Franchises for Gen Z Entrepreneurs: The Perfect Fast Track to Business Ownership

Daniel Hayes

The entrepreneurial spirit is alive and well within Generation Z—those born roughly between 1997 and 2012—a generation known for their innovation, drive, and desire to create their own paths. As the world rapidly evolves, so do the aspirations of these young individuals who seek meaningful careers and impactful ventures.

One prominent avenue that stands out as an ideal match for Gen Z’s entrepreneurial ambitions is the franchise industry. In this article, we’ll explore ten of the many reasons the franchise model is perfectly aligned to cater to the unique needs and desires of this dynamic generation.

Why Franchising Aligns Perfectly With Gen Z Values, Assets, and Skills

As more of the next generation finds themselves joining the workforce and looking for their first entrepreneurial opportunities, franchise models are being discovered as a great fit for their unique needs and desires. The list below describes how Gen Z franchisees have much synergy with the requirements of this industry.

1. Reduced Risk and Proven Success

Starting a business from scratch can be daunting and fraught with uncertainty. Gen Z, while enthusiastic about entrepreneurship, often faces hesitations due to the inherent risks involved.

Franchising offers a more secure alternative by providing a lower-risk business ownership model that is already proven to be successful. This sense of security is a significant appeal for Gen Z, who value stability in their entrepreneurial journey.

By partnering with established brands, young entrepreneurs can enjoy leveraging existing systems, brand recognition, customer loyalty, and access to vendor partnerships to reduce overhead costs. This drastically reduces the initial risk associated with new ventures.

2. Purpose and Impact

With a wide array of franchises, it isn’t hard to find sectors that align beautifully with Gen Z’s values. Businesses that appreciate environmental sustainability, concern themselves with health and wellness, and enable an outstanding work-life balance are out there for the taking.

A young adult franchisee with an environmentally friendly business.

Both newer franchises and ones that have been around for several years are often associated with being socially responsible and/or sustainable franchise options, making ownership quite desirable for the newest generation in the workforce.

3. Access to Comprehensive Training and Support

A common misconception is that owning a franchise means the franchisee has to start from scratch; that couldn’t be more untrue. Unlike a traditional startup company, franchisees have a wealth of resources at their disposal, making for an almost turnkey business opportunity.

One of the most crucial aspects when starting a business is acquiring necessary skills and knowledge. Gen Z, though tech-savvy and quick learners, still require guidance and support to navigate the complexities of running a business.

Franchisors typically offer extensive franchise training programs and ongoing support to their franchisees. This includes everything from initial setup and operational training to marketing strategies and customer service.

The comprehensive support system provided by franchisors ensures that young entrepreneurs are well-equipped to manage and grow their businesses effectively, giving them the confidence to pursue their dreams.

4. Financial Accessibility

Funding is often a major hurdle for aspiring entrepreneurs, especially for Gen Z who may not have significant capital accrued as young adults. Franchises often present more accessible financing options compared to starting an independent business.

Many franchisors and franchise consultants have relationships with financial institutions and offer financing solutions to help franchisees get started. Additionally, the predictable costs associated with franchising, such as franchise fees and startup costs, make financial planning more manageable.

This financial accessibility opens doors for Gen Z entrepreneurs who are eager to enter the business world but are constrained by limited financial resources.

5. Strong Brand Identity and Marketing Support

Building a brand from the ground up requires substantial time, effort, and resources. Gen Z, with their penchant for instant gratification and quick results, may find this process overwhelming.

Franchising solves this challenge by offering a ready-made brand identity that is already recognized and trusted by consumers—which helps boost the return on investment (ROI). Moreover, franchisors typically provide robust marketing support, including national advertising campaigns, promotional materials, and digital marketing strategies.

This enables young entrepreneurs to focus on operating their business rather than struggling to establish brand recognition from scratch.

6. Flexibility and Innovation

Gen Z values flexibility and innovation, seeking opportunities that allow them to express their creativity and adapt to changing market trends.

The franchise industry is increasingly embracing these values by allowing franchisees to implement local innovations and customize their operations to meet the demands of their target market. This flexibility ensures that franchise businesses remain relevant and competitive while providing Gen Z entrepreneurs the freedom to infuse their unique ideas and vision into their franchises.

7. Digital Native Skills

Zoomers (Gen Zers) have grown up with computer technology their entire lives; it intertwines almost every aspect of their daily routine. Their undeniable comfort with tech can make integration with many franchise systems seamless (i.e., online ordering, marketing, management software, etc.).

A group of gen z franchisees on a zoom call.

With their ability and willingness to adopt and implement new software and systems, many tech-savvy business opportunities await them in franchising.

8. Networking and Community

The importance of networking and community cannot be overstated for Gen Z entrepreneurs. Community-focused franchises often do local outreach—hosting events and fundraisers for nonprofits—aligning with Zoomers’ values of authenticity and connection.

This network provides valuable opportunities for mentorship, sharing best practices, and gaining insights into industry trends. The support and camaraderie found within the franchise community can be instrumental in helping young entrepreneurs navigate challenges and achieve success.

9. Work-life Balance

Work-life balance is a significant consideration for Gen Z, who prioritize mental health and well-being alongside their professional aspirations. The franchise model often provides greater flexibility in terms of working hours and operational control, allowing entrepreneurs to maintain a healthier work-life balance. By operating a franchise, Gen Z entrepreneurs can enjoy the benefits of business ownership without sacrificing their personal lives, leading to greater overall satisfaction and productivity.

