What is the Cheapest Franchise to Open in 2025?

The cheapest franchises to open in 2025 start as low as $1250 and span across multiple industries, making business ownership accessible to entrepreneurs with modest budgets. Here are the most affordable franchise opportunities across key sectors:

• Technology & IT Services (starting at $17,200)
• Business & Professional Services (starting at $10,995)
• Home Services (starting at $89,200)
• Health & Fitness (starting at $1,250)
• Food & Beverage (starting at $28,000)
• Retail & Specialty (starting at $62,000)

High franchise costs often prevent aspiring business owners from pursuing their entrepreneurial dreams. Many potential franchisees believe they need hundreds of thousands of dollars to start, which can feel overwhelming and discouraging.

Without exploring affordable franchise options, you might miss the opportunity to build wealth and achieve financial independence through proven business models that require significantly less capital than traditional startup ventures.

However, the lowest‑cost option isn’t always the smartest choice. When evaluating cheaper franchises, weigh the potential return on investment and expected payback timeline alongside upfront fees. A modest initial outlay can still yield strong profit margins and fast ROI if the model includes comprehensive training, ongoing support, and scalable revenue streams.

Ready to explore how an IT franchise can transform your entrepreneurial journey with lower investment requirements and higher profit potential?

 

Low-Cost Franchise Opportunities in Technology & IT Services

Technology and IT services represent some of the most recession-resistant franchise opportunities available, offering recurring revenue models that create predictable monthly income streams. Unlike businesses that depend on daily transactions, IT service franchises typically establish long-term contracts with business clients, resulting in higher profit margins and more stable cash flow.

The franchise industry has recognized this trend, with managed IT service franchises experiencing significant growth as small and medium-sized businesses increasingly rely on technology solutions.

CMIT Solutions – Managed IT Services

CMIT Solutions stands out as the premier choice among affordable franchise opportunities in the technology sector, but also among the best franchises to own for entrepreneurs seeking predictable income and long-term scalability,  with an initial investment ranging from $106,450 to $159,450. This managed IT services franchise specializes in providing comprehensive technology solutions to small and medium-sized businesses, creating a customer base that values ongoing relationships over one-time transactions.

Rather than focusing solely on the lowest upfront fee, consider the long‑term return on investment and payback period. The franchise offers a proven business model built on recurring revenue, where clients pay monthly fees for proactive IT management, cybersecurity protection, and technology support.

This approach generates predictable income that often exceeds what owners in other industries experience, with significantly lower overhead costs since the business operates primarily from a home office initially and does not require traditional retail space.

💡 Jeremy Treister, a successful CMIT franchise owner, explains the value proposition: “We truly believe we’re helping our clients grow their businesses, and we’re getting rid of problems they have. They can focus on things that really matter to them. They can hand things off to us, delegate it to CMIT, and know that it’s being taken care of professionally.”

The franchise provides exceptional support through its network of 270+ locations, national vendor relationships with companies like Microsoft and Dell, and comprehensive training programs. As the largest network of IT franchisees, CMIT Solutions recently achieved the significant milestone of reaching $100 million in revenue, demonstrating the system’s proven success across North America.

⚖️ Veterans receive a 20% discount on the initial franchise fee, and financing options are available through third-party lenders to help qualified candidates start their franchise business.

Reach out to our expert team to learn about what an opportunity with us can do for you

 

Computer Troubleshooters

Total investment ranges from $17,200 to $82,900, with a minimum personal net worth requirement of $100,000. Computer Troubleshooters is the world’s largest technology services franchise network, specializing in IT consulting and on-site support for small and medium-sized businesses as well as home users.

Each franchise delivers services such as hardware and software installation, network setup and maintenance, data backup and recovery, security consulting, and remote diagnostics, all backed by an extensive vendor network and ongoing training and support.

TeamLogic IT

Total investment ranges from $112,900 to $189,850, with a minimum personal net worth requirement of $250,000. TeamLogic IT is a managed services franchise that delivers proactive network monitoring, cybersecurity, cloud solutions, and help‑desk support to small and medium-sized businesses.

