The Franchise 500 is an annual ranking of the top 500 franchising companies in the U.S. and Canada, compiled by Entrepreneur magazine through a submission and review process.[1] The ranking is based on an evaluation of each company's costs and fees, size and growth, franchisee support, brand strength, and financial strength and stability.[2] The list includes both public and privately held companies, and has been published annually since 1980.[3][4]
Qualifications
To be listed in the Franchise 500 issue, franchise companies must complete an online questionnaire, provide their franchise disclosure document, submit a list of all open and operating units, and include their most recent audited financials. To be ranked, a company must have a minimum of 10 units, with at least one located in the United States, and must be actively seeking new franchisees in the U.S. Additionally, the company cannot be in Chapter 11 bankruptcy.[5] It is free to participate in the Franchise 500,[6] and Entrepreneur receives over 1000 applications annually.[7]
All qualifying applicants are evaluated and scored based on a formula that incorporates more than 150 data points. These areas include cost and fees, size and growth, franchisee support, brand strength, and financial strength and stability. Applicants with the highest cumulative scores will become the Franchise 500.
Besides the broad Franchise 500 ranking, Entrepreneur uses the submitted data to create lists for specialized categories, including "Fastest-Growing Franchises," "Best of the Best," and "Top New & Emerging Franchises."[8]
Rankings
- Franchise 500 – overall ranking of the most successful franchise companies of the year.[10]
Additional Rankings
- Top Franchises for Veterans – franchises offering startup incentives for veterans
- Fastest-Growing Franchises – franchises with the greatest unit growth in the U.S. and Canada
- Fastest-Growing International Franchises – franchises with the greatest unit growth outside the U.S. and Canada
- Top New & Emerging Franchises – franchises that have been franchising for five years or less
- Top Global Franchises – franchises seeking to expand outside the U.S.
- Top Franchises for Less Than $50k – franchises that can be started for less than US$50,000
- Top Franchises for Less Than $100k – franchises that can be started for less than US$100,000
2025 list
In 2025, the ten companies that ranked at the top of the 500 were:[11]
See also
References
- Franchise 500 Ranking Entrepreneur, retrieved 2022-01-17^
- Understanding the Ranking Entrepreneur, retrieved 2021-01-17^
- About the Franchise 500® Entrepreneur, 2013^