50 Top Franchises for Minorities (2010)

USA Today's Top 50 Franchises for Minorities in 2010

Friday, November 05, 2010

By Rob Bond and Lisa Yu

There can be little doubt that minorities have made remarkable inroads in franchising over the past decade. Whereas minorities may have accounted for only 5 or 6% of total franchisees (and managers of company-owned units) in 2000, the consensus is that today they account for well in excess of 15%. This is quite a remarkable testament not only to the industry’s reaching out to minorities, but to the underlying values and entrepreneurial talents that minorities contribute.

The National Minority Franchising Initiative received over 400 responses to our annual survey. The questionnaire asked franchisors to list minority (African-American, Asian-American, Hispanic, South Indian, etc.) participation among their existing franchised and company-owned units, as well as the minority representation among senior management (defined as an annual salary in excess of $60,000). Those companies that scored the highest are listed in the following table. The values most often cited for their increased participation were strong work ethic, tenacity when times get tough (like today), the ability to save and invest, their having overcome obstacles in their personal lives, and their willingness to follow the rules.

We contacted several franchisors who have enjoyed success with minorities to see if there is a secret formula. Bob Mazziotti, VP Franchise Development at Little Caesars notes that “We value the diversity of our franchisees and appreciate the unique perspectives they bring to our business. We offer a dynamic business opportunity for first-generation Americans.” Shelly Sun, President/CEO of Brightstar Care, credits their success in diversity to a “culture of inclusiveness and an overarching effort to make everyone feel welcome.” She notes that “as long as franchisees work hard and follow the model, they will succeed in our system.” Don Marks, CEO of Pop-A-Lock, feels their success with recruiting and supporting “minority entrepreneurs who truly want to provide strong customer service and security to their communities – i.e. how can we help.”

In terms of how to reach the minority audience, Alex Roberts, VP Franchise Development at Service Brands, credits their success to the fact that “We actively recruit and promote our franchise opportunities through minority specific web-portals and franchise consultants who specialize in placing minorities in franchises.”

A great example of exceptional overall minority participation is noted below for nine franchisors with over 1,200 total operating units. In each case, over 50% of their franchisees and managers of company-owned units are minorities. Given the relatively low cost of entry, one might expect greater participation within the maintenance industry. The last three companies, however, are in the food-service industry, which has a very high cost of entry.

The following list of 50 Top Franchises for Minorities is an excellent starting point in your search for an optimal franchise for your needs. To the extent that you are a minority, there is no question but that these companies are clearly doing something right and that you will be in good company.

For more detailed information on franchises actively seeking minority franchisees, please visit MinorityFranchising.com.

50 Top Franchises for Minorities

Selected by National Minority Franchising Initiative - NMFI