Each franchise benefits from national vendor partnerships, a 24/7 operations center, comprehensive onboarding and ongoing training, plus marketing and sales support to drive predictable recurring revenue.

Top Low-Cost Franchises in the Business & Professional Services Sector

Business and professional services franchises offer unique advantages, including the potential for high-value client relationships and services that businesses consider essential rather than optional. These franchises typically require lower initial investments compared to retail or restaurant operations while providing opportunities to build substantial recurring revenue through ongoing client relationships.

ActionCOACH Business Coaching

Total investment typically ranges from $50,000 to $100,000, depending on your chosen license model and territory size. ActionCOACH is one of the world’s largest business‑coaching franchises, helping small‑ to medium‑sized business owners improve operations, profitability, and work–life balance through structured coaching programs.

The model centers on recurring revenue via monthly coaching contracts, often between $1,000 and $5,000 per client, creating substantial profit potential once you build a steady roster of retained clients.

Cruise Planners Travel Agency

Total investment typically ranges from $10,995 to $23,617, with an initial franchise fee of $10,995. Cruise Planners is one of the largest home‑based travel agency franchises specializing in cruise and vacation planning. Franchisees generate revenue through supplier commissions rather than direct client fees, leveraging the same booking systems and commission structures as traditional agencies.

The home‑based model removes the need for costly retail locations and offers flexible scheduling. Success depends on strong relationship building and effective marketing skills in a competitive travel marketplace.

The Alternative Board (TAB)

Total investment typically ranges from $53,875 to $96,650, depending on the franchise type. The Alternative Board is a peer advisory and business coaching franchise that brings together business owners and executives in structured monthly meetings. Franchisees also offer personalized coaching services, earning recurring revenue through membership fees that generally range from $500 to $1,500 per client.

The model appeals to experienced professionals who want to build a high-impact, relationship-driven business within the professional services space.

Contact us today for more information and start a franchise with CMIT Solutions today!

 

Cheapest Franchises to Start for Home Services Franchises

Home services franchises benefit from consistent local demand and the ability to build strong community relationships, making them ideal for entrepreneurs who want to serve their immediate geographic area.

The home services sector continues experiencing robust growth. These franchises typically offer essential services that homeowners need regardless of economic conditions, creating recession-resistant business opportunities with predictable demand patterns.

Molly Maid Residential Cleaning

Molly Maid is one of the most recognized residential cleaning franchises in North America. The total initial investment typically ranges from $89,200 to $137,200, according to recent Franchise Disclosure Documents. The franchise offers comprehensive training, a proven operational system, and national marketing support to help owners build recurring customer bases.

Residential cleaning services generate steady revenue through repeat service appointments, with many clients opting for weekly, bi-weekly, or monthly cleanings. The Molly Maid model emphasizes systemized cleaning methods, branded uniforms, and consistent customer service standards. These factors help franchisees command premium pricing and build long-term customer relationships that lower marketing costs over time.

The Cleaning Authority

Total initial investment typically ranges from $117,000 to $183,000, depending on location and operational setup. Franchisees are generally expected to have at least $50,000 in liquid capital and a minimum net worth of $200,000.

The Cleaning Authority specializes in recurring residential cleaning services and uses its proprietary Detail-Clean Rotation System to deliver consistent, high-quality results. This structured method allows for premium pricing, improved customer retention, and predictable monthly income through regular service appointments.

TWO MEN AND A TRUCK Moving Services

TWO MEN AND A TRUCK is one of the most recognized names in the moving industry, with over 35 years of brand history. Startup costs range from approximately $107,000 to $538,700, depending on whether the location is in a mod or metro market.

The franchise offers diverse revenue streams, including local residential moves, long-distance relocations, and commercial services. With strong brand recognition, proven operational systems, and national marketing support, franchisees benefit from a trusted name while building a scalable home services business.

Health & Fitness Cheap Franchises to Open

Health and fitness franchises continue growing as consumers prioritize wellness and convenient exercise options. These franchises range from high-investment traditional gyms to affordable specialty fitness concepts that require minimal equipment and smaller facility footprints.

