation crossing $670 billion.

17. A huge number of U.S. population is employed in the franchise sector.

5% of the US labor force is employed in the franchise sector.

More than 7.49 million people in the U.S. work in a Franchise establishment. This means 5% of the US labor force is employed in the franchise sector.

18. Fast-food sector accounts for the largest share in the U.S. franchise industry.

The fast-food sector generates total economic output of $241 billion. If you were to add up the combined revenue of the U.S. fast food franchises then the total would be a little over quarter of a trillion dollars. 

19. Out of all the businesses in the U.S., 10.5% are franchises.

According to the U.S. Census Bureau, out of all the businesses in the U.S., 10.5% are franchises, with limited-service restaurants taking up the most share, followed by gas stations, car dealers, convenience stores, etc.

20. U.S. has the most number of Pizza Hut outlets in the world.

pizza hut franchise percent

With more than 7,300 outlets, Pizza hut has become the pizza chain having the most number of outlets in the U.S. There are over 77,724, pizaa related franchises in America and Pizza Hut accounts for around 10% of them.

21. There are over 194,395 QSR franchises in the U.S.

QSR franchises are the most popular and common type of franchise in the U.S. This includes cafeterias, pizza places, ice cream parlors, fast-food restuarants, carryout shops, etc.

22. In the list of top 100 franchises in the world, 70 are from the U.S.

The global franhcise scene is dominated by America with other countries such as Canada, China, Australia, and Brazil a long way behind. 


Sports Franchises Facts and Statistics

Sports franchise facts

Here are some interesting sports franchise facts and statistics for you.

23. In the sports franchise industry in the U.S., there are 969 businesses.

Another thing to note is that none of these shares have a market share exceeding 5%.

24. $34 billion is the size of the sports franchise market in the U.S.

As per data shared by IBISWorld, Dallas Cowboys, New York Yankees, Madison Square Garden Sports, Los Angeles Lakers, etc., account for the largest part of the size of the U.S. sports franchise market.

25. Steve Ballmer is the owner of the second wealthiest sports franchise.

He is the former CEO of Microsoft and purchased the Los Angeles Clippers for $ 2 billion in 2014.

Steve’s net worth is estimated at $68.7 billion, making him the second wealthiest person in a sports franchise in the world.

26. Anytime Fitness was the first sports franchise to have a presence on all seven continents.

Anytime Fitness has been able to achieve this by opening its franchise on the Magellan Explorer cruise ship, offering tours of the Antarctic coast. Guests onboard can access the gym 24×7.

27. Anytime Fitness is the biggest gym franchise.

With more than 4,000 franchises in the world, Anytime Fitness franchise is the biggest gym franchise. The success of Anytime Fitness lies in its unique concept of staying open 24×7. 

28. The biggest video game franchise is FIFA.

FIFA is the most loved and biggest video game franchise in the world, and it has sold more than 260 million copies sold.


Global Franchise Facts & Statistics

indian franchise market

29. 7-Eleven has more than 55,000 outlets.

Although McDonald’s is the biggest franchise, 7-Eleven has been around since 1927 and has over 10,000 outlets in the U.S. alone and the rest of them in over 16 countries.

30. Tim Hortons and CNHLS do not have headquarters in the U.S.

CNHLS and Tim Hortons are the only two franchises among the top twenty franchises which do not have a franchise headquarters in the U.S. 

31. More than 4500 franchises are operating in China.

As per the Ministry of Commerce, as of 2019, there are over 4,368 registered franchises in China, and 4,500 are unofficially in operation.

32. Out of the top 200 food franchises in the U.S., 39% of outlets are international.

More and more franchises are expanding and entering the U.S. market, taking the percentage to 39% if we talk about the 200 fast food franchises in the U.S.

33. There are 200,000 franchise units operating in India.

The Indian franchise market is growing at the rate of 30-35%, with more than 200,000 operating franchises. 84% of these franchises comprises of regional and national brands.


World’s Leading Franchises Statistics

McDonald’s franchise facts & statistics

McDonald's franchise facts & statistics

34. Currently, McDonald’s is the world’s richest franchise. Additionally, food & beverage companies such as KFC, Burger King, Domino’s, and 7- Eleven take up the first five places on the list.

35. To start a McDonald’s franchise, you require an initial investment of $1-$2.2 million.

36. 93% of McDonald’s outlets were franchises in 2019.

37. McDonald’s is a very versatile franchise and offers a menu unique to some countries.

38. McDonald’s takes away 82% of the revenue that its franchises generate.

Subway franchise Facts & statistics

39. With 44,758 outlets, Subway has managed to own the maximum number of outlets of any global franchise, followed by McDonald’s.

40. Subway Sandwiches can be made in 38 million ways, and all of its restaurants smell the same.

41. All Subway franchises smell exactly the same, thanks to their freshly baked bread.

42. Doctor’s Associates Inc. oversees the Subway franchise.

43. In 2018, Subway’s franchises revenue was a whopping $10.4 billion.


40+ General Franchise Fun Facts

The franchise is an ever-growing industry, so it is not easy for a single franchise to come on top. Every franchise has different aspects based on which it comes to the top. 

