Spotlight on Franchising Survey 2025: Insights to help you make smarter franchise investments

Practical insights for entrepreneurs considering investing in a franchise.

Franchise confidence remains high

Despite current economic uncertainty, confidence in the franchise model remains strong. Over half of respondents (54%) said they were willing to invest between £20,000 and £100,000 – similar to last year – while 3% reported budgets of over £1 million, showing consistency among high-net-worth individuals. This stability suggests that the franchise model offers reassurance to investors, even in an unpredictable economic climate.

Crucially, respondents continue to see franchising as a smarter route to entrepreneurial success, with an average agreement score of 4 out of 5 for the statement: “The franchise model is the most effective way into business ownership.” This comes as no surprise, considering the advantages of operating under an established brand with a proven business model and built-in support.

Support, trust and brand strength are top priorities

When researching their investment options, respondents identified the components they find most attractive in a franchise business:

• Ongoing training and support (57%)
• A franchisor’s commitment to helping them succeed (54%)
• Strong brand identity (49%)
• Effective marketing strategy (46%)

Whatever your motivation, investing in a franchise can provide the structure and guidance needed to launch with confidence, while plugging any skills gaps that prevent you from going it alone.

Strong relationships are key to franchise success

One of the most critical aspects of a successful franchise business is the relationship between the franchisor and franchisee. Unlike a typical business transaction, franchising is a long-term partnership built on mutual trust, shared goals, and ongoing collaboration.

Prospective investors are acutely aware of this, with the statement “A healthy relationship with the franchisor is extremely important to me” receiving an average score of 5 out of 5 – up from 4 out of 5 last year.

A strong partnership provides the support, guidance, and consistency needed to grow a sustainable business, while allowing franchisees to bring their own drive and local insights to create long-term success.

Finding the right brand remains the biggest challenge

51% of respondents said the thing holding them back from investing in a franchise was simply identifying the right opportunity. With over 1,000 franchise systems currently operational in the UK* across a broad range of sectors, there is an option to suit all budgets, interests and ambitions but pinpointing the right one can be a challenge. Clearly defining your priorities before starting your search can help you streamline your options. 

34% of investors highlighted territory availability as an obstacle. As the UK franchise industry matures, the number of greenfield sites available for established networks does decrease. However, it opens up the possibility of a franchise resale, allowing investors to step into an established business with an existing customer base, trained staff, and immediate cash flow.

The state of the economy (33%) and access to funding (27%) were also highlighted as potential barriers to investment. Many franchisors maintain strong relationships with funding providers and offer valuable support with business planning, lease negotiations, and supplier contracts to help ease these challenges.

Older, wiser – and ready to invest

The largest age group represented in this year’s survey were respondents aged 45-54, making up 31% of the total. There was also a significant rise in retired individuals exploring franchising, jumping from 1% last year to 7%.

Franchising is increasingly seen as a reduced-risk way to fulfil ambitions of business ownership and remain financially secure later in life. Regardless of your age, it offers a flexible route to running a business with great control over work/life balance and without the pressures of starting from scratch.

Face-to-face interactions – the path to franchise success

While 66% of respondents said general research – such as reading websites or industry publications – was important to them, 62% also want to meet franchisors face-to-face before committing. 58% said speaking with existing franchisees was key to their decision-making process.

Events like The Franchise Exhibitions play a vital role in helping prospective franchisees gather insights, get answers and make more confident investment decisions. This free exhibition delivers invaluable resources, expert guidance and the chance to connect with a network of like-minded individuals ready to support your journey.

Ready to find the right franchise?

It can be challenging to start your search for the right franchise brand. BusinessesForSale.com works with over 700 franchises across various UK regions. Whether you’re looking for guaranteed ROI, a specific lifestyle, or you’re just exploring your options, you can find a franchise on BusinessesForSale.com.

*Data from The British Franchise Journal 2024