2024 Dominators
The U.S. franchising landscape has undergone a significant transformation over the past decade, marked by a notable increase in multi-unit franchisee ownership. Recent data from our franchisee database reveals that there are approximately 42,891 multi-unit operators (MUOs) in the country, collectively managing 241,380 units. MUOs now control 56% of all franchised units, highlighting their growing influence within the industry. On average, an MUO today owns 5.5 franchised units, up from 4.9 units a decade ago, reflecting a steady annualized growth rate of 1.1%.
Ownership dynamics have also shifted with franchise transfers increasing at a compound annual growth rate (CAGR) of 4.8% over the past decade. This trend points to an active and fluid market as franchisees buy and sell existing units more frequently than in the past. Despite the industry’s growth, challenges have emerged, particularly in the QSR sector. Major multi-unit operators of brands like Burger King, Popeyes, McDonald’s, and Wendy’s have faced financial difficulties with some filing for Chapter 11 bankruptcy. Contributing factors include rising labor and ingredient costs, stagnant foot traffic, and high interest rates.
Moreover, the shift away from city centers due to remote work has impacted sales, especially for locations reliant on office workers and downtown traffic. Despite these obstacles, large MUOs continue to pursue growth. For example, Tacala LLC, the largest Taco Bell franchisee, recently secured a major investment led by Altamont Capital Partners and other partners, providing the capital needed for further expansion in both the Taco Bell system and new ventures like 7 Brew Drive-thru Coffee stands.
These trends illustrate a franchising market in transition. With a greater concentration of multi-unit operators and a rising pace of ownership transfers, the industry is evolving toward a structure favoring scale and consolidation. While economic pressures persist, large operators remain focused on growth, showcasing resilience and adaptability as they navigate an ever-changing landscape.
Ambika Oberoi is director of information management at FRANdata.
STATE |
LARGEST FRANCHISEES |
UNITS |
---|---|---|
ALABAMA |
TACALA |
124 |
ALASKA |
MICHAEL DAVIDSON |
21 |
ALASKA |
SUBWAY DEVELOPMENT OF ALASKA |
21 |
ARIZONA |
DESERT DE ORO FOODS |
172 |
ARKANSAS |
K-MAC ENTERPRISES |
99 |
CALIFORNIA |
G & M OIL CO |
285 |
COLORADO |
FLYNN GROUP |
130 |
CONNECTICUT |
GREAT AMERICAN DONUT |
45 |
D.C. |
KOVAN GROUP/DEKK GROUP/NGP MANAGEMENT |
9 |
D.C. |
TEAM WASHINGTON |
9 |
DELEWARE |
NISTAZOS AND SONS/FRANCHISE MANAGEMENT SERVICES |
25 |
FLORIDA |
