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Finding Franchise Heaven and Avoiding Franchise Hell

Franchises offer opportunities but also pitfalls, so buyer beware

(page 4 of 4)

Experts Rank the Top Franchises

Entrepreneur Magazine’s Top 10 for 2012

Entrepreneur, a national magazine aimed at small-business owners, with a paid circulation of 615,411, has been publishing its Franchise 500 list for 33 years.

  1. Hampton Hotels*
  2. Subway
  3. 7-Eleven
  4. Servpro
  5. Days Inn*
  6. McDonald’s
  7. Denny’s
  8. H & R Block
  9. Pizza Hut
  10. Dunkin’ Donuts*
Full list at tinyurl.com/9ouur8.
Criteria: Must have at least 10 units with at least one in the U.S., be actively seeking new U.S. franchisees and cannot be in Chapter 11 bankruptcy. Objective criteria includes financial strength, stability, growth rate, size of system and litigations.

 

Franchise Direct’s Top 10 Global Franchises in 2012

Franchise Direct is an online portal for franchise opportunities that says it serves both franchisor and franchisee. Its Top 100 Global Franchises ranking is in its fourth year.

  1. Subway
  2. McDonald’s
  3. KFC
  4. 7-Eleven
  5. Burger King
  6. Pizza Hut
  7. Wyndham Hotel Group
  8. Ace Hardware
  9. Dunkin’ Donuts*
  10. Hertz
Full list at tinyurl.com/7t2bt48
Criteria: More than 5,000 active franchise companies worldwide are ranked using objective criteria based on system size, sales revenue, stability and growth, years in operation, and market expansion. Franchisee support and training, environmental policy, and social responsibility are also considered.

 

Franchise Business Review’s Top 10 Large Systems for 2012

FBR is a franchise-industry market-research company that annually ranks top franchise systems according to franchisee satisfaction. The FBR50 list is in its seventh year.

  1. Home Instead Senior Care
  2. Sotheby’s International Realty
  3. Heaven’s Best Carpet Cleaning
  4. Cruise Planners
  5. Weed Man*
  6. CertaPro Painters
  7. Proforma
  8. Computer Troubleshooters
  9. American Poolplayers Association
  10. Wild Birds Unlimited*
Full list at tinyurl.com/yd8dvr8.
Criteria: FBR says it surveyed more than 22,000 franchisees representing more than 300 brands and 135,000 franchise units to rank systems on subjective measures like financial opportunity, training and support, core values, and general satisfaction.

 

* Indicates no Hawaii franchises, according to the companies and Hawaii Business research.

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