Apr 20, 2022 - Blog, Franchise Articles by |

Franchise Direct is one of several media outlets that publish a list of “top” franchises each year. Notably, Franchise Direct has also published lists of its top 100 non-food franchises and its top 100 franchises with 100 units for 2022. In this article, we take a look at some of the “top” picks in these franchise reviews.

The Top 3 Are Well-Known International Franchised Brands

Similar to many other “top” franchise lists and other franchise reviews, Franchise Direct’s 2022 Top 100 Franchises Report places well-known international franchised brands in the top tier. Its three top-ranked franchise systems are:

  • KFC
  • 7-Eleven
  • McDonald’s

Together these three brands accounted for approximately $14 billion in sales last year; and, while many franchise systems continue to struggle due to the lingering economic impacts of the COVID-19 pandemic, KFC and 7-Eleven both saw significant growth in 2021. According to Franchise Direct, McDonald’s “third place ranking this year is simply a reflection of the fact that it maintained more than it grew in 2021”—suggesting that many smaller brands don’t have the resources they need to keep pace in the down economy.

There are Several Newcomers to the Top 100

With that said, several franchise systems are appearing in Franchise Direct’s Top 100 for the first time in 2022. As the media outlet notes, many of these are in the healthcare, insurance and home services industries—all of which have found new opportunities during the pandemic. Some examples of these franchises include:

  • ATC Healthcare
  • Brightway Insurance
  • 1-800 Water Damage
  • Footprints Floors
  • Mr. Electric
  • Fantastic Services
  • Aire Serv
  • Ace Handyman Services

The Same Industries Dominate on the Smaller Side of Franchising

Franchise Direct’s list of its top 100 franchises with under 100 units for 2022 suggests that the same industries that dominate among the world’s most profitable franchised brands are also dominating on the smaller side of franchising. The industries that account for the substantial majority of the top quarter of this list include:

  • Business Services (Valenta BPO, BooXKeeping, Venture X)
  • Healthcare and Senior Care (ATC Healthcare, 100% Chiropractic, Talem Home Care)
  • Home Services (Z Plumberz, Home Clean Heroes, Blue Kangaroo Packoutz, Dryer Vent Squad, Handyman Connection, Archadeck Outdoor Living, DreamMaker Bath & Kitchen, Steel Coated Epoxy Floors, Concrete Craft)
  • Food (Chop Stop, The Great Greek, Island Fin Poke, Another Broken Egg Café)
  • Pet franchises (Hounds Town USA, Dog Training Elite, Pet Passages)

Unsurprisingly, the top 100 non-food franchises are also dominated by these categories (food excluded), along with fitness, children’s franchises, hospitality, real estate, automotive and retail concepts.

As we have discussed previously, prospective franchisees should take all franchise reviews with a grain of salt. When buying a franchise, it is important to make your own decision based on a careful assessment of your goals and capabilities as well as the unique risks associated with your chosen franchise opportunity.

Inquire About Our Fixed-Fee Franchise Reviews

If you are thinking about buying a franchise, we offer four tiers of fixed-fee franchise reviews to help you make an informed buying decision. For more information, please call 202-293-3947 or request a free initial consultation online today.

This article is provided for informational purposes. Goldstein Law Firm does not recommend or endorse any individual franchise opportunities.

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