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Those looking for a business to get into should try franchising.  Franchises are doing better than most industries, and it has grown 40% over the past ten years.  Steve Caldeira, CEO of the International Franchising Association, is optimistic that franchising will steadily grow in 2012 and beyond.  Consider these favorable factors mentioned at TheStreet.om – available commercial spaces and talented job applicants, support from franchisors and loosening of credit.

One of the easiest and more predictable ways to do that is to look for those companies aiming to grow and buy a franchise.

Franchising means you run a business of your own, but with a proven method of success as well as support and marketing assistance from the franchisor.

Joel Libava, a franchise-acquisition consultant and author of Become a Franchise Owner! says franchising means building equity in a business, controlling the circumstances to reach your career goals and dreams and creating an opportunity for your children to join you.

Here are some reasons 2012 is a particularly good time to own a franchise:

1. Credit is loosening.

“The big issue has been a lack of credit to meet the demand for [franchisors’ and franchisees‘] growth.” Caldeira says. “We’ve been working really hard with the banking and lending community regarding that issue, and while credit is starting to loosen up a bit, we still have a long way to go.”

Additionally, there is still “trepidation” on the part of franchisors and franchisees to expand due to uncertainty and costs regarding changes in health care and what tax reform will look like in 2012 and beyond, he says.

“That being said, franchising is doing better than most industries because it a proven business model with 40% growth over the past decade [across 300 business lines], while also offering aspiring and existing entrepreneurs an opportunity to control their own destiny in a still challenging job market,” Caldeira says. “That’s why we’re seeing a return to growth this year and why we are cautiously optimistic [as an industry] that the growth will continue to steadily improve in 2012 and beyond,” both in iconic and emerging franchise brands.

Caldeira noted that franchises in industries such as health care, automotive, business services and personal services are seeing particular growth.

2. More ways to finance a franchise.
Besides bank loans, other avenues to get financing are being created, including borrowing against equity in your home at all-time lows and rolling over 401(k) investments into a business without penalty.

But there is another trend industry participants are picking up on: Downsized co-workers are looking to partner with each other to buy and operate a franchise.

“We’re starting to see a normalized set of new buyers,” Sun says. “They know their chemistry, know [each other’s] work ethic and work values.”

Franchise partnering is also happening between strangers. Darwin Ramon launched Shareafranchise.com in June to help franchisees find partners. He calls the site a dating site for potential franchisees.

3. Commercial space is available.
Given low interest rates and market space available, it’s a buyer’s market not only on residential homes but commercial leases as well.

“Leasing commercial space is easier and cheaper now, so when starting a franchise that requires a commercial space, the possibilities of getting a good deal at a great location are better now than when the economy is in full steam,” Ramon says.

According to the most recent economic outlook by the National Association of Realtors, vacancy rates in the commercial real estate markets are in the double digits.

4. Franchisors are helping with initial and ongoing expenses.
These days, with credit so tight, franchisors are making it more affordable and offering more support to own a franchise.

Pet waste removal company DoodyCalls is offering new franchise owners partial reimbursement of their advertising expenses — $12,500 in their first year, so long as the money was spent according to the company’s approved marketing and promotion plans.

5. Plenty of talent to hire

Given the state of unemployment, it’s a great time to hire talent. Franchisees can pick up some well-qualified workers who may not have been available otherwise.

Photo by conradj213