Mythbusters: Franchising Is Only Relevant to the QSR Sector

Say the word ‘franchise’ and most people immediately think of the quick service restaurant (QSR) sector - brands like McDonald’s and Burger King. In our franchising mythbusters article series, we look at the common misconceptions of franchising. Here we’re exploring the many different types of investment opportunities on offer.

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Over time, huge brands like McDonald’s, KFC and Subway have come to epitomise the franchise world, helping to establish one of the most common misconceptions of franchising.

In reality, there are franchising opportunities in most sectors, from professional services to retail, care and maintenance. There are even a whole host of franchises in more niche areas, such as dog-walking and christmas decoration installation.

Why people associate franchising with the QSR sector

Businesses in the quick service restaurant sector do make up a significant portion of the franchise industry - but they’re not the only fantastic opportunities on the market. Here’s why we believe they’ve come to characterise the franchising world:

1. Food businesses played a key role in the franchise industry’s development

Pubs and restaurants have been tied to the franchise model for almost as long as it’s been around. In the Georgian and Victorian periods, brewers increasingly used a ‘tied-house’ system to allow pubs to sell their beers in exchange for a lease fee.

Later, in North America, Howard Deering Johnson allowed investors to run businesses with the same brand name and property layout as his restaurant in Quincy, New England.

And from the mid-twentieth century, when franchising really started to take off, businesses began to make a name for themselves with the model. QSR sector companies like McDonald’s and Pizza Hut were able to establish themselves internationally.

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>> Read more:

• Mythbusters: Franchising Isn't a Legitimate Business Opportunity
• Mythbusters: You Have to Make a Huge Investment
• Mythbusters: You Have No Room for Creativity
• Mythbusters: You’re Guaranteed to Succeed
• Mythbusters: You Need to Be an Expert
• Mythbusters: You Can’t Be Autonomous

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2. QSR sector businesses dominate the franchise industry

Not only did QSR sector businesses play a pivotal role in the development of the franchise industry; they also became the biggest brands within it. To this day, the largest and most successful international franchises are McDonald’s, KFC and Subway - and 7-Eleven, Burger King and Pizza Hut follow close behind.

3. People regularly interact with the QSR sector

Quick service restaurants play a huge part in our lives - most people visit an eatery at least once a month, if not once a week. They see the brand names on the high street, watch their adverts on the television and rely on the standard of food across their various branches.

In comparison, franchises from other sectors are less prevalent, and although many occupy premises in high-footfall areas like city centres and high streets, they generally don’t garner as much attention.

4. QSR sector franchises are attractive to investors

There are many advantages of running a restaurant franchise business, which is why lots of entrepreneurs overlook other industries in favour of joining a well-known casual dining chain.

To name just a few of the benefits, you can capitalise on demand for takeaway food and become part of the community. Plus, you don’t have to hire many employees with specialist skills.

There are franchising opportunities in all sectors

The franchise industry has some fantastic opportunities for budding restaurateurs, but the QSR sector is just part of the much wider world of franchising. If you’re considering running your own business with the model, it’s well worth exploring the many unique and innovative opportunities available across the UK.

We’ve rounded up three high-quality franchise opportunities outside of the QSR sector to show just how diverse the franchise industry is.

TaxAssist Accountants

TaxAssist Accountants supports businesses with a turnover of under £2 million across several different areas, from bookkeeping, business plan creation and payroll to employment law, pensions and debt recovery. The brand covers more than 200 franchised regions in the UK and has in excess of 71,000 clients.

• Becoming a TaxAssist Accountants franchisee: You’ll take on a number of different tasks as you develop your business, including managing profitability, arranging marketing campaigns, providing customer service and networking.
• How much you need to invest: There’s a minimum investment cost of £39,950 +VAT.
• What you get for your investment: You’ll take part in a six-week training course and gain access to the franchise’s technical helpdesk, webinars, masterclasses and update days for both you and your staff. The franchisor also offers support with site selection, lease negotiation and acquiring planning permission for renovations.

Red Herring Games

As the number one murder mystery franchise in the UK, Red Herring Games challenges people to solve some of the greatest crime-related conundrums of our time. Many companies use the franchise for employee team-building exercises.

• Becoming a Red Herring Games franchisee: You’ll work in a protected territory as the ‘go-to’ person for corporate and private events in your area. You can choose to be actively involved in each event or bring in actors to join or manage the game for you if you want to run multiple events during peak season.
• How much you need to invest: You’ll need £8,495 to get the ball rolling.
• What you get for your investment: You’ll get training and support setting up a marketing strategy. The franchise’s campaigns involve social media and ultra-local SEO.

WALX

WALX is a community-focused walking group for people who want to socialise and get a bit of fresh air. This franchise offers more than the average exercise club; it’s professionally designed around different routes and takes into account customers’ fitness levels and goals.

• Becoming a WALX franchisee: You can choose to have a hands-on role, leading the walking sessions yourself, or take on a managerial position as you gain more members and your business grows.
• How much you need to invest: The minimum investment is £9,995.
• What you get for your investment: You’ll benefit from extensive training, tried and tested marketing strategies, online management and booking systems and ongoing support.

Want to find even more great franchise opportunities outside of the QSR sector? Take a look at these four unique options you may not have considered before.

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>> Read more:

• Run Your Own Vegetarian Restaurant
• 6 Advantages of Running a Japanese Restaurant Franchise
• How to Start Your Own Pizza Restaurant Franchise
• Top 11 American Restaurant Franchises in the UK
• Chicken & Waffles- Why Not Create Your Own Restaurant?
• American Burger: How To Start Your Own American Burger Restaurant

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Find perfect investment opportunities in the QSR sector and beyond

Point Franchise curates a wide range of high-quality investment opportunities across all business areas. You’ll find some lesser-known openings in the food service industry, such as vending machine and delivery franchises, as well as companies in completely different sectors.

Check out our other franchising mythbusters articles to find out more franchise truths or start searching for your ideal investment opportunity from the main menu.