Ever wanted to own a business but felt it was out of reach? You’re not alone. Starting from scratch is tough, but with a small franchise business, you get a proven system and support to help you succeed.
The best part? You don’t need a fortune to get started. Many great low-cost franchises make business ownership more accessible than you might think. In fact, nearly 4% of all small businesses in the U.S. are franchises, proving that this model works for thousands of entrepreneurs just like you.
But let’s be real—finding the right fit isn’t just about going for the cheapest franchises. It’s about choosing a business that excites you, matches your skills, and has real growth potential.
That’s where this guide comes in. We’ll break down what to look for in low-cost franchises and highlight nine opportunities that could be your perfect stepping stone into business ownership—all without breaking the bank.
Ready to explore your options? Let’s dive in!
What is a Small Franchise Business?
Starting a business from scratch can feel overwhelming—there’s so much to figure out, from branding and marketing to operations and customer acquisition. That’s where a small franchise business comes in.
It’s an affordable way to step into entrepreneurship with the support of an established brand. Instead of building everything on your own, you follow a proven system that provides the tools, training, and structure to help you succeed.
Think of it this way: Imagine you want to open a coffee shop. If you start from scratch, you’d have to create a menu, build a brand, market to customers, and secure suppliers—all without knowing what will work.
But with a small franchise business, much of that groundwork is already done for you. You get a step-by-step roadmap, ongoing support, and the credibility of a recognized brand, making the process smoother and less risky.
And the best part? You don’t need a fortune to get started. While big-name franchises like McDonald’s or Dunkin’ can require investments of $250,000 or more, many small franchise businesses start at just $15,000.
If you’re wondering which franchises fit within your budget, Franchise Business Review regularly publishes lists of affordable franchise opportunities, helping aspiring business owners find the best options with lower startup costs.
1. Know What You’re Really Paying For
Starting a franchise is exciting, but before you dive in, you need to understand the full financial picture. The initial franchise fee is just the beginning—you’ll also have to budget for equipment, marketing, insurance, supplies, and daily operating costs. And let’s not forget working capital to keep things running until your business actually makes money.
Think of it like planning a big road trip. You wouldn’t just budget for gas—you’d also plan for food, lodging, and unexpected expenses. The same applies to franchising.
For example, you find a promising cleaning franchise with a $10K franchise fee. It seems affordable, but after reviewing the Franchise Disclosure Document (FDD), you realize you’ll also need $8K for marketing, $3K for insurance, and enough cash to keep the lights on for a few months.
Without a solid financial plan, you’d be running on empty before your business even gets started.
2. Do Your Research—Know the Racetrack Before You Race
Buying a franchise without market research is like entering a race on a track you’ve never seen before. To succeed, you need to understand the following:
- Industry Growth – Is this a growing business, or is it declining?
- Market Demand – Do people actually want what the franchise offers?
- Future Potential – Will customers still need this service in five years?
- Competition – Who else is in the game, and what makes them successful?
- Market Size & Location – Is there enough room for your business to thrive?
For instance, the property management industry is booming. Many franchises offer training, marketing support, and technology, making it easier for newcomers to succeed.
But if you invest in a franchise without checking the market first, you could end up competing in an oversaturated area or a declining industry. Doing your research upfront is like having a map for success instead of driving blind.
3. Make Sure the Franchisor Has Your Back
One of the biggest perks of franchising is that you’re not in it alone—but that only works if the franchisor supports you. Some franchises offer comprehensive training, marketing assistance, and ongoing mentorship, while others just hand you a manual and wish you luck.
Imagine joining a sports team where the coach never shows up. No training, no strategy, no game plan. That’s exactly what it feels like to join a franchise with no real support.
For example, you invest in a fitness coaching franchise that promises “full support.” But once you sign, you realize the training is just a one-day webinar, there’s no help with marketing, and the franchisor barely responds to emails.
Meanwhile, another franchisee you know picked a brand that provides mentorship, ad campaigns, and business coaching—helping them grow much faster. Doing your homework ensures you’re choosing a franchise that sets you up for success, not one that leaves you stranded.
