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Mapped: The Largest 15 U.S. Cities by GDP

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map of u.s. cities by gdp

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Mapped: The Largest 15 U.S. Cities by GDP

The United States has the largest GDP in the world in nominal terms, and urban areas are a major contributor to the country’s economic might. In fact, metropolitan areas account for roughly 90% of U.S. economic output.

In this visual we’ve ranked the economic output of the top 15 U.S. cities from New York City to Minneapolis, using data from the U.S. Bureau of Economic Analysis. The data covers 2021, which is the most recent release from BEA.

It’s important to note that the data considers entire surrounding metropolitan areas, so as an example, New York City includes neighboring population centers such as Newark, NJ, as well as Jersey City⁠—reaching a GDP of nearly $2 trillion.

Measuring a city’s economy at the metro level can provide a more accurate representation of its economic activity. This is because the metropolitan areas include not only the central city but also the surrounding suburban and rural areas that are economically connected to it.

America’s Economic Hubs

There are some obvious winners when it comes to the largest U.S. cities by GDP, including NYC, Los Angeles, Dallas, and San Francisco.

In the table below, we’ve listed each of the 384 metropolitan areas out of the dataset all the way down to last place, Sebring-Avon Park, Florida, alongside respective ranks and GDP:

RankCityGDP (in thousands)
#1New York-Newark-Jersey City, NY-NJ-PA $1,992,779,274
#2Los Angeles-Long Beach-Anaheim, CA $1,124,682,354
#3Chicago-Naperville-Elgin, IL-IN-WI $764,583,227
#4San Francisco-Oakland-Berkeley, CA $668,677,573
#5Washington-Arlington-Alexandria, DC-VA-MD-WV $607,628,505
#6Dallas-Fort Worth-Arlington, TX $598,333,263
#7Houston-The Woodlands-Sugar Land, TX $537,066,232
#8Boston-Cambridge-Newton, MA-NH $531,671,846
#9Seattle-Tacoma-Bellevue, WA $479,966,484
#10Philadelphia-Camden-Wilmington, PA-NJ-DE-MD $477,580,629
#11Atlanta-Sandy Springs-Alpharetta, GA $473,823,474
#12Miami-Fort Lauderdale-Pompano Beach, FL $417,147,866
#13San Jose-Sunnyvale-Santa Clara, CA $410,418,579
#14Phoenix-Mesa-Chandler, AZ $316,090,586
#15Minneapolis-St. Paul-Bloomington, MN-WI $296,969,112
#16Detroit-Warren-Dearborn, MI $283,660,258
#17San Diego-Chula Vista-Carlsbad, CA$267,973,544
#18Denver-Aurora-Lakewood, CO$253,399,051
#19Baltimore-Columbia-Towson, MD $222,967,241
#20Riverside-San Bernardino-Ontario, CA $213,183,465
#21Charlotte-Concord-Gastonia, NC-SC $207,866,150
#22Austin-Round Rock-Georgetown, TX$193,773,558
#23Tampa-St. Petersburg-Clearwater, FL $190,708,533
#24St. Louis, MO-IL $187,569,544
#25Portland-Vancouver-Hillsboro, OR-WA$186,570,323
#26Cincinnati, OH-KY-IN $171,737,526
#27Pittsburgh, PA$168,021,049
#28Orlando-Kissimmee-Sanford, FL $167,279,974
