Aspired franchise owners are intrigued by the quest for the best opportunities. With an abundance of fast food and food shop franchise brands, the market offers diverse options for entrepreneurs to explore.
This article aims to spotlight some top food franchise opportunities, showcasing innovative brands and highlighting the unique focuses of food shop franchises, promising lucrative ventures for franchise owners in the food industry.
What is a food shop franchise brand?
A food shop franchise brand refers to a company or business entity that offers franchise opportunities for individuals to own and operate their food shop under the brand’s established name, systems, and standards. These franchises typically specialize in a specific type of food or cuisine, such as sandwiches, pizza, coffee, or ice cream.
Food shop franchise brands provide franchisees access to a proven business model, marketing support, training, and ongoing assistance to help them succeed in the competitive food industry.
Learn more about how to franchise a restaurant.
What are legacy franchise brands?
Legacy franchise brands refer to established and well-known companies with a long history and proven track record in the franchising industry. These brands often have decades of experience and success, with a widespread presence and strong brand recognition.
Legacy franchise brands typically offer franchise opportunities in various sectors, including food and beverage, retail, hospitality, and service industries.
Examples of legacy franchise brands from different industries include
- McDonald’s,
- Subway,
- Hilton Hotels & Resorts,
- Century 21 Real Estate.
These brands have withstood the test of time and remain leaders in their respective industries, attracting franchisees seeking reputable and reliable investment opportunities.
Food franchise market industry statistics
According to the International Franchise Association report, in 2024, the number of franchise establishments in the United States is projected to increase by over 15,000 units, marking a growth rate of 1.9% to 821,000 units. Among industries, personal services and quick service restaurants (QSRs) are forecasted to experience the most robust growth.
Notably, the Southeast and Southwest regions are anticipated to outpace the rest of the U.S. franchise market in 2024. The top ten states for franchise growth include Texas, Florida, Georgia, North Carolina, South Carolina, Tennessee, Maryland, Arizona, Colorado, and Virginia.
According to Franchise Direct, food franchising comprises approximately 36% of all franchise establishments in the United States. It contributes to 48% of the annual financial output of the US franchise industry.
Many fast food franchises sell their dishes online either via food delivery apps or directly from their restaurant websites. The popularity of online ordering has surged in recent years, with customers seeking convenience and flexibility in their dining experiences, and this trend continues to grow.
Some common food franchise segments include:
- Quick-service restaurants (QSRs) are fast-food restaurants that offer convenient and quick meals, such as burgers, sandwiches, pizza, and fried chicken.
- Casual Dining is the term for sit-down restaurants that offer a more relaxed atmosphere and a diverse menu. These restaurants typically feature a wider range of cuisines and higher-quality ingredients compared to QSRs.
- Fast Casual is a hybrid of fast and casual dining, offering higher-quality food with quicker service than traditional sit-down restaurants. Here you can read more about fast casual vs. fast food.
- Coffee and Beverage: Franchises specializing in coffee, tea, smoothies, and other beverages, often accompanied by pastries or light snacks.
- Bakery and Desserts: Franchises focusing on baked goods, desserts, and sweet treats, including cakes, pastries, cookies, and ice cream.
15 best food franchises
Below we prepared a list of 15 top food franchises. From established sandwich franchises and well-known pizza franchises to emerging full service restaurants, each brand is well-known and offers potential for entrepreneurial success in the competitive market.
1. Chick-Fil-A
Chick-Fil-A is a popular fast food franchise known for emphasizing chicken-based menu offerings. Renowned for its commitment to quality ingredients and exceptional customer service, Chick-fil-A has garnered a loyal following across the United States.
With a focus on its signature chicken sandwiches and nuggets, Chick-fil-A continues to dominate the fast food landscape with its unique approach to dining.
Financial requirements
- Initial franchise fee: $10,000.
- Estimated total initial investment: According to Business Insider, it ranges from $518,385 to $2,803,435
- Royalty fee: 15%
2. Taco Bell
Taco Bell, a fast-food giant recognized for its Mexican-inspired fare like tacos, burritos, and nachos, was established in 1962. Since then, it has burgeoned into one of the largest fast-food chains globally, boasting numerous outlets across the United States and beyond.
Revered for its inventive menu selections and budget-friendly options, Taco Bell consistently delights patrons with its distinctive flavors and imaginative marketing endeavors.
Financial requirements
- Initial franchise fee: it typically ranges from $25,000 to $45,000.
- Estimated total initial investment: According to Entrepreneur, it ranges from $575,600 to $3,370,100.
- Royalty fee: it is usually around 5.5% to 6% of gross sales.
3. McDonald’s
McDonald’s is a globally renowned burger franchise known for its iconic golden arches and signature menu items like the Big Mac and McNuggets. With a history dating back to 1940, McDonald’s has expanded to become one of the world’s largest and most recognizable fast-food chains, operating thousands of restaurants in over 100 countries.
McDonald’s is a quick service chain restaurant that continues to attract millions of customers worldwide by offering consistent quality, convenience, and affordability.