9Round Fitness

9Round Fitness operates on a unique 30-minute kickboxing circuit training model, with a total investment ranging from $149,449 to $416,300. The model features no class schedules, minimal staffing needs, and efficient use of space, making it an attractive option for entrepreneurs seeking a streamlined fitness concept.

The franchise appeals to busy professionals looking for fast, effective workouts, supporting premium membership pricing and steady demand.

Jazzercise

Jazzercise offers one of the most affordable entry points into the fitness franchise industry, with initial costs starting around $1,250 and varying slightly based on insurance, equipment, and annual instructor fees. This low-cost model is ideal for fitness enthusiasts who want to teach group classes while building a loyal, local following.

However, success depends heavily on the franchisee’s ability to lead classes and personally connect with clients, making it best suited for owner-operators rather than hands-off investors.

Anytime Fitness (Express Format)

Anytime Fitness Express offers a lower-cost entry into the fitness franchise space, with a total investment ranging from $33,074 to $218,974. Designed for smaller markets or secondary locations, these streamlined facilities operate in under 2,500 square feet and feature simplified equipment and amenities.

The model supports 24-hour member access, appealing to busy professionals and shift workers. With reduced build-out costs and operational overhead, the express format offers a more accessible path to fitness business ownership while still leveraging the strength of a nationally recognized brand.

If you’re interested in a franchise that offers a dedicated and robust training program, contact our team today for further information

 

Cheap Food Franchises

The quick-service restaurant market continues expanding, though food franchises often require longer hours, more complex operations, and higher labor costs compared to service-based franchise opportunities.

Chester’s Chicken

Chester’s Chicken offers unique flexibility with investment ranges from $28,000 to $297,000, depending on the format chosen. The franchise operates primarily within existing businesses like gas stations, convenience stores, and truck stops, providing a “store-in-store” model that reduces real estate costs and startup complexity.

One significant advantage is that Chester’s Chicken does not charge ongoing royalty fees, allowing franchise owners to retain their entire revenue after covering product costs and operational expenses. This fee structure can significantly improve profit margins compared to typical restaurant franchises that charge 4-8% royalty fees on gross sales.

Firehouse Subs

Firehouse Subs is a well-known fast-casual restaurant franchise with a strong brand identity and a mission-driven focus on supporting first responders through its Public Safety Foundation. The total initial investment for a traditional in-line location (without a drive-thru) ranges from $379,650 to $795,600, with a franchise fee of $20,000 and a minimum liquid capital requirement of $150,000.

Franchisees pay a 6% royalty on gross sales and contribute 5% toward national advertising. Average annual unit revenue is approximately $933,000, with profit margins estimated at around 15%, allowing high-performing franchise owners to potentially earn $140,000 or more per year.

Firehouse Subs combines brand loyalty, operational support, and community impact to offer a compelling opportunity for restaurant-focused entrepreneurs.

Baskin-Robbins

Baskin-Robbins offers a well-known ice cream franchise opportunity with total initial investment requirements ranging from $293,840 to $626,360, depending on store format and location. The standard franchise fee is $25,000, with additional upfront costs for technology and inventory.

The brand occasionally offers incentives such as reduced franchise fees and introductory royalty structures for qualifying locations. While Baskin-Robbins benefits from strong brand recognition and national marketing support, franchisees should plan for seasonal revenue variations, as summer months typically drive higher foot traffic and sales than colder seasons.

What is the Cheapest Franchise to Start in Retail & Specialty Sectors?

Retail and specialty franchises provide opportunities to serve local communities through essential business services, though they typically require prime commercial locations that can increase overall investment requirements.

The UPS Store

The UPS Store is a well-established franchise offering shipping, printing, and small business support services. The total initial investment typically ranges from $138,433 to $470,031, depending on location, size, and market. The brand benefits from strong consumer trust and increased demand driven by e-commerce trends.

Franchisees often require retail space in high-traffic areas, which can lead to higher rental costs than home-based or industrial franchises. However, the backing of a globally recognized brand and a broad suite of business services provide strong potential for long-term success.