#29Nashville-Davidson--Murfreesboro--Franklin, TN $163,031,737
#30Indianapolis-Carmel-Anderson, IN $162,062,985
#31Sacramento-Roseville-Folsom, CA$160,542,566
#32Columbus, OH $154,509,800
#33Kansas City, MO-KS $154,328,892
#34Cleveland-Elyria, OH $147,637,827
#35San Antonio-New Braunfels, TX$144,384,474
#36Las Vegas-Henderson-Paradise, NV $136,198,676
#37Salt Lake City, UT $118,494,536
#38Milwaukee-Waukesha, WI $111,479,649
#39Raleigh-Cary, NC $108,288,115
#40Virginia Beach-Norfolk-Newport News, VA-NC $107,067,798
#41Hartford-East Hartford-Middletown, CT$106,507,622
#42Jacksonville, FL $101,367,263
#43Richmond, VA $99,388,754
#44Bridgeport-Stamford-Norwalk, CT$98,751,750
#45Providence-Warwick, RI-MA $96,913,356
#46Oklahoma City, OK $86,662,243
#47Memphis, TN-MS-AR $86,493,147
#48Louisville/Jefferson County, KY-IN $82,866,115
#49New Orleans-Metairie, LA $81,829,573
#50Buffalo-Cheektowaga, NY $76,991,435
#51Albany-Schenectady-Troy, NY $73,995,509
#52Omaha-Council Bluffs, NE-IA $73,876,512
#53Birmingham-Hoover, AL $70,874,148
#54Rochester, NY $69,341,714
#55Grand Rapids-Kentwood, MI $68,401,313
#56Urban Honolulu, HI $67,383,319
#57Des Moines-West Des Moines, IA $61,171,285
#58Durham-Chapel Hill, NC $60,814,699
#59Tulsa, OK$60,392,165
#60Oxnard-Thousand Oaks-Ventura, CA $58,332,732
#61New Haven-Milford, CT $57,541,201
#62Madison, WI$56,636,713
#63Baton Rouge, LA $56,199,218
#64Worcester, MA-CT $54,941,620
#65Knoxville, TN$52,343,257
#66Greenville-Anderson, SC $52,328,843
#67Bakersfield, CA $52,239,044
#68Allentown-Bethlehem-Easton, PA-NJ $50,960,155
#69Charleston-North Charleston, SC $50,704,392
#70Tucson, AZ$50,231,611
#71Fresno, CA $49,987,063
#72Dayton-Kettering, OH $49,548,210
#73Albuquerque, NM $49,480,431
#74Columbia, SC$48,214,448
#75Syracuse, NY $46,414,861
#76Greensboro-High Point, NC $45,574,221
#77North Port-Sarasota-Bradenton, FL $44,746,013
#78Harrisburg-Carlisle, PA $43,867,213
#79Trenton-Princeton, NJ $43,633,044
#80Boise City, ID $43,601,402
#81Colorado Springs, CO $43,522,096
#82Little Rock-North Little Rock-Conway, AR $42,669,983
#83Midland, TX $42,035,915
#84Akron, OH $41,058,875
#85Wichita, KS $40,586,374
#86Toledo, OH $40,546,884
#87Cape Coral-Fort Myers, FL $39,813,620
#88Poughkeepsie-Newburgh-Middletown, NY $39,375,465
#89Portland-South Portland, ME $39,089,209
#90Winston-Salem, NC $38,504,784
#91El Paso, TX$37,507,586
#92Springfield, MA$37,189,530
#93Provo-Orem, UT $36,866,060
#94Stockton, CA $36,790,065
#95Reno, NV $35,471,910
#96Ogden-Clearfield, UT $35,071,325
#97Santa Rosa-Petaluma, CA $34,450,601
#98Chattanooga, TN-GA $34,425,793
#99Huntsville, AL$34,086,472
#100Santa Maria-Santa Barbara, CA $33,306,884
#101Boulder, CO $33,182,418
#102Lakeland-Winter Haven, FL $33,144,404
#103Fayetteville-Springdale-Rogers, AR$33,102,945
#104Vallejo, CA $33,100,194
#105Lancaster, PA $33,048,548
#106Lexington-Fayette, KY $32,851,535
#107Manchester-Nashua, NH $32,729,580
#108Spokane-Spokane Valley, WA $32,178,609
#109Augusta-Richmond County, GA-SC $31,718,339
