Franchising Growth Outpaces The Overall U.S. Economy Despite Lingering Concerns

Franchising continues to experience modest growth, outperforming other sectors of the nation’s economy, while some franchisees express concerns.

Gaebler.com:

Like many small business owners, franchisees have taken their hits during the four-year, economic downturn. But although there are many challenges looming on the horizon for franchise entrepreneurs, the overall trend for franchising is positive, according to the International Franchise Association (IFA).

In a recent survey conducted by the IFA Education Foundation, a strong majority of franchise business owners (67%) anticipate modest to significant growth in 2012, down from 76% heading into 2011.

However, IFA president and CEO Steve Caldeira says that growth projections for franchises exceed growth estimates for the rest of the economy. Industry forecasts predict 1.9% growth in establishments and 2.1% growth in jobs over the next twelve months, less than the growth levels experienced before the recession — but enough to make franchising an attractive option for new entrepreneurs. Read full article.

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