Owning a convenience store franchise can be an extremely rewarding career, but it requires a substantial amount of dedication and hard work.
Despite being small in size, convenience stores are profitable as they offer customers exactly what the name says, Convenience.
The Convenience store industry is the 286th largest in the country, and almost -a third of the United States GDP comes from the general retail industry.
According to the Convenience Store News Industry Report, convenience store revenue totaled $663.5 billion and grew almost 25% in the past year.
If you are interested in starting a business in the retail industry, the best way is to capitalize on a Convenience store franchise opportunity because customers are already mindful of what the brand is all about.
Credibility and trust are the central percepts in the corporate world, and by supplementing your business with a prebuilt brand reputation and expertise, you can earn some extra zeros in your profit.
In this article, we have ranked the top 10 Convenience store franchise opportunities in 2024 based on several key factors.
All these franchises have a proven operational model, a high level of support for franchisees, and access to strong brand awareness and customer loyalty.
Interested In A Convenience Store Franchise?
1O Best Convenience Store Franchise Opportunities
Here are the top 10 convenience store franchises worth buying for growth-minded entrepreneurs in 2024:
1. 7-Eleven Franchise
| Founded In | 1927 |
| Franchising Since | 1964 |
| Estimated Outlets | 77,000 |
| Total initial investment | $37,550- $1,000,000 |
| Franchise Fees | $25,000 |
| Liquidity | $50,000-$150,000 |
| Royalty Fees | Varies |
7-Eleven is a Japanese American chain of convenience stores known as the pioneer of bringing the concept back in the late 1920s, and it still is one of the top players in the industry.
Founded by Joe C. Thomas in Dallas, Texas, the company started franchising in 1964 and currently has 77,346 locations in 17 different countries, of which 5,945 are owned by the company, while 63,943 are owned by international franchisees.
With annual revenue of more than $69.15 billion, what makes 7-Eleven unique from the franchisee perspective is the degree of flexibility it offers them to tailor the products to the specific community needs.
With startup setup and ongoing support, you’ll be successfully running your store sooner than you think.
The franchisor offers assistance on several aspects of the business, such as initial training, financial support in obtaining and bearing the ongoing cost of the land, site selection, and store equipment, bill paying and payroll services for store operations, and financing to handle operating expenses.
Read our full article on 7-Eleven Franchise to know more about the profitability of the franchise.
2. Ampm Franchise
| Founded In | 1975 |
| Franchising Since | 1979 |
| Estimated Outlets | 1,029 |
| Total initial investment | $440,000-$10,405,152 |
| Franchise Fees | $40,000-$70,000 |
| Liquidity | $5,000 |
| Royalty Fees | 11-14% |
Ampm is another popular convenience store franchise chain in the United States owned by B.P. America, Inc.
Established in 1975, the store has hundreds of branches in California, Arizona, Washington, and several other countries like Brazil and Costa Rica, offering a variety of hot and cold snacks, and beverages.
The franchisor offers distinctive branding, strong customer loyalty, and one of the strongest brand images in the convenience store franchise industry.
The company is looking for new franchisees throughout the U.S., offering them Initial training, comprehensive support, and in-house financing to cover startup costs and equipment.
They offer a strong marketing platform and consistent, ongoing support to the franchisees to help them run their business successfully.
3. Gateway Newstands Franchise
| Founded In | 1983 |
| Franchising Since | 1983 |
| Estimated Outlets | 500 |
| Total initial investment | $56,000-$502,000 |
| Franchise Fees | $15,000-$150,000 |
| Liquidity | $50,000 |
| Royalty Fees | 3.5% |
Gateway Newstands is a chain of convenience stores and kiosks in office buildings, high-traffic shopping centers, public places, and transit stations in the U.S. and Canada.
Established in 1983, the stores operate as independent franchises that sell a wide range of convenience items, including beverages, snack foods, lottery tickets, chewing gums, candy, newspapers, and magazines.
