---
title: "Growth Straight Ahead"
url: https://burnaze.com/article/0e11e6d9-79b9-4a3a-899f-e7dd4f6c5284
source: "Franchising.com"
original_url: https://www.franchising.com/articles/growth_straight_ahead.html
author: "Kerry Pipes"
category: "Franchise Industry"
industry: "Franchise Industry"
topics: ["Emerging brands"]
published: 2020-02-20T09:00:00.000Z
modified: 2026-11-01T04:09:08.782Z
image: https://imgs.franchising.com/art/articles/5133_plate.jpg
---

# Growth Straight Ahead

**TL;DR:** A new report by FRANdata forecasts robust growth in the franchise industry, with an increase in franchise establishments, employment, and output in 2020. The report expects the number of franchise establishments to increase by 1.5% to 785,316 and franchise employment to increase by 2.8% to 8.67 million.

*By Kerry Pipes, originally published in Franchising.com on 2020-02-20. [Read the original](https://www.franchising.com/articles/growth_straight_ahead.html).*

## Story

The franchise industry should continue to experience smooth economic sailing ahead, according to a new report out by franchise research and advisory company FRANdata. The study found the number of franchise establishments is expected to increase by 1.5% to 785,316.

Franchise employment is forecast to increase by 2.8% to 8.67 million, adding a total of 232 thousand jobs.

Franchise output in nominal dollars is projected to improve by 4.1% to $819.57 billion in 2020.

“We forecast that most franchise businesses will sustain robust growth in 2020, especially in the personal services, quick service, and full-service restaurant segments,” says Darrell Johnson, CEO of FRANdata. “Franchising will continue to play a major role as a driver for growth in our economy.” Franchise businesses influence state economies by creating jobs, increasing output, and contributing to GDP growth.

The report says the following states will see the most franchise establishments and employment growth in 2020: Texas, Colorado, Arkansas, Florida, Idaho, Tennessee, Georgia, North Carolina, South Carolina, and Nevada. Overall, franchise business development will continue to increase in the South and West due to growing populations, state-level economic policies, and favorable business tax climates. To study the impact of franchising to the economy, FRANdata examined macroeconomic trends and the historical performance of all franchise brands operating in the United States over a ten-year period and across all major industries.

For state level franchising activity, FRANdata analysts calculated each state’s franchise establishments, employment, and output for a 3-year and estimated each state’s contributions to the franchise industry for 2019 and forecasted for 2020.

## Entities

- Franchising.com (publication)
- Franchise Industry (sector)
- Kerry Pipes (person)
- FRANdata (company)
- industry growth (topic)
- Darrell Johnson (person)
- franchise establishments (topic)
- employment forecast (topic)
- output projection (topic)

---
Originally reported by Kerry Pipes, Franchising.com (https://www.franchising.com/articles/growth_straight_ahead.html). Summarized by Burnaze (https://burnaze.com/article/0e11e6d9-79b9-4a3a-899f-e7dd4f6c5284).