Financial requirements
- Initial franchise fee: $45,000
- Estimated total initial investment: According to FranchiseHelp, McDonald’s requires an investment of $1-$2.2 million, with liquid capital of $750,000.
- Royalty fee: 4%.
4. KFC
KFC, short for Kentucky Fried Chicken, is a well-established fast-food franchise recognized for its delicious fried chicken offerings. Founded in 1952, KFC has grown into a global phenomenon, boasting thousands of locations across more than 145 countries.
With its secret blend of herbs and spices and commitment to quality, KFC remains a favorite choice for chicken lovers worldwide.
Financial requirements
- Initial franchise fee: According to The International Franchise Professionals Group (IFPG), it is $45,000.
- Estimated total initial investment: According to Franchise Direct, it ranges from $1,440,600 to $3,163,550.
- Royalty fee: from 4% to 5%.
5. Dunkin’
Dunkin’, formerly known as Dunkin’ Donuts, is a prominent coffee and baked goods franchise that originated in the United States. Established in 1950, Dunkin’ has expanded globally and is renowned for its wide array of coffee beverages, donuts, bagels, and breakfast sandwiches.
With its emphasis on convenience, affordability, and a diverse menu catering to various tastes, Dunkin’ remains a beloved choice for millions of customers seeking a quick and satisfying breakfast or snack option.
Financial requirements
- Initial franchise fee: According to Franchise Help, it ranges from $40,000 to $90,000.
- Estimated total initial investment: According to Franchise Direct, it usually ranges from $121,400 to $1,809,500
- Royalty fee: 5.9%
6. Dairy Queen
Dairy Queen is a well-known fast-food chain famous for its soft-serve ice cream and delicious treats. Founded in 1940, Dairy Queen has grown into a global franchise with thousands of locations worldwide.
Alongside its iconic ice cream cones and sundaes, Dairy Queen also offers a variety of fast-food items such as burgers, fries, and hot dogs, making it a popular destination for families and ice cream enthusiasts.
Financial requirements
- Initial franchise fee: $45,000
- Estimated total initial investment: As Diary Queen states on its website, it ranges from $1,511,200 to 2,533,400.
- Liquid Capital Requirement: $400,000 (for a single unit)
- Net Worth Requirement: $750,000 (for a single unit; multi-unit requirements are higher)
- Royalty fee: 4%
7. Pizza Hut
Pizza Hut began its journey in 1958 and has since become a global phenomenon as a prominent pizza chain. With a business model that empowers independent local business owners, Pizza Hut franchisees can effectively operate multiple locations, contributing to the brand’s widespread presence.
Renowned for its diverse menu of pizzas, wings, pasta, and more, Pizza Hut continues to captivate customers worldwide with its delicious offerings and convenient dining options.
Financial requirements
- Initial franchise fee: $25,000
- Estimated total initial investment: As Pizza Hut states on its website, it ranges from $367,000 to $2,063,500.
- The minimum requirements to quality to be a Pizza Hut franchisee are:
- $700,000 Net Worth
- $350,000 Liquid Assets
- Royalty fee: 6%.
8. Ben & Jerry’s
Ben & Jerry’s is a renowned ice cream company famous for its creative flavors and commitment to social responsibility. Founded in 1978 by childhood friends Ben Cohen and Jerry Greenfield, the company has grown into a beloved brand known for indulgent treats and quirky flavor names.
With a dedication to using high-quality ingredients and supporting various social and environmental causes, Ben & Jerry’s continues to delight ice cream lovers worldwide while advocating positive change.
Financial requirements
- Initial franchise fee: $39,500 (traditional); $18,000 (special venue)
- Estimated total initial investment: As Ben & Jerry’s states on its website, it ranges from $194,800 to $474,300 for a full-size shop (approximately 750 to 1200 sq. ft.).
- Royalty fee: 3%
9. Cinnabon
Cinnabon is a beloved bakery chain recognized for its delectable cinnamon rolls and aromatic baked goods. Founded in 1985, the company has expanded globally, captivating customers with its irresistible treats and signature cream cheese frosting.
With a focus on providing indulgent experiences and sweet moments, Cinnabon remains a cherished destination for those craving a deliciously satisfying snack or dessert.
Financial requirements
- Initial franchise fee: $30,500
- Estimated total initial investment: As Cinnabon states on its website, the estimated initial investment for a traditional buildout ranges from $232,400 to $621,400.
- Minimum Liquid Capital: $120,000
- Minimum Net Worth: $300,000
- Royalty fee: 6%
10. Denny’s
Denny’s is a well-established diner chain renowned for its hearty breakfasts, classic American fare, and 24/7 dining availability. Since founding in 1953, Denny’s has become a beloved destination for families, travelers, and late-night diners seeking comfort food at any hour.
With a diverse menu featuring everything from fluffy pancakes to juicy burgers, Denny’s offers a welcoming atmosphere and affordable dining options for patrons of all ages.
Financial requirements
- Initial franchise fee: $30,000
- Estimated total initial investment: According to International Franchise Professionals Group, it ranges from $1,428,422 to $2,326,537.
