2009 - Franchise Times
Transcription
2009 - Franchise Times
2009 Franchise Times r ip sh ne 1 nn tI r o mf es Co Suit & 9 6 # ts o ut per A ell B s Ex a e co id M rvic Ta e S 3 1 # . rp Co 6 8 # Our annual ranking of the country’s largest franchise systems by systemwide sales has changed remarkably little over the past decade, especially at the top where some of the same, familiar names hold onto their places. Yet this year’s list shows where franchising is going— mostly across the border. While domestic growth has been stagnant, restaurants, retailers, hotels and other franchises are finding plenty of international markets that are ripe for growth. r’s ve l i S hn ts o J an R ng aur o L st H& x e R Ta 3 2 # k oc s Bl vice r Se 3 4 # M ne ici ed ls, te tes o i H -A tt & Su o -fil i r k ic ar ts M sor Ch e R e pp o Sh 0 1 # 5 3 # #6 Franchise Times Top 200 Overview Changing Landscape There’s more to the Franchise Times Top 200 than in years past Over the past decade, franchisors have become larger and more global. They’re concentrated in hospitality, but represent a surprisingly broad array of industries, like elder care and medicine. And franchise companies are more likely to rely on franchisees to carry out their operations. Much of that has been generally assumed in franchise circles, but the latest edition of the Franchise Times Top 200 provides proof. The list, our ranking of the nation’s largest franchise systems by total sales, is now in its 10th year. An analysis of those rankings provides an intriguing look at the trends affecting the largest franchisors and, by extension, the entire franchise. By Jonathan Maze T he Franchise Times Top 200 collectively demonstrated a remarkable ability to withstand the economic turmoil of the past year. All told, the franchisors took in $474 billion last year, 7 percent more than the year before. That equals the typical growth pattern for the Franchise Times 200. Look deeper into the numbers, however, and the companies’ success was more modest. For one thing, some large franchisors have been added to this year’s rankings, like No. 12, Re/ Max International, a real estate franchise. Participation in the Franchise Times Top 200 is largely voluntary, so companies appear and disappear from the rankings from one year to the next—making annual comparisons difficult. The addition of franchisors is a reason the revenue numbers were higher this year. Another reason: Success at the top. The four companies that sit atop this year’s list—McDonald’s, 7-Eleven, K FC and Subway—together added $15.4 billion in systemwide revenue. Indeed, McDonald’s and 7-Eleven continued their dominance as the world’s two largest franchisors—a place they’ve held each year since the ranking was first compiled. Illinois-based McDonald’s, with an estimated $73.7 billion in systemwide revenue, was easily No. 1, and 7-Eleven, at $53.7 billion, was nearly $35 billion ahead of third-place KFC. No. 4 Subway, meanwhile, continued its steady march up the Top 200. The world’s third-largest franchisor by unit count saw 14.2 percent systemwide revenue growth last year, leapfrogging Burger King (No. 5) and Ace Hardware (No. 6)—Subway was 16th a decade ago. The rest of the top 10, remains largely unchanged aside from a few internal moves, including Pizza Hut (No. 7), Circle K (No. 8), Marriott Hotels (No. 9) and Wendy’s (No. 10). Seven of those top companies were in the top 10 in 2000. A franchise system had to take in more than $235 million in system sales to make the Top 200 this year, compared to $204 million a year ago. Some companies toward the bottom fell off even though they grew last year, such as Baymont Hotels, which dropped off despite gaining 3 percent more in sales. An international flavor A big reason many large franchisors succeeded in 2008 was the growth of international operations. This trend has been clear for years but seems to have accelerated in the past year. When the ranking was first published, 24 percent of franchisors’ units were outside the U.S. This year that figure was up to 32 percent. Franchisors added 10,000 international units last year and added 5,000 domestic units. Even so, the additional domestic unit count is misleading, considering the entire difference can be traced to the addition of Re/Max and its 3,750 units and No. 21 HealthMart with its 2,039 domestic stores. In simple terms: Franchisors were fortunate to avoid a drop in U.S. business last year—a clear sign of the credit crunch and of concerns that the domestic market in many franchiseheavy industries, such as restaurants, is largely tapped. Not so in other countries. It’s hardly a secret that the top franchisors on the list are also doing well overseas, and have for years. McDonald’s is everywhere. KFC has more units overseas than it does in the U.S.—and its parent, Yum! Brands, is now trying to replicate its KFC China model in the U.S. 7-Eleven, meanwhile, is owned by a Japanese company and more than three-quarters of its units are in other countries. Other companies are also performing better overseas, particularly hotels, many of which have been hurt by declining revenue numbers in the U.S. Minneapolis-based Radisson Hotels saw an estimated $150 million in revenue growth last year even though it has 16 fewer U.S. units—a loss more than made up for by the addition of 25 international hotels. Even companies toward the bottom of the Top 200 continued on 17 October 2009 Franchise Times 3 n Top 200 Franchise Chains by Worldwide Sales Prior Rank Rank Franchise Concept Parent Company Worldwide Sales ($M) Domestic Units Intl Units Total Units Percent Franchised 1 1 McDonald’s McDonald’s Corporation 70,693 13,918 18,049 31,967 80% 2 2 7-Eleven 53,700 6,378 29,225 35,603 95% 3 3 KFC Seven and I Holdings Co. Ltd. Yum! Brands, Inc. 17,800 5,166 7,293 12,459 86% 4 6 Subway Doctor’s Associates, Inc. 12,900 21,881 8,376 30,257 100% 5 4 Burger King Burger King Holdings Inc. 12,789 7,534 4,391 11,925 88% 6 5 Ace Hardware Ace Hardware Corp. 12,500 4,410 220 4,630 100% 7 7 Pizza Hut Yum! Brands, Inc. 10,400 6,119 4,949 11,068 83% 8 8 Circle K Stores 9,148 3,324 3,753 7,077 60% 9 9 Wendy’s Alimentation Couche-Tard Inc. Wendy’s/Arby’s Group 9,000* 5,905 725 6,630 79% Marriott International 8,539* 348 183 531 41% Hilton Hotels Corporation 7,700* 253 273 526 44% Re/Max International, Inc. 7,500 3,745 2,807 6,552 100% 10 11 12 10 Marriott Hotels, Resorts & Suites 11 Hilton Re/Max International 13 15 Taco Bell Yum! Brands, Inc. 7,000 5,142 203 5,345 75% 14 13 Blockbuster Blockbuster, Inc. 6,200* 4,585 2,820 7,405 22% 15 14 Holiday Inn Hotels & Resorts 16 Sheraton InterContinental Hotels Group Starwood Hotels & Resorts Worldwide, Inc. Realogy Corporation 5,840* 920 433 1,353 100% 5,650* 208 201 409 50% 5,510* 2,903 605 3,508 79% Dunkin Brands, Inc. 5,500* 6,395 2,440 8,835 100% Domino’s, Inc. 5,428 5,047 3,726 8,773 94% McKesson Corp. 5,100 2,039 - 2,039 100% 16 17 18 12 Coldwell Banker Real Estate Corporation 19 Dunkin’ Donuts 19 18 Domino’s Pizza 20 21 Health Mart DineEquity, Inc 4,700 1,897 100 1,997 78% 22 20 Applebee’s Neighborhood Grill & Bar 17 Tim Hortons Tim Hortons Inc. 4,555 520 2,917 3,437 99% 23 22 H&R Block Tax Services H&R Block, Inc. 4,500* 12,923 1,571 14,494 41% Worldwide sales are in millions. * Franchise Times Estimate n 4 Franchise Times October 2009 Top 200 Franchise Chains by Worldwide Sales Prior Rank Rank Franchise Concept 24 26 Holiday Inn Express 25 Parent Company Worldwide Sales ($M) Domestic Units Intl Units Total Units Percent Franchised 4,260* 1,722 210 1,932 100% 4,200* 1,666 44 1,710 98% 26 24 Hampton Inn & Hampton Inn & Suites 21 Chili’s Grill & Bar InterContinental Hotels Group Hilton Hotels Corporation Brinker International 4,000* 1,312 183 1,495 40% 27 23 RadioShack RadioShack Corp. 3,941* 5,864 200 6,064 27% 28 25 Sonic, America’s Drive-In Sonic Corp. 3,800* 3,475 - 3,475 80% 29 29 ampm BP 3,668 1,123 2,001 3,124 90% 30 28 Courtyard Marriott International, Inc. 3,600* 728 80 808 61% 31 Choice Hotels International 3,437* 2,012 545 2,557 100% 32 30 Comfort Inn & Comfort Suites 27 Arby’s Wendy’s/Arby’s Group 3,372* 3,633 123 3,756 69% 33 32 Radisson Hotels Carlson Hotels Worldwide 3,100* 141 266 407 94% 34 34 Jack in the Box Jack in the Box Inc. 3,050* 2,158 - 2,158 38% 35 36 Chick-fil-A Chick-fil-A, Inc. 2,960 1,197 - 1,197 100% 36 33 T.G.I. Friday’s Carlson Restaurants Worldwide Inc. 2,900 609 314 923 57% Worldwide sales are in millions. * Franchise Times Estimate Contacts: Franchise Development Team Phone: 888-894-2676 E-Mail: [email protected] Web site: www.arcoampmfranchise.com or www.bpampmfranchise.com #29 TOP 200 am/pm Too Much Good Stuff The BP gasoline