New year, new approach: how to pick the best franchise

Top 10 tips for becoming a franchise owner in 2026

If becoming your own boss is one of your new year’s resolutions, make sure you start out with a plan in hand. Instead of getting bogged down attempting the research on your own or pulled in by a flashy pitch, check out these 10 practical tips for maximizing your success in 2026:

1. Invest in yourself first

Franchise success starts with mindset. Be coachable, committed, and willing to follow proven systems. The franchise provides the playbook—but you are the one who has to run the plays consistently.

2. Focus on resilient, needs-based industries

In 2026, consumers are still prioritizing services that save time, improve health, and enhance home life. Look for franchise brands in essential sectors like home improvement, B2B services, senior care, and health & wellness. 

3. Don’t chase the trend — validate the model

New “hot” franchise categories pop up every year. Instead of chasing what’s trending, dig into the brand’s financial performance, leadership team, and franchisee satisfaction. Sustainable systems beat short-term fads every time.

4. Review unit economics, not hype

Focus on the Item 19 (Financial Performance Representation) in the Franchise Disclosure Document (FDD). Compare average revenue, margins, and ramp-up periods across brands. The goal is to understand what owners actually make, not what marketing promises.

5. Talk to multiple franchise owners

Validation calls are your best insight into reality. Ask existing franchisees what their biggest challenges were, what support they receive, and if they would invest again. Patterns—good or bad—will emerge.

6. Understand your role as an owner

Franchise ownership isn’t one-size-fits-all. Some models require daily operations, while others fit semi-absentee or executive ownership. Make sure the brand’s expectations match your lifestyle and skill set. 

7. Plan for higher capital costs

Interest rates are likely to remain elevated into 2026. Be realistic about financing—whether using SBA loans, retirement rollovers (ROBS), or partnerships. Build in a cushion for working capital and ramp-up time.

8. Evaluate the franchisor’s support infrastructure

Ask detailed questions about training, marketing, lead generation, and technology. Strong franchisors continually invest in tools and systems that make franchisees successful.

9. Look for multi-unit or scalable opportunities

Many top investors in 2026 are building portfolios of complementary brands. Consider concepts that can scale geographically or vertically (e.g., owning both a cleaning and a restoration brand).

10. Use a franchise consultant as a strategic partner

Working with an experienced consultant like me means you’re not navigating this alone. I help you compare models, introduce you to vetted brands that fit your goals, and coach you every step of the way. I help you avoid costly mistakes and make a confident, informed decision...at no cost to you.

Schedule a quick call with me to kick start your year and see if franchise ownership is right for you. I’m in the office this week and will be at a franchise conference all of next week, where I’ll be listening to pitches from 100+ franchisors.