It seems like everyone’s offering a Top 100 Franchises for 2023 about now — or Top 10, Top 20, Top 500…
We have our own list of Best 50 Franchises.
Criteria for inclusion in these lists often include characteristics like these:
- Company revenue
- Age of company
- Overall health of company
- Number of franchisees
- Levels of growth
- Support for franchisees
- Corporate citizenship
- Startup cost
- Litigation history
- Number of closures
- Financing offered
Here at America’s Best Franchises, our list is based on the popularity of the franchise: which franchise is most requested by our visitors. We figure your interest in a franchisor is a good measure of how appealing and how popular that franchise is, where many lists may simply show the biggest companies.
In other words, the first thing to realize is that these lists are not all alike, and being #1 on any given lists can’t be understood to mean, “objectively the best in the world.”
The criteria listed are certainly important things to consider, though, and it’s good to know these facts about any company you’re considering for your own franchise business investment.
Should you base your selection solely on a formula like this? In a word, no. Formulas that use numerical ratings of different aspects of a franchisor — even important aspects — aren’t going to tell you a whole lot about how you fit into that equation. While these formulas may be accurate reflections of information that’s available, they can be misleading for your individual success.
A list may tell you how well a franchisor is doing, but it can’t tell you how well that franchise will suit your needs, how well it will mesh with your temperament, or how well it matches with your resources.
Top franchise lists can still be a good place to start your search for the right franchise for you. First, find out how the list was made what types of criteria are being used to rate the franchisors. Make sure that the criteria suit your needs.
Then take a look at the options and see which ones appeal to you. Read our descriptions and request information from the companies you are considering. List or no list, you need to look at the factors for your individual situation for any franchise you consider. Doing your due diligence and your own research about a franchisor will save you from making a bad decision.
We share the Franchise 500 List that Entrepreneur puts out every year in our Bullseye tool to help you learn what experts have said about the franchise. You’ll find franchises like Firstlight Homecare and Fresh Coat Painters among those listed on the Top 500. Don’t miss our own Top 50 list — it uses different criteria, so it can provide some balance.
Once you’ve done research on the franchises from Top Franchise lists that appeal to you, you’ll have a clearer idea of what you’re looking for in a franchise. At that point, you can continue your research in the direction that you’ve identified.