Starting a business from scratch can be both exciting and overwhelming. It usually begins with a bright idea that solves an unmet need — but turning that idea into reality is no easy ride. Globally, only about 10–20% of startups actually succeed.
Franchising, on the other hand, tells a very different story. Success rates vary depending on the franchise cost, but research shows that when the initial franchise fee is $25,000 or higher, failure rates drop below 5%. That means franchises average an impressive 95% success rate.
Of course, the franchise fee is just one piece of the puzzle. You’ll also need to factor in real estate, staff, equipment, and ongoing operational expenses.
In transparent, well-developed economies like the U.S., and Canada, franchising has proven to be a strong alternative to entrepreneurial startups. For new investors, franchises offer the comfort of proven systems and recognizable brands. If you’re considering this path, check out this overview of 15 promising franchise industries for 2025:
https://pickleragefranchise.com/the-best-15-franchises-to-own-for-beginner-investors/
Why Franchising Works?
Franchises can be a shortcut to business ownership. From day one, you benefit from:
- A brand people already trust
- A tested and proven business model
- Ongoing training and support
- Built-in marketing and resources
The best franchises for first-time owners usually offer high demand, simple operations, and strong franchisor backing — making it easier to launch with confidence.
Common Mistakes to Avoid
Jumping into a franchise blindly can still be costly. Here are a few pitfalls to watch out for:
- Skipping research: Study the brand’s track record and success rate before signing anything. (See the Franchise 500 for data-driven insights.)
- Falling for the name: A big brand isn’t always the right fit. Make sure the franchise matches your skills, lifestyle, and long-term goals.
- Overlooking support: Training programs, regional/national advertising, and franchisor support are crucial for long-term success.
Final Word
If your dream is to own a business from day one, franchising can be a smart path — as long as you do your homework. A well-chosen franchise can give you a head start with fewer bumps along the road compared to building a startup from scratch.
