Franchising Fast Facts

Franchising has come a long way since its beginnings, evolving into a key business model that powers a significant part of the global economy. Whether you’re curious about the history or want to see how franchises are performing today, this quick snapshot gives you some fast facts on the world of franchising.

• 1851: The first recorded franchise was started by Isaac Singer, the man behind the Singer Sewing Machine. He developed a system where people could buy rights to sell and service his sewing machines, laying the foundation for modern-day franchising.
• 1950s: Fast food franchises like McDonald’s and Burger King emerged, rapidly spreading the concept of franchising across the U.S. and setting a template for many other industries.
• Today: Franchising is a popular business model in sectors ranging from restaurants to home services, retail, and education. Brands like Subway, Dunkin’, and 7-Eleven are household names due to their franchise systems.

• Over 750,000 franchise establishments currently operate in the U.S. alone, contributing significantly to the economy.
• $787 billion: In the U.S., franchises generate nearly $787 billion annually, with industries like fast food, personal services, and real estate leading the way.
• 1 out of every 7 businesses in the U.S. is a franchise, showcasing the wide reach of this business model.
• 300+ industries use franchising as a method of growth, ranging from food and beverage to healthcare, automotive services, and education.
• 8 million jobs: Franchises in the U.S. provide over 8 million jobs, making them a significant employer in the economy.

• Franchising isn’t limited to the U.S.—it’s a global phenomenon. Countries like Canada, Australia, and the U.K. have thriving franchise markets, and emerging markets in Asia and the Middle East are rapidly adopting this business model.
• China is one of the fastest-growing markets for franchising, with many American and European brands establishing a presence there.

• McDonald’s opens a new restaurant somewhere in the world every 14.5 hours. This level of growth is made possible by franchising.
• The most popular franchise in terms of number of locations is 7-Eleven, with over 83,000 stores worldwide.

Franchising continues to be a dynamic and growing industry that offers opportunities for both entrepreneurs and established brands. From its humble beginnings with Singer sewing machines to the global powerhouse it is today, franchising shows no signs of slowing down. These fast facts and stats highlight how impactful franchising has been—and continues to be—on economies and communities around the world.