How Low Cost Franchises Disrupt Popular Business Industries

Low cost franchises make business ownership possible for tens of thousands of entrepreneurs with restrictive budgets. These types of franchises are typically found within certain types of industries. Of course, you would not be able to start a specialized computer services franchise that was budget-friendly. If you own a business within these industries, this could have huge implications on future possibilities for business growth and success. That is what happened to Millennial Media, after all. Find out which industries these low cost franchise businesses are prevalent in below.

Home Care

The home care field is inundated with low-cost franchises. Some senior care franchises have franchise fee costs of under $40,000. That is one of the cheapest franchises available across all franchise industries. If you own a senior home care business, your potential for business expansion will be limited. At-home care franchises may flood your local market. This is certainly something you want to consier before entering into new territories or otherwise expanding your business.

Travel Agents

The travel agency industry has many low cost franchise opportunities available for entrepreneurs on a budget. That, of course, should be worrisome for existing travel agency businesses. Fewer people use a travel agent to book vacations. Discount travel websites and travel planning websites have taken over the internet. For those travel agency business owners, it is important to recognize the advantages you provide travelers over the franchise competition. The prevalence of travel agency franchises is concerning, but can be dealt with if you own a travel agency.


Housekeeping franchises are abundant. Business owners in the housekeeping and home services industry should be concerned. Cleaning franchise opportunities may be a viable opportunity for entrepreneurs with limited skills and limited cash. It is very possible that your market could be flooded in just a few years’ time. If you own a home cleaning business, or even a commercial cleaning business, you need to be prepared for this possibility. You should also be prepared for the legislation changes that a flooded market may bring. Find ways to provide niche services that big franchise competitors cannot match. This way, all the low-cost cleaning franchises will not hurt your bottom line.

Sports & Fitness

The sports and fitness industries have a vast number of cheap franchises present within them. This is not good news for business owners in the sports industry or the health and fitness industry. There are so many sports franchises and exercise franchises that cost almost nothing for startup. It will make it harder to to succeed when you have a ton of competition. Differentiate your fitness business now and start building up a client base. That way, you can avoid the issues that will come from a flooded fitness market.

Pet Care Services

People love their pets. But still, the predominance of cheap pet care franchises is sure to be concerning for other pet services businesses. Dog walking franchises, pet grooming franchises and more have made it easy for all animal-loving entrepreneurs to become business owners in a field they care about. That spells bad news for you if you do not already have a considerable client base. However, this is also one industry where plentiful cheap franchises could be a good thing. It affords you more opportunities to form partnerships with other businesses in the pet care industry. Still, this is something to watch for in the coming years.

If you are a business owner, the pervasiveness of cheap franchises with pre-conceived operating agreements could be quite concerning. The more low cost franchise opportunities there are, the more business competition your company will be up against. This could prove problematic when it comes to your business’s bottom line. You need to be aware of the business risks present within your industry. The only way to do that is to be aware of whether or not a large amount of affordable franchises are present within your sector. Use this post to help you figure that out. This way, you can address the potential issues that arise from a market flooded with low cost franchises.

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