Their store timings are between 7:30 a.m. to 6:00 p.m., which is less demanding than others.
Gateway Newstands franchise has been ranked among America’s Top 100 franchises by Entrepreneurs Magazines as one of the most successful franchise business models.
They provide prime locations, store design, fixtures, equipment, operations expertise, initial and ongoing training, and strong head office connection to help franchisees offer the best shopping experience for their clients and get an excellent return on their Investment.
4. Circle K Franchise
| Founded In | 1951 |
| Franchising Since | 1995 |
| Estimated Outlets | 1,886 |
| Total initial investment | $185,000-$1,600,000 |
| Franchise Fees | $25,000 |
| Liquidity | $100,000 |
| Royalty Fees | 1.5% |
Circle K is one of the most widely known Canadian-owned multinational American chains of convenience stores that operate in Canada, the United States, Europe, and through franchises in Asia and Mexico.
In addition to a wide range of snacks, food items, and beverages, it also offers fuel, oil products, and vehicle cleaning services.
With a rich history of franchising both inside and outside of the USA and Canada, Circle K is planning to capitalize on the established operators.
Whether it’s about converting existing locations or establishing new stores, Circle K facilitates every kind of franchisee.
The franchisor offers initial training and financial assistance to the qualified franchisees for construction, equipment, improvements, and conversion costs.
In addition, marketing support is also offered by the franchisor to help them establish and run Circle K as a full-service store that offers all the merchandise and services of a traditional convenience store.
5. RaceTrac Franchise
| Founded In | 1934 |
| Franchising Since | 2019 |
| Estimated Outlets | 500 |
| Total initial investment | $1,000,000 |
| Franchise Fees | $25,000 |
| Liquidity | $350,000 |
| Royalty Fees | 3.5% |
RaceTrac is an American retail, fuel, and convince store chain known for delivering quality food and a wide selection of products to customers.
As a pioneer in the retail convenience industry, RaceTrac is capitalizing on its existing locations and expertise in fuel and merchandise retailing to recruit and support qualified entrepreneurs.
The convenience store chain is recruiting franchisees with strategic agility, business etiquette, integrity, and a strong desire to grow the business.
Becoming a RaceTrac convenience store owner is a great chance to be part of a trusted brand.
As a franchisee, you will be provided with all the assistance and tools needed to run a RaceTrac store, including comprehensive training, support in marketing operations and merchandising, along with regional support to make sure you get off to a great start.
6. Farm Stores Franchise
| Founded In | 1957 |
| Franchising Since | 2015 |
| Estimated Outlets | 28 |
| Total initial investment | $128, 501-$213,200 |
| Franchise Fees | $25,000 |
| Liquidity | $25,000 |
| Royalty Fees | 5% |
Farm Stores is the original and largest drive-thru grocery store in the United States that provides all the famous grocery brands and items that are difficult to find anywhere else.
From dairy, coffee, and snacks to freshly baked bakery items and quality restaurant meals, the chain offers customers tons of fast shopping options.
Established in, Farm Stores started franchising in 2015 and currently operates 28 franchise locations.
The chain prides itself on providing all the essential training, tools, and marketing support to its franchisees and allowing them to be actively involved in the day-to-day operations.
7. Street Corner Franchise
| Founded In | 1988 |
| Franchising Since | 1995 |
| Estimated Outlets | 12,000 |
| Total initial investment | $80,000-$2,000,000 |
| Franchise Fees | $19,000-$24,900 |
| Liquidity | $50,000 |
| Royalty Fees | 4-5% |
Street Corner franchise offers main models for sale, including a mall store, a gas station, an urban superette, and a Kiosk.
The franchise fees vary depending on the business model chosen by the franchisee.
Owning a Street Corner franchise is one of the most affordable ways to build your own business successfully.
In addition to hands-on training, and access to their high-quality and proven business plans, the franchisor provides a protected territory in which franchisees can develop the network of their stores and ongoing support to deal with any issues.
