Most people want to become business owners, but it can be overwhelming doing everything from scratch. Owning a business outright means that you’re responsible for all tasks – from marketing to hiring staff. Some people view franchising as a way to enjoy the best of both worlds, to own a business but with support from a proven business model.
Some franchises can be very costly. However, there are some low-cost franchises available to those who can’t afford to fork out a large amount of capital. However, a low startup cost doesn’t automatically mean low profits. With the right support and hard work, these low cost franchises can become some of the most profitable franchises around.
Below are 17 franchises to for $20,000 or less. Although low cost, you may still need significant funds to maintain a franchise until it generates revenue and then a profit.
Different types of finance capital are required.
Some franchisors want their owners to have a minimum net worth before they are eligible to buy a franchise while others have liquidity requirements.
Here are 17 franchises you can buy for $20,000 or less.
Stratus Building Solutions focuses on using environmentally-friendly policies, techniques and products for commercial janitorial buildings – like restaurants, shopping malls and offices. The franchise was founded in 2006 and has been growing ever since.
As a potential franchisee, you can invest under $20,000 all the way up to $100,000. If you want to start with a higher investment, this franchise provides finances in-house to help you to raise the initial franchise fee for inventory, equipment, hiring and other startup costs.
This company has a minimum investment of $499. The franchise provides franchisees with the equipment and processes needed to maintain different types of concrete floors and wood. Their coating provides a unique opportunity to make the most of a trend, which is to renovate aging or damaged wood or concrete floors, which could mean that this becomes one of the most profitable franchises. If you become a Floor Hero franchisee, they will provide full training. Other benefits of becoming a Floor Hero franchisee include:
Amazing Athletes is a franchise that provides health and sports classes for children from the age of two and a half years to six years old. They can be found in 28 states and already have more than 100 franchises. This franchise has a total startup investment of just over $20,000. However, the cash requirement to start is under $20,000. The overhead will remain low because this is a mobile franchise, so you do not have to find funds to lease or buy a storefront.
Here are some of the benefits of owning this franchise:
The franchise fee is $495 to $9,800 with an initial investment of $3,245 to $21,850. Dream Vacations is a franchise that enables franchisees to provide travel agency services at home. They provide franchisees with training so you can start easily and quickly. Franchisees also have access to substantially discounted trips so they have firsthand experiences of the vacations they are selling.
The minimum investment is under $12,000. Maid Simple House Cleaning offers franchisees a host of services, including:
Maid Simple House Cleaning is different from other cleaning franchises because you do not need to spend on uniforms, branded vehicles or an office. One of the benefits of owning a Maid Simple House Cleaning franchise is flexibility.
There are two ownership options to choose from. The first is the owner-operator model, where you can choose to start cleaning and then hire new staff to grow your business. The manager model is ideal if you want to hire employees at the very start of your franchise. These options enable you to grow this business into the most profitable franchise at your own pace.
The franchise fee is $2,500 if you just want to teach. It will cost you $9,000 to $38,000 if you plan to own a centre. Jazzercise has been around since 1969 and is a fitness franchise for those interested in the health and fitness business. A Jazzercise franchise means that you make an initial investment, find the best location and get your dance moves ready.
There are also additional franchisee costs, including:
The cash requirement ranges from $4,000 to $6,000 with a total startup investment of $4,570 to $10,800. This franchise is a fitness business that focuses teaching moms to work out. This is a fun way to help new moms improve their fitness without having to arrange for babysitters.
According to Baby Boot Camp Franchise, their franchisees:
Expect a franchise fee of $10,995 and an initial investment of $2,090 to $23,367. This travel company franchise is a representative of American Express, making it one of the most recognizable cruise planning companies in the U.S. A franchise can be operated from home so the initial investment means no need to fork out money on finding and leasing new premises.
According to Cruise Planners, the following are perks of investing in this franchise:
The minimum investment is $5,000. Monkey Bars Garage Storage Solutions provides shelving systems and floor coatings. The company also manufactures different items, such as overhead racks and garage cabinets, including full and slat wall tiles. There is quite a low investment of $5,000, which means that Monkey Bars Garage Storage Solutions can become one of the most profitable franchises if operated properly.
