UPS Store
Description:
MBE, a UPS company, is the world’s largest mailing & shipping franchise. Its franchise brands, The UPS Store® and Mail Boxes Etc.®, together comprise more than 5,900 independently owned locations around the globe.
Opportunities:
Franchises available throughout the US and internationally in many countries.
Business Type:
Franchise.
Minimum Investment:
$170,766.
Financing Assistance:
Yes, through a third party.
Training Provided:
Yes.
The UPS Store
MBE, a UPS company, is the world’s largest franchisor of retail shipping, postal and business service centers. Its franchise brands, The UPS Store ® and Mail Boxes Etc.®, together comprise more than 5,900 independently owned locations around the world, providing convenient and value-added business services to the small-office/home-office (SOHO) market, corporate “road warriors,” and consumers.
History
The Mail Boxes Etc. concept was introduced in 1980 as a convenient alternative to the post office. Throughout its evolution, it has continued to define and lead the business services category it created. In 2001, UPS acquired MBE. In 2003, the two companies unveiled The UPS Store opportunity, offering the U.S. network the choice to re-brand and also set lower maximum retail prices for UPS shipping services. On April 7, 2003, approximately 3,000 Mail Boxes Etc. locations in the United States (at the time, nearly 90% of the domestic U.S. network) re-branded as The UPS Store and began offering lower (around 20% on average) UPS-direct shipping rates. The stores remain locally owned and operated, and continue to offer the same variety of postal and business services, with the same convenience and world-class service.
Growth
In the year following the re-branding, MBE sold more than 500 new The UPS Store locations in the United States – a record for the company, and phenomenal growth for a quarter century old franchise. Special venue site development has also grown steadily with locations on college campuses, military bases, in convention centers, hotels and urban renewal areas/empowerment zones. Special venue sites create an opportunity to provide services to consumers, regardless of where they live, work or travel.
In addition to its domestic network, MBE has expanded globally through master license agreements, with locations in more than 57 countries. Historically, the services provided by The UPS Store and Mail Boxes Etc. locations have been adaptable to the needs and market conditions of various countries and cultures around the world. In 2004, the company crossed the threshold of 5,000 locations worldwide. Throughout the company’s historic growth, one thing has remained constant: the commitment of its franchisees to providing personalized and convenient business solutions with world-class customer service.
In 2007, Stuart Mathis, president of MBE joined the International Franchise Association board of directors. MBE is a proud member of the IFA's VetFran program. Since the program was reinitiated in 2003, MBE has awarded more than 120 franchises under the VetFran program, more than any other franchisor. Qualified veterans are eligible for a 15 percent discount off the franchise fee.
Number of franchised units worldwide: 5,910.
Historical: Total locations in U.S.: 4,454; Total locations outside the U.S.: 1,456.
Industry recognition
In 2008, Entrepreneur magazine’s annual “Franchise 500,” a ranking of franchise opportunities based on factors such as financial strength, growth rate and size, rated The UPS Store #11 among all franchise opportunities and #1 in the Postal and Business Services category for the 18th consecutive year.* Additionally, the company has a rich tradition of award-winning marketing and public relations campaigns, among other accolades.
Center profile
The center interior is designed to promote a comfortable, yet professional business environment, with a contemporary appearance geared toward heightening awareness of products and services. Centers are typically located in shopping centers and commercial complexes, but can also be found in special venues such as universities, convention centers, hotels, military bases and large retail stores. The UPS Stores range from 1,200 to 1,800 sq. ft. and centers generally employ a full-time staff of two or more employees, including the owner/operator. Hours of operation vary, but locations are typically open Monday-Friday, from 9 a.m. to 7 p.m. and Saturday 9 a.m. to 5 p.m. Many locations are also open on Sundays.
Qualifications
Cash or liquid assets of $60,000 - $100,000 depending on area of interest.
Financial information for new franchise
Start-up cash required: $15,000.
Investment required: $170,766 - $279,375.
Mail Boxes Etc., Inc. offers up to $50,000 financing for fixtures and equipment. Franchise fee is $29,950.
Training
New franchisees receive one month of training including time at award-winning** The UPS Store University in San Diego, California, ongoing professional development with Internet-based training and resources, regional meetings, seminars and worldwide networking.
* 1990-2003 listed under the Mail Boxes Etc. brand
** American Society of Training & Development, 2007
