Franchise Industry To Grow
Written by Resources for Entrepreneurs Staff
Though some business owners fear the worst, the franchising industry expects growth during 2010.
Though many Americans have come to expect economic decline, some industries have showed potential. In one area in which growth is expected this year - franchising - news of the relative success of different sectors may offer some clues into which areas of the economy are poised for positive development.
The International Franchise Association recently released information about its expectations for the industry in 2010. "Our forecast is for output of all franchise business sectors to expand modestly in 2010 as the recovery takes hold," says Drew Lyon, principal in PricewaterhouseCoopers.
All 10 franchise business lines considered in the Franchise Business Economic Outlook for 2010 report are expected to see increases in economic output. The sector forecasted to see the most growth is personal services, followed by quick service restaurants and business services rounding out the top three.
A recent column at small business magazine Entrepreneur claimed that aspiring business owners looking for a stable investment may do well to explore franchises, suggesting that "the franchisor has a vested interest in the survival of each and every franchise owner and will do all it can to ensure the network's success."