The perpetually hungry crowds who can anoint a restaurant with their patronage make the market worth venturing into, in spite of intense competition that drives up rents and other expenses.
High expenses, combined with the tight credit market of recent years, have made it popular to launch franchises businesses that operate from owners’ homes—or cars—like tutoring, cleaning services and dog walking. A company called Fetch provides franchise opportunities in pet-sitting and dog-walking and has one location in Manhattan so far. A CruiseOne retail franchise costs under $10,000; once involved, franchise owners—there are around 10 in New York City already—can sell cruise tickets from home offices with barely any overhead.
But small, low-overhead businesses don’t profit from the crush of street traffic the way retail locations here do, said Michael Rozman, co-president and chief strategy officer of BoeFly, an online marketplace that connects lenders and franchisees.
That big market allows for multiple brands in similar industries to succeed in New York—there’s a bagel shop on every corner after all.
Read the full article on CrainsNewYork.com