Postal Connections

Postal Connections is a business services franchise offering two models: traditional storefronts and a lower-cost @Home version. Initial investments range from $62,000 to $240,000, depending on the format.

Franchisees provide services such as shipping, printing, and mailbox rentals, with a 4% royalty and a monthly advertising fee of $225 or 2% of sales (whichever is lower). The @Home model significantly reduces startup costs by eliminating retail build-out expenses, making it a compelling option for entrepreneurs looking for flexibility and affordability.

To start a new franchise with an established franchise brand, our team is waiting for your call

 

Franchise Investment Costs

Understanding the complete financial picture is key when evaluating any franchise opportunity, as the initial franchise fee represents only one component of the total investment required to launch and operate a successful franchise business.

Sample Franchise Startup Cost Ranges (Varies by Industry)

Cost Component	Typical Range	Description
Initial Franchise Fee	$10,000 – $50,000	One-time payment for brand rights and initial training
Equipment & Setup	$20,000 – $200,000	Tools, technology, and facility preparation costs
Working Capital	$25,000 – $100,000	Operating expenses for first 3-6 months
Marketing Launch	$5,000 – $25,000	Grand opening and initial advertising campaigns
Professional Fees	$5,000 – $15,000	Legal review and business setup costs

The franchise fee typically covers initial training, operational manuals, brand licensing, and startup support, but additional costs include equipment, working capital, and ongoing expenses. Most franchises require proof of liquid capital ranging from $50,000 to $500,000, depending on the franchise type and total investment requirements.

Ongoing costs include royalty fees (typically 3-8% of gross revenue), advertising fees (usually 1-3% of gross revenue), and various operational expenses that vary by industry. The Small Business Administration provides detailed information about franchise financing options and requirements for prospective franchise owners.

Average franchise investment costs by sector show significant variations

Industry Sector	Average Investment	Typical Royalty Fee	Revenue Model
Technology Services	$75,000 – $200,000	3-6%	Recurring monthly contracts
Business Services	$50,000 – $150,000	4-8%	Project-based + recurring
Home Services	$100,000 – $300,000	5-7%	Recurring appointments
Food & Beverage	$200,000 – $500,000	6-8%	Daily transactions
Retail Services	$150,000 – $400,000	5-8%	Product sales + services

Why Choose a Low-Cost Franchise?

Selecting an affordable franchise opportunity provides several strategic advantages, and many also qualify as the easiest franchises to open due to simplified operations, strong support, and minimal infrastructure requirements.

• Lower Financial Risk: Reduced initial investment requirements mean less personal capital at risk and lower monthly debt service payments if financing is required.
• Faster Return on Investment: With smaller upfront investments, you can typically recover your initial costs more quickly and begin generating positive cash flow sooner.
• Easier Financing Access: Banks and SBA lenders often view lower-investment franchises more favorably, making loan approval processes smoother and requiring less collateral.
• Greater Territory Availability: Expensive franchises often have limited territory availability, while affordable options typically offer more geographic choices for prospective owners.
• Operational Flexibility: Many low-cost franchises offer home-based or mobile operations that provide scheduling flexibility and reduced overhead expenses.

💡 Hypothetical scenario: Consider Sarah, a marketing manager with $150,000 in savings who wants to start a business but feels overwhelmed by expensive franchise options requiring $300,000+ investments. By choosing a lower-cost franchise, she can maintain her current job during the startup phase while building her business gradually, reducing financial stress and increasing her chances of long-term success.

Lower-investment franchises often demonstrate higher success rates compared to capital-intensive options, partly because owners face less financial pressure and can make strategic decisions without desperate urgency to generate immediate high returns.

Factors to Consider When Choosing a Low-Cost Franchise

Selecting the right franchise requires careful evaluation of multiple factors beyond just the initial investment cost, as long-term success depends on matching your skills, interests, and market conditions with the appropriate business model.

