Franchise Resources

Your source for franchising insights

Franchises for Small Towns

Did you ever think that certain types of franchises are best for people that live in small towns? Most people think that unless a franchise is very, very specific and needs a huge customer base to have enough customers, that all franchises work as well in a small town as large. Not so, my friend.

First, what do I mean by a “small” town? It’s a relative term, of course, but I’m not talking about a city with an NFL franchise and a convention center, nor do I mean a suburb that’s really part of the metropolitan area. A small town would rarely call itself a city or a suburb.

A small town has one high school. It’s a place where a long-time resident knows most everybody, where local news travels fast. It’s not a place where you’re likely to be successful at being anonymous, and that is exactly why some franchises work very well there.

A place where local news travels fast and everyone knows everyone else is a place where a good reputation and word of mouth is golden for a good business. If you’re good, you want everyone to know it. There is no better way to build a business than by referral and in a friendly small town, referrals come more easily.

Also, the special advantage you have with the proven formula for success that normally comes with a franchise should lead to a good reputation without the need for doing a lot of ad spending like you would in a city. You will be off to a faster start (read: more quickly profitable) because good news travels faster in a small town.

This is especially true for a service franchise. Retail businesses face a couple hurdles in small towns. First, there can sometimes be a situation in which people root for the local store over the well-known brand. Second, a retail store, while it has lower rent than in a city, still has a sizable overhead in combination with a smaller market. That can be tough.

A service business does not typically face either challenge the retail store does. In a service business you have much lower overhead and it takes fewer customers to be very profitable. Your service franchise brand, if it is recognizable, may give you greater credibility and faster acceptance.

More specifically, which franchises would work best in your small town? That’s where a franchise consultant comes in. They have a wide range of franchises to choose from and their experience can be very useful in helping you choose wisely.

About the author

Rob Bennett

Rob had served in the corporate-world for 18 years filling various technical capacities, from structural design to project engineer. His experience lends to FranFinders strategic planning, systems design and optimization.

Why not you?

Start Creating Wealth through Multiple Revenue Streams and Leave a Financial Legacy.