and ampm business includes fuel and convenience store franchises offered in the states of IL, IN, OH, GA, FL, PA. The ARCO gasoline and ampm convenience store franchises are offered in the states of CA, AZ, NV, WA and OR. Powerful, distinctive branding is the cornerstone of our high visibility in the convenience-store industry. ampm sites produce about 24 million transactions a month with shop sales exceeding $1.0 Billion in the U.S. in 2008. A key element of ampm’s convenience strategy is the delivery of a differentiated and distinctive offer focused on meeting the needs of its target customer segments. The ampm brand has meaning to its customers (irreverent, fun, satisfies urgent wants, indulgent...TOO MUCH GOOD STUFF). At ampm, there is always something more to get - it is okay to indulge yourself and give into your natural cravings. This information is not intended as an offer to sell, or the solicitation of an offer to buy, a franchise. It is for information purposes only. Currently, the following states regulate the offer and sale of franchises: CA, HI, IL, IN, MD, MI, MN, NY, ND, OR, RI, SD, VA, WA and WI. If you are a resident of one of these states, we will not offer you a franchise unless and until we have complied with applicable pre-sale registration and disclosure requirements in your state. In addition, in NY an offering can only be made by a prospectus filed first with the Department of Law of the State of New York. Such filing does not constitute approval by the Department of Law. © 2009 BP West Coast Products LLC All Rights Reserved. © 2009 BP Products North America Inc. All Rights Reserved. October 2009 Franchise Times 5 n Top 200 Franchise Chains by Worldwide Sales Prior Rank Rank Franchise Concept 37 Parent Company Worldwide Sales ($M) Domestic Units Intl Units Total Units Percent Franchised InterContinental Hotels Group Panera, LLC 2,800* 187 155 342 100% 38 39 Crowne Plaza Hotels & Resorts 43 Panera Bread 2,650* 1,325 2 1,327 58% 39 37 Dairy Queen 2,600 4,584 1,116 5,700 99% 40 2,560* 55 104 159 95% 41 42 InterContinental Hotels & Resorts 38 Westin 2,500* 109 53 162 43% 42 40 Denny’s International Dairy Queen, Inc. InterContinental Hotels Group (IHG) Starwood Hotels & Resorts Worldwide Inc. Denny’s Corporation 2,366 1,463 77 1,540 80% Cardinal Health 2,354 902 472 1,374 97% 43 Medicine Shoppe 44 46 Residence Inn Marriott International, Inc. 2,347* 555 18 573 76% 45 50 Spherion Spherion Corporation 2,338 504 32 536 32% 46 31 Century 21 Real Estate Realogy Corporation 2,300* 3,729 4,772 8,501 100% 47 47 Papa John’s Pizza 2,263 2,792 588 3,380 82% 48 44 IHOP Restaurants Papa John’s International, Inc. DineEquity, Inc 2,200 1,387 15 1,402 99% 49 41 Keller Williams Realty Keller Williams Realty 2,122 676 14 690 100% Worldwide sales are in millions. * Franchise Times Estimate Aaron’s AlphaGraphics Contacts: Greg Tanner Contacts: Brandi Raddatz Phone: 678-402-3778 E-Mail: [email protected] Web site: www.aaronsfranchise.com #66 TOP 200 Aaron’s is North America’s largest least-to-own retail franchise opportunity. Ranked #49 among franchise chains in worldwide sales by Franchise Times, Aaron’s is NYSElisted with a 50+ year proven track record and over $2 billion in systemwide revenues. We’re reinventing the way a growing and underserved market acquires necessities like furniture, appliances, electronics and computers. n 6 Franchise Times October 2009 Phone: 800-528-4885 E-Mail: opportunity @alphagraphics.com #178 Web site: www.alphagraphicsfranchise.com TOP 200 AlphaGraphics has been the leader in print and visual communications for more than 35 years. With over 260 locations in the U.S. and eight countries, we set the standard for solutions in printing, marketing communications, graphic design and document management. AlphaGraphics business centers average more than $1,131,000 in annual revenues while the industry average is approximately $650,000, and a median gross margin of over 70%. There’s never been a better time to explore joining the print and visual communications industry’s #1 brand, AlphaGraphics. Top 200 Franchise Chains by Worldwide Sales Prior Rank Rank Franchise Concept Parent Company Worldwide Sales ($M) Domestic Units Intl Units Total Units Percent Franchised 50 48 Quiznos Sub The Quiznos, Master LLC 2,000 4,381 641 5,022 100% 51 52 Renaissance Hotels Marriott International, Inc. 2,000* 76 65 141 37% 52 65 Hilton Garden Inn Hilton Hotels Corporation 1,980* 439 33 472 97% 53 57 Days Inn Wyndham Hotel Group 1,911* 1,704 176 1,880 100% 54 51 Dollar Thrifty Automotive 1,900* 563 1,093 1,656 79% 55 61 Doubletree Hotels Dollar Thrifty Automotive Group Inc. Hilton Hotels Corporation 1,900* 201 16 217 77% 56 55 Embassy Suites Hotels Hilton Hotels Corporation 1,900* 192 8 200 64% 57 53 GNC 1,876 3,568 1,350 4,918 44% 58 56 Hardee’s General Nutrition Centers, Inc. CKE Restaurants, Inc. 1,821 1,713 195 1,908 75% 59 Express Services, Inc. 1,797 527 42 569 100% 60 72 Express Employment Professionals 58 Popeyes Louisiana Kitchen AFC Enterprises, Inc. 1,740 1,582 340 1,922 97% 61 60 Ramada Wyndham Hotel Group 1,718* 556 341 897 100% The ServiceMaster Co. 1,675 3,020 1,560 4,580 100% 62 ServiceMaster Clean Worldwide sales are in millions. * Franchise Times Estimate Boston Pizza Restaurants Contacts: Franchise Development Coordinator Phone: 866-277-8721 E-Mail: franchisesales @bostonpizza.com #83 TOP 200 Web site: www.bostons.com Boston Pizza Restaurants is the franchisor of Boston’s The Gourmet Pizza, a casual dining restaurant concept with a full service sports bar. BP has been in business for over 40 years with over 350 locations across North America. Our menu has a strong pizza and pasta focus as well as favorites in categories such as appetizers, sandwiches, salads and desserts. We are seeking qualified developers to franchise units in territories all across the United States. October 2009 Franchise Times 7 n Top 200 Franchise Chains by Worldwide Sales Prior Rank Rank Franchise Concept Parent Company Worldwide Sales ($M) Domestic Units Intl Units Total Units Percent Franchised 63 54 Ruby Tuesday Ruby Tuesday, Inc. 1,623 891 54 945 24% 64 63 Quality Inn & Suites Choice Hotels International 1,613* 926 362 1,288 100% 65 64 Super 8 Wyndham Hotel Group 1,593* 1,894 216 2,110 100% 66 49 Aaron’s Sales & Lease Ownership 68 Carl’s Jr. Aaron’s, Inc. 1,593 1,500 22 1,522 33% CKE Restaurants, Inc. 1,520 1,074 121 1,195 65% Golden Corral Corp. 1,518 483 - 483 79% 1,500* 1,471 1,011 2,482 96% 1,470* 741 2 743 50% 67 68 69 62 Golden Corral Family Restaurants 67 Midas Auto Service Experts 70 69 La Quinta Inns & Suites Midas International Corporation LQ Management LLC 71 66 Jiffy Lube Pennzoil Quaker State 1,437 1,989 45 2,034 100% 72 70 Baskin’ Robbins Dunkin Brands, Inc. 1,400 2,692 3,321 6,013 100% 73 71 Curves Curves International, Inc. 1,297 6,247 3,430 9,677 100% 74 Buffalo Wild Wings, Inc. 1,240 598 - 598 64% 75 78 Buffalo Wild Wings Grill & Bar 73 Whataburger 1,173 713 - 713 24% 76 75 Church’s Chicken Whataburger Restaurants, LP Friedman Fleischer & Lowe 1,150 1,199 426 1,625 86% 77 74 Red Robin Red Robin Gourmet Burgers 1,140* 423 18 441 33% 78 77 Fairfield Inn Marriott International, Inc. 1,100* 560 9 569 100% 79 79 Hooters Restaurants Hooters of America 997 386 64 450 73% 80 80 Motel 6 Accor North America 985* 908 10 918 26% 81 82 1-800-Flowers 1-800-flowers.com 919 110 - 110 96% 82 85 SERVPRO Servpro Industries, Inc. 918 1,459 - 1,459 100% 83 87 Boston Pizza Restaurants Boston Pizza International 830 53 333 386 98% 84 98 Homewood Suites by Hilton 81 Perkins Restaurant & Bakery Hilton Hotels Corporation 820* 267 9 276 84% Perkins & Marie Callendar’s LLC 807 464 17 481 66% 85 Worldwide sales are in millions. * Franchise Times Estimate n 8 Franchise Times October 2009 Top 200 Franchise Chains by Worldwide Sales Prior Rank Rank Franchise Concept Parent Company Worldwide Sales ($M) Domestic Units Intl Units Total Units Percent Franchised 86 84 Long John Silver’s Yum! Brands Inc. 800 1,022 38 1,060 100% 87 88 Country Inn & Suites Carlson Hotels Worldwide 788* 469 30 499 98% 88 86 Krispy Kreme Doughnuts 773 225 298 523 82% 743 498 - 498 95% 89 184 Big O Tires Krispy Kreme Doughnuts, Inc. TBC Corporation 90 89 Great Clips Great Clips, Inc. 727 2,681 57 2,738 100% 91 90 Sbarro the Italian Eatery Sbarro, Inc. 715 753 338 1,091 52% The Steak n’ Shake Company Jani-King International, Inc. Chemed 700 490 - 490 15% 682* 9,734 2,253 11,987 100% 680 548 30 578 81% 675* 93 41 134 82% 664 461 - 461 82% 92 Steak n’ Shake 93 97 Jani-King 94 94 Roto-Rooter 95 96 Four Points By Sheraton 96 107 Zaxby’s Starwood Hotels & Resorts Worldwide Inc. Zaxby’s Franchising Inc. 