If 2025 was the year the franchise held its breath, 2026 is the year it finally exhales.
The International Franchise Association predicts that 20,000 franchise units will open in 2025, but IFA President Matt Haller pointed out Nation’s Restaurant News Industry will lag – although it will still outpace the broader economy. Multi-unit franchisee David Barr calls 2026 “the year of stability”, expecting traffic to ease as interest rates improve and tariffs settle. “I think franchising remains healthy,” he said.
The long-term outlook is bright. White-collar layoffs can bring capital to new franchise owners to invest, while chicken and beverage concepts continue to attract interest due to low entry costs. The US Franchise Act can also bring stability by codifying joint employer rules and reducing franchisor liability.
If 2025 was the year the franchise held its breath, 2026 is the year it finally exhales.
The International Franchise Association predicts that 20,000 franchise units will open in 2025, but IFA President Matt Haller pointed out Nation’s Restaurant News Industry will lag – although it will still outpace the broader economy. Multi-unit franchisee David Barr calls 2026 “the year of stability”, expecting traffic to ease as interest rates improve and tariffs settle. “I think franchising remains healthy,” he said.
The long-term outlook is bright. White-collar layoffs can bring capital to new franchise owners to invest, while chicken and beverage concepts continue to attract interest due to low entry costs. The US Franchise Act can also bring stability by codifying joint employer rules and reducing franchisor liability.
The remainder of this article is locked.
Connect with Entrepreneur, For access today.

