In search of a "hot" franchise

Subway has been one of the world’s most popular franchises for the past 10 years. According to the company’s director of development, Subway received 148,000 franchise inquiries in 2003.

Of these, only 4,363 franchises were awarded—and only 1,200 went to new franchisees. That’s less than 1% of the inquiries.

Clearly getting in on what’s “hot” isn’t easy. What’s more, just because a franchise is hot today doesn’t mean it will be tomorrow.

When looking for a franchise that won’t cool off, consider:

Staying Power. Businesses that offer products or services that customers always need are better bets than “trendy” enterprises. What can’t people do without? Dry cleaning, office supplies, auto repair, haircuts, ______________ and _____________.

Demographic trends. Aging baby boomers make up a huge segment of today’s population. What businesses serve these people? Assisted-living homes, meal-prep services, travel agencies, house cleaning services, ________________ and _____________.

Societal trends. People are concerned about their health, their financial security and their ability to help their kids achieve their potential. How can you capitalize on these trends? Weight-loss centers, tax-planning services, tutoring, _________________ and ___________________.