Shaky economy? How about franchising?
During the past few weeks, I've spoken with dozens of franchises and a few of our partner companies informally polling them on the franchise environment. One franchise consulting company said prospect inquiries are down but we continue to place more people into franchises than we did last year. Several of the franchisors I've spoken with have had similar opinions.
The current economic condition is surely playing a factor. A few highlights:
- US unemployment at an all-time low
- The Dow hit record highs in September/October. Late October has seen the lowest market since June and large corporations like Bank of America, Merrill, Countrywide and others are struggling to make earnings estimates
- Only 4 major metro markets in the entire US still have steady or rising real estate
- Most of the major markets have seen a dramatic decline in real estate
- It's harder than ever for the middle class american to find seed capital
- Over 600 new franchise concepts have been introduced in the past two years
As you think about starting a business or joining corporate America, don't forget about franchising. Sometimes buying into a proven business model can be the safest investment into your future.