It’s a great time to own a franchise business, according to the the International Franchise Association’s Franchise Business Outlook: 2016 report. For the sixth year in a row, small business franchises are growing at a faster rate than non-franchise small businesses.
Here are some of the key findings from the IAF’s annual report:
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Franchise businesses will contribute about 278,000 new jobs to the economy in 2016.
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Franchises have created nearly 1 million new jobs in the past five years. The average annual job growth in the franchise sector over that time has been 2.6 percent.
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More than 13,000 new franchise establishments will open this year.
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The Gross Domestic Product (GDP) of franchise businesses is estimated to increase 5.6 percent in 2016 to $552 billion.
The IFA’s 2016 Outlook Report examines franchises in 10 general areas: Automotive, Business Services, Commercial and Residential Services, Lodging, Personal Services, Quick Service Restaurants, Real Estate, Retail Food, Retail Products and Services, and Full-Service Restaurants.
All 10 areas are projected to see growth in 2016, with Lodging, Retail Products and Services, and Restaurants expected to lead the way.
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