SUMMIT RESTAURANT GROUP (NEIGHBORHOOD HOSPITALITY/ARGONNE CAPITAL) |
224 |
GEORGIA |
GPS HOSPITALITY |
131 |
HAWAII |
RBD CALIFORNIA RESTAURANTS LIMITED |
60 |
IDAHO |
FLYNN GROUP |
52 |
ILLINOIS |
THE DHANANI GROUP |
206 |
INDIANA |
FLYNN GROUP |
141 |
IOWA |
FRASIER ENTERPRISES |
38 |
KANSAS |
ROTTINGHAUS COMPANY |
150 |
KENTUCKY |
FOURTEEN FOODS |
62 |
LOUISIANA |
GPS HOSPITALITY |
109 |
MAINE |
MICHAEL M COSTA—DUNKIN’ |
34 |
MARYLAND |
FLYNN GROUP |
89 |
MASSACHUSETTS |
CAFUA MANAGEMENT COMPANY (CMC) |
83 |
MASSACHUSETTS |
COUTO MANAGEMENT GROUP/DARTMOUTH MANAGEMENT GROUP/CAPE MANAGEMENT TEAM |
83 |
MICHIGAN |
TEAM SCHOSTAK FAMILY RESTAURANTS (TSFR APPLE VENTURE) |
130 |
MINNESOTA |
THE DHANANI GROUP |
99 |
MISSISSIPPI |
CARLISLE |
78 |
MISSOURI |
FLYNN GROUP |
211 |
MONTANA |
THE TAX DOCTORS |
21 |
NORTH CAROLINA |
BODDIE-NOELL ENTERPRISES |
127 |
NORTH DAKOTA |
MIDWEST SUBWAY DEVELOPMENT |
20 |
NEBRASKA |
STAAB MANAGEMENT COMPANY |
54 |
NEVADA |
TERRIBLE HERBST |
128 |
NEW HAMPSHIRE |
KOVAN GROUP/DEKK GROUP/NGP MANAGEMENT |
41 |
NEW JERSEY |
THE BRIAD GROUP (BRIAD RESTAURANT & LODGING GROUP) |
65 |
NEW MEXICO |
MERRITT GROUP |
69 |
NEW YORK |
METRO FRANCHISING COMMISSARY |
139 |
OHIO |
THE COVELLI FAMILY LIMITED PARTNERSHIP |
134 |
OKLAHOMA |
FLYNN GROUP |
113 |
OREGON |
AMBROSIA QSR |
76 |
PENNSYLVANIA |
FLYNN GROUP |
126 |
RHODE ISLAND |
DAN’S MANAGEMENT COMPANY |
39 |
SOUTH CAROLINA |
CAROLINA RESTAURANT GROUP |
56 |
SOUTH DAKOTA |
CAVE ENTERPRISES OPERATIONS |
23 |
TENNESSEE |
RRD FINANCIAL SERVICES/STUDLE FINANCIAL SERVICES |
93 |
TEXAS |
THE DHANANI GROUP |
621 |
UTAH |
SIZZLING PLATTER |
87 |
VERMONT |
VERMONT DONUT ENTERPRISES |
17 |
VIRGINIA |
BODDIE-NOELL ENTERPRISES |
168 |
WASHINGTON |
AMBROSIA QSR |
116 |
WEST VIRGINIA |
LITTLE GENERAL STORE |
78 |
WISCONSIN |
CAVE ENTERPRISES OPERATIONS |
101 |
WYOMING |
GRAND MERE RESTAURANT GROUP |
20 |
Source: FRANdata
Note: Data based on most current FDDs.
ENTIRE U.S.
MSA |
FRAN-CHISED UNITS |
---|---|
NEW YORK-NEWARK-JERSEY CITY, NY-NJ-PA |
16,257 |
LOS ANGELES-LONG BEACH-ANAHEIM, CA |
13,550 |
CHICAGO-NAPERVILLE-ELGIN, IL-IN-WI |
11,494 |
DALLAS-FORT WORTH-ARLINGTON, TX |
10,736 |
HOUSTON-THE WOODLANDS-SUGAR LAND, TX |
9,971 |
ATLANTA-SANDY SPRINGS-ALPHARETTA, GA |
9,166 |
WASHINGTON-ARLINGTON-ALEXANDRIA, DC-VA-MD-WV |
7,368 |
MIAMI-FORT LAUDERDALE-POMPANO BEACH, FL |
7,065 |
PHILADELPHIA-CAMDEN-WILMINGTON, PA-NJ-DE-MD |
6,721 |
PHOENIX-MESA-CHANDLER, AZ |
6,251 |
RIVERSIDE-SAN BERNARDINO-ONTARIO, CA |
5,387 |
DETROIT-WARREN-DEARBORN, MI |
5,385 |
MINNEAPOLIS-ST. PAUL-BLOOMINGTON, MN-WI |
4,858 |
TAMPA-ST. PETERSBURG-CLEARWATER, FL |
4,764 |
BOSTON-CAMBRIDGE-NEWTON, MA-NH |
4,637 |
