
FRANdata In The Press

Continuing the trend experience in years before the COVID-19 pandemic and building on the growing consumer focus on mental well-being, the health and wellness segment continues to dominate the franchise marketplace. FRANData’s most current New Concept Report, which tracks new franchise brands entering the market, showed more than 25 percent of brands that started franchising in Q3 and Q4 of 2022 were associated with offering health and wellness services.
If you’re looking to buy a franchise, you can easily drown yourself in data. Just pick up a company’s franchise disclosure document (FDD), and you’ll see granular breakdowns of every brand’s health. That’s important stuff. Look closely!
2022 has been a banner year for the International Franchise Association, and more specifically for you – our members. We have launched a number of new initiatives to better serve you and support the entire franchising community, strengthening the sector as we look to the future.
The same playbook that has notched high returns acquiring things like foreclosed homes and highway rest stops is being tested by a family-oriented franchise.
The franchise directory established just a few years ago by the U.S. Small Business Administration may be a thing of the past in the near future.
In October the SBA announced its intention for a rule change that would eliminate the directory. Launched in 2018, the directory is a running list of franchise brands and business models that meet eligibility standards when it comes to financing.
The senior care industry is a growing market space encompassing several sectors whose primary clientele are senior citizens. This industry includes assisted living centers, adult daycare facilities, long-term care facilities, nursing homes, hospice care, and, more recently, in-home care.
A recent franchise survey from FranConnect shows that 84% of restaurant franchisors are unprepared for a potential sales downturn.
Private equity (PE) firms are watching your franchise business right now — and so are a few potential strategic acquirers. Many franchise founders, especially within emerging brands, carry common misconceptions about how they get on private equity’s radar in the first place. You’re not an unknown starlet who is suddenly “discovered” while waiting tables at a Hollywood diner. Private equity investors, especially those who understand franchising very well, watch the sector constantly (as do strategic acquirers on the hunt for opportunities within your vertical). Your brand may already be listed internally on their watch list, marked with notes like: “approach now, watch, likely to trade, weak/not a fit.” This is happening even if you’re already private-equity owned, since PE also tracks competition and follow-on acquisition opportunities.
In a year full of supply chain disruptions, continuing COVID-19, effects from the American Rescue Plan, international events, and calamitous weather, a perfect storm has erupted, which has caused record-high inflation since the Carter era. One of the most impacted industries is the Quick-Serve Restaurant (QSR) Industry, a business model that thrives on selling fast and affordable food. Franchisees have struggled to balance those requirements with their market’s demands, resorting to traditional and non-traditional cost-cutting solutions.