Not everyone wants to live in the big city. Sure, the nightlife, the shopping and the hustle and bustle may appeal to some, but for others, the laid-back and mellow vibes of a small town take the cake. Many folks live in the same small town they were born in – and finding a good way to make a living can be challenging in this environment.
Small towns offer some attractive advantages to those who appreciate the lifestyle. People don’t seem so rushed all the time. Many times when you are out and about, you see families you know. Sitting on the front porch, drinking some tea while your children play in the yard in the evening sure beats rush hour traffic and high crime rates.
Many entrepreneurs have learned their neighbors and friends will support a franchise – especially if there’s a lack for that particular product or service in the area. But what franchises for small towns are best? Let’s take a look.
Things to Consider When Choosing a Franchise for a Small Town
People in a small town will support local businesses, if you bring them a service or product they need – and your business, in turn, supports the town. Here are a few items to consider when thinking about opening your own franchise business in your town.
Investment costs: One of the largest questions for you to ask is how much you have available to spend on opening your new franchise. All franchises cost money – some more, some less. Once you’ve done some research and made a short list of businesses you may be interested in and skilled at, research available opportunities and their costs.
Target market size and demographics in small towns: Small towns are defined as having less than 5,000 residents. Not only will you need to decide if that’s enough to support your franchise (given that you may have competition), you’ll also need to examine the demographics of your chosen area so you know how to market to the population. Is your area leaning towards a younger or older group? Are families making enough money to buy what you are selling? These questions and more will help you decide.
Competition landscape: Is your planned franchise the only one or do you have competition? If there are already established companies, you can get a jump on meeting them on a level playing field by understanding their strengths and weaknesses and where there are gaps you may be able to fill.
Local regulations: No matter if you are setting up in the big city or a more rural area, there are likely to be regulations and codes the government has put in place to protect their citizens and their landscape. Prepare by meeting with the city manager, attending or joining local civic and business clubs (which you should do anyway) and attend some city council and county meetings to get a feel for how business is done.
Franchise support and training: When choosing a franchise partner, make sure you find one that offers a good level of ongoing support and training. Many franchisors say they provide these benefits, but you’ll only find out by asking current franchise owners, especially ones in smaller towns.
Top Franchise Categories for Small Towns
Although some rural residents like to take a monthly trip to the big city, they all prefer to have their day-to-day living needs taken care of right at home. Residents who support their local businesses know they can count on reciprocal support when it’s time to bankroll the T-shirts for a Little League team or help with a fundraiser. Some best franchise for small town opportunities you might consider opening in your hometown include the following necessary businesses.
Specialty Services
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Specialty services run the gamut from insurance services and real estate companies to cleaning services and computer hardware and software sales and repair. Some of these may require educational requirements before you can own your own agency. These are some of the best small business franchises and there are plenty to choose from, including:
- Freeway Insurance: Ranked as the “number one” in personal lines in the United States, Freeway Insurance is an award-winning franchise opportunity. Known for serving non-standard markets, this may be the perfect choice for your demographic and geographical location. Franchisees receive plenty of ongoing training and support.
- Keller Williams Real Estate: With the latest technology and plenty of support, this is the number one real estate franchise by sales in the U.S.
- The Maids: Partnered with the Mr. Clean brand, The Maids is a top selection for franchisees by Entrepreneur with a trusted brand affiliation, innovative technology and satisfied customers.
Quick Service Restaurants
Also known as fast food outlets, no town is complete with at least a few places for the kids (and their parents) to gather, meet up and enjoy some pizza or a burger and fries. Some of the cheaper options for these small town franchise ideas include:
- Chester’s Chicken: The common fried chicken offerings is one of the least expensive franchise options in the fast food industry. And who doesn’t like fried chicken?
- Chick-fil-A: Some estimate this popular friend chicken restaurant costs only $10,000 for an initial commitment.
- Dunkin Donuts: Good donuts will always bring in the crowds and in recent years, Dunkin has expanded its menu to include lunch and snack fare. The initial franchise fee is under $100,000.
Personal Services
Taking care of yourself with a good stylist, a manicure and a workout at a gym are more popular than ever. You don’t have to drive to the big city to find these services in your hometown anymore. Here are a few franchise opportunities in the personal services field:
- Jazzercise: This workout routine has been around for a few years and it’s still popular for a wide demographic including young people and mature adults.
- Great Clips: Without a huge upfront investment, the Great Clips franchises are crowd pleasers since everyone can get a good haircut or style, from kids to parents to grandparents.
- SpeedQueen: Laundry and dry cleaning services are always popular and necessary. According to their website, 77% of laundromats have experienced growth. Everyone needs clean clothes after all.
All you have to do is look around your town and see what services are lacking. Even if there is competition, doing the proper planning and marketing means your neighbors will be happy to see choices coming to Main Street.
Success in a Small Town Franchise
As an entrepreneurial member of a small town community, you already know a lot about how to succeed when opening a business there. Businesses needed in small towns – and specifically in yours – is your first item to learn. Some of the best franchises for first-time owners are on the list above, so go ahead and explore. You’ve gotten some small town franchise ideas, but you have to keep in mind your neighbors and fellow residents will expect you to abide by the accepted norms of your area. These are universal across all communities and include building relationships with your customer base, conducting yourself in a moral and ethical manner so your customers spread the word, and using local traditions and identity as a hallmark in your advertising.
Takeaways for a Successful Franchise in Your Small Town
Opening a business of your own is a dream of many. Opening that business on or around Main Street USA is the perfect scenario for plenty. As you embark on ways to begin your entrepreneurial journey, take into consideration what your area needs and what your area expects from you.
If you decide an insurance franchise is worth looking into, fill out this form so we can follow up with you or give us a call at 877-822-3024.