Craig Tractenberg of Fox Rothschild.
The 2019 “Best and Worst Franchise” rankings has been published by Forbes. The franchise analytics firm, FRANdata, was commissioned to apply a methodology that ranks franchise brands on “health and appeal,” from the perspective of a prospective franchisee. This is the fifth report FRANdata has produced for Forbes, this time using information spanning the five-year period between 2013 and 2017. Before we review the rankings, we should review the methodology of FRANdata, because the interests of franchisees buying into a franchise system may be very different than the interests of lenders, investors and competitors.
Selecting the franchise brands for consideration is no small task. Over 3,000 brands had to be considered, but FRANdata would consider only franchisors that had at least 20 franchise units at the beginning (2013) and the end of the examined period (2017). The brand needed to demonstrate it had been actively marketing franchise opportunities and enough performance history over the five years to be considered. These brands needed a sufficient number of franchisees to demonstrate that the business is adaptable to different geographic markets and that their performance can be replicated.
