Franchise Statistics
NATIONAL OVERVIEW
Direct Contributions to the U.S. Economy in Franchised Business
| Jobs |
11,029,206 |
8.1 % |
| Payroll |
$ 278.6 billion |
5.3 % |
| Output |
$ 880.9 billion |
4.4 % |
| Establishments |
909,253 |
3.3 % |
- There are 909,253 franchised business establishments in the United States.
- Franchised businesses provide more than 11 million jobs or 8.1 percent of the national private-sector workforce.
- Franchised businesses supply an annual payroll of $278.6 billion, or 5.3 percent of all private-sector payrolls in the United States.
- Franchised businesses produce goods and services worth $880.9 billion per year, or 4.4 percent of private-sector output in the United States.
- Include in “franchised businesses” all those establishments that are part of a franchise system – those businesses owned by franchisees and those owned by the franchisor.
Total Contributions to the U.S. Economyuse of Franchised Businesses
| Jobs |
20,974,636 |
15.3 % |
| Payroll |
$ 660.9 billion |
12.5 % |
| Output |
$ 2.31 trillion |
11.4 % |
- Franchised businesses demand products and services from other businesses and provide income to their workers and owners, who then spend their income with other parties.
- As this cycle repeats, the jobs, payroll and output that exist because of franchised businesses grow beyond the jobs, payroll and output that are in franchised businesses alone.
- Franchised businesses are the cause of nearly 21 million jobs or 15.3 percent of all U.S. private-sector jobs.
- Franchised businesses are the cause of $660.9 billion of annual payrolls, or 12.5 percent of all private-sector payrolls in the United States.
- Franchised businesses are the cause of $2.31 trillion of annual output, or 11.4 percent of all private-sector output in the United States.
- The IFA list over 75 industries that use franchising to distribute goods and services to consumers.
Source: International Franchise Association ©