The 5 Best Franchises to Own in Texas in 2025

The 5 Best Franchises to Own in Texas in 2025

Texas has long been a promising market for franchise ownership, with its strong economy and high consumer demand. For 2025, several franchise options across industries stand out, offering a mix of growth potential, training support, and accessibility to new franchisees. Here’s a look at five of the best franchises to consider in Texas.

1. Shipley Do-Nuts

Shipley Do-Nuts was founded in 1936 by Lawrence Shipley Sr. in Houston, Texas. The company started as a small bakery that sold fresh, hand-cut doughnuts for $0.05 per dozen. Early operations focused on delivering hot, freshly made doughnuts to customers, a factor that contributed to its growth. The brand formally launched its franchise model in 1987 and relocated its headquarters to North Main Street in the 1950s to support expansion efforts.

As of 2023, Shipley Do-Nuts operates more than 350 franchised locations across 12 states, with ongoing expansion plans into additional states such as Maryland, Georgia, and Florida. Peak Rock Capital, a private equity firm, acquired a majority stake in the company in 2021, marking a shift in ownership from the Shipley family. Flynn Dekker was appointed CEO in May 2023 to oversee the next phase of the brand’s growth.

Franchise Investment Requirements

Shipley Do-Nuts requires prospective franchise owners to make an initial investment ranging from $340,900 to $566,200, depending on location and other factors. Total costs can reach $1,029,000 when all expenses, such as real estate, permits, and equipment, are included. The franchise fee is priced between $35,000 and $50,000.

Candidates must meet a net worth requirement of $600,000 to $750,000, along with liquid cash reserves of $200,000 to $250,000. The ongoing royalty fee is set at 4% of gross revenue. The company does not provide specific information on marketing fees, but such charges are standard practice in franchise agreements.

Support and Operations

Franchisees receive extensive training and operational assistance to ensure success within the company’s quick-service restaurant framework. The training program includes 100 hours of on-the-job training and 20 hours of classroom education. Shipley Do-Nuts also supports franchisees in real estate development, providing resources such as architectural plans and equipment procurement services.

In addition to technical and operational guidance, the company emphasizes consistency and simplicity in its menu. With over 60 varieties of doughnuts and pastries, the brand is known for its proprietary doughnut mix, which requires only water and yeast to be added on-site. This approach reduces inventory complexity and streamlines daily operations.

Growth and Market Positioning

Shipley Do-Nuts has reported record growth in 2023, adding 14 new locations and signing 11 multi-unit franchise agreements with plans to open nearly 100 new shops. States targeted for expansion include Tennessee, Colorado, and Oklahoma. The company’s long-term strategy focuses on increasing its presence in high-traffic areas and growing its customer base through product variety and competitive operational practices.

Though specific revenue or profitability data is not publicly available, the company has stated that average unit volume has increased alongside its geographical reach. Its market appeal lies in providing high-quality products combined with a strong support system for franchise owners.

2. Capital Tacos

Capital Tacos launched in 2013 in Land O’Lakes, Florida, as a fast-casual Tex-Mex restaurant. Initially a small corner establishment, the business was acquired in 2016 by James Marcus and Josh Luger, who shifted its focus to scalability while preserving its emphasis on quality. The company is headquartered in Tampa, Florida, with operations managed at locations in both Lutz and Bloomingdale.

The franchise is recognized for its innovative menu, a strong customer base, and awards like being named one of the Top 3 Taco Shops in the U.S. by Foursquare and Business Insider. This differentiation bolsters its position within the Tex-Mex fast-casual segment.

Franchise Structure and Costs

Capital Tacos operates under an independent franchise model, allowing franchisees to manage units while leveraging the brand’s operational and marketing framework. Franchisees can choose from three formats: brick-and-mortar restaurants, static trailers, and mobile event trailers. This flexibility tailors operations to the investment level a franchisee can sustain.