97 110 Home Instead Senior Care Home Instead, Inc. 660 604 268 872 100% Checkers 660* 827 3 830 70% 98 92 Checkers & Rally’s Hamburgers Worldwide sales are in millions. * Franchise Times Estimate Checkers Drive In Restaurants & Rallys Hamburgers Contacts: Sharon Williston Franchise Sales Phone: 813-283-7133 E-Mail: [email protected] Web site: www.checkersfranchise.com #98 TOP 200 Checkers Drive-In Restaurants, Inc. is the largest double drive-thru restaurant chain in the United States. The Company franchises, develops, owns and operates quick-service Checkers ® and Rally’s ® double drive-thru restaurants. In addition to our double drive-thru building, Checkers has recently introduced end-cap and in-line versions of the concept. Both offer lobby seating areas and the end-cap features a single drive-thru window. Comfort Keepers Contacts: Larry France Phone: 888-329-1368 E-Mail: larryfrance @comfortkeepers.com Web site: www.comfortkeepers franchise.com #172 TOP 200 In just a decade, Comfort Keepers, a leading brand in the burgeoning in-home senior care industry, has grown from a single office to over 550 franchised territories in North America. With the number of seniors and adults requiring care expected to double within the next several decades, Comfort Keepers has built a system to allow franchisees to live the dream of owning a business while giving back to the community. Be part of this opportunity. October 2009 Franchise Times 9 n Top 200 Franchise Chains by Worldwide Sales Prior Rank Rank Franchise Concept 99 114 SpringHill Suites 100 93 Jackson Hewitt Tax Service 95 Friendly’s 101 102 104 103 Culver’s Frozen Custard & Butterburgers 138 Jenny Craig Weight Loss Centres 100 Supercuts 105 104 El Pollo Loco 106 101 CARSTAR 107 108 Bojangles’ Restaurants 103 Worldwide Sales ($M) Domestic Units Intl Units Total Units Percent Franchised Marriott International, Inc. 651* 207 1 208 88% Jackson Hewitt Tax Service Inc. Friendly Ice Cream Corporation Culver Franchising System, Inc. Nestle’ Nutrition 650* 6,763 - 6,763 85% 646 505 - 505 39% 644 394 - 394 98% 630* 590 156 746 30% Regis Corporation 630 2,080 194 2,274 45% Trimaran Pollo Partners LLC CARSTAR Franchise Systems, Inc. Bojangles’ Restaurants, Inc. 627 413 - 413 60% 627 269 131 400 100% 608 423 6 429 64% Realogy Corporation 600* 953 1,837 2,790 99% Parent Company 108 83 ERA Real Estate 109 91 Wyndham Hotels & Resorts 102 J.D. Byrider Wyndham Hotel Group 586* 57 25 82 100% J.D. Byrider 586 132 - 132 89% 117 Papa Murphy’s Take ’N’ Bake Papa Murphy’s International, Inc. 585 1,119 16 1,135 93% 110 111 Worldwide sales are in millions. * Franchise Times Estimate Del Taco Denny’s, Inc. Contacts: Michael Vogel Contacts: Franchise Development Phone: 952-607-8619 E-Mail: [email protected] Web site: www.deltacofranchise.com #115 TOP 200 High Growth Mexican QSR brand with Multi-Unit Development Opportunities available in select geographic markets through out the U.S.A. Be sure to check out our 2009 Development Incentive Program! Del Taco currently has over 500 Units operating in the US (just over half are corporately owned and operated). Come see why America loves Del Taco! n 10 Franchise Times October 2009 Phone: 800-304-0222 E-Mail: franchisedevelopment @dennys.com Web site: www.dennys.com #42 TOP 200 For over 50 years, Denny’s has been the trusted leader in family dining. We enjoy a brand awareness of almost 100%! We cheerfully serve over 26 million customers a month in our 1500+ restaurants worldwide. We are proud to serve America’s most loved foods 24 hours a day, 7 days a week. If you are an experienced restaurateur or businessman, we invite you to contact us and learn more about growth opportunities within our great brand. Top 200 Franchise Chains by Worldwide Sales Prior Rank Rank Franchise Concept 112 Parent Company Worldwide Sales ($M) Domestic Units Intl Units Total Units Percent Franchised 584* 150 125 275 100% 580* 641 - 641 97% 113 109 Clarion Inn and Clarion Suites 106 CiCi’s Pizza Choice Hotels International CiCi Enterprises, LP 114 112 Ruth’s Chris Steak House 570* 117 13 130 49% 115 111 Del Taco Ruth’s Hospitality Group, Inc. Sagittarius Restaurants LLC 563 513 - 513 44% 116 105 Sign*a*rama United Franchise Group 549 635 326 961 100% 117 Wyndham Hotel Group 549* 365 117 482 100% Decorating Den Systems, Inc. CCA Global Partners 520 425 30 455 93% 520 161 3 164 98% 120 118 Howard Johnson International Interiors by Decorating Den 113 ProSource Wholesale Floorcoverings 115 Sizzler Restaurants Pacific Equity Partners 502 200 82 282 78% 121 129 Travelodge Wyndham Hotel Group 499* 380 99 479 100% 122 121 Econo Lodge Choice Hotels International 498* 821 45 866 100% 123 142 Jimmy John’s Gourmet Sandwiches 123 Uno Chicago Grill Jimmy John’s Franchise, LLC Centre Partners Mgt, LLC 497 805 - 805 98% 491 198 9 207 42% 118 119 124 Worldwide sales are in millions. * Franchise Times Estimate Dunkin’ Donuts Contacts: Erin Venuti Phone: 781-737-5136 E-Mail: DunkinFranchising @dunkinbrands.com #18 Web site: www.DunkinFranchising.com TOP 200 Dunkin’ Donuts is the country’s #1 retailer of hot and iced coffee, selling more than one billion cups of coffee a year and earning the #1 ranking for Customer Loyalty in the Coffee Category by Brand Keys for three years running. While Dunkin’ Donuts boasts more than 6,000 locations in the U.S., a majority of it’s restaurants are found in the Northeast. This is changing as Dunkin’ continues its steady and strategic expansion in the Southeast and Midwest. To learn more, visit: DunkinFranchising.com October 2009 Franchise Times 11 n Top 200 Franchise Chains by Worldwide Sales Prior Rank Rank Franchise Concept 125 124 Pet Supplies “Plus” 126 Parent Company Worldwide Sales ($M) Domestic Units Intl Units Total Units Percent Franchised 485 225 - 225 100% 139 Paul Davis Restoration Pet Supplies “Plus” USA, Inc. Paul Davis Restoration, Inc. 480 217 - 217 100% 127 119 Captain D’s Seafood Kitchen Sagittarius Restaurants LLC 477 548 - 548 47% 128 149 Pollo Campero Campero USA Corp. 475 52 265 317 23% 129 116 Cold Stone Creamery Kahala Corp. 470 1,282 138 1,420 98% 130 130 Linc Network The Linc Group 469 129 19 148 84% 131 136 Jason’s Deli Deli Management Inc 469 204 - 204 44% 132 135 Famous Dave’s 463 170 - 170 72% 133 462* 160 5 165 22% 134 On The Border Mexican Grill & Cantina 126 Minuteman Press Famous Dave’s of America, Inc. Brinker International Minuteman Press Intl. 460 766 207 973 100% 135 132 Jamba Juice Jamba, Inc. 450* 728 1 729 30% 136 127 Stanley Steemer Carpet Cleaner 141 Krystal Stanley Steemer Int’l. 439 302 - 302 75% The Krystal Company 435 383 - 383 38% Choice Hotels International Round Table Pizza, Inc. 433* 366 17 383 100% 139 134 Sleep Inn and Sleep Inn & Suites 131 Round Table Pizza 433 496 - 496 73% 140 125 Sylvan Learning Centers Educate, Inc. 424 961 102 1,063 90% 141 140 Meineke Car Care Centers Driven Brands, Inc. 421 860 71 931 98% 142 MAACO Enterprises, Inc. 415 438 29 467 99% 143 128 MAACO Collision Repair & Auto Painting 150 G.J.Gardner Homes Netdeen Pty Ltd 410 15 83 98 100% 144 133 Fantastic Sams Hair Salons 408 1,335 - 1,335 100% 145 137 Valpak Direct Marketing Fantastic Sams International Corporation Cox Target Media, Inc. 406 182 7 189 96% 146 122 Red Roof Inns Accor North America 402* 381 - 381 44% Cartridge World International 400 642 1,009 1,651 99% 137 138 147 Cartridge World Worldwide sales are in millions. * Franchise Times Estimate n 12 Franchise Times October 2009 Top 200 Franchise Chains by Worldwide Sales Prior Rank Rank Franchise Concept Parent Company Worldwide Sales ($M) Domestic Units Intl Units Total Units Percent Franchised 148 165 A&W Restaurants Yum! Brands Inc. 400 363 264 627 100% 149 151 Qdoba Mexican Grill Jack in the Box Inc. 399 454 - 454 76% 150 144 Staybridge Suites 390* 150 2 152 99% 151 145 TAF/The Athlete’s Foot InterContinental Hotels Group NexCen Brands, Inc 378 232 377 609 100% 362 496 - 496 30% 361* 163 - 163 79% 152 Einstein Bros. Bagels 153 167 TownePlace Suites Einstein Noah Restaurant Group, Inc. Marriott International, Inc. 154 146 Slumberland Furniture Slumberland Inc. 360 113 - 113 68% 155 147 Sir Speedy Franchise Services, Inc. 357 326 107 433 99% 156 148 Allegra Network Allegra Network LLC 353 549 44 593 100% 157 CNA Holding Corporation 351 8,723 377 9,100 100% 158 152 Coverall Health-Based Cleaning System 163 McAlister’s Deli McAlister’s Corporation 343 280 - 280 88% 159 162 Auntie Anne’s Pretzels Auntie Anne’s, Inc. 337 792 199 991 99% 160 153 Fuddruckers Fuddruckers International, LLC 337 229 5 234 62% Worldwide sales are in millions. * Franchise Times Estimate Hungry Howies Jimmy John’s Contacts: Franchise Development