#110Jackson, MS$30,785,111
#111Salinas, CA$30,712,263
#112Palm Bay-Melbourne-Titusville, FL $30,589,541
#113Scranton--Wilkes-Barre, PA $30,040,721
#114Lansing-East Lansing, MI $29,363,629
#115Ann Arbor, MI $28,604,834
#116Anchorage, AK $28,210,676
#117Modesto, CA $26,519,792
#118Sioux Falls, SD $26,063,548
#119Savannah, GA $25,681,434
#120Deltona-Daytona Beach-Ormond Beach, FL $25,516,019
#121McAllen-Edinburg-Mission, TX $25,508,724
#122Salisbury, MD-DE $25,194,103
#123Fort Wayne, IN $25,156,180
#124Corpus Christi, TX $24,937,471
#125Davenport-Moline-Rock Island, IA-IL $24,603,801
#126Beaumont-Port Arthur, TX $24,407,762
#127Fort Collins, CO $24,381,467
#128Asheville, NC $24,350,043
#129Pensacola-Ferry Pass-Brent, FL $24,309,017
#130Fayetteville, NC $24,254,218
#131Shreveport-Bossier City, LA $24,153,731
#132Naples-Marco Island, FL $24,020,049
#133Springfield, MO $23,930,761
#134Mobile, AL $23,876,616
#135Peoria, IL $23,599,643
#136York-Hanover, PA $23,406,852
#137Youngstown-Warren-Boardman, OH-PA $23,284,271
#138Lafayette, LA $22,650,406
#139Lincoln, NE $22,492,557
#140Greeley, CO $22,082,249
#141Reading, PA $22,055,785
#142Green Bay, WI $21,991,068
#143Killeen-Temple, TX $21,967,641
#144Myrtle Beach-Conway-North Myrtle Beach, SC-NC $21,787,862
#145Salem, OR$21,487,178
#146Evansville, IN-KY $21,248,968
#147Gulfport-Biloxi, MS $21,177,139
#148Port St. Lucie, FL $20,762,211
#149Norwich-New London, CT $20,743,047
#150Visalia, CA$20,580,771
#151Montgomery, AL $20,250,047
#152Canton-Massillon, OH $20,167,014
#153Tallahassee, FL$20,148,962
#154Cedar Rapids, IA $19,793,178
#155San Luis Obispo-Paso Robles, CA$19,639,637
#156Elkhart-Goshen, IN $19,271,838
#157Crestview-Fort Walton Beach-Destin, FL $18,899,397
#158Eugene-Springfield, OR $18,848,436
#159Gainesville, FL $18,353,884
#160Roanoke, VA $18,297,657
#161Wilmington, NC $18,203,444
#162Santa Cruz-Watsonville, CA $18,076,112
#163Spartanburg, SC $17,914,096
#164Kennewick-Richland, WA $17,836,850
#165Fargo, ND-MN $17,706,417
#166Flint, MI$17,234,628
#167Longview, TX$17,134,932
#168South Bend-Mishawaka, IN-MI $17,031,977
#169Rockford, IL $17,005,386
#170Hickory-Lenoir-Morganton, NC $16,787,117
#171Huntington-Ashland, WV-KY-OH $16,470,842
#172Columbus, GA-AL $16,456,091
#173Lubbock, TX $16,402,001
#174Amarillo, TX $16,313,319
#175Olympia-Lacey-Tumwater, WA $16,245,024
#176Appleton, WI $16,202,188
#177Bellingham, WA $16,036,428
#178Kalamazoo-Portage, MI $15,946,455
#179Duluth, MN-WI $15,905,385
#180College Station-Bryan, TX $15,896,707
#181Lake Charles, LA $15,791,901
#182Charlottesville, VA $15,762,678
#183Burlington-South Burlington, VT $15,669,774
#184Rochester, MN $15,644,852
#185Atlantic City-Hammonton, NJ $15,313,041
#186Barnstable Town, MA $15,150,695
#187Bloomington, IL $15,140,725
#188Waco, TX$15,125,143
#189Kingsport-Bristol, TN-VA $15,104,427
#190Utica-Rome, NY $14,678,570
#191Clarksville, TN-KY $14,546,292
#192Bremerton-Silverdale-Port Orchard, WA$14,373,182
