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Which franchise makes the most money?

For aspiring entrepreneurs, joining a franchise is an excellent opportunity to become a business owner while mitigating much of the risk involved in starting a business from scratch. That’s because franchise advantages include a proven business model, name recognition, and vendor and supplier network, which cuts out a lot of the work involved in starting a business from the ground up.Of course, joining one of the most profitable franchises is a particularly safe bet for aspiring entrepreneurs. So which franchise makes the most money?

Determining how much money you can make by buying a franchise depends on a number of factors. The franchise should appeal to your local demographic, have a proven support system for franchisees, and have a strong reputation generally. Nationwide number of locations and annual revenue are also good indicators of whether a franchise can be profitable for you.

Of course, turning a profit also means mitigating debt, so you should only consider the franchises whose initial franchise fee and upfront investments are doable for your current financial situation, and this should be a conversation you have with your lawyer or accountant.

Clearly, determining whether a franchise will be profitable for you is a subjective activity. But with that in mind, there are several franchises out there that meet all those general requirements we mentioned, and which are well worth looking into.

The following 10 franchises are representative of a range of industries, investment amounts, number of locations, and degree of brand recognition. The diversity on this list is indicative that a franchise doesn’t necessarily have to be top-tier in order for you to turn a profit.

  1. Mc Donald’s

It is practically impossible to find a franchise (or virtually any business, for that matter) with greater brand recognition than McDonald’s. Owning a McDonald’s franchise, wherever you’re located, guarantees a loyal customer base, a key for generating a profit. But to be able to land a franchise with Mcdonalds you need to have a considerable amount of cash.

  1. Dunkin’

Just like Mcdonalds, Dunkin benefits from a great brand recognition and requires a big investment. Dunkin’ provides discounts off the initial franchise fee for certain investors, such as entrepreneurs who plan to open several locations, those who plan to open restaurants in developing areas, or qualified veterans.

  1. The UPS Store

The UPS Store has been ranked among the top five on Entrepreneur Magazine’s Franchise 500 List for the past three years, thanks to the company’s world-class training and support system for new franchisees, strong brand recognition, and spotless reputation. Opening a UPS Store franchise may require significantly less upfront investment than opening a food franchise with equal name recognition, and the franchise offers programs and incentives to help ease that burden.

  1. Dream Vacations

If you’re interested in owning a travel agency, a Dream Vacations franchise should be at the top of your to-research list. This is one of the most profitable franchises mainly due to its low-cost investment. The extremely low franchise fee rate is unparalleled by any other franchise we’ve seen, especially from a franchise whose reputation matches that of Dream Vacations. This is also a great opportunity for people who prefer or need to work from home.

  1. The Maids

The Maids has over 40 years of experience as a franchise, and that robust support system proves itself in the numbers. According to the company, the average Maids franchise makes about $1.1 million in annual revenue, and their most successful franchise raked in $6.5 million last year. Moreover, their initial franchise fee and other startup costs are much lower than most other cleaning franchise opportunities out there.

  1. Anytime Fitness

As the name implies, Anytime Fitness’ unique business proposition is that their facilities are open 24 hours a day, seven days a week, 365 days of the year. The sheer availability of their services maximizes each franchise location’s opportunity to bring in revenue, and the company says that they sign on one new member every minute, which proves their huge, and growing, market.

  1. Pearle Vision

Founded in 1961, Pearle Vision was revolutionary in eye care for bringing the retail and medical experience under one roof, a business model that continues to be successful today. They’re now owned by Luxottica, the world’s largest eyewear company, which gives Pearle Vision franchise owners access to a massive range of both mid-tier and designer glasses and sunglasses.

  1. JAN-PRO

JAN-PRO is a world leader in commercial cleaning and janitorial services, with over 25 years of experience and several innovative, proprietary cleaning systems under their belt. JAN-PRO offers potential franchisees three ownership options, which are appropriate for varying experience levels and require varying levels of investment. Uniquely, they offer a remote franchise opportunity, which is both relatively low-cost and flexible for people who don’t or can’t work outside their homes.

  1. Supercuts

Supercuts is one of the most recognizable names in salon franchises, which is likely due to their 40+ years in business and over 2,600 locations. In addition to offering haircuts, Supercuts franchisees can take advantage of diverse income streams to maximize their profitability, like selling hair care products and offering other salon services. While Supercuts doesn’t provide financial assistance themselves, they can link you up with franchise financing institution FranFund to help you secure a franchise loan.

  1. Ace Hardware

Ace Hardware offers potential investors three types of franchise opportunities: They can either open a new Ace Hardware store, convert their current location into an Ace Hardware, or open an Ace Hardware Grocery, which converts previously unused space within existing grocery stores into an Ace Hardware “store-within-a-store.” The latter is the least expensive option, most notably because Ace waives the initial franchise fee for these types of franchises. They also don’t collect monthly royalty fees, which cuts out a major monthly expense required of just about every other franchise out there.

As we mentioned, determining what will be the most profitable franchise for you requires research. We recommend speaking with as many current franchisees from each franchise that you’re considering as possible. That’s the most accurate way to receive detailed and practical answers about the question of profitability.

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