---
title: "Franchising Remains Safe Model, As Independent Small Businesses Lose Optimism"
url: https://burnaze.com/article/55fd2331-ca65-43ea-918f-b2ced784ce6f
source: "1851 Franchise"
original_url: https://1851franchise.com/franchising-remains-safe-model-as-independent-small-businesses-lose-optimism-2720345
category: "Franchise Industry"
industry: "Franchise Industry"
published: 2022-11-11T20:15:00.000Z
modified: 2026-11-01T01:11:43.861Z
image: https://newimage.1851franchise.com/cdn-cgi/image/quality=85,format=webp,width=1280,height=720/story/featureImage/8145c1b78af830e75361a8d0baf68be86756.jpg
---

# Franchising Remains Safe Model, As Independent Small Businesses Lose Optimism

**TL;DR:** Franchising remains a safe model as independent small businesses lose optimism and face challenges in hiring and sales predictions. Joining a franchise brand can provide a network of built-in support, resources, and systems, making it a more attractive option during economic downturns.

*originally published in 1851 Franchise on 2022-11-11. [Read the original](https://1851franchise.com/franchising-remains-safe-model-as-independent-small-businesses-lose-optimism-2720345).*

## Story

New data from the National Federation of Independent Business (NFIB) shows that independent small business owners are seeing more difficulties and becoming less optimistic about the state of the industry. Optimism is down, sales predictions are down and nearly half of all small business owners report issues with hiring.

Joining a franchise brand is a great solution to avoid some of the problems mentioned by Dunkelberg.

History has shown that many entrepreneurs turn to franchising as a safer model when times get rough economically. It’s something that allows them to still own a business but to have a network of built-in support, resources and systems — all huge benefits to have during times of recession and inflation.

The hiring tools that a franchisor can offer an owner make a monumental difference in their employment efforts. With low payroll increases and wage gains have been slowly climbing up, so the hiring climate has not been favorable for companies, but franchises have the advantage of advanced recruiting processes and often offer attractive employee benefits.

And while inflation affects all players in the economy, its impact will be felt most harshly on small businesses, which don’t have much influence in the supply chain and will likely have to pass on price hikes to the customers, which can affect sales. With a large franchise system, there is much more of a safety net to inflation’s effects because the brand has many units, larger-scale contracts and more buying power.

“From receiving supply chain help from their brand to sharing best practices with fellow franchisees, franchise owners are navigating cost hikes through the supports in their franchise system,” explained Michael Layman, the International Franchise Association’s senior vice president of government relations and public affairs, in a press release.

For those reasons, franchising typically fares well during hard financial times, with interest spiking as more and more entrepreneurs realize the benefits of being part of a system.

## Entities

- 1851 Franchise (publication)
- Franchise Industry (sector)
- franchising benefits (topic)
- inflation impact (topic)
- economic downturn (topic)
- small business challenges (topic)
- National Federation of Independent Business (regulator)
- hiring difficulties (topic)

---
Originally reported by 1851 Franchise (https://1851franchise.com/franchising-remains-safe-model-as-independent-small-businesses-lose-optimism-2720345). Summarized by Burnaze (https://burnaze.com/article/55fd2331-ca65-43ea-918f-b2ced784ce6f).