Smaller States Post Big Gains in Q4 Growth of Franchise Interest Index™
Alaska, Hawaii lead overall gains, Georgia tops growth among large-population states
Small- and mid-sized states with adult population under 5 million showed some of the strongest year-over-year growth in franchise-buying interest, according to the latest data from Franchise Insights. And among the largest states, Georgia tops the Franchise Interest Index™ for both overall interest and for Q4 growth over the previous year.
The Franchise Interest Index™ reveals the relative interest of entrepreneurs making an investment inquiry by indexing proprietary data with states’ adult population on a per capita basis. An index of 100 indicates average per-capita interest, while an index of 120 represents 20% higher-than-average interest. The Franchise Insights proprietary data is drawn from the Franchise Ventures flow of franchise-investment inquiries in the United States.
For this analysis, each state’s Franchise Interest Index™ from Q4 2019 was compared to Q4 2018 to determine relative change.
- Alaska showed the greatest gain in Q4, increasing its score 48.3% to an Index score of 89.2. Other small states showing top 10 gains were Hawaii (up 32%), Idaho (up 21.4%), Kansas (up 19.1%), and Maine (up 15%).
- Minnesota was No. 4 for Q4 growth overall, growing its per capita score by 22.7%, and leading mid-sized states with adult population between 5 and 10 million. Other mid-sized gainers were Virginia (up 19.9%), Massachusetts (up 18.8%) and Arizona (up 11.9%).
Among large states with adult population over 10 million, Georgia was the only top 10 gainer, increasing its index score 17.4% to 179.6 for Q4. Georgia’s above-average franchise interest made it the top state in the Franchise Interest Index™ for all of 2019 as well as Q4.
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Franchise Ventures is the largest demand generation platform serving thousands of growing franchise systems in the United States and Canada. Its franchise lead-generation businesses include Franchise.com, Franchise Solutions, Franchise Gator, Franchise Opportunities, Franchise For Sale, BusinessBroker.net, and SmallBusinessStartup.com and together they provide the largest collection of prospective franchise inquiries in the U.S.
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Published on Thursday, February 20th, 2020.