Here’s something that might surprise you: 99.5% of franchises succeed, while half of all independent startups fail within three years. That’s a massive difference, and a big reason why franchising now contributes over £19 billion a year to the UK economy. On top of that, 89% of franchise units are profitable, with an average turnover of around £400,000.
But why do franchise businesses—especially in sectors like kitchens and retail—outperform independent ones by such a large margin?
It All Starts with the Right Foundation
Franchise systems are built to address the challenges that often cause independent businesses to fail. From day one, franchisees get access to training, support, technology, and buying power that independents have to build on their own, usually through trial and error.
This foundation creates a big gap in performance. Independent business owners often feel like they’re figuring things out as they go, while franchisees follow systems that have been tested, refined, and proven.
Let’s look at the kitchen sector. The UK kitchen market is massive, and £47.7 million was spent on advertising in 2023 alone. That kind of investment shows confidence, but not everyone benefits equally.
Kitchen franchises do especially well because they’re built for high-value, low-volume sales. Customers often spend £8,500 to £50,000 or more on a kitchen. That means you don’t need hundreds of buyers; you need the right ones. And franchise marketing systems are designed to attract them.
During the pandemic, when many independents struggled to survive, leading kitchen franchises saw 14% growth in 2021, on top of 40% growth in 2020. That’s a sign of deep-rooted resilience.
Why Independent Businesses Struggle
Financial and Operational Benefits
What most people don’t see is how quickly costs spiral for independent kitchen retailers. Marketing can consume a significant portion of revenue when you’re building brand recognition from scratch. Compare that to established kitchen franchises where brand awareness drives the majority of initial customer inquiries without substantial local marketing spend.
Training costs add another layer of expense. Kitchen design software updates often, building regulations change annually, and installation techniques evolve constantly. An independent operator faces significant ongoing training costs just to stay current. Franchisees get this as part of their ongoing support.
Franchises also have guaranteed access to supplies even when materials are hard to find. They also get faster manufacturing slots during busy times and can offer special products that other businesses do not have. Independent retailers have to negotiate supplier deals one by one and usually get worse prices.
Payment terms are another big advantage. In the kitchen industry, it can take months to go from order to final installation. Being able to delay payments helps keep cash flowing during that time. Franchise networks often get extended payment terms from suppliers. Independent businesses usually do not, which can put a real strain on their finances. Laws and regulations also keep changing. Franchises manage this centrally, making sure every location stays compliant. Independent businesses have to deal with new rules on their own, which takes time and money they may not have.
Strategic and Competitive Advantages
Not to mention that running an independent business is mentally exhausting in ways that franchise ownership simply isn’t. When you’re making every decision from scratch – from which suppliers to use, to how to handle customer complaints – decision fatigue becomes a real problem. Franchise owners consistently report significantly less stress and better work-life balance compared to independent business owners in the same sectors.
The psychological safety net matters enormously when things go wrong. Independent operators often delay crucial decisions because they’re paralysed by the potential consequences. Franchise owners have experienced advisors they can call within hours, not weeks. Most importantly, when something goes wrong, independent business owners are often alone. Franchisees have access to advice, support, and help from the wider network. That kind of support becomes even more important as the market gets more competitive and complicated.
We know that when the economy is uncertain, franchises usually hold up better. Customers want reliability and are more likely to choose well-known brands when making big purchases like new kitchens. Almost all franchises survive, while half of independent startups fail. That is because franchises solve common business problems in a reliable and repeatable way. This matters even more when times are tough.
That is why more people are choosing franchise models in the kitchen and retail industries. It is not about avoiding risk. It is about joining a system that already knows how to succeed.
Want Predictable Success? Join a Proven System
If you’re thinking about launching or growing a business in the kitchen sector, ask yourself: do you want to build everything from scratch, or start with systems that already work?
Schmidt is one of Europe’s most established kitchen franchise networks. We’ve spent decades refining our systems, supplier relationships, and support model so that our franchisees succeed in all kinds of markets.
With in-depth training, advanced technology, strong brand recognition, and continuous business support, Schmidt franchisees are set up for long-term growth and resilience.
Explore Schmidt franchise opportunities today. Find out how we can help you build a smarter, stronger kitchen business—without doing it all on your own.