The World Franchising Network recently completed its eighth annual survey of the progress that minorities have made within the franchising community.
African-Americans has increased marginally, there has been a more pronounced increase in the number of Hispanics, Asian-Americans and Other (generally Indian and Middle Eastern) minorities that own franchises. Our take-away is that these groups are attracted by three primary factors: 1) Technical and/or language skills are not imperative in many of the industries highlighted; 2) The cost of entry is generally modest; and 3) Franchisor management has aggressively targeted the recruitment and ongoing support of these groups – the key to long-term success.
The questionnaire (Go to www.worldfranchising.com.minorities/new) asked franchisors for information in two primary areas. 1) The minority (African-American, Asian-American, Hispanic, South Asian, etc.) participation among their franchised and company-owned units, and 2) The minority representation among senior management. The results of each company’s response in noted on our website. From the 380+ questionnaires returned, we selected 50 companies that are clear leaders in the industry. The adjacent list of 50 Top Franchises for Minorities is an excellent starting point in your search for an optimal franchise that meets your needs, experience, and financial capabilities.
Among the 50 franchisors selected, we thought it might be helpful to highlight several representative companies that have exceptional records in the minority makeup of their franchised operations and/or senior management.
|Franchisor||% Minority Franchised Units||Industry|
|Jan-Pro Cleaning Systems||94.1%||Maintenance|
|Vanguard Cleaning Systems||93.8%||Maintenance|
|Anago Cleaning Systems||89.6%||Maintenance|
|Coverall Health-Based Cleaning System||89.0%||Maintenance|
|Abrakadoodle Remarkable Art Education||81.4%||Child Learning|
|Aqua-Tots Swim Schools||40.7%||Child Learning|
|Eye Level Learning Centers||40.1%||Child Learning|
Although the Top 50 list was reserved for franchisors with over 40 operating units, the companies below also demonstrated an exceptional minority participation.
|Franchisor||Total Units||% Minority Franchised Units|
|Aladdin Doors (www.aladdindoorsfranchise.com)||2||100%|
|Teriyaki Madness (www.teriyakimadness.com)||15||93.3%|
|Bio-One Inc. (www.biooneinc.com)||23||65.2%|
|Centerstone Inns, Hotels, etc. (www.centerstonehotels.com)||8||50.0%|
|Rainbow Station (www.rainbowstation.com)||8||50.0%|
Although the percentage of minority participation is clearly a factor in the process, your primary focus should be on a company’s reputation within the marketplace, their ongoing support of their franchisees, their financial stability and whether you can make a return on your investment (both financial and time committed) as a franchisee. The single most important, and often hardest to determine, factor, however, is the success and happiness among the existing franchisees, especially the minority contingent. It is incumbent on you to contact as many franchisees as possible to determine their level of satisfaction and whether or not they would recommend the franchise to a family member or friend.
If you are considering investing in a franchise, the World Franchising Network (www.WorldFranchising.com) has various resources (detailed franchisor profiles, links, access to publications, FDDs, Item 19s, etc.) that could be of assistance. Do your homework!