4. Talk to Franchisees—Your Future Teammates
If you want the real story, talk to people who’ve already been in your shoes. Existing franchise owners are like teammates who have already played the game—they’ll tell you what works, what doesn’t, and whether the franchisor actually delivers on their promises.
- Ask about challenges and successes.
- Find out if they’re happy with the franchisor’s support.
- Learn the strategies that helped them grow.
- See if there’s a real community among franchisees.
For example, you’re considering a tutoring franchise, and everything looks perfect on paper. But after calling a few franchisees, you learn that customer demand is seasonal, marketing isn’t as easy as advertised, and the franchisor’s support is hit-or-miss. Now, you have real insights to make an informed decision before investing.
9 Small Franchise Opportunities
Going into low-cost franchise opportunities is a great way to start entrepreneurship and get the support of an established brand. Here are 9 small franchise businesses that offer unique opportunities across various industries.
1. Mobile Food Trucks
If you’ve ever dreamed of bringing amazing food to people wherever they are, a mobile food truck franchise might be the perfect investment for 2025. Food trucks give you the freedom to serve up everything from gourmet tacos and fusion dishes to classic burgers and ice cream—all without the hefty costs of a traditional restaurant.
Instead of being tied to one location, you can take your business to festivals, busy city streets, or popular events, meeting customers where they’re hungry. Also, food trucks have become a go-to for people looking for unique, high-quality meals on the move.
Of course, running a food truck isn’t just about cooking great food. You’ll need to navigate local permits, find the best locations, and make sure your menu stands out in a competitive market. Space inside the truck is also tight, so efficient operations and smart storage solutions are key.
But with the right planning and passion, a food truck can be a fun, profitable, and rewarding business to own.
Franchise Fee
Estimated range: $20,000 – $50,000+
Pros:
- Lower Startup Costs: No expensive rent or major build-out costs like a traditional restaurant.
- Go Where the Customers Are: Move to high-traffic areas, events, or festivals to maximize sales.
- Trendy & Exciting: Customers love food trucks for their creative menus and unique dining experiences.
- Flexible & Adaptable: Easily update your menu to match local tastes, dietary trends, and seasonal favorites.
Cons:
- Permits & Regulations: Getting the right licenses can take time and varies by location.
- Standing Out Matters: The food truck industry is competitive, so branding and marketing are key.
- Limited Space: Storage and prep areas are tight, so efficiency is a must.
2. Ice Cream and Frozen Yogurt
The frozen dessert market continues to grow, and with a relatively lower startup cost compared to other industries, this business can be an accessible and rewarding opportunity.
You can start with a small kiosk and expand as demand increases, making it a flexible option for entrepreneurs. Plus, who wouldn’t love running a business centered around sweet treats and happy customers?
That said, there are important factors to consider before diving in. Beyond the franchise fee, you’ll need to budget for equipment, rent, inventory, and staff training. The industry is competitive, and sales can fluctuate with the seasons, meaning strong marketing and excellent customer service are key to standing out.
If you’re prepared to manage these challenges, this could be a fun and profitable business to own.
Franchise Fee
Estimated range: $25,000 – $75,000+
Pros:
- Scalability: Start small and grow at your own pace.
- Ever-Popular Treats: Ice cream and frozen yogurt never go out of style, especially in warm weather.
- Enjoyable Work Atmosphere: Serving frozen treats can be a fun, upbeat experience.
- Lower Investment Barrier: Compared to other franchises, the startup costs can be more manageable.
Cons:
- Seasonal Slumps: Sales may dip during colder months.
- Competitive Industry: Standing out requires strong branding and customer service.
- Inventory Management: Since ingredients are perishable, careful planning is essential.
3. Cleaning Services
A cleaning service franchise might be the perfect opportunity if you’re looking for a business that’s always in demand. Homes and businesses will always need professional cleaning, making this a stable and reliable industry. You can start small with just a few team members and gradually expand as your client base grows.
Compared to other businesses, startup costs are generally lower, making it more accessible for new business owners. Many franchises offer support and financing options that help new business owners overcome the typical challenges faced when starting out.