SEATTLE-TACOMA-BELLEVUE, WA |
4,513 |
DENVER-AURORA-LAKEWOOD, CO |
4,420 |
CHARLOTTE-CONCORD-GASTONIA, NC-SC |
4,391 |
SAN FRANCISCO-OAKLAND-BERKELEY, CA |
4,360 |
SAN DIEGO-CHULA VISTA-CARLSBAD, CA |
3,989 |
ORLANDO-KISSIMMEE-SANFORD, FL |
3,852 |
ST. LOUIS, MO-IL |
3,844 |
NASHVILLE-DAVIDSON--MURFREESBORO--FRANKLIN, TN |
3,373 |
INDIANAPOLIS-CARMEL-ANDERSON, IN |
3,359 |
SAN ANTONIO-NEW BRAUNFELS, TX |
3,348 |
BALTIMORE-COLUMBIA-TOWSON, MD |
3,315 |
C INNATI, OH-KY-IN |
3,300 |
SACRAMENTO-ROSEVILLE-FOLSOM, CA |
3,186 |
AUSTIN-ROUND ROCK-GEORGETOWN, TX |
3,108 |
KANSAS CITY, MO-KS |
3,094 |
LAS VEGAS-HENDERSON-PARADISE, NV |
3,059 |
PORTLAND-VANCOUVER-HILLSBORO, OR-WA |
3,009 |
PITTSBURGH, PA |
2,946 |
COLUMBUS, OH |
2,938 |
VIRGINIA BEACH-NORFOLK-NEWPORT NEWS, VA-NC |
2,920 |
CLEVELAND-ELYRIA, OH |
2,582 |
JACKSONVILLE, FL |
2,419 |
RALEIGH-CARY, NC |
2,331 |
MILWAUKEE-WAUKESHA, WI |
2,207 |
OKLAHOMA CITY, OK |
2,119 |
SAN JOSE-SUNNYVALE-SANTA CLARA, CA |
2,102 |
RICHMOND, VA |
2,049 |
LOUISVILLE/JEFFERSON COUNTY, KY-IN |
1,775 |
MEMPHIS, TN-MS-AR |
1,752 |
NEW ORLEANS-METAIRIE, LA |
1,730 |
SALT LAKE CITY, UT |
1,725 |
PROVIDENCE-WARWICK, RI-MA |
1,672 |
BIRMINGHAM-HOOVER, AL |
1,562 |
GREENVILLE-ANDERSON, SC |
1,548 |
OMAHA-COUNCIL BLUFFS, NE-IA |
1,539 |
HARTFORD-EAST HARTFORD-MIDDLETOWN, CT |
1,453 |
TULSA, OK |
1,408 |
KNOXVILLE, TN |
1,336 |
GRAND RAPIDS-KENTWOOD, MI |
1,331 |
CHARLESTON-NORTH CHARLESTON, SC |
1,327 |
DES MOINES-WEST DES MOINES, IA |
1,325 |
COLUMBIA, SC |
1,298 |
NORTH PORT-SARASOTA-BRADENTON, FL |
1,277 |
DAYTON-KETTERING, OH |
1,246 |
LITTLE ROCK-NORTH LITTLE ROCK-CONWAY, AR |
1,217 |
COLORADO SPRINGS, CO |
1,214 |
TUCSON, AZ |
1,183 |
CAPE CORAL-FORT MYERS, FL |
1,178 |
ALBUQUERQUE, NM |
1,176 |
BATON ROUGE, LA |
1,144 |
BUFFALO-CHEEKTOWAGA, NY |
1,103 |
OXNARD-THOUSAND OAKS-VENTURA, CA |
1,096 |
URBAN HONOLULU, HI |
1,091 |
BOISE CITY, ID |
1,061 |
BRIDGEPORT-STAMFORD-NORWALK, CT |
1,059 |
FRESNO, CA |
1,050 |
MADISON, WI |
1,046 |
ALLENTOWN-BETHLEHEM-EASTON, PA-NJ |
1,013 |
EL PASO, TX |
997 |
GREENSBORO-HIGH POINT, NC |
992 |
WICHITA, KS |
967 |
CHATTANOOGA, TN-GA |
966 |
ROCHESTER, NY |
964 |
BAKERSFIELD, CA |
949 |
AKRON, OH |
946 |
ALBANY-SCHENECTADY-TROY, NY |
936 |
JACKSON, MS |
930 |
MYRTLE BEACH-CONWAY-NORTH MYRTLE BEACH, SC-NC |
925 |
WORCESTER, MA-CT |
913 |
NEW HAVEN-MILFORD, CT |
899 |
AUGUSTA-RICHMOND COUNTY, GA-SC |
887 |
STOCKTON, CA |
879 |
PALM BAY-MELBOURNE-TITUSVILLE, FL |
868 |
LEXINGTON-FAYETTE, KY |
862 |
DELTONA-DAYTONA BEACH-ORMOND BEACH, FL |
856 |
FAYETTEVILLE-SPRINGDALE-ROGERS, AR |
855 |
TOLEDO, OH |
850 |
LAKELAND-WINTER HAVEN, FL |
834 |
HARRISBURG-CARLISLE, PA |