- Royalty fee: 5%
- Net worth: $1 million
- Liquid capital: $500,000
11. Subway
Subway is a sandwich franchise that presents a lucrative opportunity for aspiring entrepreneurs. Founded in 1965, it has become the largest submarine sandwich chain globally, known for its customizable sandwiches, salads, and wraps.
Focusing on providing fresh ingredients and healthy options, Subway offers franchisees a proven business model and widespread brand recognition, making it an appealing investment choice in the fast-casual dining industry.
Financial requirements
- Initial franchise fee: $15,000.
- Estimated total initial investment: As Subway states on its website, it usually ranges from $229,050 – $522,300
- Royalty fee: 8%
12. Domino’s
Domino’s is a global pizza delivery and takeout chain known for its wide selection of pizzas, sides, and desserts. With a focus on convenience, quality, and innovation, Domino’s has become one of the largest and most recognizable pizza chains worldwide.
Domino’s franchise allows entrepreneurs to join a globally recognized pizza chain with a proven business model. In addition to comprehensive training and support, Domino’s operates an internal franchise management school, providing franchisees with valuable insights and skills to manage their businesses effectively.
Financial requirements
- Initial franchise fee: $25,000
- Estimated total initial investment: According to Franchise Direct, it ranges from $107,450 to $682,500
- Royalty Fee: 5%
13. Burger King
Burger King restaurants are renowned for their flame-grilled burgers, sandwiches, and other fast-food offerings. Since 1954, Burger King has grown into a global franchise known for its iconic Whopper burger and commitment to serving quality, flame-grilled fare.
The chain’s diverse menu, which includes chicken sandwiches, salads, and breakfast items, ensures there’s something for every fast-food enthusiast at Burger King.
Financial requirements
- Initial franchise fee: $50,000.
- Estimated total initial investment: According to Franchise Direct, it ranges from $232,300 to $4,520,900.
- Liquid Capital Requirement: at least $500,000
- Net Worth Requirement: at least $1 million
- Royalty fee: 4.5%
14. Smoothie King
Smoothie King is a popular smoothie franchise that prioritizes using fresh and quality ingredients in its beverages. With a focus on promoting health and wellness, Smoothie King offers a variety of nutritious smoothies tailored to meet different dietary needs and fitness goals.
Beyond serving delicious smoothies, Smoothie King actively engages with the local community, supporting initiatives and events that promote healthy living and well-being.
Financial requirements
- Initial franchise fee: $30,000
- Estimated total initial investment: Smoothie King states on their website that an inline or end-cap store can be between $311,601–$638,465 (including a $30,000 franchise fee). In the case of a freestanding drive-thru store, the investment ranges from $762,400 to $1,379,150.
- Liquid Assets: $150,000
- Net Worth: $350,000
- Royalty fee: 6%
15. Arby’s
Arby’s is a well-known fast-food restaurant specializing in freshly sliced roast beef sandwiches and other meats. Established in 1964, it has expanded its menu to include a variety of sandwiches, salads, and sides, catering to diverse tastes.
This food shop franchise prioritizes serving quality food at budget-friendly prices, ensuring guests enjoy the speed and convenience.
Financial requirements
- Initial franchise fee: $37,500
- Estimated total initial investment: According to their website, it ranges from $644,950 to $2,451,000.
- Royalty fee: 4%
Key Takeaways
- Food franchises offer various opportunities for franchise owners interested in various segments, including fast food franchises, food shop franchise focuses, and multi-unit restaurant operations.
- Franchise owners can leverage the appeal of a freshly prepared menu to attract customers and build brand loyalty.
- Food franchises provide franchise owners with the support and resources needed to maintain operational excellence, ensuring consistency and quality across multiple locations for franchise owners and customers alike.
- The franchise model inherently offers profit potential through established brand recognition, proven business systems, and economies of scale, benefiting franchise owners.
- Food franchises continually innovate to meet evolving consumer preferences and industry trends, allowing franchise owners to capitalize on new menu items, restaurant technology advancements, and marketing strategies.
Frequently Asked Questions (FAQ)
What is the most successful food franchise?
Determining the “most successful” food franchise can vary depending on revenue, number of locations, brand recognition, and customer satisfaction. Some of the most successful food franchises globally include
- McDonald’s,
- Subway,
- Starbucks,
- KFC,
- Domino’s Pizza.
Each of these franchises has achieved significant success and prominence in the food industry through their innovative business models, strong brand presence, and ability to adapt to changing consumer preferences.
Why does it only cost $10 K to own a Chick-fil-A franchise?
According to LendingTree, Chick-fil-A franchises have relatively low startup costs because the company purchases the real estate and equipment required for the business and leases them to franchisees through monthly rent payments. While this approach makes it easier for average individuals to start a Chick-fil-A franchise, franchisees won’t have equity in their businesses.
What is the cheapest food franchise to start?
The cheapest food franchise to start can vary depending on initial investment, franchise fees, and ongoing costs. Examples of the cheapest food franchises include Subway, Chester’s Chicken, and Baskin-Robbins.
Here you can check a list of the cheapest restaurant franchises with information about initial investment and costs.
