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Only 5.3 Percent of ‘Zees Cross 100-unit Mark, Says FranData


IFA Chairman David Barr shares his franchise industry update.

Only 16 percent of U.S. franchises have more than 100 units, and a mere 4 percent have 500-plus locations. Twelve percent fall in the 100-to-500-unit range, while 11 percent have between 25 and 50 stores. These were some of the FranData numbers shared by David Barr, chairman of the International Franchise Association, during his industry update at the Faegre Baker Daniels Franchise Summit last week.


Some other interesting stats:

• While large multi-unit operators get much of the attention, single-unit owners still account for 46.2 percent of the franchise market. Franchisees with between two and nine locations make up a 30 percent piece of the pie; 9.8 percent own 10 to 24 units; 8.6 percent own 25 to 99 locations; and just 5.3 percent of franchisees have crossed the 100-unit mark.

• New brands continue to make their debuts. Since 2012, more than 1,740 brands have started franchising, an average of 300 new additions to the market each year. In 2016 alone, emerging franchise brands accounted for more than 15,000 franchised and company-owned businesses.

• Not everyone is national. Regional brands, those in 11 to 34 states, account for 34 percent of brands, while those in fewer than 10 states account for 50 percent of brands. National brands, those in 35-plus states, account for 16 percent.

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The latest news, opinions and commentary on what's happening in the franchise arena that could affect your business.

Laura MichaelsLaura Michaels is editor of Franchise Times. She can be reached at 612.767.3210, or send story ideas to lmichaels@franchisetimes.com.
Beth EwenBeth Ewen is senior editor of Franchise Times. She can be reached at 612.767.3212, or send story ideas to bewen@franchisetimes.com.
Nicholas UptonNicholas Upton is restaurants editor at Franchise Times. He can be reached at 612.767.3226, or send story ideas to nupton@franchisetimes.com.
Mary Jo LarsonMary Jo Larson is the publisher of Franchise Times Magazine and the Restaurant Finance Monitor.  You can find her on Twitter at




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