  • Initial Franchise Fee: $49,000
  • Total Investment Range: $137,950 – $447,200
  • Cash Requirement: $100,000
  • Minimum Net Worth: $150,000

For ongoing costs, franchise owners pay a 6% royalty on gross sales along with a 2.5% marketing contribution. These fees cover operational support and brand-wide marketing initiatives.

Franchise Support and Operations

Capital Tacos provides franchisees with hands-on support to help ensure operational readiness. Assistance includes site selection, lease negotiations, and vendor introductions. Ongoing training comprises 65-88 hours of on-the-job learning and 38-52 hours of classroom instruction. Franchisees receive continuous guidance from dedicated business coaches post-opening.

Marketing support extends across digital channels, managed by the corporate team. This includes social media campaigns, SEO enhancements, and email marketing. The model integrates individual franchise locations into the overarching brand strategy to maximize visibility.

Operational demands vary by unit type but typically require one to 15 employees, depending on scale. While passive ownership is permitted, active engagement from franchisees is encouraged to optimize unit performance.

Menu and Competitive Edge

Capital Tacos emphasizes fresh, scratch-made Tex-Mex cuisine. Its menu features tacos, burritos, bowls, and proprietary items like Capital Fries, Birria Bundles, and Epic Nachos. Franchise locations also cater to dietary preferences with vegetarian options and seafood offerings. This menu adaptability appeals to a wide customer base attracted to unique flavor profiles.

The dining experience at Capital Tacos extends to its ambiance, which incorporates elements like chalk walls and pinball machines to create an inviting, casual atmosphere. This focus on branding provides a competitive advantage in retaining customer loyalty.

Financial Performance and Growth

As of recent estimates, Capital Tacos reported annual corporate revenue of $15.3 million with revenue per employee at $243,000. For franchisees, average revenues for brick-and-mortar units stood at $1.2 million with gross profits of $940,000, according to the 2022 Franchise Disclosure Document.

The company has experienced steady growth, with an 11% increase in employee count in the last year. Expansion opportunities remain available, and franchisees are encouraged to explore multi-unit agreements.

Key Requirements and Incentives

Franchise ownership is open to a broad demographic, including candidates on visas. The model’s flexibility accommodates scaled-down formats like mobile event trailers, which lower initial investment costs to $129,000. Veterans are also eligible for a 25% discount on the franchise fee. Financing options provided by third-party partners help prospective owners manage startup costs related to equipment, inventory, and payroll.

Capital Tacos provides its franchisees with exclusive territories, giving the operational space needed to develop robust regional markets. However, exact terms of contract length, renewal options, and termination clauses are not publicly detailed.

While specific data on the mix of franchise-owned versus company-operated locations is unavailable, the franchise-centric model shows clear potential for growth.

3. Anytime Fitness

Founded in 2002, Anytime Fitness operates in the fitness and health services sector. The company is headquartered in Woodbury, Minnesota, and has grown to become one of the largest fitness franchises globally. The business model is franchise-based, with most locations independently operated by franchisees under the parent brand. As of 2024, Anytime Fitness reports over 5,273 locations across more than 50 countries. Only 18 stores are company-owned, illustrating the emphasis on franchising.

Franchise Requirements and Costs

The initial franchise fee for owning an Anytime Fitness gym is $42,500. Total investment costs range between $397,516 and $973,121, though other estimates suggest a lower range from $94,430 to $523,824. Prospective franchisees must meet a net worth requirement of $500,000 and have $100,000 in liquid capital available. The franchise also offers a 10% discount on the franchise fee for veterans.

Ongoing fees include a monthly royalty payment of $799 and an advertising royalty fee of $600. These costs do not include operational expenses such as rent, staffing, and utilities. Financing options are made available through third-party providers to cover expenses like startup costs, franchise fees, equipment, and payroll.

Franchise Support and Training

Anytime Fitness provides extensive training and support to its franchisees. This includes 24 hours of on-the-job training and 39 hours of classroom instruction. Additional resources are provided through tools like a proprietary software platform, a franchisee intranet, and online support services. Key areas of ongoing support include lease negotiations, site selection, field operations, security protocols, and marketing initiatives.