Department Contacts: Bob Morena Phone: 800-624-8122 E-Mail: franchiseinfo @hungryhowies.com #190 TOP 200 Phone: 217-356-9900 E-Mail: bmorena @jimmyjohns.com #123 Web site: www.jimmyjohns.com TOP 200 Web site: www.hungryhowies.com Hungry Howie’s Pizza was named the 2004 chain of the year by Pizza Today Magazine. Our flavored crust pizza is the reason for our appeal and the foundation of our success. Menu includes 8 different flavored crust pizzas, oven baked subs, bread, chicken tenders, chicken wings and salads. The Hungry Howie’s commissary provides volume purchasing and discounting on all food and paper products. We provide comprehensive classroom and an in-store training program. High-energy, upscale, gourmet sandwich restaurant that features a limited menu made up of the highest quality meats, cheese and vegetables available! Our signature sevengrain wheat bread and French bread rolls are baked fresh in the store every day! All meats and produce are sliced daily and all sandwiches are served cold – no grills or fryers – made to order in less than 30 seconds. Emphasis placed on quality, lightning fast service and delivery. October 2009 Franchise Times 13 n Top 200 Franchise Chains by Worldwide Sales Prior Rank Rank Franchise Concept Parent Company 161 156 Tony Roma’s 162 164 Candlewood Suites 163 Worldwide Sales ($M) Domestic Units Intl Units Total Units Percent Franchised Romacorp, Inc. 337 49 140 189 93% 335* 204 - 204 100% 109 Clarion Hotels InterContinental Hotels Group Choice Hotels International 332* 155 126 281 100% 164 161 Proforma Proforma 325 650 50 700 100% 165 159 Unishippers 325 298 - 298 98% 166 169 Moe’s Southwest Grill Unishippers Global Logistics, LLC FOCUS Brands 318 394 5 399 99% 167 143 Village Inn Restaurants Vicorp Restaurants, Inc. 313 226 - 226 40% 168 158 Fastsigns Fastsigns International, Inc. 311 460 79 539 100% 169 171 Goddard School (The) Goddard Systems, Inc. 300 330 - 330 100% 170 166 Wingate by Wyndham Wyndham Hotel Group 298* 160 4 164 100% 171 Clockwork Home Services, Inc. CK Franchising, Inc. 297 245 5 250 82% 172 173 One Hour Heating & Air Conditioning 182 Comfort Keepers 297 526 41 567 100% 173 211 Five Guys Burger & Fries Five Guys Enterprises, LLC 295 377 - 377 86% Worldwide sales are in millions. * Franchise Times Estimate Marco’s Pizza McAlister’s Deli Contacts: Deborah Allen Contacts: Bill McClintock Phone: 419-720-3074 E-Mail: [email protected] Web site: www.marcos.com #281 TOP 200 Even now wonderful opportunities exist with this authentic Italian pizza brand. Marco’s Pizza is in the midst of a nationwide rollout and welcomes qualified individuals and/or groups who want to join our family and be on the ground floor of a truly rewarding franchise opportunity. Marco’s Pizza, is interested in experienced Franchisees (single and multi- units), Operators, and Area Representatives who want to control an entire market/DMA. Explore the Marco’s Pizza franchise opportunity, call: 800-262-7267. n 14 Franchise Times October 2009 Phone: 601-519-8985 E-Mail: [email protected] Web site: www.mcalistersdeli.com #158 TOP 200 Since 1989, McAlister’s Deli has been a leader in the fast growing “quick casual” restaurant category. Great food in a relaxed family friendly atmosphere has driven the brand to almost 300 locations in 22 states. No fryers, no grills and no mixers. End cap locations are preferred. Solid training, operational support and marketing make McAlister’s an excellent franchise opportunity. We are seeking experienced food operators in many new DMA’s to develop minimum 3 locations. Top 200 Franchise Chains by Worldwide Sales Worldwide Sales ($M) Domestic Units Intl Units Total Units Percent Franchised Edible Arrangements, LLC 295 742 45 787 99% Travel Leaders Group 295* 480 - 480 94% Prior Rank Rank Franchise Concept Parent Company 174 175 204 Edible Arrangements 35 Travel Leaders 176 170 Taco John’s Taco John’s Int’l. Inc. 291 423 - 423 98% 177 172 Johnny Rockets Redzone Capital Fund II 290* 236 44 280 85% 178 168 AlphaGraphics Pindar 290 226 33 259 100% 179 189 Petland Petland, Inc. 289 132 55 187 96% 180 157 Marie Callendar’s 288 132 1 133 32% 181 155 Labor Finders 286 256 - 256 93% 182 120 Matco Tools Perkins & Marie Callendar’s LLC Labor Finders International, Inc. NMTC 285 1,443 35 1,478 100% 183 Volvo Rents 184 160 Mr. Rooter 185 178 Microtel Inns & Suites Franchising 179 Houlihan’s 186 Volvo Construction Equipment North America, Inc. The Dwyer Group 281 83 80 163 98% 280 241 119 360 100% Wyndham Hotel Group 271* 292 16 308 100% Houlihan’s Restaurants, Inc. 270* 103 - 103 66% Worldwide sales are in millions. * Franchise Times Estimate Papa Murphy’s Take ‘N’ Bake Pizza Taco John’s International, Inc. Contacts: Rhonda McGrew, Business Development Manager Contacts: Brett Miller Phone: 877-777-5062 #111 E-Mail: [email protected] TOP 200 Web site: www.papamurphys.com Papa Murphy’s is 5th largest pizza company in the US with over 1,100 stores. We offer our customers the unique experience of watching their pizza being made fresh before them and then taken home to bake to perfection. Papa Murphy’s limited hours of operation and the take-n-bake concept without the hassles of dining or delivery, provide a great franchise opportunity. We do all this while offering the lowest investment of any national pizza chain. Phone: 800-854-0819 E-Mail: [email protected] Web site: www.tacojohns.com #176 TOP 200 Taco John’s new look supports their brand icons like Taco Tuesday® and Potato Olés®. Stone-accented buildings reflect the quality of the food inside. Comfortable dining rooms feature fresh salsa bars where patrons customize their favorite menu items. The re-imaging program for Taco John’s over 400 restaurants has customers and operators raving. A contemporary new image, hometown hospitality, and bold fresh flavors, that’s The Fresh Taste of West-Mex®. October 2009 Franchise Times 15 n Top 200 Franchise Chains by Worldwide Sales Prior Rank Rank Franchise Concept Parent Company 187 154 Kwik Kopy Printing 188 187 Primrose Schools 189 45 Results! Travel Worldwide Sales ($M) Domestic Units Intl Units Total Units Percent Franchised ICED 270 120 345 465 100% Primrose Holdings, Inc. 269 199 - 199 99% Travel Leaders Group 266* 911 - 911 100% 190 175 Hungry Howie’s Pizza Hungry Howie’s Pizza Inc. 265 575 - 575 100% 191 272 Four Seasons Sunrooms Four Seasons Marketing Corp. 265 171 12 183 90% 192 176 Tuffy/Car-X Tuffy Associates Corp. 265 413 - 413 91% 193 199 Wingstop Wingstop Restaurants, Inc. 255 408 - 408 96% 194 181 Cinnabon FOCUS Brands 254 449 333 782 99% 195 188 El Chico Cafe 251 111 3 114 25% 196 186 Schlotzsky’s Consolidated Restaurant Operations FOCUS Brands Inc 244 345 27 372 94% 197 Fazoli’s Sun Capital Partners, Inc. 241 246 1 247 49% 198 177 Budget Blinds Home Franchise Concepts 240 909 85 994 100% 199 205 Batteries Plus Batteries Plus, LLC 237 348 - 348 94% Worldwide sales are in millions. * Franchise Times Estimate subscribe or renew your subscription to franchise Times online at www.franchisetimes.com or by calling (800)528-3296. The News aNd INformaTIoN source for fraNchIsINg n 16 Franchise Times October 2009 Top 200 Franchise Chains by Worldwide Sales Worldwide Sales ($M) Domestic Units Intl Units Total Units Percent Franchised Winmark Corporation 235 313 43 356 100% The Melting Pot Restaurants Inc. 235 140 - 140 96% Prior Rank Rank Franchise Concept Parent Company 200 183 Play It Again Sports 200 196 The Melting Pot Worldwide sales are in millions. * Franchise Times Estimate Top 200 continued from 3 ranking, such as Mr. Rooter (No. 184) and Cinnabon (No. 194) have substantial presences overseas. A decade ago, 60 chains on the Top 200 had no international units, this year 50 remains U.S.