Potential franchisees typically start with one question when considering one franchise opportunity over another - "How much money does this franchise business generate for a franchisee?" Average Unit Revenue (AUR) or Average Unit Volume (AUV) is the metric most will look for to gauge the potential earnings level of a franchise opportunity. Here, we take a look at the franchises that generate the highest average revenue for franchise owners, and we limit our data to those opportunities with an average investment under $1 million, making these brands attainable to most prospective franchise buyers. More on our methodology.
For highest grossing by industry, choose from the following popular types of franchises:
Our Methodology
The goal of any franchise owner is to run a profitable business. The franchise model is advantageous for entrepreneurs because it offers a proven business model that can be opened in new markets with reasonable expectations of financial performance. While the performance of existing franchise units is not a guarantee that a new unit will perform as well, it is safe to use average unit revenues to compare different franchise opportunities.
Taking expected unit revenue in context with a thoughtful business plan to include expected operating costs and expenses can give entrepreneurs a methodology to compare potential profitability and return on investment of a given franchise venture.
In this report we rank franchises based on the average revenue generated by a single franchise unit or territory to highlight opportunities with the greatest sales potential.
What Is Average Unit Revenue?
Franchises report unit revenues in slightly different ways, but all generally refer to the total average sales of a single business unit, territory, or similar language that represents the exclusive market of a franchise owner.
Where Does the Data Come From?
The FTC’s franchise rule permits franchisors to provide information on actual or potential franchise revenue of franchisee and/or corporate owned units. While franchises are not legally required to report average unit revenue, most do in Item 19 of the Franchise Disclosure Document. This allows potential franchisees to estimate the volume they may expect from opening a new franchise business.
How Do We Measure It?
We use data provided by the franchisors of the Franchise Disclosure Document (FDD). As much as possible, we look for revenue of franchised units rather than corporate owned units. Often this data is directly available based on a subset of franchise units that are representative of typical unit performance. In some cases, we may derive average unit revenue from corporate royalty revenue and number of total franchise units.
The following table includes notes from the FDD on the source of AUR provided.
| Spherion Staffing & Recruiting |
Based on 67 franchisees operating for at least one year |
| Window World |
Based on 191 franchise locations operating for at least one year |
| Precision Door Service |
Based on 278 franchised territories |
| Paul Davis Restoration |
Based on 213 franchise locations operating during 2023 |
| Keller Williams |
AUR is based on reported Royalty Income of $216,889,457 divided by 6% Royalty Rate applied to 761 franchise locations open at year end |
| Superior Fence & Rail |
Based on 44 Multi-Territory and Single-Territory Franchisees |
| CARSTAR |
AUR is for 394 franchised CARSTAR facilities |
| Two Men and a Truck |
AUR is for 195 Metro Market Franchise locations open all year |
| Christian Brothers Automotive |
Based on 265 franchise locations open all year |
| Unishippers |
AUR is for all 125 franchise locations open all year |
| Right at Home |
Based on 486 franchise locations open all year |
| Express Employment Professionals |
Based on 37 franchised units |
| Express Oil Change / Tire Engineers |
Represents 29 centers in operation for the 2023 12 month period. |
| CertaPro Painters |
Represents average gross sales across 311 franchisees in business for at least 12 months. |
| Kiddie Academy |
AUR represents the weighted average of 269 Mature Academies and 19 Ramping Academies. |
| Griswold Home Care |
Based on 48 franchised locations operating in 91 territories |
| Visiting Angels |
AUR is for 546 franchise locations open at least part of the year |
| Five Star Bath Solutions |
Based on one owner who operates 6 territories |
| Wing-Stop |
Based on 1637 franchised restaurants |
| Tous Les Jours |
AUR is for all 72 franchise locations open all year |
| Lees Famous Recipe Chicken |
Based on 105 franchised units |
| Mr. Rooter Plumbing |
Based on 197 franchised businesses |
| Stanley Steemer |
AUR is for all 208 franchise locations open all year |
| Real Property Management |
Based on 364 franchise locations with each location managing 285 units on average |
| Valvoline Instant Oil Change |
AUR is for 708 franchised centers |
Why Exclude Capital Intensive Franchises?
We limit our analysis to those franchises with an average initial investment under $1,000,000. Franchises with very high capital requirements consequently have very high sales volumes to recover the investment. As such, without this limitation, our list would skew towards franchises that are out of reach for most franchise investors.
Why It's Important
Sales or revenue volume is central to determining the financial viability of a franchise investment. Expected unit revenues combined with a reasonable estimate of operating expenses can help potential franchisees determine the return on their initial investment, and the potential earnings of a franchise opportunity. To learn more about researching franchises, seethe articles in our Franchise Learning Center.
Want to see more franchises actively opening in new markets? See our Franchise Directory.