Marketing assistance includes co-op advertising, ad templates, loyalty programs, and digital strategies like social media, SEO, email marketing, and website development. Additionally, the company supports franchisees during grand openings and helps drive member acquisition through national and regional campaigns.

Competitive Position and Expansion

Known for its 24/7 accessibility, Anytime Fitness caters to fitness enthusiasts seeking convenience. The gyms are equipped with a wide range of workout equipment and offer services such as personal training, fitness classes, and wellness programs. Private restrooms, showers, and health plan discounts are among the amenities offered for members.

In a competitive market, Anytime Fitness differentiates itself by guaranteeing protected territories to franchisees and enforcing guidelines against absentee ownership. Franchisees are required to actively manage their operations, and part-time or home-based business models are not permitted.

The company faces competition from other fitness brands, including Planet Fitness, Gold’s Gym, L.A. Fitness, and boutique gyms like Orangetheory Fitness and Beachbody. In 2024, Anytime Fitness merged with Orangetheory Fitness to form a new entity called Purpose Brands, which collectively operates over 7,000 locations.

Milestones and Performance

The franchise has achieved major milestones in recent years, reflecting its rapid growth and market success. By 2015, it opened its 3,000th location, located in Stroud, Gloucestershire, England. It was ranked as the fastest-growing fitness club chain for seven consecutive years by the International Health, Racquet & Sportsclub Association.

In 2014, Entrepreneur magazine named Anytime Fitness the top franchise. Between 2008 and 2013, the company added 1,396 gyms, a 17% year-over-year increase at its peak. In 2013 alone, system-wide sales reached $634 million, representing a growth of $150 million from the previous year.

While the company does not publicly disclose average profits or annual revenue for franchisees, the estimated gross sales per franchise are approximately $379,000, with an operating profit margin of around 15%.

4. Five Star Bath Solutions

Five Star Bath Solutions, established in 1996, specializes in bath remodeling and home improvement services. Based in Springville, Utah, the company operates primarily through a franchise model. Since beginning franchising in 2008, the brand has grown to over 200 franchise units across the United States and Canada, with no publicly disclosed company-owned locations.

The parent brand, Five Star Franchising, oversees its operations, providing franchisees with structured support and resources for business growth. The franchise’s emphasis on innovative remodeling technology, custom solutions, and a customer-centric approach has contributed to its rapid expansion in the home improvement market.

Franchise Investment and Financial Requirements

Starting a Five Star Bath Solutions franchise involves financial prerequisites aligned to the industry standard for home improvement businesses. Initial franchise fees begin at $59,500, included within the total estimated investment of $125,500 to $266,000. Variations in these figures depend on factors like location, equipment needs, and real estate expenses.

Franchisees are required to provide liquid assets ranging from $75,000 to $100,000 and maintain a net worth between $250,000 and $400,000. For multi-unit franchises, the requirements are slightly higher—$150,000 in liquid assets and a $350,000 minimum net worth. Veterans receive a ten percent discount on the franchise fee as part of the company’s veteran incentives program.

Ongoing costs include a royalty fee of six to five percent and an advertising royalty fee beginning at $350 per month. These fees cover continuous support, operational tools, and marketing initiatives provided by the franchisor.

Franchise Support and Training

To ensure operational success, Five Star Bath Solutions offers a comprehensive training and support program. Training consists of a five-day business management session at company headquarters, a five-day field training period, and additional installation training for new hires. The company also provides 15-20 hours of classroom instruction and 24 hours of on-the-job training to help franchisees navigate the early stages of business ownership.

Franchisees benefit from marketing assistance, including lead generation through an in-house team managing online campaigns, search engine optimization, and social media outreach. The ProNexis Sales Support system handles phone and web inquiries to streamline customer communication. Operational coaches and corporate staff are readily available for business strategy adjustments, employee management, and technical support.

