Franchising Since: 1986
Headquarters: Carrollton, Texas
Estimated Number of Units: 790
Franchise Description: FASTSIGNS International, Inc. is the franchisor. The franchisor is a wholly-owned subsidiary of Propelled Brands Franchising, LLC. The franchise offered is for a business that specializes in selling, marketing, producing, installing and repairing visual communications including signs (both non-electrical and electrical), related work involved in the maintenance, installation and de-installation of interior and exterior signage, and other related graphics, marketing services and complementary products and services. The franchisor also offers multi-unit development rights to qualified franchisees, who are granted the right to develop more than one FASTSIGNS center within a defined geographic area according to a development schedule. In addition, the franchisor may offer existing sign businesses the opportunity to convert to the FASTSIGNS system (a conversion franchise), or offer an existing operating complementary business the opportunity to establish and operate a FASTSIGNS center within the existing business (a co-brand center).
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Territory Granted: The Franchise Agreement grants franchisees the right to operate a single center only at the approved site. Franchisees are assigned a specific geographic area around the center (the territory). The territory encompasses an area sufficient to include a minimum of 4,000 businesses. If franchisees comply with the Franchise Agreement, the franchisor will not establish or grant others the right to establish a FASTSIGNS center in the territory unless there is an increase of at least 20% in the number of businesses in the territory.
Obligations and Restrictions: To ensure the center operates efficiently, franchisees must operate the center at the times and in the manner described in the manuals. Any center personnel the franchisee designates must satisfactorily complete the initial training program and must satisfy its educational or business experience criteria as designated at that time, and otherwise be an individual the franchisor accepts. Within 120 days from the date that the center commences business, the franchisor requires that franchisees hire an outside sales professional, and employ an outside sales professional for the remaining term of the Franchise Agreement. The center premises may be used solely for operating the center, unless franchisees are granted a franchise for a co-brand center. To ensure that the highest degree of quality and service is maintained, franchisees must operate the center in strict conformity with the methods, standards, and specifications that we provide in the manuals or otherwise in writing.
Term of Agreement and Renewal: The length of the initial franchise term is 10 years. One 10-year renewal term is available, if requirements are met.
Financial Assistance: If franchisees are a conversion franchisee or co-brand franchisee and they meet the franchisor’s credit standards and qualify for financing, it may offer them financing for the initial franchise fee necessary to establish a FASTSIGNS center. The franchisor offers a reduced initial franchise fee to veterans of the U.S. Armed Forces who meet the requirements and qualified first responders.
Estimated Initial Investment
Name of Fee | Low | High |
Initial Franchise Fee | $49,750 | $49,750 |
Leasehold Improvements | $12,800 | $104,116 |
Furniture & Fixtures | $11,385 | $14,383 |
Deposits | $2,152 | $7,905 |
Telephone & Networking | $3,742 | $7,060 |
Decor and Graphics | $1,309 | $2,298 |
Tools, Supplies and Substrate Cutter | $4,685 | $8,041 |
Production Equipment | $66,612 | $71,228 |
Commercial Display, Laser Measurement Solution and a Chromebox with Licenses | $998 | $1,960 |
Center Management System Computer | $4,935 | $5,947 |
Signage | $2,400 | $5,864 |
Initial Inventory | $2,307 | $2,307 |
Architectural/Engineering | $0 | $4,900 |
Initial Advertising | $14,500 | $14,500 |
Travel, Lodging, Meals and 2 Employees’ Costs for Initial Training | $1,845 | $4,142 |
Administrative Supplies | $374 | $709 |
Business Licenses and Permits | $0 | $8,112 |
Insurance Deposits and Premiums (first 3 months) | $400 | $1,000 |
Professional Fees | $0 | $8,112 |
Working Capital | $35,000 | $55,000 |
ESTIMATED TOTAL (for new, full service center) | $215,194 | $377,334 |
Other Fees
Type of Fee | Amount |
Service Fee | 3% of gross sales for the first year. 6% of gross sales beginning the second year through the end of the term of the Franchise Agreement. If franchisees are a new center, conversion center or co-brand center they will pay the greater of $1,250 or 6% of gross sales beginning the 13th month through the end of the term of the Franchise Agreement or the co-brand Franchise Agreement. |
Ad Fee | 1% of gross sales for the first year. 2% of gross sales beginning the second year through the end of the term of the Franchise Agreement. |
Initial Advertising and Promotional Materials for the purchase of a Resale Center | $10,500 |
Interest | Lesser of 18% per annum or highest rate allowed by applicable law. |
Non-Compliance Fee | 2.5% of gross sales. |
Transfer Fee | $17,500 plus any broker fees and other out-of-pocket costs incurred by the franchisor. |
Resale Consulting Fee | $5,000 |
Renewal Fee | 15% of then-current initial franchise fee. |
Indemnification | Varies according to loss. |
Attorneys' Fees and Costs and Collection Agency Costs | Amount varies. |
Post-Termination and Expiration Expenses | Amount varies. |
Audit Fee | Cost of the audit. |
Technology Fee | $50 per month through the end of the first year of operation. Beginning the second year of operation, $100 per month. |
Google Workspace Accounts | $11.50 per month per each additional account. |
Franchise Convention | Amount varies. |
Optional eCommerce Catalog Participation Fee | $499 set up fee, plus $199 per month for up to 5 catalogs, plus $29 per month for each additional catalog. |
Early Termination Damages | Amount varies. |
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