50 Franchise Companies Recognized in Independent Survey of Franchise Owners for Having Both Strong Financial Performance and High Franchisee Satisfaction
October 4, 2022 – Portsmouth, NH – Franchise Business Review, a leading, independent market research firm serving the franchise sector, has announced the release of its Most Profitable Franchises of 2022.
Franchise Business Review (FBR) provides reviews and ratings of franchise opportunities based on survey research that measures franchisee satisfaction and brand performance. FBR publishes rankings of the top franchises in its Franchise Buyer’s Guide, as well as reviews and recognition throughout the year celebrating the top franchises in specific sectors.
Franchise Buyer’s Guide: Fall 2022 Issue
To identify the companies on the list of the Most Profitable Franchises, Franchise Business Review analyzed 18 months of data from over 300 franchise brands, representing nearly 30,000 franchise owners. Franchisees were surveyed on 33 benchmark questions about their experience and satisfaction regarding critical areas of their franchise systems, including leadership, financial opportunity, training, marketing support, operational support, and franchise culture.
The selection criteria eliminated brands with a minimum startup capital requirement of over $250,000 to focus on highly profitable franchise opportunities that are more financially attainable to the average franchise candidate. Other criteria included average owner incomes and franchise owner satisfaction. All brands on the list have at least 25% of their franchise owners earning annual incomes of $150,000 or higher and ranked above the benchmark for franchisee satisfaction.
Key findings from Franchise Business Review’s research include:
- The average annual income of franchise owners is $107,119
- The average annual income of franchise owners beyond the first two years (considered the startup period) is $118,792
- The average annual income of franchise owners who own 2-4 franchise units is $132,408
- The average annual income of franchise owners who own 5+ units is $204,807
FBR’s data also shows that franchisees from the 50 Most Profitable Franchise brands rate their satisfaction with their overall financial performance 19% higher than brands not on the list, and 9 out of 10 (90%) would “Recommend their franchise to others.”
Owner satisfaction, profitability, and long-term return on your investment are three of the most critical factors anyone should consider before investing in any franchise business.”
— Eric Stites, FBR founder, CEO
“The potential annual income that a franchise owner can earn is an important metric, but there are many factors that come into play. Unlike employees, franchise owners build equity in their businesses. It’s important to look at the whole investment, and have a good understanding of the long-term value of a business, as well as the annual cash flow the business may produce over time. Much of the wealth that many business owners ultimately realize comes in the form of long-term equity, which they cash out when they sell the business,” said Eric Stites, founder and CEO of Franchise Business Review.
The complete list of the Most Profitable Franchises is available at: https://franchisebusinessreview.com/lists/most-profitable-franchises
Research on the Top Franchises for 2023 is now underway. Franchisors who are interested in participating should visit: https://tour.franchisebusinessreview.com/franchisee-satisfaction-awards/
About Franchise Business Review
Franchise Business Review (FBR) is a leading market research firm serving the franchise sector. FBR measures the satisfaction and engagement of franchisees and publishes various guides and reports for entrepreneurs considering an investment in a franchise business. Since 2005, FBR has surveyed hundreds of thousands of franchise owners and over 1,100 leading franchise companies. FBR publishes free and unbiased franchisee satisfaction research reports throughout the year online at http://www.FranchiseBusinessReview.com. To read our publications, visit https://franchisebusinessreview.com/page/digital-guides/