To further assist franchisees, Five Star Bath Solutions grants exclusive territories to prevent competition among its own units. Franchise owners can run the business remotely or with a mobile unit, and part-time ownership is permitted. A small team of one to three employees is typically sufficient to launch operations, with the option to expand staffing as customer demand grows.

Market Presence and Growth Trends

Five Star Bath Solutions operates within the $50 billion bathroom remodeling market. The franchise has consistently expanded its geographic reach, establishing over 150 new territories in the last two years. This growth is underpinned by strong franchisee retention rates, with 82 percent of territories owned by multi-unit operators. On average, these owners manage three or more units, demonstrating the brand’s scalability for entrepreneurial investors.

System-wide, annual average sales for franchisees are approximately $1.6 million, with mature franchises reporting averages closer to $1.8 million. Additionally, the company’s average project ticket price stands at $12,782. Franchisees benefit from a proven business-to-customer model that emphasizes delivering tailored solutions for homeowners seeking bathroom renovations.

Five Star Bath Solutions has received industry recognition for its low-cost entry and franchisee satisfaction. It was ranked as a top brand for multi-unit ownership by Entrepreneur Magazine, placing 139th on the list, and recognized as a top low-cost franchise for 2023 by Franchise Business Review.

Key Differentiators in Competitive Market

The company differentiates itself from competitors through its use of technology in remodeling projects and its dedication to customer service. Its franchise package includes proprietary software tools, a franchisee intranet platform, and field operation guides designed to streamline daily operations. These resources, combined with exclusive territories, marketing support, and field training, provide a strong foundation for franchise owners to scale profitability.

As part of the Five Star Franchising platform, which manages seven home service brands with a total network exceeding 800 franchises, Five Star Bath Solutions benefits from shared resources and industry knowledge. This structure has facilitated its emergence as one of the fastest-growing bath remodeling franchises globally.

5. HomeWell Care Services

HomeWell Care Services, headquartered in Burkburnett, Texas, was founded in 2002. The company operates in the personal-care industry, focusing on non-medical home care, including personal care, companionship, and homemaker services. These services cater to seniors and homebound persons who require support with daily tasks. HomeWell also provides specialized programs such as fall prevention, post-medical care, and life enrichment, which differentiate it from competitors.

Since 2003, the company has operated as a franchise network under the parent company, HomeWell Franchising Inc. The corporate team, led by CEO Crystal Franz, offers pre-training, multi-day on-site training, and ongoing support to franchisees. The training includes 72 hours of on-the-job instruction and 39.5 hours in a classroom setting. Additional support includes tailored assistance through individual and group calls, webinars, and online resources.

Franchise Model and Costs

HomeWell runs entirely as a franchise-based model, with 145 independently operated units and no company-owned locations. Bruce Haase holds the majority ownership, with Joshua Hoffman retaining a minority stake. Opportunities are open across the United States, excluding Louisiana, and select territories in Canada.

The initial investment to start a HomeWell franchise ranges from $54,400 to $234,900. This includes the franchise fee, which can range from $0 to $49,500 depending on location and qualifications. Veterans receive a 20% franchise fee discount. Prospective owners must meet a net worth requirement of $250,000 and possess liquid capital of $150,000. Financing options are available through third-party lenders to help cover expenses like fees, equipment, accounts receivable, and payroll.

Ongoing costs for franchisees include royalty fees ranging from 5% to 10% of revenue, as well as an advertising royalty fee of 2%. The company provides exclusive territories to franchisees, though absentee ownership is not permitted. The initial term of the franchise agreement lasts for ten years and is renewable.

Market and Growth

HomeWell has built its reputation in a growing market that addresses the demand for non-medical care for American seniors. Approximately 40% of Americans aged 65 and older require assistance with daily living activities. Meanwhile, 90% of those surveyed prefer aging in place rather than relocating to care facilities. The market for in-home care is further reinforced by the 65 million caregivers in the U.S. who dedicate more than 20 hours per week to assisting a loved one or friend.

