The new year and new opportunities to get rich, and what better way is there than getting one of 17 most profitable franchises to buy in 2018?
After writing about most profitable franchises to buy in 2016 and most profitable franchises to buy in 2017, covering the topic in the year 2018 was inevitable. You may wonder why we keep coming back to it. There’s no big secret. Franchising is simply a very, very lucrative business. Let’s start from scratch with the basic franchise definition. The original franchise business definition is a bit long, but in a nutshell, a franchise is “a business system in which private entrepreneurs purchase the rights to open and run a location of a larger company.” Basically, you purchase the license from the big guy to run a part of his company. You’re the franchisee or the franchising company, and the other side is called a franchisor. Reasons, why so many people opt for this kind of business, are various. Some are just too lazy to bother opening their own original company. Others are anxious about doing everything on their own, while some simply seize an excellent opportunity when they see one. Oh, yes, franchising is one profitable venture. What are your thoughts on McDonald’s? That’s the most profitable franchise in the world, and if you wish to purchase it, you’d better have a million or two lying around.
But you don’t necessarily have to spend a fortune to buy one. McDonald’s isn’t on our list because it’s not the latest trend (not to mention how long you’d have to wait to get your $2 million back). There are lots of pretty decent franchise opportunities under 10k out there, and the most successful can be found on our list! If you’re based in India, Subway is in the first place of top 10 franchise business in India. Subway is an American franchise, but the original, native and best franchises to own in India are Kidzee and US Dollar Store.
One of the greatest advantages of franchising business is that you are not alone. A franchisor receives all the advice and necessary equipment from the franchisee. In short, you get the recipe that works. However, there are a couple of downsides, just like with any other business. Sometimes the contract will limit your creativity, or you have to continue royalties for using the company’s name.
So, how did we come up with the best franchise business opportunity for 2018? First, we checked which are consumer trends for this year at Business. Apparently, these would be healthy food products, all kinds of beauty salons, pet care, and technology. Now more than ever people are investing in their bodies one way or the other. Either by eating healthily, working out, visiting hairdressers and spas or by combining all of the above. Pets are recognized as family members and have to be pampered regularly. As for technology, just look around you and count how many gadgets you possess. Bearing these trends in mind, we visited Entrepreneur to see their 39th annual list of top franchises and picked the ones which suited the latest tendencies in the market. Naturally, we started looking for the best options from the top.
With the names of greatest franchise opportunities for 2018, we’ll also give you information on how much you need to invest in it (the overall expenses), how long the company has been in franchising business, and what kind of business that is. We can’t say all these could be called low cost franchises with high profit, but at least most of them are under $1 million. Actually, their price is much lower than that. Some will cost you less than $5,000.
Therefore, you should be able to get your money’s worth pretty soon because you’ll be following 2018 trends. The initial investment should pay off quickly, and you could be collecting big revenues if you choose one of 17 most profitable franchises to buy in 2018!
17. GNC Franchising
Type of business: Vitamins and nutrition products
Initial investment: $180,504 – $347,270
Franchising since: 1988 (30 years)
It has become a habit to buy some vitamins at the pharmacy along with your fruits and veggies at the supermarket. GNC’s successful sale of vitamin and nutrition supplements comes as no surprise when you see how many gyms are located in your neighborhood.
16. Sky Zone
Type of business: Trampoline playing courts
Initial investment: $1,343,813 – $2,694,116
Franchising since: 2009 (9 years)
Who says your exercise routine must get dull and repetitive? This relatively young franchise offers fitness, but also organizes parties, dodgeball tournaments, and other events.
15. Tropical Smoothie Cafe
Type of business: Smoothies, sandwiches, wraps, salads, soups, coffee drinks
Initial investment: $222,770 – $525,400
Franchising since: 1997 (21 years)
OK, so Tropical Smoothie Cafe, which ranks 15th on our list of most profitable franchises to buy in 2018, doesn’t offer only the healthiest foods, but the business is mostly based on it. Their motto is “Eat better, feel better.”
14. Jazzercise Inc.
Type of business: Group fitness classes, conventions, apparel, and accessories
Initial investment: $3,700 – $32,750
Franchising since: 1982 (36 years)
What are the chances you haven’t seen this one around the corner? Jazzercise is one of the best low cost franchises on our list. You need less than $4,000 for this one.