However, the below-mentioned franchise companies made it to the franchising hall of fame thanks to some impressive numbers.

44. More than 792,000 franchising companies will establish by the end of the year, adding a gain of 17,0000 new locations and a marginally lower growth of 2.2%. 

45. Franchise facts reveal that service-related sectors, such as hotels, restaurants, home repair, cleaning, and many more, are among the most popular franchise options.

46. The Franchise count in the U.S. alone is 750,000 and counting.

47. On average, the royalty percentage of any franchise lies between 5-6%. 

royalty percentage

48. A 7-Eleven franchise owner can expect to earn a minimum of $31,459 very easily.

49. On average, a restaurant franchise owner makes $82,000 annually.

50. You can start a Chick-fil-A franchise with an initial investment of only $10,000.

51. The length of a franchise agreement is usually 10-20 years.

52. The first ever modern-day franchise started in the year 1891.

53. As of 2021, Veterans owned 14% of all franchises or 66,000 franchises.

veterans owned franchise

54. Isaac M. Singer is considered to be the godfather of the franchise model

55. You can order a burger at Five Guys in more than 250,000 ways. 

56. The first and the original Gold Gym is in Venice and is nicknamed “The Mecca” (as in the mecca of bodybuilding.)

57. Since 1945, Baskin Robbins has introduced more than 1000 flavors of ice cream.

58. Baskin Robbin’s initial investment ranges between $94,350 to $402,200 and is the least expensive franchise to own.

59. In a day, Dunkin Donuts serves more than 3 million customers. 

60. 300 companies start franchising every year.

61. With a collective economic output of $757.2 billion, there are a total of 7,59,240 establishments

62. More than 50% of all franchises can be started with an initial investment of $250,000.

franchise investment fact

63. Every one in seven businesses is a franchise.

64. The only Indian franchise which has more than 1800 outlets and ranks at number 46th in the Global Top 101 Franchise List is “Cafe Coffee Day.”

65. A franchise business opens every 8 minutes.

66. It is much easier to obtain a franchise business loan than any other business loan.

67. Most franchise businesses have less than 100 units. 

68. The oldest city, one-name sports franchise in the U.S. is Philadelphia Phillies.

69. Almost 80% of the franchises are local, whereas only 16% are global or national.

80% of the franchises are local

70. The Hertz Corporation has offices in 150 countries and is the top operating franchise in the most number of countries

71. Martha Matilda Harper was the first woman to start a franchise business, and not only this, her hairdressing business is only run by women making it the first commercial franchise of its kind.

72. Steve Kuhnau concocted a drink that could be drunk by even lactose-intolerant people, and that is how he started the “Smoothie King” franchise.

73. Harland Sanders who is the founder of Kentucky Fried Chicken delivered babies and practiced law, among many other odd jobs he did before opening his franchise.

74. More than 51.5% of food franchises earn a net profit of $50,000 annually.

franchise profit

75. In 2013 Friendly’s Ice Cream made a Guinness world book record as “world’s biggest dessert party” by serving 794 people at its headquarters.

76. In 2015, Taco Bell became the first fast food restaurant chain to get certified by the American Vegetarian Association.

77. With 1.5 lakh franchisees and a total of 4600 franchises, India has become the 2nd biggest global franchise market globally. 

78. In the coming five years, the Indian industry is predicted to grow by $140-$150 billion.

79. With 516 properties in the world, Marriott International runs at number one in the list of Hotel franchises. 

80. James Monaghan, one of the two founder brothers of Domino’s, could have been a millionaire, but he gave up a 50% stake to his brother in exchange for a used Beetle car.

81. Among the top 20 franchises in the world, the U.S. serves as a headquarters for 18 of them.

82. Almost 44% of franchise owners have a bachelor’s degree.

44% of franchise owners have a bachelor's degree

83. Anytime Fitness owns a gym in Antarctica too. 

84. Coca-Cola initially used to put cocaine in their drink, and now they have switched to cocaine-free drinks.

85. Dan and Frank Carney, the founders of Pizza Hut, chose this name because they didn’t have enough money to afford a bigger name for the sign.

86. Barack Obama is often spotted at Five Guys and is a big fan of this franchise.

87. The average age of a franchise owner is 44 years.

88. According to Zippia, 10% of Franchise owners belong to LGBTQ.

10% of Franchise owners belong to LGBTQ

89. The average starting salary for Franchise owners is $41,000.

90. Most franchise owners are from Chicago, Charlotte, IL, and NC.

91. The ethnicity of franchise owners is White (71.0%), then Latino or Hispanic (14.3%) followed by Asian (6.1%).


Conclusion

Doing a franchise business is not easy if you don’t know the market position. Even in your startup, it is important to analyze the market position.

This will help you to understand which industry is in demand and how much you make a profit from franchises.

So, we suggest you analyze the market condition and move forward with your decision.

Now we are coming to the end of this article, hope you like reading this article on Franchise Facts 2022.


Frequently Asked Questions

Which is the biggest franchise in the world in 2022?

Taco Bell will be the biggest franchise in the world in 2022.

Which is the richest franchise in the world in 2022?

McDonald’s is the richest franchise in the world in 2022.

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