#193Laredo, TX $13,581,543
#194Gainesville, GA$13,561,088
#195Charleston, WV $13,553,478
#196Brownsville-Harlingen, TX $13,225,538
#197Champaign-Urbana, IL $13,219,093
#198Topeka, KS $13,204,822
#199Springfield, IL$13,019,072
#200Tyler, TX $13,002,122
#201Tuscaloosa, AL $12,913,789
#202Ocala, FL $12,907,979
#203Hagerstown-Martinsburg, MD-WV $12,755,632
#204Bend, OR $12,618,710
#205Lafayette-West Lafayette, IN $12,537,390
#206Erie, PA$12,509,399
#207Napa, CA$12,387,136
#208Binghamton, NY $12,314,327
#209St. Cloud, MN $12,202,920
#210Columbia, MO$12,077,178
#211Iowa City, IA $11,989,228
#212Yakima, WA $11,864,827
#213Macon-Bibb County, GA $11,818,017
#214Oshkosh-Neenah, WI $11,586,606
#215Billings, MT $11,570,641
#216Athens-Clarke County, GA $11,562,554
#217Hilton Head Island-Bluffton, SC $11,497,194
#218Lynchburg, VA $11,430,306
#219Odessa, TX$11,399,343
#220Wausau-Weston, WI $11,250,695
#221Wheeling, WV-OH $11,239,365
#222Waterloo-Cedar Falls, IA $11,197,979
#223Florence, SC$11,018,873
#224Medford, OR $10,949,122
#225Fort Smith, AR-OK $10,920,156
#226Greenville, NC$10,841,765
#227Merced, CA$10,465,518
#228Kahului-Wailuku-Lahaina, HI $10,356,019
#229Eau Claire, WI $10,308,773
#230Panama City, FL $10,269,545
#231Sioux City, IA-NE-SD $10,111,866
#232Chico, CA $10,006,052
#233Dover, DE$9,984,324
#234Idaho Falls, ID $9,915,330
#235El Centro, CA$9,912,905
#236Jacksonville, NC $9,900,984
#237Daphne-Fairhope-Foley, AL $9,891,548
#238Jackson, TN$9,779,929
#239State College, PA $9,750,456
#240Harrisonburg, VA $9,499,442
#241Redding, CA $9,419,468
#242Saginaw, MI$9,363,549
#243Houma-Thibodaux, LA $9,350,744
#244La Crosse-Onalaska, WI-MN $9,294,924
#245Johnson City, TN $9,219,695
#246Racine, WI $9,100,374
#247Warner Robins, GA $8,993,124
#248Yuma, AZ$8,977,170
#249Lima, OH$8,962,374
#250Jefferson City, MO $8,956,976
#251Abilene, TX $8,848,793
#252Prescott Valley-Prescott, AZ $8,796,885
#253Monroe, LA$8,699,152
#254Kingston, NY $8,622,165
#255Morgantown, WV $8,597,534
#256California-Lexington Park, MD$8,554,244
#257Janesville-Beloit, WI $8,530,214
#258Terre Haute, IN $8,502,107
#259East Stroudsburg, PA $8,493,417
#260Niles, MI$8,455,695
#261Flagstaff, AZ$8,444,850
#262Winchester, VA-WV $8,419,006
#263Bowling Green, KY $8,368,247
#264Las Cruces, NM $8,339,710
#265St. George, UT$8,338,042
#266Joplin, MO $8,319,062
#267San Angelo, TX $8,284,455
#268Bloomington, IN $8,272,024
#269Blacksburg-Christiansburg, VA $8,271,597
#270Bismarck, ND$8,243,740
#271Coeur d'Alene, ID $8,112,478
#272Yuba City, CA $8,104,050
#273Sebastian-Vero Beach, FL $8,063,835
#274Dalton, GA $7,950,074
#275Decatur, IL $7,856,804
#276Dubuque, IA $7,840,579
#277Manhattan, KS $7,818,079
#278Bangor, ME $7,813,558
#279Rocky Mount, NC $7,799,020
#280Sheboygan, WI $7,747,640
#281Pittsfield, MA$7,682,977
#282Mount Vernon-Anacortes, WA $7,659,302
#283Jackson, MI $7,651,976
#284Santa Fe, NM $7,636,186
#285Dothan, AL $7,636,116
#286Ames, IA $7,583,257
#287Rapid City, SD $7,565,027
#288Battle Creek, MI $7,528,043