13. Edible Arrangements
Type of business: Sculpted fresh-fruit bouquets
Initial investment: $195,450 – $327,650
Franchising since: 2000 (18 years)
People love giving and receiving gifts, and in this craze for a healthy lifestyle, someone had an original idea. Making and selling fruit arrangements.
12. Palm Beach Tan
Type of business: Tanning
Initial investment: $479,025 – $789,085
Franchising since: 2001 (17 years)
With the ozone layer getting thinner by the year and more people becoming allergic to the sun, this seems like the perfect solution. The weather can change drastically, but the people’s (women’s) need for the perfect tan will never fade. In most cases, the perfect tan means being the perfect shade of honey brown.
11. Orangetheory Fitness
Type of business: Group personal training
Initial investment: $488,405 – $994,360
Franchising since: 2010 (8 years)
What’s probably appealing to all those attending Orangetheory Fitness sessions is the fact your heart rate is displayed on a screen during a workout. The exercises are done on treadmills, rowing machines and by using free weights.
And now, let’s see the top ten most profitable franchises to buy in 2018.
10. Massage Envy
Type of business: Massage therapy, stretch therapy, skin care, facials
Initial investment: $434,823 – $1,030,500
Franchising since: 2003 (15 years)
Now let’s see top ten of our 17 most profitable franchises to buy in 2018. Massage Envy is giving you everything your body needs after an exhausting week.
9. Smoothie King
Type of business: Smoothies, healthful snacks, health products
Initial investment: $225,650 – $778,150
Franchising since: 1988 (30 years)
The king of smoothies has been doing his business since 1973 and started opening franchises in 1988. A very reliable company with a catchy name.
8. Pet Supplies Plus
Type of business: Pet supplies
Initial investment: $555,400 – $1,312,400
Franchising since: 1989 (29 years)
A serious business with furry customers. Pet Supplies Plus which ranks eight on our list of most profitable franchises to buy in 2018, is a huge brand which needs a great investment. Love for animals isn’t enough this time.
7. CPR – Cell Phone Repair
Type of business: Electronics repairs and sales
Initial investment: $58,150 – $176,000
Franchising since: 2007 (11 years)
Consumerism implies merchandise is more prone to being faulty, and this store can help you with it. Also, they’re selling smartphones, game systems, music players, parts, and accessories.
6. Planet Fitness
Type of business: Fitness clubs
Initial investment: $857,080 – $4,234,750
Franchising since: 2003 (15 years)
Perhaps you’ve been their member at some point in your life. How about buying one yourself? You already liked their way of doing business since the annoyance level is very low. There’s a special “Lunk Alarm” which activates to discourage bad behaviors such as too loud grunting, or dropping weights.
Type of business: Electronics repairs
Initial investment: $60,400 – $220,850
Franchising since: 2013 (5 years)
Only recently did they start franchising, and already made a name in electronics repairs business. Obviously, they must be doing something right since Entrepreneur ranked them in top 20.
4. Anytime Fitness
Type of business: Fitness centers
Initial investment: $89,350 High – $677,800
Franchising since: 2002 (16 Years)
Anytime Fitness literally mean what they say: anytime! They’re open 24/7, all year round. But don’t always count on the staff to be present at ungodly hours.
Type of business: Hair salons
Initial investment: $144,280 – $296,900
Franchising since: 1979 (39 years)
Supercuts ranks third on our list of most profitable franchises to buy in 2018. It has been around for a long, long time. It was founded in 1975 and soon started a franchise business. The key to success lies in 20 minutes hair-cutting technique, so they are able to offer quick and inexpensive haircuts without appointments.
2. Sport Clips
Type of business: Men’s sports-themed hair salons
Initial investment: $189,300 – $354,500
Franchising since: 1995 (23 years)
Who says only women throw a fuss over their hairstyles? Haven’t you noticed all those lumbersexuals and their buns around you? Guys are guaranteed to feel at home in a hair salon that has no nuances of pink in them. Just manly sports environment and easy to maintain hairdos.
1. Great Clips
Type of business: Hair salons
Initial investment: $136,900 – $258,250
Franchising since: 1983 (35 years)
Another hair salon with a bit more success finishes our list of 17 most profitable franchises to buy in 2018. They don’t require appointments and are open in the evenings and at weekends. Great Clips are normally found at the malls, hence their high number of customers. Advantage: no experience required for purchasing the license!