Its nickname, The Big D, is apt. Dallas is the nation’s 9th-largest city, with more than 1.3 million residents. It often sports a booming economy and is particularly nurturing toward entrepreneurs.
This is what makes franchise opportunities in Dallas, TX, so worth investigating. You might start with Freeway Insurance.
Why Dallas Is Prime for Franchise Business
In a Forbes ranking of “The Best Places for Business and Careers,” Dallas took the second slot. The city and state have proven for years to be attractive for the startup and growth of businesses of all kinds for startups and growth. Whether you’re launching a startup or joining a Dallas franchise business, the city’s economic advantages support long-term success. Here’s how.
Economic Growth and Demographics
Between 2013 and 2023, the Dallas-Fort Worth metro’s Compound Annual Growth Rate (CAGR) was a very healthy 3.9% average per year.
Over the last several years, the metro has, on multiple occasions, led the nation in population growth rate. This indicates the opportunities to be found in The Big D for business creation and job access.
The diverse and roaring economy is fueled by ventures in insurance, finance, technology, manufacturing, and technical and professional services, among others.
Strategic Location
Being located in North Texas, Dallas has location advantages as both a leading Southeastern city and one that’s close to the center of the nation. As home to Dallas-Fort Worth International Airport, the city is also a significant hub for business and tourist travelers from around the world.
It’s also a central transportation hub for freight going to and from all points of the globe. The Lone Star State is great for business, and Dallas is truly a Texas powerhouse city.
Local and Statewide Support for Business
There is no personal or corporate state income tax, a significant advantage for anyone starting or operating a business of any size. The regulatory environment is streamlined and business-friendly, and entrepreneurs can find multiple local sources for tax incentives, grants, and loans.
Special programs, such as the Dallas Business Enterprise Hub, have been established to support women and minority business owners. The city also has 15 Opportunity Zones, where entrepreneurs can base their businesses and gain federal tax advantages.
Top Franchise Industries in Dallas
What are some of the fastest-growing franchises for entrepreneurs? What industries or business categories stand out in Dallas? Some of the best franchises in Dallas span the food, healthcare, and education sectors.
Take a look.
Food and Restaurant Franchises
With some 8.3 million residents in the Dallas-Fort Worth metroplex and more than 75 million visitors every year, that’s a lot of mouths to feed. And it’s the reason why opportunities in the food and beverage industry are so abundant here.
You might start by looking closer at some of the restaurant franchises you can find just about anywhere in America. That would include McDonald’s, Wendy’s, Chick-fil-A, and Subway, among many others.
In digging deeper, you’ll see several restaurant franchises that were started in and near the Dallas metro. That includes the successful Dickey’s Barbecue Pit, Wingstop, and Whataburger.
One advantage of the food and restaurant field for franchisees is that you can find something in a broad range of investment levels, from fine dining to delivery-only.
Service-Based Franchises
An advantage of many service-based franchise operations here and elsewhere is that you can start some of them with less capital than other types of enterprises. You don’t need a building, as you would if you were buying into a retail or restaurant franchise. There might be little inventory, and you might well be able to launch with yourself as your sole employee. Try that with a restaurant.
This kind of Dallas franchise investment is ideal for entrepreneurs seeking flexibility and low overhead.
Take Freeway Insurance as an example. You can start the business from a spare room or kitchen table at your house or apartment. You’ll need little more than a laptop, phone, and website. There’s no physical inventory to buy or store. As your business grows, you can hire a team and move to a fancier base of operation.
Other service-based franchises can include commercial or residential window washers, carpet cleaners, pet sitters, and countless others.
Healthcare and Senior Care
By 2050, it’s estimated that one-fourth of the U.S. population, or 82 million Americans, will be age 65 or older. That’s due both to a declining birth rate and an increase in longevity. For those eager to open a franchise, that stat creates a great opportunity.
Franchisors, including Visiting Angels, Brightstar Care, and Home Instead Senior Care, offer services that keep senior Dallas residents in their homes longer. This is done by franchisees who provide non-medical services such as light housekeeping, errand-running, transportation, and more.
The genius of this type of franchise is that the new business owner doesn’t need specialized or intensive training — one of the reasons why franchise opportunities in Dallas, TX in this sector are growing in popularity.
If you do have medical training, there are additional franchise opportunities in various therapeutic franchises and health and wellness ventures in the Dallas-Fort Worth metro.
