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2021 could be the best year ever to purchase a franchise in food franchises. This statement is not hearsay or blind optimism about the future after COVID. There are plenty of facts to back this prediction.
Perhaps you are asking, “Has the restaurant industry been hit hard?” The pandemic hit food-related businesses in all price ranges, from the most expensive food franchises to high-end restaurants, to the most affordable. The National Restaurant Association estimates that the industry lost $120B in sales in 2020. The data was only for March, April, and May.
Ironically, the pandemic-triggered recession will significantly draw food franchise owners as the industry recovers while the vaccine rollout rises. According to one industry expert, “nothing beats a good recession.” Every franchise salesperson understands that unemployment will drive franchise sales.
Still skeptical? Let’s get into the details. There are a couple of main reasons why 2021 will be an excellent year for purchasing a franchise in the food franchise business.
Plenty of Resources Are Available
In 2021, there will be more high-end talent in foodservice than ever before. There are millions of people still unemployed and many of them in the food industry. As a result, many job seekers will be looking for jobs at food-related companies in the next year.
There will be many opportunities to purchase a franchise in prime real estate, including line cooks, managers, servers, and line cooks out to work. Since the peak of the pandemic, there have been many permanent restaurant closings. These numbers were already in the thousands at the time of the last summer’s epidemic. More food-related businesses have been closed or changed their business models, including ghost kitchens and online ordering. These changes also make it possible to buy out brick-and-mortar locations.
Undeniably, buyers see open real estate as a huge chance. Open real estate is being taken advantage of by those who are willing to invest.
Franchises Provide Safety and Reassurance
In uncertain times, you can rely on the tried-and-true method of a franchise brand to help you get through. Because the franchise brand’s name and proven concept are well-known, there are fewer risks than opening a new business.
You also have a lot of resources already in place, including a marketing strategy and popular menus, as well as training resources. Franchise owners will have deep pockets and lots of resources to support their businesses with legal issues, publicity, workforce development, and other support.
The bottom line is that you’re purchasing a well-known winner and have access to a wealth of resources to protect your investment.
Could This Be Your Year?
Anyone looking to purchase a food franchise or buy an available franchise will find the next year or year and a half to be an exciting time. Your competitive advantage begins now. The economic recovery has created a fertile ground for anyone who’s ever thought about buying a franchise restaurant or becoming your boss.