That said, success in this industry isn’t just about having the right supplies—it’s about standing out. The competition can be tough, so offering great service, fair pricing, and strong customer relationships is key.
Hiring and keeping a solid team is another challenge, as cleaning businesses often experience high employee turnover. And while there’s no shortage of potential customers, marketing your services effectively is essential to bring in steady business.
Franchise Fee:
Estimated range: $25,000 – $75,000+
Pros:
- Consistent Demand: Homes and offices always need cleaning services.
- Easy to Start & Grow: Begin with a small team and expand over time.
- Lower Startup Costs: More affordable entry compared to other franchise industries.
- Flexible Service Offerings: Specialize in residential, commercial, or niche cleaning services.
Cons:
- Competitive Market: You’ll need great service and smart pricing to stand out.
- Staffing Struggles: High turnover means you’ll need to recruit and train consistently.
- Marketing is Key: Attracting new customers requires strong branding and outreach.
4. Pet Services
If you love animals and want to turn that passion into a business, a pet services franchise could be a perfect fit. More people than ever are treating their pets like family and are willing to invest in high-quality care.
Whether it’s dog walking, pet grooming, pet sitting, or even waste removal, pet-related services are in high demand—and that demand isn’t slowing down anytime soon.
One of the best things about this business is its flexibility. You can start small, offering just one service, like dog walking, and gradually expand to include grooming, training, or boarding.
It’s also a business that brings personal fulfillment—you get to build relationships with pets and their owners while providing services that make their lives easier.
However, it’s important to keep in mind that the pet care industry is competitive, and standing out will require great marketing, excellent customer service, and a strong reputation.
Pros:
- Booming Industry: Pet owners are spending more on professional pet care.
- Scalability: Start small with one service and grow as demand increases.
- Flexible Schedule: Great for those who want a business that fits their lifestyle.
- Rewarding Work: You get to spend time with animals and build relationships with pet owners.
Things to Consider:
- Standing Out is Important: Marketing and great customer service are essential to success.
- Licensing & Permits: Depending on your location, some services may require extra paperwork.
- Physical Work: Walking, lifting, and handling pets require good stamina.
5. Mobile Services
Mobile services bring services to the customer’s location, eliminating the need for them to travel. This can be a wide range of services, such as mobile detailing, car washes, lawn care, or mobile notary services.
Initial Investment:
$15,000-$40,000.
Pros:
Mobile services have become more popular due to their convenience to the customer. By eliminating the need for customers to travel, mobile services can attract a wider customer base who value their time and convenience.
Compared to brick-and-mortar businesses, mobile services often require lower overhead costs such as rent and utilities for a physical location.
Also, mobile service businesses can start with a single service and a small service area and scale up as the business grows. The mobile service concept can be applied to various industries, so entrepreneurs can choose a niche that fits their interests and skills.
Cons:
One of the biggest drawbacks is the cost of modifying a vehicle to accommodate the chosen service, which can be expensive. Another potential issue is the limited service area, which might be geographically constrained by travel time and practicalities.
Some mobile services like car washing or lawn care may also be affected by weather conditions, which can further limit their availability.
Lastly, reaching the target audience can be challenging as traditional storefront visibility is not applicable, making marketing efforts harder.
6. Home-Based Travel Agency
Imagine turning your love for travel into a business—without the hassle of a brick-and-mortar office. A home-based travel agency franchise is an affordable way to start your own venture while enjoying the flexibility of working from anywhere.
Instead of being an employee, you’ll be a franchise business owner, running your own business with the support of a well-known brand. Take Cruise Planners, for example. As a franchisee, you’ll become a travel agent, giving you access to exclusive deals and trusted resources to book cruises, vacations, and more.
Initial Investment:
$10,000 – $50,000+
Pros:
A career in the travel industry offers flexibility and the ability to set your own schedule.
Also, you won’t need a physical office, which keeps startup costs low and gives you a better chance of turning it into a profitable business faster.
Travel also offers scalability, meaning you can gradually expand your client base and service offerings over time.
There may even be discounts or perks on travel for yourself.
