America's #1 Franchise Directory, Trusted for Over 15 Years
Request More Information

The UPS Store Franchise Cost & Fees

Date of Incorporation: 1980
Franchising Since: 1980
Headquarters: San Diego, California

Business Description: The UPS Store Centers (Centers) are retail service businesses which offer mail and parcel receiving, packaging and shipping services through various carriers and provide a wide range of other authorized products and services, including notary, printing, copying, office supplies and communications (such as fax) services. Centers are targeted to the needs of businesses of all size, small office/home office workers and busy consumers who are looking for timesaving services. Previously franchises for Centers were granted under the "Mail Boxes Etc." trademark but, starting in 2003 re-branding of the entire domestic system under the The UPS Store name began. UPS is the parent entity.

Franchise Offer: The franchisor, The UPS Store Inc. grants The UPS Store franchises featuring shipping, packaging, postal, print, and similar business and communication services to be operated at Traditional and Non-Traditional locations. Non-traditional locations include colleges, universities, hotels, resorts, military bases, convention centers, airports, self-storage facilities, inside other retailers, office buildings, bus or train stations, and outlet or regional malls.

Financial Assistance: The franchisor occasionally provides financing for qualifying prospective The UPS Store franchisees or prospective multiple franchisees under their guidelines. The franchisor reserves the right to add, change, or delete any financing programs at any time.

Training and Assistance: The franchisor offers a multi-phased The UPS Store Franchisee Training Program that focuses on developing the business management, technical, conceptual and diagnostic skills necessary to grow the franchised business. Following an introductory Web-based training, there are two basic parts: the In Store Experience, and the University Business Course. In addition, the franchisor may, from time to time, offer additional learning programs for ongoing education. The franchisor reserves the right, in their sole and absolute discretion, to require additional (i.e., post-opening) training for the franchisee and/or for the franchisee’s employees working in their Center(s).

Territory: The UPS Store franchisee will be permitted to operate their Center at a specific location acceptable to the franchisor. The Franchise Agreement will have an attached map and written description that will describe a geographic area surrounding the Center. There is no minimum territory size the franchisor will grant a franchisee. The Territory size depends on market factors in the area.

Term of Agreement and Renewal: The term of The UPS Store franchise agreement is 10 years with an option to renew for additional terms of 10 years so long as the franchisee is in good standing.

Obligations and Restrictions: The franchisee is not required to participate personally as the direct, on-premises operator or supervisor of operations at the Center. However, each Center's day-to-day operations must at all times be directly supervised by an on-premise Primary Operator. All Primary Operators must first successfully complete the Franchisee Training Program. The franchisee must use the premises solely for the operation of the Center; must keep the Center open and in normal operation for such minimal hours and days as may be specified by the franchisor; must refrain from using or permitting the use of the premises for any other purpose or activity at anytime without first obtaining the franchisor’s written consent, and must operate the Center in strict conformity with such methods, standards and specifications as the franchisor may from time to time require in the Operations Manual or otherwise in writing.

Estimated Number of Units: 4,865

Investment Tables:
Initial Investment for a Traditional Center (not operating under Rural Program)
Name of Fee Low High
Initial Franchise Fee $29,950 $29,950
Initial Marketing Plan Fee $7,500 $7,500
Design Fee $1,050 $1,050
Center Development Fee $5,000 $5,000
Initial Training Fees $5,700 $5,700
Travel and Living Expenses While Training (per person) $3,000 $4,000
Site Rent and Security Deposit $4,500 $18,000
Leasehold Improvements; Construction Costs; Signage; Furniture and Decor Items $40,856 $167,089
Computer Hardware/Installation/Freight $9,006 $10,170
Annual Technology Development and Support Fee $1,050 $1,150
Software $4,864 $6,864
Copiers and Printer $2,076 $3,966
Other Equipment $5,093 $5,986
Start-Up Supplies $6,180 $9,155
Utility Deposits $900 $3,000
Insurance $1,000 $5,000
Additional Funds - 3 months $40,000 $70,000
Estimated Total $167,825 $535,580
Initial Investment for a Traditional Center (under Rural Program)
Name of Fee Low High
Initial Franchise Fee $9,950 $9,950
Initial Marketing Plan Fee $4,000 $4,000
Design Fee $1,050 $1,050
Center Development Fee $5,000 $5,000
Initial Training Fees $4,100 $4,100
Travel and Living Expenses While Training (per person) $3,000 $4,000
Site Rent and Security Deposit $1,000 $2,500
Leasehold Improvements; Construction Costs; Signage; Furniture and Decor Items $47,452 $120,544
Computer Hardware/Installation/Freight $5,674 $6,256
Annual Technology Development and Support Fee $1,050 $1,050
Software $4,864 $6,864
Copiers and Printer $2,076 $3,966
Other Equipment $3,077 $3,127
Start-Up Supplies $6,180 $9,155
Utility Deposits $200 $2,000
Insurance $1,000 $3,000
Additional Funds - 3 months $40,000 $70,000
Estimated Total $139,673 $254,562

