The Best Franchises To Own: What To Look For?
Franchising is a great option if you want to start your own business. However, if you are looking for the best franchises to own (as of the end of 2025), you will need to have quite an amount of capital ready. This is because the best franchises are expensive to purchase, and you need to spend a lot during the initial stage. If you do most things right, the best franchises will likely give good results for your business.
- More than 712K franchise owners in the United States
- An estimated 851K franchise units
- A significant economic impact of over $936 billion in total output as of 2025
According to the Neighborly site and Franchise Creator reports.
In this article, you will learn about the best franchises to choose from. However, before that, we will discuss what a franchise is and how it works. In addition to that, you will also learn how to choose a franchise to start your business, which includes what factors to consider before you select a franchise business. Hence, to learn more about the best franchises to own, read on through to the end of the article.
What Is A Franchise?
According to Investopedia,
“A franchise is a type of license that grants a franchisee access to a franchisor’s proprietary business knowledge, processes, and trademarks, thus allowing the franchisee to sell a product or service under the franchisor’s business name. In exchange for acquiring a franchise, the franchisee usually pays the franchisor an initial start-up fee and annual licensing fees.”
Franchising is a great option if you are looking to start your business. In almost every industry, there are franchises, which give you a variety of options. To choose the best franchise for your business, you will need to narrow down your options and ultimately decide which one is the best for your case.
How To Choose A Franchise Business?
According to Business News Daily,
“With a franchise, you get the benefit of a proven product or service while still being your own boss. However, you still have to put in the effort, so it’s important to find a good fit for your passion and skill set. There are many factors to consider, such as franchise costs and support from the corporate headquarters.”
The following are the major steps that you will need to take if you want to choose a franchise business:
- When it comes to your personal goals, you will need to ask yourself what your motivations are and why you are starting a franchise. Once you decide on your personal goals, you will need to find out whether it is a good option for you or not.
- Choosing your industry lets you decide your business structure and scope. This will also give you an idea of where you want to go with your business. No matter what industry you are in, you are sure to get a franchise business there.
- Having a good understanding of your strengths and weaknesses will give you an idea of what suits you and what does not.
- Determine your role in the business – whether you want to be directly involved or indirectly involved.
5. Based on the industry you want access to, the cost of a franchise will greatly vary. In some cases, the upfront fee can be less than $10,000, while, in some, it is more than $1 million. Hence, always weigh your initial investment against your expected return.
What Are The Best Franchises To Own (End Of 2025)?
According to an article on Yahoo Finance,
“In order to become a franchise owner, each business establishes its own set of conditions, which typically include an initial franchise fee, a minimum net worth requirement, and a minimum liquid assets requirement. Moreover, each company imposes a basic and advertising royalty fee, the specific amounts of which may differ between companies.”
The following are the best franchises to own as of the end of 2025:
1. 7-Eleven
| Initial Investment(s) | Royalty fees: variable Ad royalty fees: 1% |
| Franchise Fee | Royalty fees: variableAd royalty fees: 1% |
| Financial Requirements | $50,000 to $250,000 in cash |
| Total Number Of Franchises | More than 77,000 |
7-Eleven is one of the most popular convenience stores in the United States. However, it will take a few months for you to get started.
2. McDonald’s
| Initial Investment(s) | $1.40 to $2.5 million, an initial franchise fee of $45,000 |
| Franchise Fee | Royalty fees: 4%Ad royalty fees: 4%+ |
| Financial Requirements | $100,000 in cash |
| Total Number Of Franchises | More than 40,000 |
Due to its popularity and strong brand recognition, this franchise has a high chance of success. Hence, there is a large initial investment that you will need to make.
3. United Parcel Service (UPS)
| Initial Investment(s) | Traditional locations: $240,959 to $508,472Store in-store locations: $80,357 to $216,148+Rural locations: $206,423 to $459,136 |
| Franchise Fee | Royalty fee: 5%Ad Royalty Fee: 2.5% |
| Financial Requirements | Minimum $75,000 (liquid assets) |
| Total Number Of Franchises | Close to 5000 |
If you want to start a business in the postal and delivery service, this is one of the best franchises to choose from.
4. Chick-fil-A
| Initial Investment(s) | $518,385 to $2,803,435 |
| Franchise Fee | Royalty fee: 15%+ (Takes 50% of all profits) |
| Financial Requirements | $10,000 Initial Financial Commitment |
| Total Number Of Franchises | 2928 |
This is a restaurant franchise and is quite popular. With this franchise, you will need holistic commitment and need to operate hands-on.
5. Papa John’s
| Initial Investment(s) | A one-time franchise fee of $25,000 |
| Franchise Fee | Royalty fees of 5% (monthly net sales) |
| Financial Requirements | Minimum Net Worth: $750,000Minimum Cash/ Liquid Assets: $250,000 |
| Total Number Of Franchises | 5000+ |
It is a pizza restaurant that focuses on quick delivery. Although the startup costs are a bit high, your business will get recognized fast.
Wrapping Up
Hope this article was helpful for you in getting to know about the best franchises to own now. However, before you dive into a franchise opportunity, you must get an idea of your own goals, strengths, budget, industry, and how you want to be involved with the business. Once you have that, you can narrow down your business field and business model that interests you.
Once you choose the franchises mentioned above based on your field of operation, you are sure to succeed quickly. However, before you choose your franchise, consider reading the legal documents carefully. Do you have any more suggestions regarding the best franchises to own? Share your opinions with us in the comments section below.
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Soumava Goswami
Inspired by The Social Network, Soumava loves to find ways to make small businesses successful – he spends most of his time analyzing case studies of successful small businesses. With 5+ years of experience in flourishing with a small MarTech company, he knows countless tricks that work in favor of small businesses. His keen interest in finance is what fuels his passion for giving the best advice for small business operations. He loves to invest his time familiarizing himself with the latest business trends and brainstorming ways to apply them. From handling customer feedback to making the right business decisions, you’ll find all the answers with him!
