Franchise Facts and Figures: Veteran Discounts in the Franchise Industry

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A franchise relationship represents a unique business model that occupies a place between starting your own business and managing a business for someone else.

Veterans can represent ideal candidates for a franchise. Most veterans have leadership skills that are transferable to operating a franchise. They also understand the value of organizational structure and how it leads to effective results.  For these reasons, a number of franchisors market directly to Veterans and provide various discounts and incentives.

Based on 1,364 franchise systems, FranchiseGrade.com identified Initial Franchise Fee discounts offered to US Veterans.

The Business and Commercial Services sectors account for the highest percentage of franchisors offering discounts to qualified Veterans. The franchise sector with the lowest percentage of franchisors providing discounts for Veterans is the Lodging sector

The Automotive sector provides the highest percentage discount amount followed by QSR franchise concepts. A discount of 20% or higher can be considered fairly substantial depending upon the amount of the total investment

VetFran is a program created in 1991, by the International Franchise Association to provide Veterans with professional skills and entrepreneurial knowledge to achieve ownership of a franchised business. Franchisors, participating in the VetFran program, offer financial incentives by discounting the initial fee or other fees or by contributing to the franchisee’s initial cost of investment.  Each franchisor must offer an incentive to veterans of no less than a 10% reduction on the initial franchise fee.  Franchisors not participating in the VetFran program can still offer discounts and other financial incentives to Veterans.

FranchiseGrade.com is the leader in competitive market research and objective analysis for the franchise industry. We compare and grade franchise systems for their investment value. Our motivation is simple: we want to raise the bar in franchise industry market research and build a stronger franchise community in the process. By surveying as many as 18,000 franchisees and reviewing more than 2,400 Franchise Disclosure Documents every year we are able to maintain an extensive database of current franchising information for our industry leading research and analysis.

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