Franchising is a growing industry and those who own franchises employ a large chunk of the population. For those considering franchise management, one must only look at the numbers to see that it’s a smart career choice.
As we make our way into 2017, here’s a peek at how franchises have grown over the years and what we can expect in the future.
Overall Franchise Stats
- In 2015, there were 781,991 franchises in the US
- Those franchises employed 8,816,000
- They grossed $889 billion
- For the past 5 years, the average annual job growth in the franchise sector was 2.6%, nearly 20% higher than all businesses economy-wide.
- Over the last 5 years the franchising sector has added nearly 1 million jobs to the economy.
- The number of establishments will grow in 2016 by 13,359, or 1.7%, to 795,932
- While the 2016 Economic Outlook shows that all 10 areas will see growth this year, the lodging sector leads the way with 6.6% output growth. As overall consumer spending maintains a 3% growth pace in 2016, the outlook for the retail products and services, quick service and table service restaurant business lines and business services will continue to be among the growth leaders in 2016
Franchises By Industry
A quick look at various industries shows big numbers in 2016:
- Business Services: 99,029 franchises
- Fitness Services: $25.8 billion in revenue
- Auto Franchise Industry: $44 billion
Future of Franchising
If you are looking to work with people rather than food and seeking a rewarding business opportunity, the numbers show that a home care franchise may be the right choice now and in the future.
- According to First Research, the US home health care industry includes about 30,000 establishments (single-location companies and branches of multi-location companies) with combined annual revenue of about $70 billion.
- Home health care is a subset of the elder care services market, which is expected to grow to around $400 billion by 2018.
The industry will also be providing a number of jobs in the coming years and the Bureau of Labor Statistics predicts job growth of 70% for home health and personal care aides over the coming decade. According to senior living organization Argentum, “The senior living industry will need to recruit 1.2 million new employees by 2025 and must be poised to create working environments and career paths attractive for these workers.”
The population of the United States is aging, and a large percentage of that population wants to continue to live at home for as long as possible. The home care franchise industry is the industry that is going to allow that. The role of this industry will be even more important as, according to AARP, the number of caregivers for every person over 80 is expected to drop significantly by 2030.
So, while franchise growth is expected to rise in 2017, pinpointing the industry you want to focus on can help you find success. And, for those who want a personable, rewarding, career poised for growth over the next few years, the home care franchise is a great place to start.