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The Franchise Industry: A Growing Economic Sector

It's clear that franchising has been expanding rapidly in the past several years, especially from 2001 to 2005. This growth has been phenomenal, happening at a faster pace than other business sectors! That's good news in what many are calling a downturn in the economy...

Growing Franchise SectorAccording to a study released by the International Franchise Association Educational Foundation, which was prepared by PricewaterhouseCoopers (PwC), the franchise sector has outpaced overall economic growth in three ways: rate of growth of output, payroll and jobs. Employment has grown three times higher for franchises than for the economy itself!

With 18% expansion during those five years, franchising added 140,000+ businesses and 1.2 million jobs to the economy. That means franchising provides more jobs than the manufacturing and financial sectors!

With franchises purchasing various goods and services from non-franchised businesses, these spillover effects mean franchising has provided a total of 21 million jobs and $660.9 billion of payroll in 2005, with output produced because of franchises growing to more than $2.3 trillion in 2005.

This study shows how important franchising is to the economy, and what an important role it plays in our economy. With an ever increasing payroll and direct economic output, franchising is expanding the economy and providing employment to millions.

Join one of the fastest growing sectors of the economy by investing in a lucrative and rewarding franchise opportunity today. Review Franchise Direct's directory of franchise opportunities and Franchise Direct's Top Franchises to find the best fit for you.

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