Franchising as a Pathway to Business Ownership
Franchising is one of several pathways into business ownership, offering a unique blend of independence and support. By investing in a franchise, you gain access to a proven business model, established brand recognition, and ongoing guidance from the franchisor—advantages that can significantly reduce the risks often associated with starting a business from scratch.
For those unfamiliar with the regulatory landscape in the UK, it’s important to note that franchising is largely self-regulated. There is no government body that officially oversees franchise systems. Instead, businesses are free to expand through franchising at their own discretion, often relying on the support of self-regulatory organisations to maintain standards and protect both franchisors and franchisees. One of the most prominent of these organisations is the British Franchise Association (BFA), which plays a vital role in promoting best practices within the sector.
The BFA is particularly well-known for its research and data-driven insights, providing valuable information about industry trends, market growth, and franchise performance. This research not only helps prospective franchisees make informed decisions but also strengthens the credibility and professionalism of the UK franchising sector as a whole.
Industry Research Carried Out By the British Franchise Association
There are two prominent, recent surveys into the franchising sector by the BFA. The most recent studies are:
- The 2018 BFA NatWest Survey
- The 2024 BFA NIC Franchise Journal
Both studies explore the franchising sector and establish trends in the growth of the franchising sector over time. In this article I explore the two studies and highlight areas of importance that suggest why now is a great time to get into franchising.
Franchising is growing, with 14% more franchised units in the past 10 years
Earlier studies by the British Franchise Association (BFA) highlighted steady growth in UK franchising. In 2015, there were 44,200 franchise units trading across the country, rising to 48,600 units by 2018—a 10% increase. These figures represent individual businesses operating within franchise networks. Over the past six years, growth has continued, with 50,421 franchised units recorded in the 2024 study, marking a further 4% rise.
With a 14% increase in the number of franchisees, this sustained expansion not only demonstrates the resilience of the sector but also underscores the confidence placed in franchising as a route to self-employment.
It’s therefore no suprise franchising now contributes £19.1bn to the UK economy
The rapid growth of franchising since 2015 has been mirrored by its increasing economic impact. According to the BFA NatWest 2018 study, the sector was worth £17.1bn, and the most recent 2024 figures reveal that franchising now contributes £19.1bn to the UK economy—a substantial increase in just six years.
This rise reflects not only the growth in the number of franchise units but also the sector’s resilience and ability to generate revenue across a wide range of industries, from food and retail to professional services. The data underscores franchising’s role as a significant driver of economic activity, creating jobs, supporting entrepreneurship, and providing a reliable pathway to self-employment.
Although the development of new franchise systems appears to have somewhat tapered compared to previous years, demand for actual business services has not stalled. The growth of the economic contribution supports this. Therefore despite the current economic climate, franchising is still a viable choice as the demand in the market is still there for businesses.
There is now greater choice when finding a franchise than ever before
The BFA’s research carefully tracks only active franchise brands, ensuring that figures reflect businesses currently trading. Franchises that have ceased operations are promptly removed from the data, giving a clear and accurate picture of the sector. According to the latest industry research, the number of franchise brands in the UK has grown from 935 in 2018 to 1,009 in 2024—a notable increase that reflects the expanding opportunities available to aspiring franchisees.
With more businesses entering the market, from innovative start-ups to established master franchises expanding into the UK, there is now an unprecedented range of options for those looking to invest in a franchise. This diversity allows potential franchisees to find models that align with their skills, interests, and investment levels, while also supporting the continued growth and dynamism of the UK franchising sector.
Is now a good time to invest in a franchise?
Only you can answer that—but the 2024 survey shows that there is now more choice than ever when it comes to finding the right franchise for you. The number of active franchise brands in the UK has grown from 935 in 2018 to 1,009 in 2024, while sectors like catering have seen especially strong growth—up 34% since 2018. This means aspiring franchisees have a wider range of opportunities than ever before, across diverse industries and investment levels.
As the franchising sector continues to thrive, it’s worth reflecting on your readiness. Ask yourself: Do I have the time, resources, and commitment to run a successful franchise? With the right preparation and research, now could be an ideal moment to take the step into business ownership, supported by a proven model and a sector that continues to grow in both scale and economic impact.
Take a look around the Franchise Express website to explore franchised businesses looking to grow. Browse UK franchises for sale on our directory and then compare the best franchise options for you.
Reasons To Consider Investing in a Franchise UK
If you’re looking to get into entrepreneurship, you can obviously go down the route of setting up yourself. You have full control over the brand and its direction. All franchises started off as an idea at one point. Maybe your business idea could be one of the next successful franchise brands?
But franchising does have serious advantages over starting up a business from scratch. These include:
| Running a business that is designed to work | Becoming a franchise owner through investing in a franchise provides you with the brand. You own the business while using the franchisor’s methods and branding. Following the “operations manual”, you are given the seeds to running a successful business, but it is ultimately your nurturing and efforts that will make it grow. Franchise systems are designed to be scaled with minimal variation, designed in a way that they can be successfully replicated delivering consistent products and services. |
| Guidance, support and training is provided | Franchising is entrepreneurship, not employment. You’re in business for yourself, but you will receive training and support from the franchisor. This is a serious advantage that shouldn’t be overlooked. The guidance will help you overcome obstacles that would present serious challenges if you had gone it alone. |
| Everything you need, provided | When you invest in a franchise, you typically get all of the “tools of the trade” to run the business, or at least get it started. Most franchise listings on Franchise Express will detail exactly what you get for your investment. Usually this will include basics such as initial equipment/stock, to more essential gear like van livery and a website presence. Some franchises may use royalty fees to generate additional business on your behalf. |
| Existing trust and pre-existing reputation | Becoming a franchise owner provides you with an already-existent brand. The brand has already been established and has a presence in the world. As more franchisees join the network, the brand resonates more and customers associate the brand positively. This drives more reach and builds confidence with customers. |
Read more about the British Franchise Association studies into the franchising sector
All data and figures quoted in this article are derived from the British Franchise Association’s industry research. While every effort has been made to ensure facts are correct, the accuracy, completeness, and timeliness of the information cannot be guaranteed. The views and interpretations expressed in this article are those of the author and do not necessarily reflect the views of the British Franchise Association. This article is for informational purposes only and should not be taken as professional, financial, or legal advice. Franchise Express recognises the hard work of the British Franchise Association, and associated companies and organisations which assisted with, supported or took part in the studies mentioned in this article. Article statistics are based on the public research findings / highlights and do not compromise the paid journal available through the BFA website.