-focused. Franchises versus company stores Franchisors also appear to be focusing more on franchising rather than company-owned stores. Over the years, the Franchise Times Top 200 has slowly but steadily shifted toward fewer company units and more franchised units. That shift appears to be accelerating— more than 84 percent of the units on the ranking are franchise-owned, compared with 82 percent last year. A decade ago, that figure was 79 percent. It’s possible that growth could slow next year as the credit crunch keeps franchisees from opening more units while the recession leads to more closures. Or it could increase along with a handful of re-franchising efforts among sizable franchise companies. DineEquity, owner of IHOP and Applebee’s, is selling companyowned Applebee’s stores to move to the pure franchise model of IHOP. Yum! Brands is likewise refranchising many of its units— the company in late 2007 announced that it wanted to cut its company store count in half, from 20 percent to 10 percent, by the end of 2010. Other companies, such as Sonic and Jamba Juice, have also announced refranchising plans. Numerous franchisors have held to the belief of keeping a certain percentage of stores themselves, if for no other reason than to show to franchisees that they have “skin in the game.” The percentage has generally varied, but the growth in franchisee ownership is an indication that franchisors are focusing more and more on franchising, where profit margins are higher. Indeed, it at least appears as if newer franchisors are intent on operating brands, rather than stores. Consider that a third of the top 100 franchise systems are 98 percent or more franchisee-owned. That figure increases to nearly 50 percent for the next 100 companies. And fully 70 percent of franchisors that didn’t make the 200, but for which we have information, are nearly all franchisee-owned. In other words: The smaller—and perhaps newer—the company, the more likely it is to be fully franchised. As franchising has grown over the years it has expanded into more industries and different sectors. Yet over the past decade the hospitality industry—namely hotels and restaurants—has solidified its presence in our Top 200 list. A decade ago, food and lodging franchises comprised 110 of the 200 spots on the list. This year, that’s up to 123. All of that growth has come from restaurants and other food-related franchises. In 2000, eateries and take-out places took 71 of the 200 spots on the list. This year, 83 systems serve food as their main product. Much of the growth has come in casual dining—30 family- and casual-dining restaurants are on the list, compared with 23 a decade ago. Several casual dining chains grew over the past decade, particularly after the 2001-2002 recession as credit flowed freely and banks’ standards loosened. Chains like Famous Dave’s, Johnny Rockets, Ruth’s Chris Steak House and Uno Chicago Grill appeared on the ranking. Others, like Applebee’s and Chili’s, grew substantially. Many of those chains, incidentally, saw drops in revenue last year, or they struggled to maintain sales—Ruth’s Chris, Chili’s and Ruby Tuesday, most notably. At the same time, fast-casual chains have been making their move. Seven fast-casual restaurants are on the ranking, including Panera Bread, Jason’s Deli and Moe’s Southwest Grill. And Five Guys Burgers and Fries, currently the fastest-growing restaurant chain in the U.S., according to restaurant industry researcher Technomic, made its debut on the ranking at 173. In 2000, three fast-casual chains made the Top 200. A few other industries Some industries showed broad weakness last year—like real estate agencies, where every company on the Top 200 saw a substantial drop in sales amid the U.S. housing market collapse. Many retailers declined, both in sales numbers and in their places on the ranking, thanks to the oncoming recession. All told, 32 industries are represented on the Franchise Times Top 200, from auto and truck rentals to travel agencies. A few of these industries are less well-represented than they used to be—auto services chains took 15 spots on the 200 a decade ago. Today they hold eight. Retailers, which numbered 17 a decade ago, take 14 spots on the ranking. Others have grown. Seven companies this year focus on commercial maintenance services, like ServiceMaster Clean and ServPro. These types of companies had little presence in the Top 200 in 2000. Likewise, there are eight home services companies on the ranking this year, double the number of a decade ago. Only two companies are listed as elder care providers. Not a big number, but no such companies were on the ranking a decade ago and it’s widely believed that elder-care focused franchises could be on a growth track as the population ages and demand for such services increases. Perhaps not surprisingly, both those companies—Home Instead Senior Care (97) and Comfort Keepers (172) both moved up several spots on the Top 200. October 2009 Franchise Times 17 n AMERICA’S #1 SANDWICH DELIVERY FRANCHISE ™ $1,117,661 25.89% $264,546 * AVERAGE GROSS SALES * AVERAGE FOOD AND PAPER COSTS * AVERAGE NET PROFIT FROM OPERATIONS (IN $) LIMITED AREAS AVAILABLE 800.546.6904 JIMMYJOHNS.COM *Figures reflect averages for sixteen (16) affiliate-owned stores that opened before January 1, 2004 as published in Item 19 of our April 2009 Franchise Disclosure Document. These averages are based on a 52-week annual period from January 2, 2008 through December 30, 2008. Of these sixteen (16) restaurants, 7 (44%) had higher gross sales, 8 (50%) had higher food and paper costs and 7 (44%) had higher net profit during the reported period. The financial performance representation contained in Item 19 of our April 2009 Franchise Disclosure Document also includes (1) average systemwide gross sales, average franchise gross sales, and the number and percentage of outlets exceeding these averages during the referenced period and (2) average gross sales, food and paper cost, and net profit information during the referenced period for affiliate-owned restaurants that were opened after January 1, 2004 and before January 1, 2008. A new franchisee’s results may differ from the represented performance. There is no assurance that you will do as well and you must accept that risk. This offering is made by prospectus only. ©2008 JIMMY JOHN’S FRANCHISE, LLC ALL RIGHTS RESERVED. Top 200 Franchise Chains by Units 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 7-Eleven McDonald’s Subway H&R Block Tax Services KFC Jani-King Burger King Pizza Hut Curves Coverall Health-Based Cleaning System Dunkin’ Donuts Domino’s Pizza Century 21 Real Estate Blockbuster Circle K Stores Jackson Hewitt Tax Service Wendy’s Re/Max International RadioShack Baskin’ Robbins Dairy Queen Taco Bell Quiznos Sub GNC Ace Hardware ServiceMaster Clean Arby’s Coldwell Banker Real Estate Corporation Sonic, America’s Drive-In Tim Hortons Papa John’s Pizza ampm ERA Real Estate Great Clips Comfort Inn & Comfort Suites Midas Auto Service Experts Supercuts Jack in the Box Super 8 Health Mart Jiffy Lube Applebee’s Neighborhood Grill & Bar Holiday Inn Express Popeyes Louisiana Kitchen Hardee’s Days Inn n 20 Franchise Times October 2009 35,603 31,967 30,257 14,494 12,459 11,987 11,925 11,068 9,677 9,100 8,835 8,773 8,501 7,405 7,077 6,763 6,630 6,552 6,064 6,013 5,700 5,345 5,022 4,918 4,630 4,580 3,756 3,508 3,475 3,437 3,380 3,124 2,790 2,738 2,557 2,482 2,274 2,158 2,110 2,039 2,034 1,997 1,932 1,922 1,908 1,880 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 Hampton Inn & Hampton Inn & Suites Dollar Thrifty Automotive Cartridge World Church’s Chicken Denny’s Aaron’s Sales & Lease Ownership Chili’s Grill & Bar Matco Tools SERVPRO Cold Stone Creamery IHOP Restaurants Medicine Shoppe Holiday Inn Hotels & Resorts Fantastic Sams Hair Salons Panera Bread Quality Inn & Suites Chick-fil-A Carl’s Jr. Papa Murphy’s Take ’N’ Bake Sbarro the Italian Eatery Sylvan Learning Centers Long John Silver’s Restaurants Budget Blinds Auntie Anne’s Pretzels Minuteman Press Signarama Ruby Tuesday Meineke Car Care Centers T.G.I. Friday’s Motel 6 Results! Travel Ramada Home Instead Senior Care Econo Lodge Checkers & Rally’s Hamburgers Courtyard Jimmy John’s Gourmet Sandwiches Edible Arrangements Cinnabon Jenny Craig Weight Loss Centres La Quinta Inns & Suites Jamba Juice Whataburger Proforma Keller Williams Realty CiCi’s Pizza A&W Restaurants TAF/The Athlete’s Foot 1,710 1,656 1,651 1,625 1,540 1,522 1,495 1,478 1,459 1,420 1,402 1,374 1,353 1,335 1,327 1,288 1,197 1,195 1,135 1,091 1,063 1,060 994 991 973 961 945 931 923 918 911 897 872 866 830 808 805 787 782 746 743 729 713 700 690 641 627 609 95 96 97 98 99 100 101 102 103 104 105 106 107 108 109 110 111 112 113 114 115 116 117 118 119 120 121 122 123 124 125 126 127 128 129 130 131 132 133 134 135 136 137 138 139 140 141 Buffalo Wild Wings Grill & Bar Allegra Network Roto-Rooter Hungry Howie’s Pizza Residence Inn Express Employment Professionals Fairfield Inn Comfort Keepers Captain D’s Seafood Kitchen Fastsigns Spherion Marriott Hotels, Resorts & Suites Hilton Krispy Kreme Doughnuts Del Taco Friendly’s Country Inn & Suites Big O Tires Round Table Pizza Einstein Bros. Bagels Steak n’ Shake Golden Corral Family Restaurants Howard Johnson International Perkins Restaurant & Bakery Travel Leaders Travelodge Hilton Garden Inn MAACO Collision Repair & Auto Painting Kwik Kopy Printing Zaxby’s Interiors by Decorating Den Qdoba Mexican Grill Hooters Restaurants Red Robin Sir Speedy Bojangles’ Restaurants Taco John’s El Pollo Loco Tuffy/Car-X Sheraton Wingstop Radisson Hotels