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Economic Impact Report

The purpose of the Economic Impact of Franchised Businesses, Volume 3, report is to provide the economic impact of franchising in the United States. More particularly, it is a study of the economic activity generated by and because of franchisors and franchisees who are engaged in business format franchising and product distribution franchising.

This report supplements national-level data compiled by the U.S. Census Bureau in order to provide a complete picture of franchising in the United States for 2007, the most recent year for which Census data are available.

Indirect Impact

The economic impact of franchising goes beyond activities inside franchised businesses, because their purchases of products and services and the personal purchases of their owners and workers support non-franchised businesses.



Objectives and Importance


The first objective of The Economic Impact of Franchised Businesses report is to estimate the amount of activity generated within franchised businesses.


Methodology



The primary data source for this report is the 2007 Economic Census, published by the U.S. Census Bureau. The 2007 Economic Census Franchise Report provides estimates of franchised establishments, employment, annual sales, and payroll among businesses with paid employees by detailed industry sector at the national level .