If you are thinking of becoming a business owner, probably, but you don’t know where to start, or you don’t want to start from zero. It’s also possible that you don’t have enough money to start a business that you are willing to start. In this case, you can think about the franchise business. You don’t have to worry about either starting from the ground up or collecting the vast amount of money you need to start up. But there are so many franchise opportunities. There are also some franchise businesses in which you have to invest a lot of money that you may not afford. In this situation, you can think about the most affordable franchise opportunities. These franchise opportunities can give you a proper beginning into the world of business. And it will also help you to have a profitable business. You can fulfill your dream of having a business of your own with a small amount of money. So, go through this article to get a proper idea about the most affordable franchises. You can select your cherished field and choose the right brand to invest in our guide.
What is a franchise business?
A franchise business where the leading company or business grant or permit or make an agreement with someone or another company to sell their products or services and let them use their brand logo, merchandise, and organizational system. Simply, you can also say that the Franchisee distributes products and services for a franchisor. Also, the franchisor helps the Franchisee in marketing, organizing, and managing. The Franchisee has to pay or return an amount of money or a fee or royalties for this permit. In this regard, you must choose the most affordable franchise opportunities.
In today’s world, people generally do franchise business instead of starting a new one. In this strategy, franchisor and Franchisee benefit in both way because the franchisor sees that their business grows or expand and on the other hand, franchisee benefits by capital and other marketing and organizing issues. There are a lot of cheap franchise opportunities to catch.
Benefits of franchise business
All over the world, the franchise business is accessible because of various reasons. The company wants to promote its business by opening new branches, and Franchisee helps them do it. It’s a win-win game. If you choose the most affordable franchise opportunities, the condition would be in favor of you.
The most common benefit in a franchise business is capital. The franchisor doesn’t have to fund anything because the Franchisee takes all the responsibility for the funding, and there is no risk of debt or anything. On the other hand, the most affordable franchise opportunity seems when there is already a brand and they just have to fund in to grow
Another benefit is management. Because the franchisor doesn’t have to appoint or train someone up for that other branch for managing. Already when the Franchisee takes the responsibility of funding and so they also look over managing. The franchisor doesn’t have to worry about how the Franchisee is managing. The Franchisee is also the owner and the manager. So, long-term commitment is always there. As far as the franchisee concern, they will always be an attempt to improve operational quality.
There is already a business running and has the market. So, the constant growth of the company is happening for both parties. The Franchisee and the franchisor, of them, are gaining profit and expanding their market and values. They sell more and grow their business
Profitability is another benefit of a franchise business. Every branch operates on its own, so that, both sides of the business stay stable and continuously gain profit. Because every department put their effort on their own and becomes profitable. The franchisor doesn’t need to worry about those matters anymore.
Profit and loss is a part of a business. When Franchisee opens their own, on their local site, they try to capture the market. When they do, that means both parties are gaining more market. On the other hand, as they run their business on their own, the loss won’t affect the entire industry. So, there is a low-risk.
Things you need to know before start franchising business
When you want to invest in the most affordable franchise opportunities, you need to learn about some basic stuff in it.
- Initial investment fee: The Franchisee has to pay a one time fee to the franchisor. The price differs from sector to sector.
- Total investment: When you start a business, you need to consider the other fees. Mainly, the entire investment is a significant sum, and there are materials, laborers.
- Ongoing process: The franchises have to capitalize on the business regularly. It’s a long-term process.
- Risk: There will always be some risk. Sometimes, the liability will be enormous.
How to start a franchise business
Whatever you want to start, first, you need to do some research. To get an idea about the most affordable franchise opportunities, you need to know different types of franchise sectors, what works where, how things work, how to manage the fund, how much fund is required for any industry, in which sector you are interested and a lot of questions to answer to know what you want from the franchise business. There is agreement about how it will work between two parties. So, at first, you need to do your research.
When you have done your research, you need to choose a specific sector that you are interested in and look at whether it is fit you or not. Then you need to select the franchise, talk to them in person, know about everything in detail like what service they are going to provide you, which support you will have from them.
When you are done selecting, now you need to manage the funding, an essential part of a business. You need to calculate the whole financial things and collect the fund. Another important thing is, you need to hire a lawyer or someone to oversee the franchise agreement. When those things are done, you need to select a place or region.