CARSTAR Moe’s Southwest Grill Culver’s Frozen Custard & Butterburgers Boston Pizza Restaurants Krystal 598 593 578 575 573 569 569 567 548 539 536 531 526 523 513 505 499 498 496 496 490 483 482 481 480 479 472 467 465 461 455 454 450 441 433 429 423 413 413 409 408 407 400 399 394 386 383 Top 200 Franchise Chains by Units 142 143 144 145 146 147 148 149 150 151 152 153 154 155 156 157 158 159 160 161 162 163 164 165 166 167 168 169 Sleep Inn and Sleep Inn & Suites Red Roof Inns Five Guys Burger & Fries Schlotzsky’s Mr. Rooter Play It Again Sports Batteries Plus Crowne Plaza Hotels & Resorts Goddard School (The) Pollo Campero Microtel Inns & Suites Franchising Stanley Steemer Carpet Cleaner Unishippers Sizzler Restaurants Clarion Hotels McAlister’s Deli Johnny Rockets Homewood Suites by Hilton Clarion Inn and Clarion Suites AlphaGraphics Labor Finders One Hour Heating & Air Conditioning Fazoli’s Fuddruckers Village Inn Restaurants Pet Supplies “Plus” Doubletree Hotels Paul Davis Restoration 383 381 377 372 360 356 348 342 330 317 308 302 298 282 281 280 280 276 275 259 256 250 247 234 226 225 217 217 170 171 172 173 174 175 176 177 178 179 180 181 182 183 184 185 186 187 188 189 190 191 192 193 194 195 196 197 SpringHill Suites Uno Chicago Grill Jason’s Deli Candlewood Suites Embassy Suites Hotels Primrose Schools Valpak Direct Marketing Tony Roma’s Petland Four Seasons Sunrooms Famous Dave’s On The Border Mexican Grill & Cantina ProSource Wholesale Floorcoverings Wingate by Wyndham TownePlace Suites Volvo Rents Westin InterContinental Hotels & Resorts Staybridge Suites Linc Network Renaissance Hotels The Melting Pot Four Points By Sheraton Marie Callendar’s J.D. Byrider Ruth’s Chris Steak House El Chico Cafe Slumberland Furniture 208 207 204 204 200 199 189 189 187 183 170 198 199 200 201 1-800-Flowers Houlihan’s G.J.Gardner Homes Wyndham Hotels & Resorts 110 103 98 82 FT 200 by Industry Auto/Truck Rental Automotice Services Education Elder Care Employment Financial Services Hair salons Health/Fitness Home Services 165 164 164 163 163 162 159 152 148 141 140 134 133 132 130 114 113 Lodging Mailing Commercial Maintenance Medicine/Pharmacy Pets Printing/Graphics Real Estate Retail-Convenience Stores Retail-Hardware Retail-Rental Retail-Sporting Goods Retail-Electronics/Video Sales Signs Travel 0 10 20 30 40 50 October 2009 Franchise Times 21 n Informed franchIsees make the best brand partners To find out how you can arm your prospective franchisees with the information they need to make an informed decision to join your system, call 800-528-3296. Julie Bennett has been writing about franchising for a number of publications, including Franchise Times and The Wall Street Journal. Franchise Times is the publication both franchisees and franchisors turn to for insights and information on business-format franchising and the success stories of the high-power people who make up the franchise community. www.franchisetimes.com THE LITTLE BUILDING WITH BIG OPTIONS NEW WAYS TO GROW WITH CHECKERS AND RALLY’S Now Checkers and Rally’s has more ways to bring in the big profits than ever before. Introducing our new End Cap & In-Line Buildings. These flexible designs create exciting sales opportunities in high traffic and urban areas. Contact us today to explore the many benefits of becoming a franchise partner 1-888-913-9135 • www.checkersfranchise.com ©2009 Checkers Drive-In Restaurants, Inc. Register now for our live webinar series: www.alphagraphicsfranchise.com/ft The $1.1 million Opportunity* You could be right for our $1.1 million opportunity* if you: ▸ ▸ ▸ ▸ have executive management experience prefer to own a B2B company (no retail or food) want to be connected with business owners in your community are interested in building wealth and securing your financial future For 40 years AlphaGraphics has been the leader in providing visual communication, marketing and document solutions for businesses of all sizes across many industries. Learn about our $1.1 million opportunity* in key markets across the country. Contact Brandi at 1.800.528.4885 or [email protected]. “Seven years ago I left Xerox and the corporate world to own an AlphaGraphics Business Center. I made the right decision.” Grant Richey Bountiful, Utah Image by JTV Productions *During calendar year 2008, AlphaGraphics business centers that had been open and operating for at least 1 year had an average gross sales of $1.1 million. 72 (or 33.64%) of AlphaGraphics business centers in that category achieved gross sales of $1,108,585 or higher. Please see our Franchise Disclosure Document for more details. YOUR FINANCIAL RESULTS MAY DIFFER.” Hear the Grant Richey story at: www.alphagraphicsfranchise.com/ft Quick Reference: Top 200 Alphabetical Listing Worldwide Sales Rank Total Units Rank 1-800-Flowers 81 198 190 N/A 7-Eleven 2 1 9 1 A&W Restaurants 148 93 134 50 Aaron’s Sales & Lease Ownership 66 52 44 116 Ace Hardware 6 25 19 51 Allegra Network 156 96 95 99 AlphaGraphics 178 161 156 108 ampm 29 32 56 17 Applebee’s Neighborhood Grill & Bar 21 42 37 78 Arby’s 32 27 23 71 Auntie Anne’s Pretzels 159 70 73 58 Baskin’ Robbins 72 20 30 11 Batteries Plus 199 148 136 N/A Big O Tires 89 112 104 N/A Blockbuster 14 14 17 13 Bojangles’ Restaurants 107 130 120 135 Boston Pizza Restaurants 83 140 198 41 Budget Blinds 198 69 65 80 Buffalo Wild Wings Grill & Bar 74 95 88 N/A Burger King 5 7 6 7 Candlewood Suites 162 173 163 N/A Captain D’s Seafood Kitchen 127 103 97 N/A Carl’s Jr. 67 64 58 72 CARSTAR 106 137 145 68 Cartridge World 147 49 83 25 Century 21 Real Estate 46 13 22 6 Checkers & Rally’s Hamburgers 98 81 70 141 Chick-fil-A 35 63 55 N/A Chili’s Grill & Bar 26 53 52 62 Church’s Chicken 76 50 54 33 CiCi’s Pizza 113 92 84 N/A Cinnabon 194 85 115 42 Circle K Stores 8 15 26 8 Clarion Hotels 163 156 177 69 Clarion Inn and Clarion Suites 112 160 178 70 Franchise Concept Domestic Foreign Units Units Rank Rank Worldwide Sales Rank Total Units Rank Culver’s Frozen Custard & Butterburgers 102 139 125 N/A Curves 73 9 10 10 Dairy Queen 39 21 18 22 Franchise Concept Domestic Foreign Units Units Rank Rank Days Inn 53 46 41 63 Del Taco 115 109 101 N/A Denny’s 42 51 46 86 Dollar Thrifty Automotive 61 48 91 23 Domino’s Pizza 19 12 16 9 Doubletree Hotels 54 168 164 122 Dunkin’ Donuts 18 11 8 15 Econo Lodge 122 80 71 96 Edible Arrangements 174 84 76 97 Einstein Bros. Bagels 152 114 106 N/A El Chico Cafe 195 196 189 143 El Pollo Loco 105 132 122 N/A Embassy Suites Hotels 55 174 168 133 ERA Real Estate 108 33 61 18 Express Employment Professionals 58 100 98 102 Fairfield Inn 78 101 92 130 Famous Dave’s 132 180 172 N/A Fantastic Sams Hair Salons 144 59 50 N/A Fastsigns 168 104 113 85 Fazoli’s 197 164 149 150 Five Guys Burger & Fries 173 144 131 N/A Four Points By Sheraton 95 192 193 103 Four Seasons Sunrooms 191 179 171 128 Friendly’s 101 110 102 N/A Fuddruckers 160 165 154 137 G.J.Gardner Homes 143 200 201 81 GNC 56 24 24 21 Goddard School (The) 169 150 138 N/A Golden Corral Family Restaurants 68 116 108 N/A Great Clips 90 34 31 90 H&R Block Tax Services 23 4 3 19 25 47 42 98 Cold Stone Creamery 129 55 53 67 Coldwell Banker Real Estate Corporation Hampton Inn & Hampton Inn & Suites 17 28 28 28 Hardee’s 57 45 40 59 Comfort Inn & Comfort Suites 31 35 35 30 Health Mart 20 40 34 N/A Comfort Keepers 172 102 99 104 Country Inn & Suites 87 111 110 110 Courtyard 30 82 78 83 Coverall Health-Based Cleaning System 157 10 5 35 Crowne Plaza Hotels & Resorts 37 149 169 65 n 24 Franchise Times October 2009 Hilton 11 107 148 46 Hilton Garden Inn 52 121 116 107 Holiday Inn Express 24 43 39 53 Holiday Inn Hotels & Resorts 15 58 63 32 Home Instead Senior Care 97 79 87 47 Quick Reference: Top 200 Alphabetical Listing Worldwide Sales Rank Total Units Rank 84 159 146 Hooters Restaurants 79 127 127 89 Houlihan’s 186 199 192 N/A Howard Johnson International 117 117 133 74 Papa Murphy’s Take ’N’ Bake 111 65 57 123 Hungry Howie’s Pizza 190 98 90 N/A Paul Davis Restoration 126 169 159 N/A IHOP Restaurants 48 56 49 125 Perkins Restaurant & Bakery 85 118 111 120 Franchise Concept Homewood Suites by Hilton Domestic Foreign Units Units Rank Rank 131 Worldwide Sales Rank Total Units Rank One Hour Heating & Air Conditioning 171 163 Panera Bread 38 Papa John’s Pizza 47 Franchise Concept Domestic Foreign Units Units Rank Rank 150 139 60 51 144 31 29 29 InterContinental Hotels & Resorts 40 187 197 76 Pet Supplies “Plus” 125 167 158 N/A Interiors by Decorating Den 118 125 118 112 Petland 179 178 183 91 J.D. Byrider 110 194 182 N/A Pizza Hut 7 8 11 5 Jack in the Box 34 38 32 N/A Play It Again Sports 200 147 140 101 Jackson Hewitt Tax Service 100 16 7 N/A Pollo Campero 128 151 199 49 