How Profitable Is Franchising?


Our CEO, Eric Stites, was recently featured in's Entrepreneurship section discussing the financial side of owning a franchise business. Among other things, Eric noted that it's important not to confuse "income" and "profit," as the two can be quite different in the end.

Here's an excerpt:

"In many cases, a franchisee’s personal income is significantly lower than the profits that their business might generate. This is due to a variety of things including loan payments, required business reinvestment, and taxes; all of which get paid out business profits before a franchise owner can 'pay themselves.'

Having a good understanding of how cash flows through a business is critical before investing in any franchise."

See the full article on, and be sure to check out this year's top franchise opportunities based on franchisee satisfaction.

Michael Kupfer

Michael is the Online Marketing Manager at FBR, specializing in search and email marketing, while also helping to create much of FBR's webinar programs and content. When not at the office, Michael spends his time running, hiking the White Mountains with his wife, watching baseball, and serving as a volunteer tutor at the Dover Adult Learning Center.