Franchisors should step up to the food hall craze

January 29, 2019
7:27 pm

Buying a franchise, Franchise for sale, Franchise Opportunity

Article (edited) written and posted in part by BY TOM KAISER

Typical food courts aren’t exactly the stuff of hot-and-heavy dreams. At worst, they are dingy and depressing and, at best, present few unique options beyond the usual suspects of greasy Chinese, suspicious pizza and rack-heated hot dogs. Rather than a memorable experience, which research says is so important to younger customers, hitting up a food court is often like going to the gas station: filling up the tank so you can continue with your journey.

Knowing today’s consumers want a Snapchat-worthy meal, commercial developers across the country have embraced the trend of food halls, which are higher-end food courts with better choices and inspired architecture that tend to be located in central business districts. On paper, the differences between food courts and food halls are subtle, but in person, the distinctions are stark….

A franchise-forward food hall

There are no franchised restaurants in Revival or Chicago French Market, but that doesn’t mean the franchise community can ignore what’s happening here, especially with as many as 150 new food halls planned to open in the U.S. before 2020.

Garrick Brown, vice president of retail research at Cushman & Wakefield, said that lofty prediction includes halls that are under construction, as well as those that are proposed but “look like they’re going to happen.”

A well traveled fellow, Brown likes Revival, and added that Chelsea Market in Manhattan is one of his favorites for a tenant mix that includes a lot of fast-casual and what he called experimental restaurants, as well as cooking stores, and other stuff you’d find at a nice urban market.

“In the old days, being 10 years ago, you’d build a shopping center and put in food as an amenity for people there to buy clothes and it was an afterthought—this is the opposite,” he said of food halls. “You’re going there to eat and you’re going to do some shopping while you’re eating, and that might be the new model.”

He said food halls are expanding beyond the central business districts of top-tier cities, with projects coming in cities across the country, including smaller markets like Tucson, Omaha and Boise.

Leverage for owners

Andrew Moger, president and CEO of Branded Concept Development, agreed about the massive number of new food halls coming online in the next few years, and said the opportunity for franchises is particularly urgent for emerging concepts that would be natural fits for such an environment.

He said the operations and marketing will require flexibility from franchisors to fit into a food hall environment, but added the drive to fill so many bays at so many new food halls will give owners leverage in negotiations. “These food halls need to fill their stalls, so I would be very aggressive,” he said.

Outside of city centers, Moger expects to see developers adding food halls as amenities for residential buildings as well, including some suburban locations, especially with so many big-box retailers closing their doors leaving developers and mall owners in the lurch.

The lines between food court and food hall are admittedly esoteric, but it’s not a stretch to picture a food hall filled with a diversity of franchised brands and populated by the same crowd of hipsters, business people and sophistos.

Painting by the numbers, imagine walking in the door of a repurposed old building with the same mix of delightful signage, interesting lighting and flexible seating. Rather than exclusively local brands, instead, picture a roster that includes Nature’s Table, Slapfish, Burger 21, Salata, Hissho Sushi, PizzaRev, R Taco, The Halal Guys, Slim Chickens and World of Beer for a taste of the local brewery scene.

It’s just a fantasy, but I can picture it. How about you?

Tom Kaiser is associate editor at Franchise Times, and writes this column about urban tales in franchising in each issue. See full article here

Elementor #1396

For many professionals, the dream of escaping the corporate grind and becoming their own Boss For Life feels out of reach. The fear of leaving behind a stable paycheck, navigating the complexities of business ownership, and taking on the risks of a startup often keeps people stuck in jobs that no longer serve them. However, franchising offers a smarter, safer, and more structured path to entrepreneurship. For those looking to transition from employee to entrepreneur, franchising is the ultimate exit strategy.

The Employee Trap: Why Professionals Seek an Exit

Corporate careers can provide stability, but the costs can take their toll. Long hours, limited control over income and workplace environment, politics, the constant risk of layoffs, and the growing reality of ageism leave many professionals feeling unfulfilled. Even high-paying roles can feel like golden handcuffs—providing financial comfort but limiting personal freedom.

Many employees dream of entrepreneurship but hesitate due to concerns about financial risk, lack of business experience, and the fear of failure… frankly, due to ignorance. Starting a business from scratch is daunting, requiring extensive planning, brand-building, and trial and error. This is where franchising bridges the gap, offering a proven model that reduces uncertainty.

Why Franchising Is the Smartest Path to Entrepreneurship

Franchising provides a structured way to build a business with unfair advantages and built-in controls that traditional startups lack. Here’s why it’s an ideal transition for professionals ready to break free from corporate life:

1. A Proven Business Model

Starting a business independently means creating everything from scratch—branding, marketing, operations, and customer acquisition, resulting in untimely lessons and unplanned costs, whereas franchising eliminates the guesswork. Franchise owners gain access to a tested, successful system with established processes, economies of scale, and built-in mentoring and advisory structures, which reduce the risk of failure. Instead of reinventing the wheel, they follow a blueprint for success that has been refined over time.