10. Unique Generation Z Traits

With an understanding of online platforms coming so naturally to this generation, their ability to drive local digital marketing efforts is unmatched.

Gen Z values community, which, of course, includes building strong online communities. They’re capable of connecting with customers and building loyalty in a dynamic way. Lastly, because of their collaborative, team-oriented nature, they can effectively manage groups of people to work together.

Addressing Gen Z's Potential Concerns About Franchising

Zoomers may understandably have concerns about owning a franchise that doesn’t align with their values or may present financial worry. Let’s put a few of these myths to rest.

Perceived Lack of Independence: This generation values the work-life balance and does not want to “live to work.” They may not realize how much entrepreneurial freedom can be found in franchising.

Young adult franchisees at a business meeting.

With the ability to build up their management teams to run the business, the franchisee can have as much or as little involvement in the day-to-day operations as they see fit. Autonomy is often a considerable perk within the franchising network.

Initial Investment Cost: This can be a perceived barrier for young entrepreneurs. With rising costs of living, mounting student and credit card debt, and often no savings, cost is of particular concern for this generation.

Fortunately, there are many low-cost franchises for Gen Z available, including varying start-up cost options and financing options for franchisees. Return on investment with franchises happens quicker than your independent startup as well, offering the growth potential that Gen Z expects.

Royalties and Ongoing Fees: These words can make anyone flinch a little bit. However, franchisees should change their perspective and consider these expenses regarding the ongoing support, brand recognition, and shared resources they will receive from their franchisor, setting them up for success and continued success.

Unlocking Franchise Opportunities for Young Adults

The franchise industry presents a compelling solution to Gen Z’s entrepreneurial desires, offering a blend of security, support, financial accessibility, and flexibility. With a proven track record, strong brand identity, and a supportive community, franchising empowers Gen Z to pursue their entrepreneurial dreams with confidence and creativity.

As this generation continues to shape the future of business, the franchise model stands ready to provide the tools and opportunities they need to succeed. In embracing franchising, Gen Z can unlock their full potential and make a lasting impact on the world of entrepreneurship.

Ready to explore the options or even talk with a franchise consultant? Browse franchises for Gen Z—or any generation—in our franchise library. Or, if you’re ready to start a conversation, get started by booking a call with us.

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Franchising is a business agreement in which one entity licenses another to use its trademark or individual business systems and processes. This enables the party to manufacture and sell a product or service that meets specific criteria. The franchisor is the person who grants these rights, while the franchisee is the person who buys them. However, you must consider the challenges of owning a franchise.

A woman is holding an open sign in front of a store.

5 Tips for Finding Success Year-Round with a Seasonal Franchise

By Daniel Hayes • March 3, 2021

Customers rely on goods and services throughout the year, and sometimes these needs are seasonal. As the owner of a seasonal franchise, this poses a big challenge. It is up to you to navigate a seasonal franchise’s unique struggles and find a way to keep your business thriving when customers aren’t as regular. However, having a seasonal business doesn’t mean you won’t have cash flow during the off-season. In reality, it’s all about strategic preparation and devising a strategy to keep you afloat long after peak season ends.

Two women are sitting at a table looking at a laptop computer.

What It’s Like to Work with a Franchise Consultant

By Daniel Hayes • February 22, 2021

Deciding to invest in a franchise can be an exciting moment in any entrepreneur’s life. There is the undeniable thrill of building an empire with the help of an established brand. However, like most business owners, there is the question of where to start. The answer is to work with a franchise consultant. A resource to be used often, these knowledgeable individuals are vital to your entrepreneurial success. Together, let’s take a look at what it’s like to work with a franchise consultant.

A woman is sitting at a desk using a laptop computer.

How to Find the Right Franchise Opportunity for You

By Daniel Hayes • February 15, 2021

Buying a franchise is a significant moment in your entrepreneurial career. It can be the launching pad for a successful business that may one day grow into a multi-unit franchise empire. The question is, how do you find the right franchise opportunity for you? There are thousands of franchises to choose from, which can be overwhelming for anyone looking to own a business of their own. If you are wondering where to start your search, check out these five first steps to franchise ownership. And if you still have questions, feel free to reach out to our team at Hundred Acre Consulting.

A man in an apron is holding a stack of plastic containers.

Top 8 Best Franchise Opportunities to Own in 2024

By Daniel Hayes • February 10, 2021

Few industries have been more affected by the COVID-19 global pandemic than franchising. Unquestionably, its existence has changed the top enterprise trends in the franchising industry as well as the top 8 franchise opportunities that will be available for purchase in 2025. Not convinced by us? Let us examine the most successful franchises and how the pandemic has boosted interest in and recognition for each of them.

A nurse is holding the arm of an elderly woman.

6 Benefits of Senior Care Franchising

By Daniel Hayes • February 2, 2021

If you’re looking for a way to break into franchising and the healthcare industry, senior care franchising is an excellent investment opportunity. As the population grows older and lives longer thanks to medical advancements, the need for senior care increases. If you’re unconvinced of the void owning a franchise can fill, check out these six benefits of senior care franchising. Maybe we can change your mind.