There are currently more than 600,000 franchised small business owners in the United States with more than eight million employees. Franchises

are popular because their success rate is far greater than an independent start-up business, but the purchase of a franchise is not a guarantee of economic prosperity.  According to the SBA, “A franchise is a legal and commercial relationship between the owner of a trademark, service mark, trade name or advertising symbol and an individual or group seeking the right to use that identification in a business…In its simplest form, a franchiser owns the right to a name or trademark and sells that right to a franchisee...”

Almost any product and/or service can be delivered through franchisers -- small business entrepreneurs who through proper planning, training, established operations and hard work can operate a successful franchise. Franchising is a not a “get rich quick” scheme, but rather a prepared blueprint with a built in support system for a person to operate a small business and achieve an element of economic independence.

Generally, a franchisee sells goods or services that are supplied by the franchiser or that meet the franchiser's quality standards. As in any new business venture research and planning before you make any decisions are key.  Research, research, research - find out as much as you can about the business, the product, the financing, the contract and your responsibilities as the franchisee.  The most successful franchise owners are those that are not surprised about the operations, financing and requirements of their franchise.

Business format franchises often provide a full range of services to the franchise entrepreneur, including

• Site selection.
• Training.
• Product supply.
• Marketing plans.
• Financing.

The selection of the franchise that best matches your personal interests and future plans is the most important decision a small business entrepreneur can make.

Franchise Ratings:

The Franchise 500 - The initial “Franchise 500® “ rankings in 1980 was the first ranking of franchises in the industry. Though they've since noticed a smattering of imitators, Entrepreneur's Magazine “Franchise 500®” is still the best and most comprehensive rating of franchises in the country. Over the years, the publishers have polished and perfected a ranking procedure, using a formula that accurately identifies today's top franchise opportunities.

Only franchise companies that submit full Uniform Franchise Offering Circulars (UFOCs) or Canadian disclosure documents and whose information is verified by Entrepreneur Magazine are considered for the Franchise 500® rankings. A franchise company must also have a minimum of 10 units with at least one being a U.S.-based franchise, it must be seeking new franchisees in the U.S., and it cannot be in Chapter 11 at the time the rankings were compiled. (An exception to this rule is Canadian-based companies that are only expanding in Canada.)

Top 10 Franchises Rankings for 2007

• Subway
• Dunkin' Donuts
• Jackson Hewitt Tax Service
• 7-Eleven Inc.
• UPS Store, The/Mail Boxes Etc.
• Domino's Pizza LLC
• Jiffy Lube Int'l. Inc.
• Sonic Drive In Restaurants
• McDonald's
• Papa John's Int'l. Inc.

Additional rankings can be found at: http://www.entrepreneur.com/franchises/franchise500/about.html