2. Brand Recognition and Market Trust

Building a reputation and customer base from the ground up takes years. Franchisees benefit from brand recognition and instant marketing benchmarks, allowing you to leverage the trust and credibility of a well-known revenue generator. This means quicker customer acquisition, easier marketing efforts, and an established competitive edge in the marketplace.

3. Comprehensive Training and Support

One of the biggest fears for aspiring entrepreneurs is a lack of business experience. Franchisors offer extensive training programs, operational guidance, and continuing support, making it possible for people without industry-specific knowledge to succeed. Whether it’s marketing, hiring, or day-to-day operations, franchise owners have a support system to guide them every step of the way.

4. Easier Access to Financing

Traditional startups often struggle to secure funding, but franchises have a higher success rate, making them more attractive to lenders. Many franchisors have relationships with banks and lending institutions, making it easier for franchisees to obtain loans or financing. The U.S. Small Business Administration (SBA) also offers loan programs specifically for franchises, reducing financial barriers to entry.

5. Faster Path to Profitability

Because franchises have established business models and known marketing results, they often achieve profitability much faster than independent startups. A well-run franchise can generate revenue from day one, whereas startups typically take years to become profitable.

6. Flexibility and Work-Life Balance

Owning a business doesn’t have to mean sacrificing personal freedom. Many franchise models offer manager-run operations, meaning franchisees can hire managers to run day-to-day operations while they focus on strategic growth. This flexibility allows professionals to transition gradually or even maintain their current job while building their business.

7. Scalability and Wealth Building

For those with ambitious financial goals, franchising offers scalability through multi-unit ownership. Instead of running a single location, franchisees can expand by opening multiple units, exponentially increasing their revenue potential. This allows former employees to build real wealth, creating financial security and independence that traditional jobs rarely provide.

Is Franchising Right for You? Key Considerations

While franchising offers a strategic path to business ownership, it’s essential to evaluate whether it aligns with your goals and strengths. Ask yourself:

Am I immortal, or do I have a limited timeline?

Do I want to make all the mistakes myself, or do I want to steal the knowledge of others who have dealt with all the kinks before I got there?

Do I want to follow a proven system, or do I prefer to create something from scratch?

Am I thrilled by the idea of enduring unplanned expenses, or would I rather build out and execute a growth plan that others like me have already traversed?

Do I have the personality for leadership and management to run a business of my own?

Am I financially prepared to spend some money in order to make a lot more?

Based on your answers, franchising could be the perfect transition from a corporate grind to a successful entrepreneur.

Making the Leap: Your Next Steps

If you’re ready to take control of your future, franchising offers a lower-risk, high-reward path to business ownership. The first step is to research industries and franchise brands that align with your interests, financial situation, and lifestyle goals.

Working with The Franchise Guy can significantly streamline the process, ensuring you find the right opportunity that matches your skills and investment level. The best time to start is now—every day spent in a job that doesn’t fulfill you is another day delaying your financial independence and personal freedom.

Conclusion: Take Control of Your Time, Money, Relationships, and Purpose

Leaving a corporate job to be your own boss is a bold move, but franchising makes the transition safer, faster, and more structured. With brand support, proven success strategies, and built-in customer acquisition plans, franchises allow professionals to break free from the limitations of employment and step confidently into entrepreneurship.

If you’re serious about making the leap from employee to entrepreneur, franchising is the smartest exit strategy. The only question remaining is: Are you ready to learn more?

If so, click HERE to schedule a short call with Matt Stevens, The Franchise Guy.

Why Smart Investors Are Turning to Franchise Ownership in 2025

In an era where economic uncertainty, corporate layoffs, and evolving consumer behaviors are reshaping the business landscape, smart investors are searching for stable, high-growth opportunities. One sector that continues to stand out is franchising. Once seen as a niche for first-time entrepreneurs, franchising has now become a strategic move for investors looking for sustainable, scalable, and recession-resistant business models. In 2025, franchise ownership is more attractive than ever, and here’s why more investors are making the shift.

The Appeal of Franchise Ownership for Investors

Investors are drawn to franchise ownership because it offers a proven business model, strong brand support, known historical results, and reduced risk compared to independent startups. While traditional investments like real estate, stocks, and startups come with volatility and unpredictability, franchises offer a more structured and predictable path to profitability. Let’s break down the key reasons why franchises are becoming a go-to investment in 2025.

