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Franchise businesses play a critical role in the U.S. economy, from entrepreneurs who create new businesses, to franchise owners who go into business for themselves but not by themselves, to thousands of individuals who find their first job in a franchise business and go on to lifelong careers in franchising.  In addition, thousands of firms provide products and services that franchise owners need to operate their businesses and serve their customers.  

In total, franchise businesses account for 5.3% of private sector GDP and more than 8% of private sector jobs.

Quick Facts

  • 732,000 establishments
  • 7.6 million jobs (direct)
  • 13.2 million jobs (because of franchising
  • $674.3 billion economic output (direct)
  • $1.64 trillion economic output (because of franchising)
  • $404.6 billion GDP (direct)
  • $925.9 billion GDP (because of franchising)
  • One of out every 12 Americans in the private sector works in a franchise business or has a job because of franchising.
  • One nickel out of every dollar of economic output in the private sector is because of franchising.

For more information about the economic impact of franchise businesses in the U.S. economy, visit franchiseeconomy and @ourfranchise.

Research Resources & Studies

Research Awards

Arthur Karp Research Award

The IFA Franchise Education & Research Foundation announces the continuation of the Arthur Karp Research Award. The award is given for the best 
research paper on a subject of relevance and practical usefulness to the franchising community. 


Learn More