Choosing the right location for your franchise is an essential part of your business. Because if you don’t choose the right place, it may not be profitable. You won’t have enough customers. So, it is an important part. And you need to keep something in mind before choosing the right location. They are the safety of the area, customers, competitors, and compatible business.
When those things are done, all you have left is to complete your franchisee training and wait for the grand opening. Good luck.
Types of Affordable franchises
The area of this business is enormous. There are a large number of opportunities in this business. But experts recognize those sectors as the major ones to choose the most affordable franchise opportunities. They are:
- Job franchise
- Product distribution franchise
- Business format franchise
- Investment franchise
- Conversion franchise
- Management franchise
People usually look for cheap franchises to invest in. So, if people want to invest in some sector, they will look for, which are affordable.
There are also some subdivisions or sub-sectors, or we can say some franchise which is specific for some sectors. Let’s take a look at those sections;
- Automotive franchise
- Business service franchise
- Business opportunity franchise
- Children’s franchise
- Cleaning and maintenance franchise
- Entertainment franchise
- Fitness franchise
- Food and restaurant franchise
- Health and senior care franchise
- Beauty franchise
- Travel franchise
- Low investment franchise
- Real estate franchise
- Clothing franchise
- Quick-service franchise
Let’s take a look at the fast-growing sectors in the franchise business. Amazingly, Quick-service/ food/ restaurant franchise, maintenance franchise, Health, and personal care franchise and children’s franchise are the most popular and least inexpensive in a franchise business.
The quick-service franchise or QSR restaurant sector is related to fast-food chain companies throughout the country or region.
The top 9 quick-service/ food / restaurant/ fast food franchises:
- McDonald’s franchise
- Subway franchise
- Pink berry franchise
- Wendy’s franchise
- Domino’s Pizza franchise
- Pizza Hut franchise
- Dunkin franchise
- Taco Bell franchise
- KFC franchise
Affordable Food Franchise
Here is a list of the most affordable food franchise for you.
- Firehouse subs
This is quite affordable at this moment. Because they are trying to expand their business, and the initial investment is between $100K to $1M. The initial investment fee is only $20K. They are amazingly supportive when it comes to managing sector.
This is another chance if you want to join in a fast-food franchise business. The initial franchise fee is $25K for this franchise. The most remarkable thing is, the initial investment is between $100K to $500K.
It is one of the oldest restaurants in this business. The initial franchise fee is $3,500. Yes, you see right, it’s only $3,500. And the initial investment is also highly low than others, only $15K to $30K
- Checkers and Rally’s
They has been doing business since 1989. They aren’t that cheap, but they are showing promise in this sector. The initial franchise fee is $30K, and the initial investment is $100K to $1.5M.
- Champs Chicken
This is a highly cheap restaurant franchise. There is no initial franchise fee, and the initial investment starts from $9K to $350K.
These are the cheapest food franchise opportunities. And you can start and grow your business with those.
Cleaning and maintenance franchise
This sector is related to home or organizational cleaning and maintenance service, which could be individual or institutional. Even sometimes, some of the companies provide equipment, training, and support.
- Merry Maids
It is currently one of the biggest cleaning franchises in the market. The investment fee is between $37K to $52K and in total investment between $72K to $87K.
- Service Master Clean
This is another leading company in this franchise. Its annual gross sale is $835K, and it has the highest franchise revenue at $15M.
Steamatic is another profitable franchise you should invest in. It takes $75K to get started.
Jan-Pro is one of the companies which required so little amount of investment to get started. It’s the lowest investment is only $4K to $52K. And the fantastic thing is it’s one of the highest profitable companies.
- Maid Simple
Maid Simple is another one with the lowest investment capital. The total investment is around $11K.
- Health and Personal care franchise
This is mainly related to older adults who need help, nursing with their medicine, and day-to-day basis care. But it’s also associated with other services such as specialized women care, child health care, fitness, etc.
Most affordable health and personal care franchises
- ATC Healthcare
ATC Healthcare is one of the largest healthcare franchises around the country. One of their specialized services is, they have up-to-date healthcare technologies. The franchise fee is around $45K, and it takes a total of $60K investment initially and requires a total investment between $150K to $250K to start with.
