It’s a great time to own a franchise business, according to the the International Franchise Association’s Franchise Business Outlook: 2016 report. For the sixth year in a row, small business franchises are growing at a faster rate than non-franchise small businesses.
Here are some of the key findings from the IAF’s annual report:
Franchise businesses will contribute about 278,000 new jobs to the economy in 2016.
Franchises have created nearly 1 million new jobs in the past five years. The average annual job growth in the franchise sector over that time has been 2.6 percent.
More than 13,000 new franchise establishments will open this year.
The Gross Domestic Product (GDP) of franchise businesses is estimated to increase 5.6 percent in 2016 to $552 billion.
The IFA’s 2016 Outlook Report examines franchises in 10 general areas: Automotive, Business Services, Commercial and Residential Services, Lodging, Personal Services, Quick Service Restaurants, Real Estate, Retail Food, Retail Products and Services, and Full-Service Restaurants.
All 10 areas are projected to see growth in 2016, with Lodging, Retail Products and Services, and Restaurants expected to lead the way.
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