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Choosing between single-unit and multi-unit franchises

On Behalf of | Apr 2, 2024 | Franchise Law

When diving into the world of franchising, one of the key decisions is whether to opt for a single-unit franchise or a multi-unit franchise. Both avenues offer distinct advantages and entail different considerations.

Understanding these options is necessary for aspiring franchisees to make a well-informed choice that aligns with their business goals and resources.

Benefits of single-unit franchises

A single-unit franchise involves owning and operating just one location of a franchise business. This approach allows for a more concentrated effort, with all resources and attention directed toward the success of that solitary unit. It is an ideal choice for those who prefer starting small or wish to test the waters before expanding further.

Starting with a single unit typically requires a lower initial investment compared to multi-unit franchises. Managing one location is generally less complex and time-consuming, offering greater control over operations. With all efforts focused on one unit, owners can provide heightened attention to detail and customer service.


Despite its benefits, single-unit franchises may offer limited growth potential compared to multi-unit franchises. Success can hinge heavily on the chosen location and local market conditions.

Benefits of multi-unit franchises

On the flip side, a multi-unit franchise involves owning and operating multiple locations of the same franchise brand. This option presents the potential for rapid expansion and increased revenue streams.

Multi-unit ownership allows for faster scalability and heightened market presence. Consolidating resources across multiple locations can lead to cost savings and efficiencies. With multiple units, owners can spread risk across different markets.


Embarking on multi-unit franchising requires a more substantial initial investment and ongoing operational costs. Juggling multiple locations can be challenging and may necessitate additional resources and personnel.

By thoroughly evaluating the pros and cons, aspiring franchisees can make an informed decision that sets them on the path toward franchising success.