New kids on the block: 181 new franchises for 1997

Entrepreneur, June, 1997 by Alison Steiner Miller

In answer to those questions, we bring you our 10th Annual Survey of New Franchises. Over the past three years, hundreds of small companies began franchising, hoping to increase their sales and expand their market reach. Here are some of the hottest trends we've spotted:

* As more proof that convenience is king in the busy '90s, home-meal-replacement franchises are cooking up big profits. Consumers who don't have the time or energy to spend hours in the kitchen - but don't want another boring TV dinner - are letting others prepare complete, satisfying meals for them. In the same vein, busy consumers have helped coffeehouse, bagel and juice bar franchises maintain their popularity. Also on the food front, full-service restaurants such as El Torito and Bennigans have begun using franchising as a way to expand.

* Golf, hockey and "extreme" sports are leading the way in one of this year's hottest franchise categories: recreation businesses. Despite a slight downward trend in the health-food craze, fitness is hotter than ever - and companies that help weekend warriors go to extremes, learn how to play golf, or get in on the newfound popularity of ice and inline-skate hockey will be in the game for the foreseeable future.

* Potential franchisees looking for the trend of the '90s need look no further than the Internet. Businesses that don't already have their own Web sites want them, opening a world of opportunity for Internet site design, marketing and access companies.

* The booming health services industry is another sign of the times, reflecting a longer-living population as well as an increased demand for specialized services. Home respite-care, health-care training and urgent-care facilities are leading the Way in this burgeoning franchising area.

This year's survey lists 181 companies that have started franchising since 1995. These listings give newer companies an opportunity to stand apart from the bigger, more established names and allow us to spotlight up-and-coming industry trends. Total investment costs indicate the start-up capital needed to get the franchise up and running, along with franchise fees and additional costs.

Franchises were invited to submit information for inclusion in these listings. However, since this is not a ranking, the listing does not analyze or evaluate this information, nor is this listing intended to endorse, promote or advertise any franchise. Entrepreneur strongly recommends you conduct your own thorough investigation before you invest any money.

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