Q&A

Is owning a UPS franchise profitable?

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Is owning a UPS franchise profitable?

The UPS Store requires a $359,500 investment and a projected $35,333 monthly income to break even (including taxes and fees). Because of the high operating cost of a store, 60\% of UPS Stores don’t turn a profit until they hit over $30,000 in monthly sales.

How much does a UPS franchise owner make a year?

The average salary for an Owner is $75,970 per year in United States, which is 70\% higher than the average The UPS Store salary of $44,611 per year for this job.

How much can you make owning a UPS franchise?

It has been reported by The Balance, that it takes a UPS Store franchise “$365,000 in annual gross sales” for a franchise owner to yield a “$35,000 a year income.” The same report states that “about 60\% of all US stores do not break even.”

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How does a UPS franchise make money?

Franchises usually have more up front cost than starting your own independent business. Plus there are ongoing royalties that have to be paid to the franchisor. In the case of the UPS Store the royalties (comprised of both the standard 8.5\% fee and another 2.5\% for ad royalties) add up to 11\% of your revenue.

How much is a franchise fee?

Franchise royalties are usually collected by your franchisor on a monthly basis. Like marketing fees, these fees are based on a percentage of your revenue. But there’s one major difference; the percentages are higher. Franchise royalties range from 4\% of your revenue all the way up to 12\% or more.

Can you start a franchise with no money?

It’s not possible to start a franchise without any money. You’ll need to pay an initial franchise fee, and you will have other start-up costs. You might be able to free up some money with a home equity loan or by using your retirement savings.

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Are franchise Owners Rich?

Initial Investment. Your earnings potential as a franchise owner depends largely on the brand and industry. Franchise owners in the restaurant industry earn an average of $82,000 per year, which is pretty solid considering the salary range of a non-franchise restaurant owner can range from $24,000 to $155,000.

Are franchise fees monthly?

What is the process of starting a ups franchise?

To make the process of starting a franchise as simple as possible, The UPS Store has broken down our approval process into four straightforward steps Inquiry – you’ll attend one of our webinars and complete an application Application – you’ll go through the interview process and complete a franchise disclosure agreement

How to get approved to own a the UPS Store center?

How to get approved to own a The UPS Store center? Prospective The UPS Store owners follow a simple four-step process to get approved: Step 1: Inquiry; Step 2: Application; Step 3: Funding; Step 4: Booking; Learn more about our franchise approval process. Owning a The UPS Store franchise: Be in business for yourself, not by yourself

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How can the UPS Store help with my financing needs?

The UPS Store can provide access to financial resources that know and trust our brand and that can help with your financing needs. The financial investment needed can be met through any combination of cash, bonds, stocks, mutual funds, retirement accounts, or other non-borrowed sources.

What does it mean to be a franchisee?

Being a franchisee means you get to enjoy the freedom and flexibility of making your own business decisions and being your own boss while working towards your goals of personal and financial independence with the support of an established brand.

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