1. Proven Business Models Reduce Risk

One of the biggest challenges of starting a business from scratch is figuring out what works. Franchise systems eliminate this guesswork by offering investors a well-documented, replicable business model. Established franchises have already tested and optimized their operations, marketing strategies, and customer acquisition processes, providing a roadmap for success. This significantly reduces the risk of failure and makes franchises an appealing choice for investors who value stability.

2. Recession-Resistant and Essential Service Franchises

Economic downturns often force businesses to shut down, but certain franchise industries have proven to be recession-resistant. Sectors like senior care, home services, cleaning, fast-casual dining, and health and wellness continue to thrive regardless of market conditions. Investors in 2025 are focusing on these industries because they provide essential services that remain in demand even during economic instability.

For example, senior care franchises have experienced steady growth due to the aging population, while home service franchises, including HVAC, plumbing, and restoration, are always needed. Health and Wellness was always strong but has boomed since COVID. These types of businesses ensure that investors can maintain cash flow and profitability even in uncertain times.

3. Scalability and Multi-Unit Ownership

Many investors are not just looking to own a single business; they want to build an empire. Franchising allows for multi-unit ownership, where investors can open multiple locations of the same brand to maximize revenue and market share. Unlike starting multiple independent businesses, franchise multi-unit ownership benefits from shared resources, streamlined operations, and brand recognition.

The scalability of franchises makes them particularly attractive to investors who are accustomed to managing portfolios and optimizing performance across multiple assets. In 2025, more investors are leveraging franchise opportunities to expand their wealth through structured, repeatable growth strategies.

4. Franchise Financing and Investment Incentives

Financing options for franchises are often more favorable than those available for independent startups. Many franchisors have established relationships with lenders who specialize in franchise funding, making it easier for investors to secure capital. Additionally, the U.S. Small Business Administration (SBA) offers loans specifically for franchise businesses, further reducing financial barriers to entry.

In 2025, some franchisors are offering financial incentives and additional training support for investors who open multiple units. These incentives make it even more appealing for serious investors to commit to franchise ownership.

5. Brand Recognition and Built-In Customer Base

Building a brand from scratch requires years of marketing and customer acquisition efforts. Franchises, on the other hand, will sometimes offer instant brand recognition and a built-in customer base. Well-established franchises come with national advertising campaigns, digital marketing support, and loyal customers who already trust the brand.

Investors who value efficiency and quick returns see this as a significant advantage. Instead of spending years making unpredictable mistakes and learning through untimely expenditures, they can start generating revenue and predictability much sooner by leveraging the systems and support of an experienced franchisor.

6. Support, Training, and Industry Expertise

One of the biggest advantages of investing in a franchise is the ongoing support and training provided by the franchisor. Many investors are not industry experts in the businesses they invest in, but franchising allows them to operate successfully without needing deep subject-matter expertise.

Franchisors provide comprehensive training programs, operational support, and marketing assistance, allowing investors to focus on scaling and profitability rather than day-to-day management. This level of support makes franchise ownership particularly appealing for investors who want a hands-off approach while still generating strong returns.

7. Technology and Innovation Driving Franchise Growth

The integration of technology in franchise systems has made them even more attractive to investors. Many franchise brands are leveraging AI, automation, and data analytics to improve efficiency, reduce costs, and enhance customer experiences. From AI-powered customer service to automated marketing campaigns, technology is making it easier than ever to manage and scale a franchise business.

Additionally, digital ordering, delivery systems, and subscription-based business models are increasing revenue streams for franchise owners. Investors in 2025 recognize that franchises embracing technology are positioned for long-term success and profitability.

8. Diverse Investment Opportunities Across Industries

Franchising is no longer focused on just fast food and retail. Investors now have opportunities across a wide range of industries, including education, fitness, healthcare, automotive, and personal and professional services. This diversity allows investors to align their portfolio with their interests, expertise, and risk tolerance.

For instance, some investors prefer manager-run opportunities through executive franchise models, while others prefer hands-on involvement in industries they are passionate about. This flexibility is a key reason why franchise ownership continues to attract a broad range of investors.

A Smart Investment for 2025 and Beyond

As economic landscapes shift and traditional investment avenues become increasingly unpredictable, franchise ownership stands out as a stable and lucrative opportunity. Investors are recognizing that franchising offers a balance of risk mitigation, scalability, brand support, and operational efficiency that few other business models can match.

With recession-resistant industries, financing incentives, multi-unit scalability, and technological advancements driving franchise growth, it’s no surprise that more investors are turning to franchising in 2025. Whether you’re a seasoned investor looking to diversify your portfolio or someone seeking a more structured path to business ownership, franchising offers a compelling investment strategy for the future.

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