The company has demonstrated consistent growth. From 2020 to 2023, it expanded its footprint by adding new contracts and locations and achieved nearly 170 franchises by 2024. Recent performance data show a 26% increase in corporate revenue and 12% system-wide revenue growth in 2020. HomeWell maintained its trajectory during the pandemic and achieved a 131% growth over a three-year period.

Recognition of the company’s efforts includes listings in Entrepreneur’s Franchise 500, the Inc. 5000, and multiple years as a Top Low-Investment Franchise by Franchise Business Review.

Competitive Edge and Franchisee Support

HomeWell stands out with its proprietary care programs designed for specific health and lifestyle needs. This includes services for fall prevention, post-surgical care, and enriching daily lives through personalized care routines. These offerings, combined with robust training and operational support, help franchisees establish strong presences in their markets.

Marketing assistance is available to franchise owners to build brand awareness through advertising campaigns and localized strategies. Operational support focuses on implementing processes that ensure compliance while improving efficiency for franchisees.

The care industry is highly competitive, but HomeWell’s rapid growth and recognition in reputable rankings suggest strong performance against competitors. Franchise owners benefit from HomeWell’s proven business model, which balances low investment requirements with extensive resources for success.

Through its expanding network and continued support from the corporate leadership team, HomeWell aims to establish a larger presence in untapped territories while maintaining its position as a recognized leader in the non-medical home care segment.

The Outlook for Franchises in Texas for 2025

Growth Projections and Economic Impact

The franchise industry in Texas has been on an upward trajectory, supported by population growth and strong economic structures. By 2024, Texas is projected to have 82,463 franchise establishments, an increase from 79,860 in 2023. The data suggests no slowdown in sight, which sets the stage for expansion into 2025. This growth isn’t limited to sheer numbers; it’s also an economic heavyweight. Franchise operations in Texas contributed an estimated $89.2 billion to the state’s gross domestic product in 2024, showing the industry’s substantial footprint.

The employment side is equally critical. With employment figures for franchises projected to hit around 869,265 jobs by 2024, there’s no shortage of economic opportunity tied to these ventures. As franchises grow, they bring work opportunities across multiple levels, from entry-level positions to managerial roles. For those eyeing Texas as a franchising haven, the employment statistics alone make a compelling case.

Franchise output in the state is growing at an estimated 5.1% rate from 2023 to 2024. This growth solidifies Texas as a leader, especially when compared to other franchise-heavy states like Florida, California, and New York. These trends indicate that Texas is not only growing by headcount but also by financial contributions, showing the underlying strength of its franchise industry.

Industries and Cities Leading Franchise Growth

Some sectors have proven to outperform others in Texas when it comes to franchising. Quick service restaurants remain top-tier in their growth, driven by rising demand for fast, affordable, and convenient food options. Texas’s economy and discretionary consumer spending also keep personal services franchises in demand. These businesses cater to wellness, beauty, and other personal care needs, which remain essential for many Texans.

Beyond food and personal services, other industries like healthcare, information technology, and home services have notable potential. Cities such as San Antonio are carving out niches in bioscience, aerospace, and cybersecurity, while areas like Fort Worth are leaning into energy-related opportunities.

When you focus on geographic spots with high growth potential, Liberty Hill, Caddo Mills, Celina, Fulshear, and New Braunfels come to mind. These cities are experiencing population booms, making them ideal for franchise expansion. Liberty Hill, in particular, saw its population grow by over 185% between 2020 and 2023. High growth rates in smaller cities mean untapped markets for franchise opportunities, especially for service-based operations. San Antonio and Fort Worth, meanwhile, stand out for their existing infrastructure and reputation as business-friendly locales.

Demand Trends and Consumer Preferences

Consumer preferences play a big role in determining which types of franchises perform well. Texas continues to witness rising demand for quick service restaurants and personal service-oriented franchises, both of which align with the convenience-driven priorities of today’s consumers. Convenience is king when it comes to consumer spending habits, and these sectors fulfill that demand perfectly.