8. Dash IN Franchise
| Founded In | 1979 |
| Franchising Since | 1979 |
| Estimated Outlets | 60+ |
| Total initial investment | $138,600-$680,300 |
| Franchise Fees | Available On request |
| Liquidity | N/A |
| Royalty Fees | N/A |
Dash In is another promising convenience store and gas station franchise opportunity for entrepreneurs with multiple revenue layers.
The chain of 24/7 convenience stores located in the Mid-Atlantic region of America is known for offering a wide selection of snacks, food items, and drinks at low prices, along with a variety of other services such as bill payments, lottery tickets, and money orders.
Dash In franchise is recruiting an inspired group of talented entrepreneurs and provides more opportunities to achieve success and growth as compared to other franchises because they are more concerned about the long-term success of their franchisees.
They are looking for like-minded individuals that share common goals and professional experience in the retail industry.
9. SPAR Franchise
| Founded In | 1950 |
| Franchising Since | 1950 |
| Estimated Outlets | 40 |
| Total initial investment | $135,000-325,000 |
| Franchise Fees | $35,000 |
| Liquidity | N/A |
| Royalty Fees | N/A |
SPAR is one of the world’s top 10 convenience store chains that provide customers with high-quality and value-for-money products and good friendly customer service.
As a SPAR franchisee, you’ll get the golden opportunity to be a part of the largest food chain and benefit from the online training, store development services, and expertise in the industry that will help you start your store and progress further in the retail sector.
SPAR allows its franchisees to develop one of the ranges of stores to suit the locality and allocate a business development advisor who will conduct regular visits and provide guidance for sustainable business growth.
10. Casey’s General Store Inc. Franchise
| Founded In | 1990 |
| Franchising Since | 1996 |
| Estimated Outlets | 2,400 |
| Total initial investment | $500,000-$1,600,000 |
| Franchise Fees | $40,000 |
| Liquidity | N/A |
| Royalty Fees | 5% |
Casey’s general store is a chain of convenience stores that runs stores in 10 states of the Midwest and the United States in small towns and rural areas.
The chain offers a wide range of snacks, grocery items, prepared foods and drinks, retail goods, and gasoline. The retailers have 94 convenience stores and 79 dealer locations.
The retailer is expanding its private label line of packaged beverages, bakery, and snack items to pizza franchises and looking for eligible franchisees to join them, unlike other convenience store franchises that don’t require any experience in the retail industry or pay any extravagant franchise fees to own a Londis franchise.
In addition, you’ll be offered on-the-job training, advertising support, and ongoing support.
When Should You Choose A Convenience Store Franchise?
Here are 3 questions you need to ask yourself when in doubt of when should you choose a convenience store franchise:
1. What Kind Of Commitment Do I Want To Make?
Firstly you need to check whether you are ready to give the commitment for a longer period or not. This is because investing in a franchise is a long-term business. Some franchise contracts are as short as 5 years and as long as 25 years.
So before getting into any contract, check whether you are ready to give your 10-15 years to the franchise or not.
2. What Is My Budget?
The cost of franchises varies immensely by industry and business model. Therefore before buying into a franchise, note the initial investment and compare it with your expected return, income, lifestyle, and goals
3. What Will Be My Role In The Business?
There are two types of franchisees, one is absentee owners, where the owner hire the staff to conduct day-to-day operations, and second where the owner himself manages all the work related to the franchise.
Make sure you know what role you want to play in your business.
Things You Need To Know Before Choosing A Convenience Store Franchise
Here are 5 things you need to consider before investing in a convenience store franchise:
1. Training & Support
Look for whether the franchise will provide training and support. Take advantage of every knowledge your franchisor has and take guidance from him to ensure a successful venture.
Also, look for what other support the franchisor provides you and utilize it to the fullest.
2. Franchisor’s Professionalism
You must also check the franchisor’s behavior. Meet the franchisor 2-3 times to ensure that you both hold mutual interest, and check how they answer all your queries.
This process will tell you about how the franchisor conducts his/her business.