Cons:
The travel industry is competitive and requires strong marketing and sales skills to succeed.
Long working hours may be required to accommodate clients in different time zones. Income potential is also limited as earnings depend on commission structures and client base.
Also, technology is a key component of the travel industry, so reliable internet access and proficiency in travel booking software are important.
7. Empowering Transformations: Fitness Coaching Franchises
Are you passionate about helping people achieve their fitness goals? Do you love seeing the positive impact of healthy living?
Then, consider entering the fitness coaching franchise world. Imagine owning a business where you help people reach their full potential. You’ll provide personalized coaching, guidance, and support to help clients achieve their fitness goals and experience the power of healthy living.
Initial Investment:
$30,000 – $100,000+
Pros:
The demand for personalized fitness guidance is growing rapidly, driven by increasing health awareness and diverse fitness trends.
Witnessing clients’ transformations and contributing to their well-being can be incredibly rewarding.
You can start with individual coaching and gradually add group classes, nutritional consultations, and virtual training options.
Depending on the fitness franchise model, you have flexibility in scheduling and service delivery to suit your preferences.
Cons:
The fitness industry is competitive and requires strong marketing and a good value proposition to stand out.
Depending on the franchise and services offered, you may need specific certifications or licenses.
Staying up to date with fitness trends and techniques requires ongoing learning and professional development.
8. Real Estate Franchise: Building Dreams from the Ground Up
Investing in a real estate franchise allows you to tap into the lucrative real estate industry, offering services like property sales, rentals, and management. This is ideal for those with an interest in real estate and property management.
According to the International Franchise Association, franchise businesses in the United States have seen significant growth and offer many opportunities within the franchising landscape.
Initial Investment:
$15,000 – $100,000+
Pros:
Being part of a real estate franchise gives you instant brand recognition and credibility, which can attract clients and grow your business.
Most real estate franchises offer extensive training programs and ongoing support to ensure franchise owners are well-equipped to succeed.
The real estate industry offers high income potential, with earnings often tied to commission-based sales and property management fees.
Being part of a franchise network provides many opportunities to connect with other real estate professionals and expand your business reach.
Cons
Real estate franchises may require a large initial investment and ongoing franchise fees, which can eat into profitability.
The real estate market is subject to economic fluctuations, which can impact sales and income stability.
Running a real estate franchise may require specific licenses and industry regulations.
9. Tutoring and Education Franchise: Inspiring the Next Generation
Owning a tutoring and education franchise allows you to make a difference in students’ lives by offering personalized educational support and enrichment programs. This franchise is perfect for those who are passionate about education and helping others succeed.
Initial Investment:
$10,000 – $50,000+
Pros:
The demand for tutoring and educational services is growing rapidly, driven by an increased focus on academic success and skill enhancement. Many tutoring franchises offer a flexible business model to operate from a physical location or online.
This industry is rewarding for franchise owners as they help students achieve their academic goals.
Tutoring franchises offer multiple services, such as test preparation, subject-specific tutoring, and skill-building workshops, to cater to various educational needs.
Cons:
Starting a tutoring franchise involves an initial investment and navigating a competitive market. Effective marketing and compliance with educational standards are crucial. Despite these challenges, the growing demand for academic support presents rewarding opportunities for passionate educators.
Feeling Stuck? You Don’t Have to Navigate Franchising Alone
Thinking about starting a small business franchise but feeling overwhelmed by all the choices? You’re not alone. With so many options in the franchise industry, it’s tough to know where to start—especially when you’re weighing the initial investment, potential risks, and what it really takes to build a successful franchise.
But here’s the good news: You don’t have to figure it all out by yourself. A franchise consultant can be your guide, helping you make sense of the process, avoid costly mistakes, and find an opportunity that truly fits your goals and budget.
They’ll break down the numbers, walk you through Franchise Disclosure Documents (FDDs), and give you real insights so you can invest wisely and confidently—instead of guessing your way through.
If you’re serious about owning a franchise but not sure where to start, let’s chat! Reach out to a franchise consultant today, and let’s take the next step toward making your business dreams a reality.