#289Glens Falls, NY$7,446,782
#290Grand Junction, CO $7,444,077
#291Burlington, NC $7,440,110
#292Pueblo, CO $7,436,671
#293Logan, UT-ID $7,425,275
#294Wenatchee, WA $7,403,597
#295Vineland-Bridgeton, NJ $7,376,321
#296Auburn-Opelika, AL $7,335,523
#297Decatur, AL$7,282,688
#298Kankakee, IL $7,282,382
#299Hanford-Corcoran, CA $7,258,824
#300Columbus, IN $7,205,692
#301Hattiesburg, MS $7,181,156
#302Wichita Falls, TX $7,096,972
#303Ithaca, NY $7,044,555
#304Lake Havasu City-Kingman, AZ $7,037,905
#305Alexandria, LA $7,037,021
#306Watertown-Fort Drum, NY $6,972,539
#307Weirton-Steubenville, WV-OH $6,966,489
#308Lebanon, PA$6,911,784
#309Punta Gorda, FL $6,911,071
#310Madera, CA$6,907,890
#311Chambersburg-Waynesboro, PA $6,846,649
#312Elizabethtown-Fort Knox, KY $6,819,777
#313Muskegon, MI $6,795,782
#314Missoula, MT$6,780,085
#315Altoona, PA $6,736,868
#316Monroe, MI $6,716,820
#317St. Joseph, MO-KS $6,700,369
#318Cheyenne, WY$6,608,922
#319Williamsport, PA $6,562,069
#320Valdosta, GA $6,529,753
#321Jonesboro, AR$6,494,679
#322Fairbanks, AK $6,477,984
#323Albany, GA $6,462,473
#324New Bern, NC$6,436,366
#325Owensboro, KY $6,434,476
#326Ocean City, NJ $6,279,126
#327Grand Forks, ND-MN $6,226,443
#328Morristown, TN $6,218,224
#329Carbondale-Marion, IL $6,206,570
#330Mankato, MN $6,157,026
#331Texarkana, TX-AR $6,086,205
#332Longview, WA$6,047,768
#333Florence-Muscle Shoals, AL $5,989,958
#334Casper, WY$5,887,565
#335Twin Falls, ID$5,878,885
#336Staunton, VA$5,865,980
#337Sherman-Denison, TX $5,852,474
#338Midland, MI$5,836,461
#339Fond du Lac, WI $5,817,790
#340Goldsboro, NC$5,761,092
#341Farmington, NM $5,698,394
#342Lawton, OK$5,636,670
#343Lewiston-Auburn, ME $5,614,156
#344Albany-Lebanon, OR $5,608,491
#345Lawrence, KS$5,586,561
#346Sumter, SC $5,539,578
#347The Villages, FL $5,507,387
#348Cleveland, TN$5,423,969
#349Sierra Vista-Douglas, AZ $5,399,087
#350Mansfield, OH $5,251,489
#351Homosassa Springs, FL $5,247,686
#352Corvallis, OR$5,242,566
#353Johnstown, PA$5,197,201
#354Springfield, OH$5,162,330
#355Brunswick, GA$5,136,201
#356Anniston-Oxford, AL $5,108,424
#357Victoria, TX$5,082,222
#358Bloomsburg-Berwick, PA $4,916,778
#359Hammond, LA$4,897,538
#360Grand Island, NE $4,871,762
#361Cape Girardeau, MO-IL$4,838,122
#362Beckley, WV$4,563,061
#363Rome, GA$4,539,453
#364Michigan City-La Porte, IN$4,521,182
#365Kokomo, IN $4,488,369
#366Muncie, IN$4,486,204
#367Hinesville, GA$4,427,847
#368Gettysburg, PA$4,310,644
#369Elmira, NY $4,230,830
#370Carson City, NV $4,225,603
#371Bay City, MI $4,158,772
#372Great Falls, MT $4,150,622
#373Cumberland, MD-WV $4,025,355
#374Parkersburg-Vienna, WV $4,000,337
#375Pine Bluff, AR $3,996,508
#376Hot Springs, AR $3,907,112
#377Pocatello, ID$3,732,010
#378Grants Pass, OR $3,666,285
#379Danville, IL $3,645,245
#380Walla Walla, WA $3,642,288
#381Lewiston, ID-WA $3,274,461
#382Gadsden, AL$3,175,372
#383Enid, OK$2,926,730
#384Sebring-Avon Park, FL$2,894,022
All U.S. Metro Areas$20,943,239,585

