Franchise Sector Expected to See Steady Growth in 2013

Franchises will continue to grow at a slow but steady rate in 2013, according to IFA's Franchise Business Economic Outlook. The report predicts that franchise establishments in the U.S. will increase by 1.4 percent, just shy of last year’s 1.5 percent increase. That growth is not limited to just the brand itself, it will extend to the people that make the brand what it is. Employment  in franchise establishments is expected to increase by 2 percent this year while private sector employment will grow by 1.8 percent. "While we are pleased the industry continues growing at faster rates than other sectors of the economy, we could be growing much faster, creating more new jobs and businesses, if Washington addressed the tax, spending and regulatory uncertainty plaguing the small business community in a meaningful way,” said IFA president and CEO Steve Caldeira in a statement. “Franchise businesses emerged from the recession stronger due to the strength of the franchise business model and the strong support of franchisors working with franchisees to sustain profitability. Franchise businesses are now poised to accelerate growth plans, but industry leaders say the lack of confidence in our leaders in Washington to address the fundamental challenges facing our economy is keeping them and prospective investors on the sidelines.”