Jamba Juice 135 88 79 148 Popeyes Louisiana Kitchen 59 44 43 39 Jani-King 93 6 4 16 Primrose Schools 188 175 166 N/A Jason’s Deli 131 172 162 N/A Proforma 164 90 82 94 Jenny Craig Weight Loss Centres 103 86 89 64 ProSource Wholesale Floorcoverings 119 182 174 142 Jiffy Lube 71 41 36 95 Qdoba Mexican Grill 149 126 114 N/A Jimmy John’s Gourmet Sandwiches 123 83 72 N/A Quality Inn & Suites 64 62 62 36 Johnny Rockets 177 158 152 100 Quiznos Sub 50 23 20 27 Keller Williams Realty 49 91 81 126 RadioShack 27 19 13 57 KFC 3 5 14 4 Radisson Hotels 33 136 180 48 Krispy Kreme Doughnuts 88 108 157 45 Ramada 60 78 93 38 Krystal 137 141 128 N/A Re/Max International 12 18 21 14 Kwik Kopy Printing 187 123 186 37 Red Robin 77 128 119 119 La Quinta Inns & Suites 70 87 77 145 Red Roof Inns 146 143 129 N/A Labor Finders 181 162 147 N/A Renaissance Hotels 51 190 195 88 Linc Network 130 189 185 117 Residence Inn 44 99 94 118 Long John Silver’s Restaurants 86 68 59 105 Results! Travel 189 77 64 N/A Roto-Rooter 94 97 96 111 Round Table Pizza 139 113 105 N/A MAACO Collision Repair & Auto Painting 142 122 117 113 Marie Callendar’s 180 193 184 149 Marriott Hotels, Resorts & Suites 10 106 135 61 Matco Tools 182 61 48 106 McAlister’s Deli 158 157 144 N/A McDonald’s 1 2 2 2 Medicine Shoppe 43 57 67 31 Meineke Car Care Centers 141 74 69 87 Microtel Inns & Suites Franchising 185 152 143 124 Midas Auto Service Experts 69 36 45 24 Minuteman Press 134 71 74 54 Moe’s Southwest Grill 166 138 126 138 Motel 6 80 76 66 129 Mr. Rooter 184 146 151 73 On The Border Mexican Grill & Cantina 133 181 175 136 Ruby Tuesday 63 73 68 92 Ruth’s Chris Steak House 114 195 187 127 Sbarro the Italian Eatery 91 66 75 40 Schlotzsky’s 196 145 137 114 ServiceMaster Clean 62 26 27 20 SERVPRO 82 54 47 N/A Sheraton 16 134 160 56 Signarama 116 72 85 43 Sir Speedy 155 129 139 75 Sizzler Restaurants 120 155 165 82 Sleep Inn and Sleep Inn & Suites 138 142 132 121 Slumberland Furniture 154 197 188 N/A Sonic, America’s Drive-In 45 106 102 109 Spherion 45 105 103 109 October 2009 Franchise Times 25 n Quick Reference: Top 200 Alphabetical Listing Worldwide Sales Rank Total Units Rank SpringHill Suites 99 170 Franchise Concept Domestic Foreign Units Units Rank Rank 161 147 Worldwide Sales Rank Total Units Rank Travel Leaders 175 119 Franchise Concept Domestic Foreign Units Units Rank Rank 109 N/A Stanley Steemer Carpet Cleaner 136 153 141 N/A Travelodge 121 120 130 79 Staybridge Suites 150 188 179 146 Tuffy/Car-X 192 133 123 N/A Steak n’ Shake 92 115 107 N/A Unishippers 165 154 142 N/A Subway 4 3 1 3 Uno Chicago Grill 124 171 167 132 Super 8 65 39 38 52 Valpak Direct Marketing 145 176 170 134 Supercuts 104 37 33 60 Village Inn Restaurants 167 166 155 N/A Sylvan Learning Centers 140 67 60 77 Volvo Rents 183 185 194 84 T.G.I. Friday’s 36 75 86 44 Wendy’s 9 17 12 26 Taco Bell 13 22 15 55 Westin 41 186 191 93 Taco John’s 176 131 121 N/A Whataburger 75 89 80 N/A TAF/The Athlete’s Foot 151 94 153 34 Wingate by Wyndham 170 183 176 140 The Melting Pot 200 191 181 N/A Wingstop 193 135 124 N/A Tim Hortons 22 30 100 12 Wyndham Hotels & Resorts 109 201 196 115 Tony Roma’s 161 177 200 66 Zaxby’s 96 124 112 N/A TownePlace Suites 153 184 173 N/A Regular readers of the Restaurant Finance Monitor have their finger on the pulse of the economy. Find out who’s doing deals, what analysts are predicting for the upcoming year and how to survive the rush of bad economic news. Subscribe to the Monitor by calling 800-528-3296 or log onto www.restfinance.com n 26 Franchise Times October 2009 110662_AceOwnersAd 9/30/09 8:59 AM Page 1 Ace is the place for ownership! Why Ace? • World Class Brand ... Globally Trusted, Locally Embraced • True Ownership ... A Retailer Owned Company • Rock Solid Foundation – Fad Proof Future We offer qualified individuals* a $255,000 incentive per store! “We opened our first store, Logan Hardware, in 2003. That year we exceeded our forecast by 20% and generated more than 1.5 million in sales from over 100,000 customers. Since then, we’ve added three stores and continue to build wealth through serving communities in need of convenient home improvement solutions.” Gina Schaefer & Marc Friedman Ace Hardware Multi-Store Owners Washington, DC 27_110662_0909 It’s the Ace Hardware ownership difference. You’re the owner...we work for you! Learn more about our $255,000 new store incentive! Go to: www.myace.com Business Development Team: 630-990-6900 *Qualified individuals or equity groups must be able to meet liquid capital requirements of $250,000 per store. Store must exceed 8,000 square feet of retail space. Certain other requirements apply. The Next 100 Top Franchises Worldwide Sales ($M) Domestic Units Total Units Percent Franchised Rock Bottom Restaurants, Inc. $233 98 98 35% 203 Baymont Inn & Suites Wyndham Hotel Group 232* 227 227 100% 204 Blimpie Subs & Salads Kahala Corp. 228 1090 1090 100% 205 Huddle House Griddle Holdings, Inc. 227 424 424 96% 206 PostNet 227 412 867 100% 207 Max & Erma’s PostNet International Franchise Corporation G&R Management Services 225 110 110 28% 208 Molly Maid Service Brands Int’l. 221 424 601 100% 209 Wireless Zone Automotive Technologies Inc. 221 296 296 100% 210 Beef ‘O’ Brady’s FSC Franchise Co., LLC 217 266 266 100% 211 Cost Cutters Regis Corporation 216 851 851 57% 212 Rainbow International The Dwyer Group 211 190 344 100% 213 Peter Piper Pizza Peter Piper, Inc. 208 96 134 72% 214 Advance Realty Advance Realty 204 18 18 100% 215 Western Sizzlin Western Sizzlin Corp. 199 110 110 95% 216 Martinizing Dry Cleaning Martin Franchises Inc. 193 279 529 100% 217 Jan-Pro Cleaning Systems 190 8874 8888 100% 218 AmericInn JAN-PRO Franchising International, Inc. AmericInn International, LLC 190 220 220 100% 219 Certa ProPainters The Franchise Company 189 348 375 100% 220 Bruegger’s Bagels Sun Capital Partners, Inc 189 286 286 35% 221 Oreck Clean Home Center Oreck Direct, LLC 189 450 450 80% 222 Two Men and a Truck 188 173 180 99% 223 Firehouse Subs Two Men and a Truck International, Inc. Firehouse Restaurant Group 183 366 366 92% 224 Hawthorn Suites Wyndham Hotel Group 177 86 90 100% 225 Rodeway Inn Choice Hotels International 177* 352 356 100% 226 Hot Stuff Foods Hot Stuff Foods 176 1168 1176 100% 227 CruiseOne WTH - World Travel Holdings 172 570 571 100% 228 TacoTime Kahala Corp. 171 242 367 100% 229 Granite Transformations Rocksolid Granit USA Inc. 168 79 156 100% Rank Franchise Concept Parent Company 202 Old Chicago Pasta & Pizza Worldwide sales are in millions. * Franchise Times Estimate n 28 Franchise Times October 2009 The Next 100 Top Franchises Worldwide Sales ($M) Domestic Units Total Units Percent Franchised 165 368 368 91% 164 243 243 100% Stockade Companies 164 68 92 99% 233 Precision Tune Auto Care Precision Franchising LLC 162 277 377 98% 234 Anytime Fitness Anytime Fitness, Inc. 160 950 980 99% 235 Sport Clips Sport Clips, Inc. 152 623 623 98% 236 ColorTyme ColorTyme, Inc. 151 206 206 100% 237 The Original Pancake House 150 111 111 99% 238 PostalAnnex The Original Pancake House Franchising, Inc. Annex Brands, Inc. 150 319 321 100% 239 Pizza Inn Pizza Inn, Inc. 149 253 321 99% 240 Gatti’s Pizza Mr. Gatti’s, LP 149 137 137 85% 241 Togo’s Togo’s Eateries, Inc. 148 243 243 98% 242 Comet Cleaners 143 300 312 100% 243 Glass Doctor Comet Cleaners Franchise Group LLC The Dwyer Group 140 163 165 100% 244 Back Yard Burgers Back Yard Burgers, Inc. 140 150 150 70% 245 Pita Pit Pita Pit USA, Inc. 137 170 282 98% 246 Once Upon A Child Winmark Corporation 136 206 230 100% 247 HobbyTown USA Hobby Town Unlimited, Inc. 136 166 166 99% 248 Steamatic Steamatic, Inc. 136 272 372 100% 249 Fox’s Pizza Den Fox’s Pizza Den, Inc. 135 306 306 100% 250 Benjamin Franklin Plumbing Clockwork Home Services, Inc. 134 249 249 95% 251 Knights Franchise Systems Wyndham Hotel Group 132* 285 301 100% 252 Maids Home Services, The The Maids International 131 1034 1066 98% 253 Carvel Ice Cream FOCUS Brands 131 462 505 96% 254 Raising Cane’s Chicken Fingers Raising Cane’s USA, LLC 130 79 79 16% 255 Villa Pizza/Villa Fresh Italian Kitchen 256 Express Oil Change Villa Enterprises Management 128 225 250 35% Express Oil Change, LLC 128 180 180 62% Rank Franchise Concept Parent Company 230 Huntington Learning Centers 231 Plato’s Closet Huntington Learning Centers, Inc. Winmark Corporation 232 Stockade Companies Worldwide sales are in millions. * Franchise Times Estimate October 2009 Franchise Times 29 n The Next 100 Top Franchises Worldwide Sales ($M) Domestic Units Total Units Percent Franchised 125 355 490 100% 123 139 145 100% Wild Birds Unlimited, Inc. 119 266 279 100% 260 Adventures in Advertising AIA Holding 118 302 302 100% 261 Nathan’s