IRVINE, Calif. -- While remaining in the top 10--a major accomplishment--7-Eleven Inc. fell to No. 10 in 2015 from No. 6 in 2014 in Entrepreneur magazine's annual ranking of franchise opportunities, the "Franchise 500."
Dallas-based 7-Eleven has startup costs between $37,000 and $2 million, according to the report.
"It's amazing that with more than 54,500 stores operating worldwide, there's still room for new 7-Elevens," Entrepreneur said. "In 2014, 330 units opened their doors in the U.S. and Canada, and a similar number will open this year."
It added, "Clearly 7-Eleven's strategy to go beyond the typical convenience store (which it has fostered for the last half-decade) is paying off. Its huge range of inexpensive yet high-quality private-label products--from beer and wine to nuts and batteries--has been a hit with consumers. But what's really driving growth is a focus on feeding the public, not just with Slurpees and chips but with an ever-growing selection of hot foods, including more healthful options. Some locations are offering wraps, salads and juices developed by P90X fitness guru Tony Horton, as well as items like egg-white sandwiches."
The full top 10 included:
- Hampton Hotels
- Anytime Fitness
- Subway
- Jack in the Box
- Supercuts
- Jimmy John's
- Servpro
- Denny's
- Pizza Hut
- 7-Eleven
Other convenience store chains to make the 2015 Franchise 500 list included Laval, Quebec-based Alimentation Couche-Tard Inc.'s Circle K, which came in at No. 42 and has startup costs between $21,000 and $2 million, and La Palma, Calif.-based BP's ampm, which took the No. 177 slot and has startup costs between $397,000 and $8 million.
Also making the list were Chester's Chicken at No. 119 and Orion Food Systems at No. 358, both of which focus on supplying convenience store and nontraditional retailers, as well as many QSRs, most of which have major presences in c-stores.
Entrepreneur judges all companies, regardless of size, by objective, quantifiable measures of a franchise operation and assign a cumulative score. The most important factors include financial strength and stability, growth rate and size of the system. It also consider the number of years a company has been in business and the length of time it has been franchising, startup costs, litigation, percentage of terminations and whether the company provides financing. It does not measure subjective elements such as franchisee satisfaction or management style. An independent CPA analyzes the financial data.
Click here to view the full Franchise 500 list.
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