If youโre prepared to consider a range of industries, you can find a franchise under 50K. Some sectors are more popular than others. Also, the type of franchise shapes your spending. For example, a home-based or mobile-based business model helps lower overhead costs. However, even if the initial investment cost is low, you must account for liquid capital requirements and ongoing expenses like utilities, payroll, insurance etc. Hereโs an idea of what you can get for your $50,000 investment.
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Market Overview
Having a $50,000 budget to spend on a franchise does limit your purchasing power in certain sectors. Quick-service restaurants (QSRs) are one of the most franchised businesses, but you canโt buy restaurant franchises under 50K. For instance, the initial investment for a Taco Bell restaurant is $611,000 to $4 million. Retail is another popular sector. Again, it can be an expensive venture. Opening an Ace Hardware store can cost $579,000 to $1.9 million.
However, if you research which industries are most likely to franchise, youโll find affordable options if youโre flexible in your decision-making. Starting a business in real estate or home franchise opportunities in the cleaning sector are possibilities. Moreover, starting a green cleaning business targets customers in the lucrative eco-friendly market.
Or how about a photography franchise below 50K? Whether you see yourself behind the camera or running a mobile-based business, we can point you toward some big brand names, see below.
Different Franchise Opportunities Under 50K
Investing in a franchise can be an excellent way to start a business with a proven model and support system. These businesses offer flexibility, low startup costs, and support, making them ideal for first-time franchisees or investors looking for a relatively low-risk investment.
Food Franchise Under 50K
Investment costs for some food, beverage and restaurant franchises run into millions. Even an ice cream franchise is going to put you over budget. However, youโre not entirely excluded from this sector if you only have 50K to invest. But the focus should be on the drinks sector instead of food to keep costs down. Also, research mobile or kiosk business models. For example:
- The Rush Coffee franchise brings lattes and cappuccinos to customers from a truck. Since itโs a mobile-based business, you donโt have to invest hundreds of thousands in a physical coffee shop. The initial investment is $22,000. However, this doesnโt include the cost of your vehicle. If you already own a truck or can buy a used vehicle at an affordable price, this will help keep costs down. It can be a good franchise opportunity because people love buying daily coffees. Reports suggest the US coffee market will reach $33.64 billion by 2029, growing at a CAGR of 3.69% (2024-2029). Get brewing!
Commercial Cleaning
Cleaning services are pretty much always in demand, no matter the economy. Homes and businesses regularly need cleaning, so you should see a steady flow of clients. Plus, itโs a business you can easily scale up. You can hire more staff or expand your service areas as you go. Starting with a low-cost franchise gives you the chance to grow your business at a pace that works for you.
- Anago Cleaning Systems has opportunities for master and unit franchisees. It costs over $200,000 to become a master franchisee selling to entrepreneurs who want to buy a commercial cleaning business. However, you could invest in a single unit on a budget of 50K. For example, the initial investment of an Anago cleaning business is $11,000 to $68,000.
- Corvus Janitorial Systems has been franchising since 2004. It has multiple commercial cleaning startup packages at various costs under 50K. Moreover, you can provide services for offices, schools, medical facilities and gyms, offering disinfecting services for a deeper clean. The initial investment is $10,000 to $35,000.
If youโre looking for a franchise on a budget, donโt just focus on the cost of acquiring a franchise. Youโve also got to consider value. For example, how well-known the brand is, how loyal the customers are, the training and support you get, how much money you can potentially make, and just the overall profitability of the business. For instance:
- DetailXPerts cleaning franchise opportunities are a great value investment. The company has multiple profit centers, such as commercial cleaning, mobile auto detailing, and fleet cleaning services. Moreover, it is a green business model. Our steam cleaning technology sanitizes floors, seats, surfaces and high-touch points using very little water. The initial investment starts at $103,500. So, it is not one of the franchises under 50K, but it offers scalability and strong brand recognition with award-winning customer service. Ask about our franchise opportunities for veterans, too.