• Industry Demand and Growth Potential: Research local market conditions and national trends to ensure sustainable demand for your chosen franchise’s products or services.
• Recurring Revenue vs. Transaction-Based Models: Franchises with recurring revenue streams provide more predictable income and higher business valuations compared to those dependent on daily transactions.
• Territory Protection and Competition: Evaluate the franchise’s territorial rights policies and existing competition levels in your desired market area.
• Franchisor Support and Training Quality: Strong ongoing support, comprehensive training programs, and accessible management teams significantly improve franchise success rates.
• Skills and Interest Alignment: Choose a franchise type that matches your professional background, personal interests, and lifestyle preferences for sustainable long-term operation.

 

Financing Your Franchise Investment

Most prospective franchise owners require some form of financing to fund their initial investment and working capital requirements. Understanding available financing options helps you evaluate which franchise opportunities align with your financial capabilities and risk tolerance.

SBA loans represent the most popular financing option for franchise purchases, offering favorable terms including lower down payments (typically 10-15%), longer repayment periods (up to 25 years), and competitive interest rates. The SBA maintains a franchise directory listing pre-approved franchise concepts that qualify for expedited loan processing.

📌 Many franchisors offer direct financing programs or partnerships with preferred lenders who understand their business models and requirements. CMIT Solutions, for example, works with multiple financing partners to help qualified candidates secure funding for their initial investment and working capital needs.

Alternative financing options include equipment financing for franchise systems requiring specialized tools or technology, ROBS (Rollover for Business Start-ups) programs that allow using retirement funds without early withdrawal penalties, and traditional business loans for candidates with strong credit profiles and collateral.

Working with experienced franchise brokers and financial advisors familiar with franchise financing can significantly improve your chances of securing appropriate funding while ensuring you understand all terms and obligations before committing to any franchise agreement.

Additional reading: financing a franchise.

Taking the Next Step: How to Research and Choose Your Franchise

Successful franchise selection requires systematic research and evaluation to ensure you choose an opportunity that aligns with your goals, capabilities, and market conditions.

1. Define Your Budget and Financing Options: Establish realistic investment parameters, including available cash, borrowing capacity, and monthly expense tolerance, before evaluating specific franchise opportunities.
2. Research Franchisor Disclosure Documents (FDD): The franchise disclosure document provides detailed information about fees, territories, franchisor financial performance, and existing franchisee experiences required by Federal Trade Commission regulations.
3. Speak with Current and Former Franchisees: Contact multiple franchise owners to understand real-world experiences, challenges, income potential, and satisfaction levels with franchisor support and business performance.
4. Evaluate Territory Availability: Confirm that desirable territories remain available in your preferred geographic areas and understand territorial protection policies that prevent oversaturation.
5. Consider Your Long-Term Business Goals: Assess whether the franchise opportunity supports your desired lifestyle, income targets, growth ambitions, and exit strategy preferences.
6. Work with Experienced Franchise Attorneys and Advisors: Professional guidance helps you understand legal obligations, negotiate terms when possible, and avoid common pitfalls that could impact your franchise’s success.

The Federal Trade Commission’s franchise rule requirements mandate specific disclosure timelines and information sharing that protect prospective franchise buyers during the evaluation process.

CMIT Solutions exemplifies thorough franchisor support through comprehensive validation processes, transparent financial performance sharing, and extensive ongoing support systems that help franchisees succeed in competitive technology services markets.

Success Stories: Real Franchisee Experiences With CMIT Solutions

💡 Understanding real franchise owner experiences provides valuable insights into what success looks like and the journey required to build a thriving franchise business.

Linda Kuppersmith, CMIT Franchise Owner, on reducing startup overwhelm

“It was never my plan to do this. To be handed a blank sheet of paper and told to create a business, that scared the bejesus out of me. Starting through a franchise model took away that white paper fear and replaced it with a system I could follow. It was business in a box, and as a process person, I knew I could do that.”

Roderick Floyd, CMIT Franchise Owner, on the power of shared success

“The number one reason I joined CMIT was the ownership commitment to success, which was second to none. When I spoke with other owners, I could feel they were genuinely invested in helping me succeed. It reminded me of what I valued most in my previous role: a team where everyone worked together toward a common goal and supported each other’s success.”

