Franchise best buys 2016

May 6, 2016 -  By

There are many top franchise lists out there—such as Entrepreneur’s Franchise 500 and the Franchise Times Top 200. But no one has analyzed landscape industry franchise opportunities. Until now.

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Graphic: LM Staff

Rather than doing a list of the biggest franchises, which would overlap with our LM150 list, we tapped the experts at franchise research firm FranData to dig into the data and determine a list of green industry Franchise Best Buys. Is it debatable? Yes. Will some disagree? Certainly. Is it founded in the data vital to people considering a franchise? Definitely. (Namely, “How likely am I to still be in business in a few years?”)

Methodology

LM tapped research firm FranData to analyze and rank the landscape industry’s Franchise Best Buys.

To be eligible for the ranking, brands must have a Franchise Disclosure Document, operate in the U.S. and have a five-year franchising record. Data were considered through 2014. Where applicable, a franchise’s Bank Credit Report was factored in. Several dozen outdoor brands were considered for the list.

The ranking is based on a formula that evaluates system performance and support. System performance was determined by scoring demand of a brand and success of existing franchisees. Demand of a brand is determined by growth rate over the most recent five-year period.

Success of existing franchisees is evaluated by franchised unit continuity rate over the most recent five-year period.

Support offered by the franchisor is determined by a system’s ability and willingness to support franchisees. Ability to support examines the level of disclosure made available to franchisees and lenders, financing assistance and the financial health of a system. Willingness to support examines initial training, pre-opening on-site support, ongoing training, ongoing on-site operational support and the availability of support personnel.

This ranking is intended to be a place for prospective franchisees to start their research. It’s not intended to endorse or recommend any franchises.

When considering a franchise, always read the Franchise Disclosure Document. Consult an attorney, accountant and other business advisors when reviewing legal or financial documents.

Screen Shot 2016-04-04 at 12.59.03 PM Graphic: LM Staff

Click to enlarge. Graphic: LM Staff

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