Real Estate Franchise for 50K
The real estate market makes trillions each year in the US alone. Statistics show the market is set to grow at a steady annual rate of 3.34% from 2024 to 2029, reaching $155.60 trillion by 2029. Furthermore, the demand for suburban homes in the United States is on the rise, driven by the remote work trend. Here are some big names in this sector:
- Realty One Group offers franchisees a unique commission model where agents keep 100% of their commissions, paying only a flat fee per transaction. This model is appealing to high-performing agents who want to maximize their earnings. It has over 400 locations across North America, Asia, and Europe. The initial investment is $48,000 to $228,000. Check out more international franchising
- Re/Max is also looking for entrepreneurs to sell real estate. It is one of the most recognized real estate brands worldwide, with a network of over 140,000 agents in more than 9,000 offices. It consistently ranks high in industry surveys and awards, boosting its reputation as a leader in real estate. The initial cost is $43,000 to $290,000, so stick to the lower end of the investment to ensure you donโt go over budget.
- NextHome Real Estate is another standout name that attracts hard-working entrepreneurs. Not super confident when it comes to selling luxury homes? Then, take advantage of the extensive training and support to help you stay updated on industry trends and enhance your skills. The initial investment is $16,000 to $220,000.
Childrenโs Businesses
Busy parents always look for fun and interesting ways to keep their kids happy and entertained. This means a steady demand for sports and educational programs, which can lead to consistent revenue for you in this space. So, if you like the idea of a high-energy business, there are childrenโs franchise opportunities to explore. Like these:
- Skyhawks & SuperTots Sports Academy is a great way to jump into the world of childrenโs sports and play. You can build a thriving business aimed at energetic 4-12-year-olds. You can also explore the SuperTots programs for kids ages 18 months to 5 years old. The initial investment is $30,000 to $90,000.
- Soccer Shots is another franchise with low overheads because you donโt need to own or rent a field or facility. Instead, take your soccer programs (for kids ages 2 to 8) to schools and parks. The initial investment is $43,000 to $54,000. Note that it is not one of the absentee owner franchises.
Other Franchises Less Than 50K
There are other businesses with low overhead costs that make it easier to buy a franchise under 50K. For example:
- Estrella Insurance is an auto, home and business insurance agency with multi-unit options if you have an ambitious mindset. Excellent people skills are also a must because you always chatting with clients. According to market research, the homeownersโ insurance market in the US has grown at a CAGR of 2.3% over the past 5 years, reaching $144,000 billion in 2024. If youโre interested in this insurance franchise, the initial investment is $12,000 to $84,000.
- RooterMan is your chance to become a plumbing and drain cleaning expert or convert your existing business into a RooterMan franchise. Youโre providing an essential service, so youโll never be short of work. Working on aging plumbing systems continues to be a solid source of income for independent plumbers and companies. And according to market reports, that wonโt change anytime soon! The initial investment is $45,000 to $82,000.
- Augusta Lawn Care Services is another one of the low cost franchise opportunities if you want a career in lawn care and landscaping. It stands out from the competition because its goal is to make your business profitable throughout the year, not just the seasonal spring rush. This includes training and installation instructions for holiday lighting. The initial investment is $13,000 to $83,000.
- Computer Troubleshootersis an international network of locally owned IT service franchises. Youโll offer tech solutions like data recovery and remote support services. The initial investment cost is $20,000 to $45,000.
If your financial circumstances change and you have more to invest, check out trending automotive franchises. Lucrative sectors in this industry include car wash franchise opportunities and an auto repair franchise.
Conclusion
To sum up, there are franchise opportunities under 50K across different industries, such as commercial cleaning, childrenโs activities, real estate, and lawn care. However, be realistic about what you can get for your investment. A fast food restaurant is out of the question. Instead, stick to mobile-based or kiosk businesses that donโt require a physical location. Also, choose a franchise that aligns with your passion and strengths instead of choosing one simply because it comes under budget.
Look at industry trends and choose a sector with a growing market to get the most out of your investment. Equally important, find a franchise with a proven business model and a supportive executive team. And when it comes to crunching numbers, enlist the help of a franchise consultant or accountant.
Finally, get insights from other franchisees who know the system. Ask about their experiences, challenges and profitability.