Media pundits often discuss the relative merits of owning a franchise in different parts of the United States. It seems like they come up with a different list every year for which states have the most business-friendly climates. One thing that never seems to change, however, is the position of Texas near the top of that list. If you’re in the market for a franchise, then check out these four reasons why you should seriously consider opening one up in the Lone Star State.
1. Convienent Location
Considering that Texas is right in the middle of the country, it’s one of the best physical places for people to buy a franchise business opportunity. Distributors and shippers can send products to all other parts of the country without any considerable difficulty. Companies that are located on one of the coasts would find it much more challenging to iron out all of their logistical hiccups. Since the state is right on the Gulf of Mexico, it also provides excellent shipping connections. It’s also got more than its fair share of railroad trackage, so those operating industrial franchises continue to focus on Texas whenever they’re looking at the possibility of opening up a new plant.
2. Opportunity For Growth
Houston is quickly becoming one of the largest cities in the country, and Texas is among the top locations for investment dollars in the country. Inflation has impacted it just like every other state, but prices still remain relatively lower than much of the rest of the country. Energy costs aren’t all that high compared to coastal states either. Restaurant and retail operations pay less than they might if they were further west, so these are increasingly focused on the Bluebonnet State.
3. Friendly Regulatory Situation
The Texas state legislature has the same general safety and labor regulations you’d expect from any American state, but it leaves a great deal of leeway for businesses to conduct themselves however they wish. This stands in sharp contrast to many other locations, which strictly spell out the way that franchises have to operate and each type of service they have to provide to consumers. By making it easier for owners to come to the state and set up shop, Texas has actually seen an increase in franchises coming in from other states.
4. Solid Labor Market
They say that everything is bigger in Texas, and this includes private payrolls as well as the labor market as a whole. Business owners have found that most of the state’s urban areas have a very competitive environment that’s good for management as well as members of the workforce. Wages and living expenses are both at reasonable levels in much of the Dallas and Austin metro areas. Those who live in more rural parts of the state may find an even more inviting situation. In some cases, franchise operators have decided to stick new locations in smaller cities because of how wide the margins are in Texas.
In Texas, the franchise industry holds a large sector in the Texas business market, and the above 4 reasons are just a few of the many reasons why it continues to grow.
