How big is the US franchise industry in 2026?

What this figure measures

A projection of total franchise output in the United States for calendar year 2026, stated in US dollars. The report defines franchise output as the total value of sales of goods and services, so it is a revenue-type measure rather than a measure of profit. It is a forecast rather than a recorded result: the report's own table labels 2025 as an estimate and 2026 as a projection.

How it was produced

The International Franchise Association published the outlook, and FRANdata, a franchise research firm, conducted it with sponsorship from Benetrends Financial. The report's methodology note describes a proprietary forecasting model drawing on internal databases that track approximately 9,000 US franchise brands, plus franchise disclosure documents and macroeconomic indicators, adjusted with qualitative input from industry participants. The 2026 output figure is derived by extrapolating FRANdata's 2025 estimate.

What it does not tell you

The number was projected before the year's results were known, so it describes an expectation and can differ from what franchised businesses actually sell. The model is described as proprietary, so outside readers cannot reproduce it. Output counts sales, which says nothing about margins or franchisee profitability. The figure covers the United States only, and the study's sponsor is a franchise funding company.

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