Famous Nathan’s Famous Inc. 117 236 254 98% 262 First Choice Haircutters Regis Corporation 113 443 443 42% 263 Rocky Mountain Chocolate Factory 264 Penn Station East Coast Subs Rocky Mountain Chocolate Factory, Inc. Penn Station Incorporated 112 279 326 98% 112 200 200 99% 265 1-800-GOT-JUNK? 1-800-GOT-JUNK? LLC 111 235 239 100% 266 Grease Monkey Grease Monkey Intl. 108 194 246 99% 267 Right at Home Right at Home Inc. 108 155 155 99% 268 Mrs. Fields Mrs. Fields Famous Brands 105 289 385 100% 269 CleanNet USA CleanNet USA 104 3963 3963 100% 270 Great American Cookies NexCen Brands, Inc. 103 298 299 100% 271 The Little Gym The Little Gym International 102 267 315 100% 272 Tropical Smoothie Cafes 102 266 296 99% 273 Pizza Ranch Tropical Smoothie Franchise Development Corp. Pizza Ranch Inc. 101 145 145 100% 274 Foot Solutions Foot Solutions, Inc. 101 199 243 99% 275 Rita’s Italian Ice 100 555 555 100% 276 Planet Fitness Rita’s Water Ice Franchise Company Planet Fitness 99 251 251 96% 277 Link Staffing Services Franklink, Inc. 98 59 59 83% 278 Fitness Together Fitness Together Franchise Corp. 97 410 417 100% 279 Kiddie Academy Kiddie Academy International 97 101 101 94% 280 Great Harvest Bread Co. Great Harvest Franchising Inc. 95 209 209 100% 281 Marco’s Pizza Marco’s Franchising, LLC 93 182 182 100% 282 Great Steak & Potato Kahala Corp. 93 191 199 99% 283 Marble Slab Creamery NexCen Brands Inc. 90 300 358 100% Rank Franchise Concept Parent Company 257 Pak Mail Pak Mail Centers of America, Inc. Franchise Services, Inc. 258 PIP Printing & Marketing Services 259 Wild Birds Unlimited Worldwide sales are in millions. * Franchise Times Estimate n 30 Franchise Times October 2009 The Next 100 Top Franchises Worldwide Sales ($M) Domestic Units Total Units Percent Franchised Golf USA, Inc. 90 70 110 95% 285 Liberty Tax Service JTH Tax, Inc. 88 2872 3117 98% 286 Lawn Doctor Lawn Doctor 87 478 478 100% 287 Closets By Design Home Organizers, Inc. 86 43 45 93% 288 Relax the Back Relax the Back Corporation 86 120 122 100% 289 EmbroidMe United Franchise Group 85 351 442 100% 290 Quaker Steak & Lube Lube Holdings 85 31 31 81% 291 Certified Restoration Drycleaning Network (CRDN) 292 Bruster’s Real Ice Cream Certified Restoration Drycleaning Network, LLC Bruster’s Real Ice Cream 82 124 145 100% 80 241 241 98% 293 Pretzel Time NexCen Brands 80 241 241 98% 294 Signs Now Allegra Network 78 190 205 100% 295 Value Place 75 123 123 70% 296 Green Mill Restaurants Value Place Franchise Services, LLC Green Mill Restaurants, Inc. 75 30 30 100% 297 Maid Brigade Maid Brigade, Inc. 70 418 493 100% 298 TCBY Mrs. Fields Famous Brands 70 477 664 100% 299 PuroClean PuroSystems, Inc. 69 230 231 100% 300 Saladworks Saladworks, LLC 67 110 110 96% 301 Fatburger Fog Cutter Capital Group, Inc. 67 82 92 61% Rank Franchise Concept Parent Company 284 Golf USA Worldwide sales are in millions. * Franchise Times Estimate Follow us online To find out what’s going on in the world of franchising in between issues, check out our Facebook page, as well as our Tweeting. Franchise Times on Facebook: www.facebook.com/pages/Franchise-Times-Magazine/38720947534 Franchise Times on Twitter: http://twitter.com/FranTimes October 2009 Franchise Times 31 n Top Franchisors by Home State Everything is bigger in Texas, and apparently the same holds true for franchising. The Lone Star State is home to the largest number of franchisors on the Top 200. Following is a list of the states where the most top franchisors call home. As you can see, franchisors don’t necessarily start where the people live—though that helps. Texas..................................................27 California...........................................23 Georgia..............................................16 New Jersey.........................................12 Minnesota..........................................10 Florida...............................................10 n 32 Franchise Times October 2009 New York............................................ 8 Colorado............................................. 8 Maryland............................................ 8 New York............................................ 8 Ohio....................................................7 District of Columbia............................7 Pennsylvania........................................5 North Carolina....................................5 Kentucky.............................................5 Massachusetts......................................5 Oklahoma............................................4 Illinois..................................................4 d e z i s s r e e e s i p h su ranc f r e o f v s ’ e i e t i n W pportu ual n n a e c i tw w e n ’ s e e Tim ortunities. s i com h . c s e n a m r i t F p e f p s i Be part o k of Franchise O ietsch@franch p o SuperBo evin Pietsch at k Contact K o r u o y Franchise Times Top 200 Methodology How the Top 200 Were Selected The Franchise Times 200 is an annual ranking of the 200 largest franchise systems in the U.S. by worldwide sales for the previous calendar year. The numbers come from a combination of companies’ voluntary reports and Franchise Times estimates based on publicly available data. To qualify, a company must be a legal, U.S. franchise. At least 15 percent of the company’s total units must be owned or operated by independent franchisees. The company must also be based in the United States, or have at least 15 percent of its total units located in the U.S. Systemwide sales is defined as the total sales, worldwide, for both franchise and company units. Those sales figures should represent sales to customers, and not corporate sales to franchisees or prospective franchisees—such as royalty revenue or franchise fees. Other revenues not directly related to franchising are also not included. If two companies have reported the same amount in systemwide sales, the higher ranking is given to the company with the most units Play It Again Sports and The Melting Pot were both included in the list at 200. Both reported $235 million in revenue. Franchise Times estimated revenues for hotels is based on a formula multiplying reported RevPar numbers (revenue per available room) by the number of rooms and the number of days in the year. The estimate is reduced a certain percentage if the Franchising is like golf... company opened units during the year, and is increased if it had a net reduction. RevPar comes either from companies’ own reports or industry estimates. Franchise Times estimates for real estate companies is based on 2.5 percent of the companies’ reported sales volume. Real estate companies report sales based on total volume of homes sold. So a home sold for $200,000 would be listed as $200,000 in revenue. FT’s estimate would count $5,000 in revenue earned from the sale. Estimates for travel agencies is based on 10 percent of total sales volume. Unless you’re playing the fairway...it’s going to be rough. and... your prospects are looking for the AAFD Fair Way “Earning the AAFD Fair Franchising Seal gets the attention of our franchisee prospects and validates our franchise culture that fosters a genuine working relationship between us and our franchises.” www.aafd.org Terry L. Kline, Senior Vice President Franchise Development Settle Inn and Guest House Franchise Systems LLC ranchising is a crowded field. Before you can bring franchisees through your door, you have to help them over an enormous hurdle: trust. They won’t sit down to consider your franchise until they know that yours is a stand-up organization. That’s why the Fair Franchising Seal is so important. It’s a clear sign that says integrity. Fair play. And commitment to a business model in which all players win. The Fair Franchising Seal comes from only one source, the American Association of Franchisees & Dealers, an independent trade association dedicated to promoting collaborative franchise cultures that embrace equitable franchising practices. As an objective third-party, we’re uniquely qualified to review your franchise’s practices, policies and contracts. If your organization meets the standards required for fair franchising, the AAFD can honor you with credibility -- a Fair Franchising Seal that helps you stand out among your competitors. Visit www.aafd.org/golf to learn more about the AAFD and Total Quality Franchising. Then take a step towards Fair Franchising Seal accreditation by calling Cynthia Ritchie at 1-800-733-9858 Ext. 120 or email [email protected] Looking for a Total Quality franchise opportunity? Limit your search to AAFD Accredited Franchisors. ©2007 American Association of Franchisees & Dealers n 34 Franchise Times October 2009