Restaurant franchising is bucking the trend when it comes to the economic downturn, especially for those who have always sold themselves as giving value for money. Certainly customers are more value conscious of late and the budget menus continue to be overwhelmingly popular. Despite predictions that jobs in franchise businesses could fall by 2.1 per cent (around 207,000 positions), restaurant franchising is still seen as one of the strongest sectors and lesser known brands are starting to pick off prime spots.

According to market research, restaurant industry traffic overall dipped two per cent in the last quarter of 2008, although quick-service restaurant franchises are faring better than full-service stores. The slowdown has opened up opportunities for some in the restaurant franchising business, who see less competition for prime locations and more willingness to negotiate on the part of land owners. Still, for many restaurant franchisees, access to money is what could make a difference in how many new sites start serving up food or how various operators weather the downturn.

A recent success story in the restaurant franchising business is the concept of “healthy fast-casual” dining, which is expanding throughout America. These restaurant franchises provide a healthy and tasty alternative to the traditional burger and bun, such as an array of quick and nutritious options including salads, wraps, rice bowls and soups in a “build your own” format. Food is typically served in a fast, fun, hip and environmentally sustainable atmosphere. Such chains are actively seeking restaurant franchise partners who have a passion for promoting healthy living in a fast paced world.

Meanwhile, other restaurant owners have decided to franchise their businesses. There are some tremendous deals in real estate right now and a lot of smart, qualified people who have been downsized from their jobs are looking to start their own business. This could be risky, however, as the legal and administrative costs associated with restaurant franchising can present a burden during a time when consumers are eating in. But with fast-casual and quick-service establishments seeing increases in business and with breakfast food being the fastest growing segment in the fast-food industry during the last two years, restaurant franchising may be the best move. While most of the restaurant franchise fee goes toward development, a sizeable revenue fee will be received from each location. In addition, a small business footprint and simple menu make for low start-up costs. That, it has to be said, is an attractive selling point for those looking to run their own restaurant franchise.