As the graphic above makes obvious, NYC’s GDP towers over the rest. The Big Apple is the nerve center for a number of high-impact industries, including finance and media.

Moving down the ranking, LA has a $1.1 trillion economy, followed by Chicago, with a GDP of just over $760 billion.

The Fastest Growing Cities

Although many of the top ranking cities are not surprising, there are a number of up-and-coming cities in the list. A report from the Kenan Institute, at the University of North Carolina’s Business School, reveals the fastest growing cities in the U.S. in terms of GDP growth year-over-year. Here’s a look at the top 10:

RankCityStateGDP Growth (2022)
#1San Francisco/Bay AreaCalifornia4.8%
#2AustinTexas4.3%
#3SeattleWashington3.5%
#4Raleigh/DurhamNorth Carolina3.4%
#5DallasTexas3.1%
#6DenverColorado3.0%
#7Salt Lake CityUtah2.8%
#8CharlotteNorth Carolina2.5%
#9New OrleansLouisiana2.4%
#10OrlandoFlorida2.4%

San Francisco, Seattle, and Dallas appear on both the overall GDP size and growth lists. Dallas’ economy is driven in large part by a growing healthcare industry. The city also continues to attract talent being home to large companies AT&T, CBRE Group, and Texas Instruments.

North Carolina is home to two of the fastest growing metropolitan areas, Raleigh-Durham and Charlotte. These cities may be ones to watch as they are becoming hubs of tech, research, and manufacturing. In fact, North Carolina was recently ranked as the most attractive U.S. state to do business in and both cities are among the fastest growing in terms of population.

The economic center of gravity within the U.S. could be shifting away from the traditional centers of power towards booming cities in the South and West of the United States. The Kenan Institute found that the recovery of hospitality and leisure sectors has helped destinations in these regions like New Orleans and Orlando. Additionally, the shift towards high-tech industry jobs, remote work, and cheaper housing have made these cities very attractive.

Of course, the sunny climate in these cities is an attractive selling point as well.

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Business

Ranked: The 20 Best Franchises to Open in the U.S.

Considering factors like the cost of investment and number of locations, this graphic breaks down the best franchises in the U.S.

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best franchises in the U.S.

Ranked: The 20 Best Franchises in the U.S.

The U.S. is famous for chain restaurants, franchised shops, and brand name hotels. One thing these franchises aim for is consistency in store feel, customer service, product offerings, and prices, no matter which state you’re in.

This visualization uses Entrepreneur’s annual Franchise 500 Ranking to showcase the best franchises in the U.S. worth owning, from Dunkin’ Donuts to Snap-on Tools.

