Best Franchises 2019 (Consulting/Sales/B2B)April 7, 2022
While there is no universally “best” franchise for everyone, for those with sales, B2B, consulting or business development experience there are several unique franchise options that can generate significant returns.
The first area we will look at that is in huge growth mode right now is specialty consulting. We live in a world where consultants are very much in demand. A Good consultant can earn hundreds of dollars an hour. The franchise model works well because the company has decades of consulting knowledge that the franchisee is able to learn and save years or decades over starting as an independent. There are many vertical markets for specialty consulting including training, cost recovery, energy auditing, franchising and many more. Anyone can start a consulting business on their own, or your investment for a consulting type business will start at $25,000 and can potentially yield hundreds of dollars an hour. The company then trains you on their consulting process, and you deliver that service to clients. And when you are trained to fix business problems or someones personal problems, people are willing to pay for that. If you can help someone make one million dollars, or save a million dollars , or make better business decisions, hat is worth a lot.
But, and this is the most important thing to remember, in order to use that consulting experience the franchisee needs to have clients, which involves generating customers and business networking whether it is online or offline. So for someone who is not good with people you won’t ever get to hundreds per hour, you will stay at zero per hour. But consulting for low cost, potential returns, lifestyle flexibility and in demand industry , in my opinion, is the best franchise option and the one I chose for my own business.
Another one of our favorite franchises in specialty consulting is cost recovery. These franchises are great as you help companies recover thousands, sometimes hundreds of thousands using the franchises buying power and special analytical tools. With an investment of $56,000 the top 25% of franchisees generate over $600,000 year. And keep in mind you are in a home office, no inventory, no rent, no employees, very low overhead. This company also shows over $200,000 average for offices operating more than one year. So that’s what you get if you are average. But again, companies aren’t calling you – you need to make this business happen.
Outside of consulting we have a residential restoration franchise that top owners are seeing gross into the 3-5 million range and net between $600- $800,000. This franchise is operationally more involved and requires owners to hire and manage crews of sales people as well as teams of restoration professionals. So depending on how you prefer your business to operate this has a more complex operational model. Investment is also higher at around $250,000 but with good credit you could finance up to 85% .
Next we have a very well established employment franchise showing mature offices earning over 6.4 million annually with an investment of only $150,000. Again this one has added operational complexity as you will be running an office and employees, so in addition to business development you also have the management and company infrastructure role.
Another highly profitable segment and one we might suggest could be the best franchise opportunity of all, is master franchising. It has been suggested that more millionaires are made with master franchising than any other type of franchising. So instead of buying only one location, one store, you purchase the licensing rights to an entire territory. And these territories can be an entire country, or a single city. You then begin to either open franchise locations up yourself, or what most people will do is sell the individual franchise units and retain a few licenses for the future. You can often make your initial investment back just from selling single units, and on top of that you receive ongoing royalties for the lifetime of the contract from all the franchisees in your territory. This is why we like emerging franchises because you can still buy the master licenses. With the larger brands those were gone decades ago. So this helps the franchise ramp up quickly, and the masters do very well financially. Right new we have some very exciting master opportunities with some big names available in the USA, Middle East, and throughout the world. Surprisingly master opportunities are not much more than a traditional franchise often in the $100-$300k range for a large city. We have seen entire country deals sell for as low as half a million. Some investors who got in early with a master franchise and own the rights to hundreds of franchises in the country have done very well for themselves.