10 Hot Franchise Opportunities
Say you want to start your own restaurant business but don’t want to risk too much on developing a new idea. For the entrepreneur who wants a safe bet and who likes to follow rules, buying a franchise operation can prove to be a worthwhile option. Although franchises like McDonalds aren’t cheap, they are definitely more viable and success prone than other made-from-scratch ventures. Here are the Forbes’ top 10 franchise operations which offer the most lucrative returns for investors and entrepreneurs.
10. Jimmy John’s
This gourmet sandwich shop has been around since the early 80s and in 2009 its stores posted average gross sales of $688,313 and a 23% average net profit margin.
Average initial investment: $383,000
U.S. locations as of 1/1/10: 948
Closures between 1/1/07 and 1/1/10: 18
Average royalty rate: 6% of gross sales
9. Edible Arrangements International
Since it opened in 2001, Edible arrangements has made a splash with its fruit and candy arrangements that look like floral arrangements.
Average initial investment: $223,057
U.S. locations as of 1/1/10: 783
Closures between 1/1/07 and 1/1/10: 39
Hours of training offered: 104
Average royalty rate: 5% of gross sales