“Franchise Business To Continue Growth Trend in 2017 – Outpacing Economy”
The International Franchise Association(IFA), the leading education and advocacy group in the franchise business, reports that the industry is poised to expand by 1.6 percent this year. While slightly behind 2016’s growth of 1.7 percent, the growth represents a net increase of 11,500 new hard locations – not include mobile franchises similar to the SHOWROOM AUTO CARE franchise opportunity.
According to the 2017 Franchise Business Economic Outlook Report, employment within the franchising industry will expand by 3.3 percent. Growth of that magnitude represents adding 250,000 jobs, bringing the franchise workforce to 7.8 million workers. The report goes on to show that the GDP of the industry is poised to increase by 5.2 percent, exploding to an estimated $426 billion.
“We are forecasting that for the sixth consecutive year, franchise businesses will grow at rates that exceed the economy-wide growth of industries where franchises are concentrated,” said IFA President & CEO Robert Cresanti. (Source: International Franchising Association)
Franchise Business Projected Growth Rate For 2017
Top 5 Sectors
- Personal Services: 2.3%
- Quick Service Restaurants: 1.9%
- Table/Full Service Restaurants: 1.9%
- Retail Products and Services: 1.7%
- Business Services: 1.5%
Top 5 States For Employment
- Arizona: 4.7%
- Utah: 4.6%
- Nevada: 4.4%
- Florida: 4.1%
- Colorado: 4.1%
Franchise Seekers Demographics
- The time-tested adage of wanting to be in business for yourself, but not by yourself still holds true. Approximately 41% of the respondents to a recent IFA survey said they were turning to a franchise business primarily because they want to be their own boss, but don’t want to come up with their own business idea and risk their capital without a proof of concept.
- The majority of franchise seekers are white males between 36 and 55. Most have some management experience, and they are very likely to be employed while seeking a franchise opportunity. Many have owned their own business at some point, and want to return to self-employment or invest in a small business.
- Approximately 63% of those surveyed have been looking to buy a franchise for less than 2 years. This group also admits to having little or no knowledge of the franchising application process. Unfortunately over 50% admit to not making contact with a franchisor, despite it being a relatively easy to do.
- Interestingly, 52% of franchise seekers in the survey use the internet as their primary source of information about the franchise industry.
- Most investors are seeking lower initial investment options, and are planning to use a portion of their savings or retirement fund to finance their franchise business. Of those, 70% are planning for the possibility of securing a bank loan to cover the carrying costs.
Based on the strength of the Franchise Industry, the Profit in Mobile Services, and our 6 consecutive years of Company Growth, the potential for a highly successful SHOWROOM AUTO CARE Franchise is Tremendous!
Today we are interested in forging a strategic partnership with a person or corporate entity who recognizes the potential of returns from investing in a franchise startup business. The goal of our partnership is to move our proof of concept and franchise framework to the next level, and start selling franchises.
80% of car restoration companies who offer a complete line of services operate from a single fixed location, leaving a wide open market for mobile restoration services.
20% of the companies in the vehicle restoration service business offer mobile services, and out of those the majority only offer 1 or 2 services.
There is not a single vehicle restoration company with a regional presence strong enough to serve customers multiple locations.
Most competitors have a very weak internet presence, and do not provide a personalized or memorable service good enough to create repeat business.