It’s a Great Time to Open a Food Franchise

Troubled economic times offer great opportunities to start a new business. Yes, that’s right, and for two simple reasons: Retail space is at a discount and vendors are inclined to discount (and offer better service). Though there is substantial risk involved with any financial undertaking in this environment, the pay-off is considerable for the entrepreneur willing to roll the dice. (Warren Buffet made his fortune investing when others were knotting their purse strings.)

If you do have the nerve and the capital, investing in a food franchise might be the right choice. While people don’t always need a new car or flat screen, they have to eat, which makes (economical) restaurants recession-proof. Also, by building a clientele by offering a good menu and superior service in tough times, you would be ensuring superior growth when the economy turns the corner.

Starting a restaurant from scratch can be a recipe for disaster, even for the experienced restaurateur. Developing a menu, building a marketing campaign, engineering the brand, sourcing ingredients, and even finding the right restaurant accounting service all represent a large outlay of time and effort on your part. That’s why working with an existing food franchise is so appealing—so much of the laborious leg work is already done. Granted, you’ll pay for that experience and support in the form of franchise fees ($30,000 for a Baskin Robbins ice creamery), but the price is usually well worth it.

Looking to invest? Think food franchise. (More specific: Think Subway Sandwiches, the number one food franchise according to Entrepreneur Magazine.)