How are Franchise Businesses Being Affected by Today's Economy?
The last year has made it painfully clear just how unpredictable life can be. Financial outlook is always a key factor when you’re opening a franchise business, but now we’re entering a different world with new demands and new risks.
Provided that you choose the right industry and franchisor, a franchise business has long been a safer and more structured alternative to starting your own business from the ground up.
How, though, have the challenges of 2020 affected franchise businesses? What can we expect going forward?
How Franchise Businesses are Adapting in 2021
The pandemic completely upended the economy, decimating some industries while elevating others.
Now, as vaccines are rolling out and daily life creeps toward something closer to normal, we’re seeing the following trends emerge:
- COVID-related precautions expected to persist
Services that minimize contact via delivery, online transactions, and other off-site options have now become the norm. The most successful franchise businesses have reassessed their approach to reduce person-to-person contact as much as possible. Even after the pandemic, many people may continue to limit direct contact whenever possible.
For franchise brands where personal contact is essential, it’s important they have guidelines and training in place. At Visiting Angels, we’ve established protocols for franchise location owners and their caregivers. We’ve also curated resources for the public as they navigate this difficult time.
- Essential services remain strong
Essential services have always been relatively shielded from economic shifts and major events. The home care industry specifically has been noted as a recession-proof industry.
Over the past year, we’ve seen firsthand how essential workers become even more vital in times of uncertainty. Rising investor interest in home-based services and other essential businesses is also a testament to this trend.
- Accountability is no longer optional
We’ve seen tremendous social upheaval in the last year. The pandemic has also shed light on harsh disparities in income, access to medical care, and other necessities. The pressure is growing for business owners to show their commitment to diversity, fairer wages, and better conditions for all employees.
Choosing the Right Franchise Opportunity for You
Still trying to decide on the right franchise business — or the right industry in general? In response to the human and economic toll of the pandemic, certain franchises have proven resilient and even primed for this difficult moment.
Home care is a highly profitable field that allows you to do meaningful work for an ever-expanding market. The U.S. population has been aging rapidly, leaving millions of families in need of convenient, reliable care options.
As an essential service, home care has always been more resilient to economic ups and downs. That has held true throughout 2020. Given the tragic impact that COVID-19 has had on seniors in communal settings, even more wary families may be drawn to this option.
Visiting Angels® is a leading home care franchise brand that families across the country rely on for quality care. To learn more about opening a franchise business with us, call 800-365-4189 or ask for details online.