There are some encouraging figures as of late which point to the next fiscal year as being prime time for investing in franchise ownership.  With consumer confidence hanging in steadily, many steeply discounted commercial real estate opportunities available on the back of large, corporate rollbacks, and a high number of innovative companies worthy of brand-name recognition and replication – 2011-2012 appears to be the best time in several years to invest in a franchise business opportunity.

Retail sales will grow about 10% in 2012, slightly more than the 8% expected in 2011. Look for strong holiday sales in 2012, with growth of 5% in November and December versus those months in 2011. This increase will offset a dip in sales during June and July. October sales were up 0.6% over September, due in large part to a 3.7% jump in electronics sales, the largest monthly increase in two years.

The U.S. economy will grow about 2% in 2012, roughly the same as in 2011, enough to avoid another recession but not enough to make much of a dent in unemployment. But, as Presidential Candidate Governor Mitt Romney declared recently, franchising is the key to economic recovery and job growth.

Faster growth in the second half of 2011 will rescue the U.S. from a downturn, and shows that pent-up consumer demand and business confidence provided enough momentum to overcome a summer of stock market gyrations, a European financial crisis and the debt limit drama in Washington.

After growing at an annual rate of only 0.9% for the first half of the year, gross domestic product grew at a 2.5% rate in July, August and September. Business investment surged at a 16% rate and consumer spending rose at a 2.4% annual rate — not great, but well above what would point to recession.

Taken together, these statistics point to bettering consumer confidence, and a marketplace soil which has become fertile for franchising growth. In spite of big corporate and franchise downsizing in recent years – just like shaking a tree brings the loose fruit down and makes way for the new – the prospects look bright for franchisors and franchisees alike in the coming years.

“It truly is a prime time for franchising, and more individuals should take a closer look at these younger brands that actually have great territorial positioning, and are still available for investment and are wide open for growth,” explains VP of Marketing at FGS Brandon Veater, “Many get the erroneous idea that most franchises are maxed out for potential growth, and this is untrue. This is a big mistake many newcomers to franchising are making.”

Source of statistics: Kiplinger.com