819 |
OGDEN-CLEARFIELD, UT |
818 |
PROVO-OREM, UT |
805 |
SAVANNAH, GA |
790 |
HUNTSVILLE, AL |
786 |
DURHAM-CHAPEL HILL, NC |
778 |
PENSACOLA-FERRY PASS-BRENT, FL |
767 |
WINSTON-SALEM, NC |
756 |
ASHEVILLE, NC |
747 |
MCALLEN-EDINBURG-MISSION, TX |
720 |
LAFAYETTE, LA |
697 |
SPRINGFIELD, MO |
694 |
SPOKANE-SPOKANE VALLEY, WA |
691 |
LANSING-EAST LANSING, MI |
680 |
PORT ST. LUCIE, FL |
679 |
MODESTO, CA |
671 |
RENO, NV |
666 |
SYRACUSE, NY |
666 |
FAYETTEVILLE, NC |
666 |
SALISBURY, MD-DE |
660 |
PORTLAND-SOUTH PORTLAND, ME |
649 |
YOUNGSTOWN-WARREN-BOARDMAN, OH-PA |
641 |
SPRINGFIELD, MA |
627 |
POUGHKEEPSIE-NEWBURGH-MIDDLETOWN, NY |
622 |
SCRANTON--WILKES-BARRE, PA |
613 |
FORT COLLINS, CO |
605 |
LUBBOCK, TX |
597 |
MOBILE, AL |
597 |
KILLEEN-TEMPLE, TX |
589 |
CRESTVIEW-FORT WALTON BEACH-DESTIN, FL |
587 |
VALLEJO, CA |
583 |
FORT WAYNE, IN |
579 |
Source: FRANdata
Note: Data based on most current FDDs.
LARGEST FRANCHISEES BY U.S. REGION
EAST
(DC, DE, MD, NJ, NY, PA, WV)
UNITS |
|
---|---|
FLYNN GROUP |
269 |
SUMMERWOOD CORPORATION |
192 |
HAZA GROUP |
146 |
KBP BRANDS |
145 |
KOVAN GROUP/DEKK GROUP/NGP MANAGEMENT |
145 |
MIDWEST
(IL, IN, MI, MN, OH, WI)
UNITS |
|
---|---|
THE DHANANI GROUP |
371 |
FLYNN GROUP |
341 |
KBP BRANDS |
280 |
ALLINE SALON GROUP |
191 |
MOUNTAIN WEST
(CO, ID, MT, UT, WY)
UNITS |
|
---|---|
FLYNN GROUP |
236 |
SIZZLING PLATTER |
135 |
ALVARADO RESTAURANT NATION/ALARADO HOLDINGS/PALO ALTO |
104 |
HARMAN MANAGEMENT CORPORATION |
103 |
MBN BRANDS |
80 |
NEW ENGLAND
(CT, ME, MA, NH, RI, VT)
UNITS |
|
---|---|
CAFUA MANAGEMENT COMPANY (CMC) |
168 |
KOVAN GROUP/DEKK GROUP/NGP MANAGEMENT |
158 |
THE DHANANI GROUP |
98 |
COUTO MANAGEMENT GROUP/DARTMOUTH MANAGEMENT GROUP/CAPE MANAGEMENT TEAM |
95 |
HK ENTERPRISES |
85 |
PLAINS
(IA, KS, MO, NE, ND, OK, SD)
UNITS |
|
---|---|
FLYNN GROUP |
489 |
ROTTINGHAUS COMPANY |
285 |
LOVE’S TRAVEL STOPS & COUNTRY STORES |
198 |
K-MAC ENTERPRISES |
177 |
FUGATE ENTERPRISES |
138 |
SOUTH
(AL, AR, FL, GA, KY, IA, MS, NC, SC, TN, TX, VA)
UNITS |
|
---|---|
FLYNN GROUP |
900 |
THE DHANANI GROUP |
843 |
SUN HOLDINGS (RMH FRANCHISE—APPLEBEE’S) |
705 |
KBP BRANDS |
498 |
SOUTHWEST
(AZ, NV, NM)
UNITS |
|
---|---|
DESERT DE ORO FOODS |
182 |
MERRITT GROUP |
148 |
TERRIBLE HERBST |
128 |
WENDYS OF COLORADO SPRING/HOLLAND BUERK ENTERPRISES |
123 |
DIVERSIFIED RESTAURANT GROUP (DRG) |
96 |
WEST
(AK, CA, HI, OR, WA)
UNITS |
|
---|---|
G & M OIL CO |
285 |
FLYNN GROUP |
247 |
HARMAN MANAGEMENT CORPORATION |
239 |
AKASH MANAGEMENT |
234 |
AMERICAN WEST RESTAURANT GROUP |
229 |
Source: FRANdata
Note: Data based on most current FDDs.
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