Healthcare and fitness are also worth noting. While not tied to any specific projections for 2025, health and wellness campaigns in the state are growing, bringing opportunities for gym franchises, urgent care facilities, and nutritional consulting businesses. This shift aligns with the ongoing focus on health-conscious lifestyles and preventive care.

Home services like cleaning, landscaping, and repairs remain evergreen, especially in places with growing residential zones. Expanding cities provide a steady need for reliable home improvement and maintenance services. Franchisors in this sector should monitor areas with an influx of new housing developments, as they represent prime market openings.

Technological advancements are an evolving factor influencing franchises. More companies are integrating tools like AI-driven automation and online ordering systems to streamline operations. This kind of tech isn’t limited to high-profile brands; smaller franchises are also stepping up to incorporate customer-facing innovations that enhance convenience and efficiency, laying the groundwork for consistent success.

Financial and Regulatory Considerations

Franchising isn’t cheap, and in Texas, the price tag for starting a franchise can range from modest to staggering, depending on the brand. Expenses for franchises can begin at a few thousand dollars for smaller concepts and scale up to $5 million for high-end or capital-intensive options. For instance, opening a Raising Cane’s location may require between $768,100 and $1.9 million. Entrepreneurs need to weigh these costs against the potential benefits of brand recognition, existing support systems, and faster break-even timelines.

What makes Texas favorable is the availability of financing programs aimed at nurturing small businesses, including franchises. Programs like the Texas Small Business Credit Initiative provide funds through the Capital Access Program and Loan Guarantee Program. Entrepreneurs can also tap into the Texas Enterprise Fund, which offers financial incentives for projects that show a strong local impact through job creation or capital investment. These support measures make Texas a more accessible option for would-be franchisees, particularly for those who lack large reserves of venture capital.

Regulatory requirements remain an important consideration. While Texas is known for its business-friendly policies, franchises must comply with mandatory state and federal regulations, such as filing fees, licensing, and permits. Working within a franchise model, though, can alleviate some burdens, as franchisors often provide guidance and ensure compliance for their franchisees. For independent business owners looking into franchising, that sort of structured oversight can be invaluable.

Challenges and Opportunities

Expansion comes with its share of hurdles. Labor availability is a recurring concern in franchising circles. Securing enough talent—particularly for QSRs, which rely on a steady workforce of hourly employees—can challenge businesses as they expand. This often leads franchisors to implement employee retention programs or offer incentives that encourage long-term employment.

Another pain point is the rising operational costs driven by inflation and supply chain disruptions. While franchises often have an edge compared to independent businesses due to their established models and bulk purchasing powers, cost increases will always squeeze profit margins. Franchisees need to account for items like royalty fees, shared marketing expenses, and equipment costs when setting revenue goals.

That said, franchises tend to outperform independent businesses in long-term survival rates. About 85% of franchises are still operational five years after opening, compared to only 50% of independent businesses. Brand recognition, marketing support, and standardized operating procedures from franchisors play critical roles in these higher success rates. Add to that the consumer trust built into established franchises, and it’s clear why these ventures appeal to both first-timers and seasoned entrepreneurs.

For those searching for maximum flexibility, owning an independent business may seem like the better option, as franchise systems come with rules. However, the trade-off of limited flexibility is often outweighed by structured guidance, proven business models, and collective buying power within the franchise ecosystem.

The Takeaway for Franchise Investors

Texas is fertile ground for franchise expansion, blending a growing consumer base with favorable economic conditions. Quick-service restaurants and personal services dominate the conversation, but emerging sectors tied to technology, healthcare, and home services are scratching the surface of untapped possibilities. The state’s smaller, rapidly growing cities are creating new opportunities for franchises to lead within less saturated markets.

Learn More About Our Features

Find out why Maptive is the most powerful mapping tool on the market.

Learn More

Read Testimonials

See what Maptive users have to say about our software.

Get Started

Start Your Free, No Risk, 10 Day Trial

No credit card required.
No surprises.
Just Results.

START MAPPING NOW

Related Articles