Franchising is an appealing option for many would-be entrepreneurs since it allows you to be your own boss without taking on the significant risk of starting a business from scratch. In addition to a well-known brand name, buying a franchise can help you avoid startup mistakes and failures thanks to a proven business model and operating system.
Is the COVID-19 pandemic the best time to invest in a franchise? This is probably one of the most frequently asked questions by entrepreneurs. Depending on the industry, they answer may be yes. It’s a rare opportunity for you to enter the game when lending is attractive and landlords may be willing to negotiate rents. While some business sectors are certainly experiencing a negative impact from the pandemic, other categories have seen success despite challenges around customer expectations for safety and convenience.
Considering the current and long-term effects of COVID-19, here are some popular franchise categories you may want to invest in during 2021.
Commercial Cleaning and Restoration Service
The commercial cleaning service industry is a great choice to begin your entrepreneurial journey since it does not require huge capital costs or many entry requirements. This industry is booming and is predicted to grow 10% by 2026. The pandemic has changed how the world views cleaning, which is for health, not appearance. Commercial buildings, banks and grocery stores have stepped up cleaning and sanitation to protect their employees. Many franchises have responded by providing sanitation as part of their businesses to meet the extra demand.
The U.S automotive repair and maintenance service industry is huge and recession-resistant, with an annual growth rate of 4%. In fact, most auto repair shops remained open during the coronavirus lockdowns. The rising demand for replacement parts and tires to collision repairs and auto accessories is spurring revenue growth. Therefore, automotive franchises are among the best businesses to consider buying during and post-pandemic. If you are a car lover, you can turn your passion into a career by opening an automotive franchise. Just pick the type of automotive franchise you are interested in, and a franchise with a well-known brand name will help you land customers from the start.
The pet industry is worth around $100 billion per year globally and will continue to grow due to a major spike in pet adoptions during the pandemic. This adoption rate is on the rise since more people can work from home. Pets are considered a part of the family, and pet owners are willing to spend money making them healthier and happier.
You can make a transition from a pet lover to a petpreneur by buying into an established franchise business. A dog daycare franchise like Dogtopia can be a great option that allows you to enjoy time with new four-legged friends while giving pet parents peace of mind that their family members are well-cared during their absence. You will receive an extensive training program, ongoing operations and resources from franchisors to run the business.
The telehealth industry has seen a spike since doctors and patients are practicing social distancing amid the pandemic. A Forrester Research report showed that telehealth visits were predicted to top 1 billion in 2020, and may become the future of healthcare as both patients and doctors embrace the technology. Up to $250 billion of current US healthcare spend could potentially be virtualized. If there are limited telemedicine franchise options in your area, consider in-home care. The U.S. in-home care provider sector is expected to grow to $225 billion by 2024. During the pandemic, many families are choosing to relocate their parents from nursing homes to in-home care. Therefore, buying a strong homecare franchise can be a great option to make a profit while positively impacting your community.
There are many options for franchises with various investment ranges across different industries. To determine which will suit you the best, ask yourself specific questions about your interests, goals, skills, experiences and how much money you are willing to invest in the opportunity. Most importantly, make sure to find great franchise partners who share your values and can help you navigate your journey to ensure continued success and growth.