What Franchises Are Open to a Beginner Investor?


For beginner investors, franchises can be a great opportunity. Franchises are generally easier to operate than completely new ventures and have much more initial brand recognition. Some of the best franchises for beginners include quick service food restaurants, convenience stores and coffee shops. These franchises typically have start-up costs from a few hundred thousand dollars to a million dollars.

Quick Service Food

  • Quick service food (formally known as fast food) is a type of food service characterized by cheap prices and short wait times. These franchises are ideal for beginner investors because they have a high level of brand awareness and do not require that their operators have any special trade knowledge. You can buy quick service restaurant franchises by contacting head office and pitching a location. The people at the office will usually do some research to determine whether the location you have in mind is viable for the franchise.


  • Convenience stores are great franchises for people who prefer to work at a relaxed pace. Many convenience store franchises are combined with gas stations; while the store owners do not get a cut of the gas sales, they get a major feature that is sure to lure customers. These stores do not require as many employees as quick service restaurants and are generally easier to operate.

Coffee Shops

  • Coffee shop franchises are popular with new investors. This is partially because coffee consumption is not strongly affected by economic downturns, according to the Franchise Direct website. Coffee shops are common in urban areas and places frequented by students and businesspeople. Coffee shops are generally open to beginner investors, with the caveat that in certain franchises, an established owner has "right of first refusal," which gives the owner the right to buy any new location in a given geographic area before a new investor in the franchise.

Weight Loss & Recreation

  • Weight-loss franchises are perfect for the health conscious investor. Some weight-loss franchises focus on the dieting side, while others focus on the exercise side. Many weight-loss franchise owners are fitness experts who enjoy helping others achieve their fitness goals.

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