*See The UPS Store Non-Traditional FDD for investment costs for Non-Traditional Centers

Other Fees
Type of Fee Amount
Royalty 5% of STR (STR includes all Gross Sales plus Gross Commissions from the Center, less Allowable Exclusions).
"The UPS Store" Marketing Fee' 1% of STR.
National Advertising Fee (NAF) 2.5% of STR.
Advertising Co-op Dues Varies from Area to Area. Range is $100-$500
Annual Technology Development and Support Fee $1,150 ($1,050 if it is a Rural Center).
Transfer Fee The current Transfer Fee is $5,000 (The franchisor may periodically increase this fee).
Processing Fee The current Processing Fee is $4,000 if no Finder's Fee is paid to the franchisor; $1,000 if a Finder's Fee is paid. (The franchisor may periodically increase this fee).
Sales Fee 25% of then current initial franchise fee.
Insurance Amount of unpaid premiums.
Audit Cost of audit ($475 minimum) plus 18% interest or the highest rate allowed by law on underpayment. In addition, the franchisee must pay a late fee of $25 per week.
Audit Non-Prepared Fee $500 per type of document (as specified in Operations manual) not supplied upon Auditor's request but in no event greater than $2,500 per occurrence, and cost of Audit (including reasonable expenses incurred by Auditor) if rescheduled.
Non-Transfer Ownership Change Fee $350
Incorporation Fee $350
Family Transfer Fee $1,250
Entity Name Change Fee $350
Indemnification Will vary under circumstances.
Interest on financing offered by Franchisor Financing of initial equipment: Prime rate plus 4% financing for the purchase of a second center: Prime rate plus 2% financing for TUPSS 2000 remodel of the Center: Prime rate plus 1%
Late Payment Fee $35 per month or 10%, whichever is greater.
Equipment or Equipment Lease and Computer Hardware/Software Maintenance Varies.
iShip Processing Fee $0.20 per transaction.
Upgrade Review Fee $500
Finder's Fee The greater of $11,980 or 10% of the franchisee's Center's sales price.
Finance Charges Highest annual rate allowed under applicable law.
Design Fee $250, $660 or $1,050
Non-Compliance Fee Currently $250, but the franchisor may charge up to $1,000

The above information has been taken from the FDD of The UPS Store. Year of FDD: 2015

Franchise Direct's Disclaimer


 

Submit this form and a representative of The UPS Store will contact you with more information.

Contact Information

Full Name*

Email Address*

Phone Number*

Best Time to Call

Mailing Information

Street*

City*

State/Province*

Zip/Postal Code*

Country*

Investment Interest

Desired Investment*

Desired Location*

Additional Information (Optional)

Timeframe to Invest

Preferred Method of Contact

Alternate Phone Number

Comments? Questions?

The following items are in your Request List:

We can also forward your request to the companies you have added to your Request List. Please review the list below and confirm the companies you would like to contact.

* indicates required field.

Yes, send me updates on new franchise opportunities!

Franchise Direct’s reputation for integrity in the franchise industry has been established over its 15 years in business. We NEVER sell your information or share it with anyone other than the companies from which you have requested information.

This advertisement does not constitute a franchise offering. Please read our terms and conditions and privacy policy for full details.

You may be interested in the following franchises...

The UPS Store Join the world’s largest franchisor of retail shipping, postal, printing and business services centers. Request Info Min. Cash Required:
$60,000.

InXpress InXpress - providing global reach with a personal touch. Excellent home-based B2B sales model. Request Info Min. Cash Required:
$53,300.

Your Request List

You can add items by clicking the "Add to Request List" button or checkbox when you find something you're interested in.

You may add up to 15 items to your Request List

Your request list will follow you around the site.

When you are ready to complete your request for free information, click "Submit" in your Request List.

Why not get started by browsing our New Franchise Opportunities or Low Cost Franchise Directory?

You may only enter 15 items in your Request List.

To request information from your selected companies, just fill in the form and click "Submit".

OK, got it

Request Info From:

  •  

Your List is Empty

You can add items by checking the "Request FREE Info" boxes.

* indicates required field

Optional Information

Join our mailing list!

We share your information only with your selected franchises.