According to this franchisor, the following are advantages of signing up:
The franchise fee is $15,000 along with an initial investment of $25,000 to $35,000 (a low franchise fee and a slightly higher initial investment). However, it is still considered to be a low-cost franchise and can become one of the most profitable franchises with its soccer program for kids.
Lil’ Kickers also aims to advertise their locations as places for the development of the senses so the impact of the program can be felt way beyond kids just playing soccer. This is a great franchise opportunity if you have experience working with kids and want to do good things for your community.
The franchise fee is $5,495 to $10,495 with an initial investment of $6,205 to $24,285. This franchise has been popular because fitness programs for moms and kids are in high demand. Fit4moms provides different scheduling options and gives franchisees the opportunity to carry out their own Stroller Strides fitness classes, Fit4baby classes, Body Right classes and the Fit4mom run club.
This enables owners to run a franchise at a convenient time and place. The benefits include exclusive territories, flexible schedules to work around what’s best for you and support from a dedicated team to ensure that you get the best advice on how to run a successful franchise.
The cash startup investment comes in at $12,500 with a total investment running to $25,000. This franchise opportunity takes advantage of the growing food delivery market. It enables franchisees to start a grocery and restaurant delivery business and provides the following:
According to Time to Eat, they only charge a one-time franchise fee and their franchisees do not have monthly royalties.
The franchise fee is $5,000 to $17,500 plus an initial investment of $18,685 to $84,205. SuperGlass Windshield Repair provides franchisees with the opportunity to run a profitable business after only a few weeks of training. The company is based in Orlando but has operations worldwide.
The franchise focuses on mobile services, which accounts for the low startup cost. It also enables franchisees to be competitive and keep up with customer demand. If you are looking for a low-cost franchise that could potentially become one of the most profitable around, consider SuperGlass Windshield Repair.
Social Owl allows franchisees to run a successful social media business. They provide everything needed to start and manage a franchise, including a turn-key business model and branded website. With Social Owl, you need no experience in social media and they provide the following:
If you are interested in a very low-cost franchise, which can be very profitable because of the growing need of businesses who require social media services and want the freedom to set your own prices, consider investing in Social Owl.
You need to secure a franchise fee of $15,000 to $45,000 and make an initial investment of $21,250.00 to $106,800. The property management industry is growing as more people are renting their homes. Property Management Inc. provide franchisees with training, technology and marketing to grow and make their franchises as profitable as possible.
Franchisees don’t need to be experts in property management because they will get full training. So, this franchise is suitable for those who have an interest in property management or already have experience in managing property.
Hotel Key Kaddy is different from most franchises in the travel industry because it does not involve running your own agency. Instead, it involves marketing services directly to hotels and local business owners. It takes a minimum cash infusion of $18,900. Hotel Key Kaddy makes digital hotel room keys with information about local businesses, including restaurants and different attractions.
The basis of the franchise is that Hotel Key Kaddy provides their key caddies for free to hotels and as a franchisee, it’s your responsibility to find companies who want to advertise on those key kaddies. You then receive a portion of the sale for every person who signs up. According to Hotel Key Kaddy, franchisees have unlimited potential earnings and can quickly make this a profitable franchise.
The benefits include:
The franchise fee is $15,000 to $32,500. Mosquito Squad requires an initial investment of $17,050 to $79,425. Mosquitoes can be annoying but this could be one of the most profitable franchises if you want to help people deal with this problem.
The Mosquito Squad was started in 2009 and is now a recognized brand of pest control. They have over 200 franchises and reportedly have done more than $50 million in sales. With a low franchise fee, you can benefit from third-party lender relationships with different financing companies if you need help raising the capital.
The 17 franchises above can be yours for under $20,000 and many can turn into some of the most profitable franchises if you follow their proven systems, put in hard work and remain persistent. These franchises show that you can start and operate a franchise for a relatively low cost.
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