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What Happens When You Buy a Franchise?

What Happens When You Buy a Franchise?

Buying a franchise is a serious decision with many factors to consider in the process. From the initial research phase to signing the agreements and beginning operations, there are several moving parts that come together when you become a franchise owner.

Learn more in this article about what happens when you buy a franchise, from the steps before becoming a franchisee to what happens after buying the franchise.

Before Buying a Franchise

Before you buy a franchise, a multitude of considerations must be weighed. You want to ensure you’re making the right decision for your business and personal goals, that the franchise brand is strong and that you’ve thoroughly researched all the factors that would and could possibly affect your potential for growth in the future.

The first step in becoming a franchise owner is deciding to embrace your entrepreneurial spirit. Becoming a business owner has significant benefits and advantages, but it’s not without challenges. While it may seem like a dream to become your own boss, have a flexible schedule and manage a team of employees, owning a business can also have potential risks that should also be considered before ultimately making a decision to buy a franchise.

When you buy a franchise, you’re entering into a legal contract to conduct business under a brand name and operate as an extension of the brand. One of the many benefits of owning a franchise is brand awareness, which you’re buying into and benefiting from as a franchise owner. Brand awareness is vital for entrepreneurs as it attracts customers and franchisees alike, it’s a differentiator in the competitive marketplace and it increases the value of the franchise through loyalty and demand.

Evaluating a franchise opportunity can be challenging, but it’s helpful to have resources available to aid potential franchisees throughout the process, such as educational events and webinars. When you’re beginning your journey to becoming a business owner, you first want to start with a thorough research process, known as due diligence, to fully understand the risks and potential advantages of a particular business opportunity. Enlisting the help of an accountant to review financial records, as well as an attorney for legal matters, will help you analyze the franchise opportunity and determine if it’s a sound investment.

A major consideration before buying a franchise is the investment cost. There typically is an initial franchise investment fee plus additional fixed and variable costs associated with starting the business and keeping it operational. All the costs including the franchise fee, equipment, lease costs, training, advertising, inventory, royalties, working capital and potentially several more costs should all be outlined in the Franchise Disclosure Document (FDD).

Potential franchisees also need to consider how they will fund the investment. Whether it’s through a bank loan secured by collateral, partially funded through leasing certain equipment or financed through preferred partners of the brand, it’s part of the franchising process.

Before buying a franchise, these are simply a few of the considerations to factor into your decision. Familiarize yourself with the process, what’s required on both sides of the franchise agreement and do more research on questions to ask when buying a franchise business.

After Buying a Franchise

When you’ve finalized the franchise agreement and are officially a franchise owner, there’s still a lot of work to do before opening your business. New franchisees with The UPS Store complete a comprehensive four-phase training program which includes 40+ hours of web-based training, 45 hours of in-store training focused on operations, technical systems and business acumen, 90 hours in a university business course and print services training, followed by 40+ more hours of in-store training to ensure retail owners are prepared when they open their doors.

Wondering what to expect in your first year owning a franchise? Prepare for long hours as you find your groove and adjust to the responsibility of being your own boss and know that building a local customer base takes time. Being associated with a strong brand name like The UPS Store certainly helps as it gives consumers an idea of what to expect when they do business with you.

When you become part of The UPS Store, you receive support and guidance every step of the way. When you have a question, need troubleshooting help or want expert advice, a support team is available to help. You also have access to call upon a vast network of other franchisees with similar experiences. The chances are likely that another retail owner has gone through a similar challenge or situation and would be glad to share their advice with a fellow owner.

Opening a business also allows entrepreneurs to connect with their local communities. In addition to building up a loyal customer base through offering products and services to the community, being a business owner also affords the opportunity to give back to those in need through philanthropy, fundraisers and supporting other local small business owners.

The opportunity to build your own team within your operation is another advantage of owning a franchise business. By hiring and developing talent within their teams, franchise owners can maximize productivity and employee retention. Those with a focus on mentoring have found that it has a significant impact on their business as it dramatically increases employee satisfaction and helps retain talented, valued employees.

Franchising with The UPS Store

When you choose a franchise opportunity with The UPS Store, you’re backed by a nationally renowned brand name that’s widely recognized and has over 40 years of franchise experience to build upon. Having won many industry awards and having been recognized as a leader in the postal and business services category for over 30 years, The UPS Store continues to evolve and innovate, offering potential owners one of the best investment choices available.

The UPS Store proudly supports veterans, minorities and women owners through special programs and incentives, which is among the many reasons why retail owners continue to grow with additional locations to better serve other small business owners and their communities.


Learn more about the franchise opportunity with The UPS Store and contact our franchise development team to discuss the possibility of owning your own location.

2023 Entrepreneur's Franchise 500 Top Rated for Veterans badge

We Proudly Support Our Veterans

Participating partners with the VetFran program, The UPS Store offers qualifying veterans $15,000 off their franchise fee to start their new business. To learn more, contact The UPS Store Franchise Development Team.

