What is the Hottest Franchise?

The two questions that I hear most from both networking contacts and prospective clients are:
1) What franchise has the best chance of being the next big thing, like Starbucks?
2) What are the hottest franchises?

The first question is easy to answer. I tell most people that if I knew what the next Starbucks like phenomenon was going to be, I would have bought the rights to a lot of them.

The second question, although easy to answer, takes a bit of explanation. When investigating franchise opportunities it is important to look for concepts within industries that have been successful over time and in different economic conditions. At that point, rather than asking “What is hot?”, it is more important to ask, “What type of franchise is a good fit for me?”

How well an individual fits a franchise will have the greatest impact on their potential for success. Fit covers many areas and an individual can only determine fit by speaking to the franchise company and the franchise owners. The franchise company will be able to explain their system and the general characteristics that make up their top franchise owners. The franchise owners will be able to tell you about the day to day operation of the business, the revenue potential, and much more.

When you talk to those franchise owners, speak with those who are successful and those who are struggling. Get an understanding of the strengths and weaknesses of both groups and then assess yourself honestly. If you find that you are more like the group that struggles, it’s probably best to look for another concept. If you are similar to the group that makes up the top 25-30% of owners then it is probably a concept that you want to investigate further.

Remember that “Hot” does not mean you have a better chance of being successful. That only comes when you find a franchise that is a great fit for you, in an industry that has a history of success.