Education and Child Care
The median age of Dallas residents is about 34, which is about four years younger than the median age of all Americans. That means they already have young children, or soon will. That provides multiple opportunities for those interested in owning a franchise business in the region.
Such businesses can include tutors, caregivers, and providers of specific courses. That can include anything from martial arts to music, acting, art, or STEM programs. Consider School of Rock, where music-savvy franchisees assemble bands, teach kids to play their instruments, and put on live performances.
Mathnasium, Code Ninjas, and British Swim School are other examples.
In child care, a critical need for working parents in Dallas, franchisors include Goddard School, Primrose Schools, and Kiddie Academy. If you have a teaching background, you could find this to be your best entry into the franchise model in Dallas.
Dallas Neighborhoods for Franchise Success
With a metropolitan area of two major cities and more than eight million people, the Dallas-Fort Worth metro offers all kinds of places to establish your franchise business.
You’ll choose a different location if you’re going into the finance sector, retail, or a service business. Wherever you establish your franchise, make sure the people who live, work, shop, and seek entertainment nearby are of the demographics that you see patronizing your business. When looking for Dallas, TX business opportunities, consider neighborhoods like Deep Ellum and Bishop Arts that cater to your target audience.
That said, some Big D neighborhoods stand out.
Bishop Arts District
This Bohemian arts and culture pocket is home to shops, galleries, studios, restaurants, and bars. It’s perfect if your franchise invites a free-thinking or artsy crowd, but you’ll also find plenty of weekend tourists here.
Highland Park
You’ve heard of wealthy Texans, right? This is one of the places where some of them live and congregate. If you’re traveling in these circles, you’ll find area residents who will have no trouble affording what you’re selling.
Preston Hollow
Here’s another place where the upscale crowd calls home, living in the neighborhood’s modern and traditional mansions.
Deep Ellum
It’s a party every night. Or quite a few of them, anyway. Live music, lively bars and restaurants, and street art are on tap here. Do you have something fun or quirky to sell or service? Take a stroll in this neighborhood and see what you think.
The point is, Dallas has something for everyone. If you’re not familiar with the city, explore it and find out where your customers and prospects hang out.
Support Resources in Dallas
The point has been made, but it’s worth making again: Dallas respects businesses large and small. You’ll find help and support in a number of ways if you bring your franchising passion here.
Among many non-profit organizations dedicated to funding, education, guidance, and support of startup business owners, here are a few that stand out.
DEC Network
The non-profit provides mentorship, education, and access to additional resources.
Dallas Builds
Reach out to this organization for business grants, especially if you’re a female or minority franchise owner.
North Texas Small Business Development Center (SBDC)
This regional group works in association with the federal Small Business Administration (SBA) to offer free startup planning, guidance, and support.
Dallas Franchise Consultants (Various)
Several local and regional groups help entrepreneurs explore franchise opportunities. This includes Hundred Acre Consulting, Franchise Group, and Entrepreneur Authority, among others.
Also, keep in mind that a good franchisor will offer support during the introductory and startup phases and should be available 14/7 whenever you need assistance or guidance.
FAQs
What Are Notable Low-Cost Franchises in Dallas?
Look for service-oriented businesses for low investment potential. That’s because you’ll rarely need to buy or lease a building, there’s usually minimal gear or equipment, and you won’t have to carry inventory. You can often work as the sole employee until your business grows and you need to hire. Freeway Insurance falls into this category.
How Long Does It Take to Open a Franchise in Dallas?
That will vary depending on the franchisor, the industry, and the complexity of your business. If, for instance, you have to lease a building, install signage, hire and train a workforce, and buy and receive inventory, you can expect it will take you longer to launch your business than if it’s one in which you can work from your home, and spend your startup capital on very little, if any, gear, equipment, or inventory.
Your timeline is a good question to ask your franchisor representative once you’ve narrowed your choices. Get it in writing.
Can I Own Multiple Franchise Units in Dallas?
That’s another good question to ask your franchisor rep. The city would not have an opinion on that business decision, but some franchisors actually insist on the establishment of multiple units. In other cases, your geographic territory might be too limited to set up more than one location. Ask the question early in your negotiations with the franchisor.
What Financing Options Are Available for Veterans?
Some franchisors, including Freeway Insurance, grant franchise fee discounts to honorably discharged U.S military vets. In fact, at Freeway, it’s a very generous $10,000 discount on the fee. So it’s very definitely worthwhile to make your status known and ask about discount financing rates for vets.