3. Reviews
This is the most important pre-requisite to look for when investing in a franchise. You must check reviews and reputation of the franchise brand.
Check with the existing franchisees of the brand and make sure they are up to your expectations.
4. Mutual Expectations
Make sure you get a clear idea about what your franchisor expects from you, and also ensure that the deal is fit for both franchisee and the franchisor.
5. Location
This is one of the most important things to look for, as location plays a very vital role in the success of the franchise.
Choose a location that has your target audience as well as loyal customers. You should also look for potential competitors in the locality.
Comparison of Top 5 Convenience Store Franchise Opportunities
| Company Name | 7-Eleven | Ampm | Gateway Newstands | Circle K | RaceTrap |
|---|---|---|---|---|---|
| Founded | 1927 | 1975 | 1983 | 1951 | 1934 |
| Outlets | 77,000 | 1,029 | 500 | 1,886 | 500 |
| Franchise Fee | $25,000 | $40,000-$70,000 | $15,000-$150,000 | $25,000 | $25,000 |
| Initial Investment | $37,550- $1,000,000 | $440,000-$10,405,152 | From $56,000-$502,000 | $185,000-$1,600,000 | from $1,000,000 |
| Royalty Fee | varies | 11-14% | 3.5% | 1.5% | 3.5% |
Conclusion
Convenient store is a one-stop destination that busy Americans depend on to satisfy their late-night cravings for snacks.
Investing in a convenience store franchise can be a sensible way to start your financial goals because it comes with automatic name recognition, on-site training, access to marketing materials, and other support from the franchisor in the early stages of store opening that can be especially helpful for entrepreneurs with little to no experience in the industry.
However, there are certain factors you have to keep in mind while buying a convenience stores franchise, such as the market size of the store, the type of products and services it offers, neighborhood, and timings.
Be sure to map turnover and profit against outgoings such as rent and rates. If you are having a hard time choosing the right convenience store franchise, choose any of the top 10 franchises listed above.
All of these provide their franchisees with the training, support, and tools to start from the ground up.
FAQs
How Much Does Convenience Store Franchise Cost?
The average cost to open a convenience store franchise ranges between $37,550 to 1 million or more.
Is Buying A Convivence Store Franchise A Good Idea?
Despite Economic Uncertainty And Crazy Competition, The Convenience Store Market Is Showing Healthy Growth.
Offering Daily Life Essentials And Vital Services, These Stores Are The Lifeline Of The Local Communities, Making Them A Profitable Proposition.
Can I Make Money With A Convenience Store Franchise?
Owning a convenience store is the best opportunity to make more money than you could make as an employee.
A convenience store has an average gross profit margin of up to $450,000.
What Is The Average Growth Rate Of The Convenience Store Franchise Industry In The U.S.?
The convenience store industry in the U.S. has grown 3.1% per year on average between 2017 and 2022 and is expected to increase by 1.8% in 2022.
Is Convenience Store Franchise Profitable?
Fortunately, yes, investing in a convenience store franchise is profitable. However, always keep in mind to choose a location that has your target audience.
What Is The Convenience Store Franchise Profit Margin?
The profit margin of a convenience store franchise highly depends on the franchise brand you choose. On average, the net profit margin should reach 5% for a single store and 10% for multiple stores at multiple locations.
Which Is The Cheapest Convenience Store Franchise?
According to the above-mentioned data, the cheapest convenience store franchise is Gateway Newstands, with franchise fees ranging from $15,000-$150,000, and the initial investment is also less as compared to other franchise options.
Amit Gupta is an experienced expert in digital marketing and co-founder of DrFranchises. With more than 11 years of knowledge in franchise digital marketing, SEO, email marketing, and social media marketing, Amit has helped many brands achieve incredible success online. As a passionate entrepreneur and owner of 7 franchises, he continues to study franchise models, looking at costs, revenue, and profitability to guide brands toward profitable growth. When he’s not working on digital marketing, Amit enjoys spending time playing with his beloved dog.