GNC is involved in pharmaceutical drugs and specializes in providing a large number of vitamins throughout the country. The initial franchise fee is $40K, and the total initial investment is between $200K to $350K.
- The Joint Chiropractic
This is related to safe and pain relief and prevention services without the drug. The initial franchise fee is $40K and liquid capital of $100K. It requires a total investment of between $200K to $350K.
- Caring senior service
Caring senior service is all about its name. They provide services or assistance for older adults. The initial franchise fee is $35K.
Jazzercise is related to the fitness center and stuff like that. One time initial fee is only $1250.
- Children franchise
Children franchise is all about children related stuff. There are some sub-sectors in this franchise. Education, tutoring, playing, clothing, and a lot of things are associated in this category. No matter what, parents will always pay for their children’s happiness.
Most affordable Children franchises
- Sharkey’s Cuts for Kids
This is one of the low investment required children franchise. It is related to children’s play and early education. It needs about $75K in total investment to get started.
- Tutor Doctor
Tutor Doctor is related to home service tutoring for all ages. It requires between $62K to $100K in total investment. One of the cheapest investments to open in this sector.
- Parisi Speed School
This is related to children’s training, which offers agility, flexibility, and endurance. It is one of the cheapest successful franchises in this category. It requires a total investment between $13K to $150K.
Abrakadoodle franchise is related to kids’ art learning, style, and technique. It is that kind of cheap franchise that makes money. It initially requires around $40K to get started.
- Eye Level Learning Centers
Its a highly reputed learning center. Because the system is built in that way that emphasizes special education and specialized care for each child. And it is one of the cheapest successful franchises that require $60K to get started.
Those were the fast-growing franchises. But besides that, there are some affordable other franchises that we should discuss.
Most affordable travel agency franchises
A travel agency franchise is an excellent choice for a franchise business. In this sector, franchisees get a 100% commission, have more flexibility than other industries, and accreditation depends.
- Cruise Planners (Minimum investment requires around $10K )
- Expedia CruiseShipCenters ( Requires minimum $100K )
- Dream Vacations ( Less than $10K )
- Travel Leaders
- Explorer Travel ( Only $5K )
Most affordable real-estate franchises
- Kelley Williams
- Berkshire Hathaway Homeservices
- Some vendors of America
- Flat Rate Realty
- Coldwell Banker
- Century 21
- Realty One Group
- Stratus Building Solutions
Real-estate business covers different kinds of companies in the same sector. Buying, selling, property management, asset management, all kind of things are related to this sector.
Other Notable Franchises
- Showhomes Home Staging
This is one of the cheap and accessible real estate services. The company takes empty houses and refurbish everything. The initial total investment is $10K.
- TSS Photography
It is another low investment franchise which has a training service, day to day operations. And the initial startup cost is only $10K.
- Image One
This is a popular cleaning service. The initial startup cost is $15K.
- Amazing Athletes
This is an educational sports program for children. The initial fee starts from $25K.
- Mosquito Squad
This is a pest control franchise. The initial investment starts from $25K
What is the cheapest franchise to buy into?
Answer: There is a lot to consider before buying a franchise business. But Jan-Pro, Cruise Planners, Firehouse subs are those kinds of franchises you are looking for.
Which cheap franchise can buy for $10K?
Answer: TSS Photography, Showhomes homes staging, Dream vacation, Cruise Planners franchises you can buy in $10K or less than $10K. And it would be better if you search for your interested sector.
What are the most profitable franchises to own?
Answer: McDonald’s, Subway, Dominos, The UPS Store, Sonic are the most profitable right now. But it depends on your investment and the market.
What is a cheap franchise to start?
Answer: Cruise Planners, Jan-Pro, Dream Vacation are the cheapest franchise to start that can make money. And also there are a lot of others.
Can an inexpensive franchise startups be profitable?
Answer: Yes, If you can play the game, It does worth it. This kind of business is a long-term game. You need to understand the market and play it in the right way.
There are a lot of opportunities in the world of business. If you want to be a part of one of the best companies, it’s your choice for the franchise. You just need to find the most affordable franchise opportunities. There are many examples where people start from a little in this business but grow and become a business giant. So, what are you waiting for?