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An Upturn for Franchising

Here’s a dispatch on the upturn: the franchising industry is clearly starting its turn-around.

This is according to one of the most scientific metrics we have to assess the state of the franchising industry. Every quarter, the Rosenborg International Centre for Franchising at the Whittemore School of Business and Economics at University of New Hampshire release their analysis of the performance of the Top 50 franchises in America. They’ve just put out their study of the second quarter and the news is good for franchising.

Here are some promising findings: 40 of the 50 companies on the list enjoyed gains over the last quarter, with some of them over 100 per cent (top of that list was Dollar Thrifty Automotive Group, which enjoyed a remarkable 1100% gain). As a whole, the index was up 11.1% as well, which is really promising.

Reiva Lesonsky at the blog cites Hachemi Aliouche of University of New Hampshire, who says that “economic reports of improved credit flows, a stabilizing housing market, and a decrease in the rate of layoffs suggest that the worst of the recession is over”.

Three cheers to that news and we’ll keep our eyes open for further documentary evidence of the end of this long and difficult reession.

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