Arvind Hariharan, CMIT Franchise Owner, on realistic validation and transparency

“CMIT did a phenomenal job of helping me understand exactly what to expect through validation calls. Everyone was so invested. They opened their books and said, ‘Here’s what I made year one, year two, year three… and here’s where I am after 10 years.’ That transparency gave me confidence.”

Nate Ikechi, CMIT Franchise Owner, on why going it alone doesn’t compare

“If you try to build something like CMIT on your own, without the backing of a national brand and partnerships with vendors like Microsoft, Amazon, and Dell, it’s incredibly difficult. I tried, and the cost would break the bank for most small businesses. Discovering CMIT was like a dream come true because it gave me the support I needed to succeed.””

Leslie Chiorazzi, CMIT Franchise Owner, on using national milestones to drive local growth

“Learning that CMIT reached $100 million in systemwide revenue was super exciting. At first I wondered what that meant for me as a single owner. But then I realized it was a great story to share with prospects. It gave me a strong differentiator and a way to explain why we’re successful and why they should choose us.”

Disclaimer: These testimonials are based on real franchisee experiences. Some quotes have been lightly edited for clarity and flow while preserving the original intent of the speaker.

Start Small, Think Big With Cheap Franchise Opportunities

Affordable franchise opportunities exist across virtually every industry, providing pathways to business ownership that don’t require massive capital investments or overwhelming financial risk. The key to franchise success lies not just in finding the cheapest option, but in selecting opportunities that align with your interests, skills, and market demand while offering sustainable profit potential.

The franchise model provides proven systems, ongoing support, and brand recognition that significantly reduce the risks associated with starting a new business from scratch. Whether you’re drawn to technology services, home-based businesses, or traditional retail operations, low-cost franchise options can provide the foundation for building substantial long-term wealth.

Mark Hoffman, a CMIT franchise owner, demonstrates the growth potential available through strategic franchise selection: “My goal is to grow and be part of that million-dollar club. Truth be told, be part of the three to $5 million club. I do believe that with this business model and with the franchise support, that is a very realistic and achievable goal.”

Success in franchising comes from choosing the right opportunity, following proven systems, and maintaining dedication to serving customers excellently. The most successful franchise owners understand that starting small doesn’t limit your potential; it provides a solid foundation for thinking big and achieving substantial business growth over time.

Ready to discover how CMIT Solutions can help you build a profitable IT services business with comprehensive support, proven systems, and growth potential that can transform your financial future? Call us at (855) 999-2023 or contact us online to speak with a franchise expert today.

 

FAQs

What happens if my low-cost franchise doesn’t succeed?

Most franchise agreements include specific termination procedures, but failure typically results in loss of your initial investment and potential ongoing obligations for lease commitments or equipment financing. However, reputable franchisors provide extensive training and ongoing support designed to maximize your success probability, and many offer assistance with business transitions if needed.

How long does it typically take to see a profit from a cheap franchise?

Most affordable franchises achieve break-even within 12-18 months, with profitability often beginning in the second year of operation. Technology and service-based franchises with recurring revenue models typically reach profitability faster than retail or restaurant concepts that depend on building customer traffic over time.

Can I run a low-cost franchise part-time while keeping my current job?

Many service-based and home-based franchises allow part-time operation during startup phases, though success often requires transitioning to full-time commitment as the business grows. Franchises like travel agencies or business consulting may offer more flexibility than those requiring physical presence like retail or restaurant operations.

Do low-cost franchises require less ongoing support from the franchisor?

Quality franchisors provide comprehensive support regardless of investment level, though the specific types of assistance may vary. Low-cost franchises often include the same training programs, marketing support, and operational guidance as higher-investment options, ensuring you receive adequate support for success.

What are the hidden costs that aren’t included in the initial franchise investment?

Common additional costs include ongoing royalty fees, advertising contributions, equipment maintenance, insurance premiums, professional services, and working capital for operational expenses. Always review the franchise disclosure document carefully and budget for 6-12 months of operating expenses beyond your initial investment requirements.