2008 Franchise 500

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Entrepreneur's annual Franchise 500 is the world's first, best and most comprehensive franchise ranking. And this year's list is just as exciting as the last.

After months of researching and analyzing hundreds of franchise companies, we present our 29th annual list. Like Colonel Sanders--whose KFC Corp. made our Top 10 list--we've continued perfecting our top-secret ranking formula. Read on to find out which company earned the top spot--and to learn more about some competitive franchises that could be right for you.   

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The youngest of the franchises in our Top 10 list, RE/MAX has added 415 franchises from 2006 to 2007 and has a network of more than 120,000 agents. In fact, the company has increased its number of officers every year since inception. RE/MAX recently added a tool to its website that allows homeowners to value their home based on comparable sales in their neighborhood. 

No. of franchises: 6,973
Franchising since: 1975
Startup costs: $35,000 to $191,000
2007 rank: 11

Franchise details

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One of 14 pizza restaurants on the Franchise 500 list, Domino's Pizza makes its appearance in the Top 10 for the ninth time. Started in 1960 with $500, the pizza giant had $5.1 billion in global retail sales in 2006 and sold more than 400 million pizzas. In addition to pizza, the publicly traded company also serves chicken products, such as Buffalo wings.

No. of franchises: 2,073
Franchising since: 1967
Startup costs: $250,000
2007 rank: #6

Franchise details

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Climbing its way from No. 31 in 2006 to No. 12 in 2007, InterContinental cracked the Top 10 this year. The hotel franchise owns seven brands, including Holiday Inn, Crowne Plaza and relative newcomer Hotel Indigo. The company plans to add 50,000 to 60,000 rooms to its current 571,071 rooms by the end of 2008.

No. of franchises: 3,289
Franchising since: 1954
Startup costs: Varies
2007 rank: 12

Franchise details 

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Started in 1930 by Harland Sanders in a Kentucky gas station, KFC has been franchising longer than any other franchise on our Top 10 list. Most recently, it came in at No. 23 in 2006. This past year, the Colonel's original recipe was updated to eliminate any trans fat from the chain's famous fried chicken.

No. of franchises: 11,071
Franchising since: 1952
Startup costs: $1.1 million to $1.7 million
2007 rank: NR

Franchise details

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This drive-in, car-hop restaurant hasn't strayed far from its 1950s roots. In 2005, Sonic added its 3,000th drive in, the same year that it was named No. 1 in the Franchise 500's hamburger category. In addition to its traditional hamburgers, tater tots and slushes, the company continues to add new offerings, such as wraps and smoothies.

No. of franchises: 2,656
Franchising since: 1959
Startup costs: $820,000 to $2.3 million
2007 rank: #8

Franchise details

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Founded in 1955, the famous hamburger restaurant has been franchising for more than 50 years. In the 29 years that we've been compiling the Franchise 500, McDonald's has made the Top 10 27 times. It's also been No. 1 eight times, second only to Subway.

No. of franchises: 23,099
Franchising since: 1955
Startup costs: $506,000 to $1.6 million
2007 rank: #9

Franchise details

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Pizza is often popular on our Top 10 list, and this year is no exception. Pizza Hut last made our Franchise 500 list in 2006, ranked No. 12. The pizza restaurant is owned by Yum! Brands, which also is the parent company of another one of our Top 10, KFC.

No. of franchises: 9,881
Franchising since: 1959
Startup costs: $1.1 to $1.7 million
2007 rank: NR

Franchise details

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With 5,451 U.S. franchises, Dunkin' Donuts has maintained a consistent Top 10 ranking since 2004, when it was No. 9 on our list. Dunkin' Donuts, which has locations in 36 states, plans to continue expanding in 2008 by offering franchises in new areas. The chain known for its coffee and breakfast items also is now offering fair trade certified espresso, cappuccino and lattes.

No. of franchises: 7,376
Franchising since: 1955
Startup costs: Varies
2007 rank: #2

Franchise details

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Subway first broke into the Top 10 in 1988 at No. 1 and has claimed the coveted spot 15 times. The submarine sandwich chain that touts itself as a healthy alternative to fast food continues to grow, boasting nearly 28,000 franchises this year. Whether visiting Belize, Greece or Qatar, you'll be able to find one of the company's sub sandwiches. Subway continues to employ Jared Fogle as its spokesperson, but also recently began running commercials with the paunchier Peter Griffin from the TV show Family Guy.

No. of franchises: 27,929
Franchising since: 1974
Startup costs: $76,100 to $227,800
2007 rank: #1

Franchise details

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After seven years, we have a new No. 1. It's 7-Eleven's 17th year in the Top 10, but the first year it has claimed the No. 1 spot. From 2006 to 2007, the company added 3,481 franchises. Part of the growth is due to 7-Eleven's focus on having more franchise-owned, rather than corporate-owned, stores. (We think it has to do with temporarily turning 12 of its locations into Kwik-E-Marts to coincide with the release of The Simpsons Movie this past summer.) Whatever the reason, 7-Eleven plans to continue increasing its number of stores in 2008.

No. of franchises: 30,642
Franchising since: 1964
Startup costs: Varies
2007 rank: #4

Franchise details