Entrepreneur's Franchise 500 Ranked #4 in 2023 badge

Ranked for over 30 Consecutive Years

The UPS Store has been ranked #1 in the postal and business services category for over 30 years and remains in the top 5 overall for the seventh consecutive year according to the Franchise 500 list.

Kristin Howard

Franchisee, Michigan

The reason my husband and I decided to go into franchising and specifically with The UPS Store, is the different opportunities we're given with the business. The UPS Store has name recognition as well as opportunities to expand.

Debbie Adams

Franchisee, Kentucky

What I enjoy most about being a The UPS Store owner is working with my customers. We are the solution specialists for our customers.

Jim George

Franchisee, Illinios

My favorite part about The UPS Store network is the camaraderie with other franchisees. Everybody loves to help everybody else. You’re really part of a family.

Greg Murray

Franchisee, Florida

The interesting thing about The UPS Store is that when a customer walks through the door there's an extremely high probability that they're coming there to do something that is important to them. So at the end of the day, what we do for customers is very important and they are trusting that we are going to do it well.

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Mariana Huberman

Franchisee, Washington, D.C.

One of the things that I love about The UPS Store franchise system is that you're not ever in this by yourself. The franchisees of The UPS Store network are great.

Heidi Morris

Franchisee, Colorado

The thing I enjoy most about being a The UPS Store franchisee is I get to get up, go to work and know that I'm helping other business owners succeed in what they're doing.

Bob Brown

Franchisee, Tennessee

Owning a The UPS Store franchise has changed my life because it's finally given me the opportunity to engage my customers and my staff and be able to take real pride in what I do. As a franchisee, we get faced with solving peoples' problems every day and we do everything we possibly can to try to help.

Marie Jensen

Franchisee, Oregon

My favorite thing about The UPS Store is the variety. I love the variety of customers, I love the variety of services; getting to know the customers, meeting their needs, finding out how we can help them accomplish what they need to accomplish and seeing how happy they are. That makes me ecstatic.

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Tad Mollnhauer

Franchisee, Florida

With the products and services that The UPS Store provides we can make a difference in people's lives and that is the best reason for being a The UPS Store owner.

Joy Batchelor

Franchisee, Idaho

What makes being a The UPS Store franchisee worthwhile at the end of the day is the customers. The customers treat us like we're family.

Paul Erchinger

Franchisee, Texas

One nice benefit of owning a The UPS Store franchise for me has been that it gives me the opportunity to be more involved in the community. As I make relationships with others it seems like no matter what the environment is, in one way or another business comes out of that and that's not my objective—it's been a secondary benefit to being involved in the community.

Chris Reminder

Franchisee, Ohio

There are several things that I really enjoy about being a The UPS Store franchisee. First and foremost it allows me to get to know the people in the local community and that is a lot of fun. We get to see people on a regular basis. We get to know their life stories. That's a lot of fun.

Bruce Jones

Franchisee, Kentucky

Since we have joined The UPS Store, our life has changed by just having more time to spend together as a family. We've been very fortunate with the stores that we have and we have a great staff that looks out for our best interest and we look out for theirs.

Lonnie Williams

Franchisee, Oklahoma

What makes The UPS Store so successful is it gives each individual an opportunity to grow with the network and just meet the challenges that are brought to them on a daily basis. Every day gives us a new opportunity to help another person, to help another small business, to answer a question and to solve a problem.

Jeff Graham

Franchisee, Alabama

I love my customers. I love my employees. I love every person, every face that comes into my store. I enjoy every day going into work and I can't see doing anything else for the rest of my life.

Stacie Stigar

Franchisee, Alaska

I think that this franchise is so successful because of all of the resources that are available to us as center owners—we have marketing materials, we have so many different opportunities for help from the home office, and it just really makes for a great franchise.

Don Pollard

Franchisee, New Jersey

I think the thing that makes this franchise successful is a number of things. First of all we have an outstanding system, we have a great product, a great brand, and we're able to attract dynamic people to run these centers and run the business. So I think when you put all that together it really provides for a winning combination.

Mary Ellen Nichols

Franchisee, Tennessee

The thing I love about the franchise is that you have the UPS name backing you but yet you also have the autonomy to make your own decisions to promote.

Laura Griffin

Franchisee, Florida

In the eight short months I've owned my The UPS Store it has really changed my life. I've gone from being an employee of someone else to being an employer of my associates. It's a big responsibility but it's exciting every day.

Sandy Scandrett

Franchisee, Wisconsin

Being a The UPS Store franchisee has improved every aspect of my life. It's very rewarding financially, professionally, and emotionally. I have a large number of regular customers who are really, really appreciative of everything we do.

Kristie Robison

Franchisee, Alabama

I would say owning a The UPS Store location has changed my life to where I have more time and flexibility. In owning your own business you get your store up and running and you get employees that you can trust that are going to help keep your store running. This allows me to attend my two boys' ball games and also travel and do things with them so it has really changed my life for the better.