While returns for FRANdex were down by -12.95% Q-o-Q, the recent volatility in the markets led to FRANdex outperforming broader indices in Q4 2018. The returns for S&P 500 and Russell 2000 in Q4 were -13.15% and -17.40%, respectively. Hotel companies performed better than food franchises which saw their returns decline by 10.26%. Overall, […]
Another year has come to an end. And thus far it has been a busy year for the franchise industry. We have seen numerous new concepts opt for the franchise business model as their growth engine, enter the market, and a few others lose traction. So, what’s hot in the sector? Here is a quick […]
Just as the FRANdex had started showing signs of recovery in the previous quarter, the rise in take-private PE acquisitions created dents to the index performance in Q3-2018. FRANdex underperformed both the broad indices. While the S&P 500 rose by 4.8%, Russell 500 declined by 3.2%; in the same period FRANdex declined by 5.1% q-o-q. […]
Franchising as a business model has always been about scale: taking a good concept and creating a great brand through the local owners acting as brand ambassadors. But as the top fills out for private equity investments, a more interesting trend is the rise of M&A activity in the mid-market franchise segment, which has many […]
The M&A story in the franchise world continues to roll on as we head into mid-2018. FRANdata identified 14 major transactions that took place in 2018, up to June. While 2017 was marked by private equity interest in mid-to-small sized franchises, the trend for this year marks the beginning of private exits from legacy franchise […]