The Best and How They Were Selected

The report assessed five broad categories to score the country’s famous chains:

  • Costs & fees: including franchise fee, total investment needed to open one store, and royalty fees
  • Support: including training times, marketing support, operational support, franchisor infrastructure, financing infrastructure, and litigation
  • Size & growth: including open & operating units, growth rate, and closures
  • Brand strength: including social media, system size, years in business, years franchising
  • Financial strength & stability: including franchisor’s audited financial statements

A franchise was only considered if it was actively seeking new franchisees and must have already had at least 10 units operating.

Here’s a closer look at the top 20:

RankFranchiseInitial Investment NeededGlobal Units 2022
#1Taco Bell$576K - $3.4M7,900
#2Popeyes Louisiana Kitchen$384K - $3.5M3,851
#3Jersey Mike's Subs$194K - $955K2,402
#4The UPS Store$122K - $508K5,464
#5Dunkin'$438K - $1.8M12,957
#6Kumon$67K - $146K26,527
#7Ace Hardware$292K - $2.1M5,746
#8Culver's$2.3M - $5.8M871
#9Hampton by Hilton$12.3M - $22.8M2,824
#10Wingstop$315K - $948K1,873
#11Tropical Smoothie Cafe$277K - $584K1,142
#12Arby's$629K - $2.3M3,561
#13KFC$1.4M - $3.2M26,498
#14McDonald's$1.4M - $2.5M39,696
#15Wendy's$330K - $3.7M7,049
#16Servpro$217K - $271K2,050
#17Smoothie King$264K - $1.2M1,373
#187-Eleven$125K - $1.3M81,887
#19Budget Blinds$141K - $212K1,378
#20Snap-on Tools$201K - $465K4,771

The number one franchise, Taco Bell, has been in business since 1964 and has 7,900 locations as of 2022, spanning beyond the U.S. to Canada, Australia, Europe, and other regions of the world. The average cost of investment to be a franchisee is between $576,000 to $3.4 million.

While most of the top 20 are in the food service industry, there is also one hotel, one shipping company, and a few hardware and home goods stores that make the list.

Ace Hardware (#7), for example, which specializes in home improvement goods, is actually an international franchise with close to 6,000 units. Kumon (#6) is an education center and is the only non-U.S. franchise on the list.

The Feasibility of Being a Franchisee

To get a better sense of the costs needed to start a franchise, let’s take a look at one of the most famous convenience stores in the world. Here’s a sample of the different fees involved in 7-Eleven’s initial franchisee process:

Initial Franchise Fee$0 - $1,000,000
Initial Investment$125,250 - $1,333,500
Cash Requirement$50,000 - $250,000
Veteran Incentives10-20% off franchise fee, up to $50,000; preferred interest rates and special financing
Royalty FeeVaries
Ad Royalty Fee1%
Term of Agreement15 years
Is franchise term renewable?Yes

In terms of low-cost franchises, 7-Eleven is among one of the cheapest to open, according to Entrepreneur, sometimes costing less than $150K. Other franchises with lower cost barriers of entry include UPS ($122K – $508K) and Cinnabon ($112K – $547K).

There is more to consider than cost, of course, and some franchises provide better support than others in aspects such as financing, industry training, or legal support. Popeye’s, for instance, provides in-house financing for their franchise fee, as well as connections with third-party sources to help cover equipment, inventory, payroll, and other expenses.

Looking at feasibility in regards to opportunities, some of the fastest-growing franchises include chains like Jersey Mike’s Subs and Wingstop. Here’s a closer look at the Franchise 500’s fastest growing list:

  • #1 Stratus Building Solutions
  • #2 Jersey Mike’s Subs
  • #3 Goosehead Insurance
  • #4 Signal
  • #5 Wingstop

In total there are almost 800,000 franchises in the U.S. The franchise market in the country has an economic output of over $825 billion and employs over 8.4 million people. With many of these franchises continuing to grow and seek new franchisees, there is ample opportunity in the market.

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