Entrepreneurs’ Optimism Shifts into High Gear As Investment Interest in High-End Franchises Doubles

Atlanta, GA – (October 15, 2015) – A surge in high-dollar franchise investment inquiries signals growing optimism among entrepreneurs, as small-business owners and prospects look ahead to growth in the U.S. economy.

Interest in franchises requiring more than $100,000 has nearly doubled over the past two years, and interest in $250,000+ businesses has tripled, according to the latest research from the largest network of online franchise directories.

High Value Franchise Leads 10.2015“A willingness to invest in higher-cost businesses is a strong show of confidence,” said Michael Alston, president of the Landmark Interactive Franchise Group. “Franchising is one of the most effective ways to grow a business, and one of the best ways for any individual to become a small business owner. This surge in high-dollar interest is broad-based show of optimism.”

New research was shared with industry executives at the Franchise Update Leadership and Development conference in Atlanta today, based on visits to the largest online franchise recruitment sites, including  FranchiseSolutions.com, FranchiseGator.comFranchiseOpportunities.comFranchise.com and BusinessBroker.net. The companies have pioneered online franchise sales since 1995, and today, the Internet is a primary way for entrepreneurs to find and contact growing franchises for investment.

Research also showed that mobile phones are now the predominant Internet channel for franchise development:

  • Smartphones generated 51% of of the sites’ franchise-recruitment leads this summer, more than twice the share of 2013. The five-year growth of mobile phones is nothing short of astounding – in 2010, phones accounted for only 2% of franchise leads.
  • Investment inquiries for franchises requiring more than $100,000 grew 92% this summer, vs. summer 2013. Franchises requiring $250,000 or more saw 200.1% growth, and $100,000 to $249,000 saw 75.3% growth.
  • Franchise opportunities for $50,000 to $99,000 also nearly doubled, with 90.4% growth since 2013.
  • Franchise opportunities under $50,000 also saw steady growth – an 8.3% increase in the $25,000-$49,000 segment, and a 12.9% increase for small business opportunities under $24,900.

“We are witnessing the start of a small-business recovery in real time,” Alston said. “Small-business owners are ready to move forward with the economy, and our websites and mobile apps will help them find the right franchises to own,” he said.

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