If you enjoy a varied workday and a fast-paced work environment with the chance to grow, owning a staffing business might be for you.
Spherion provides a range of help with operational, marketing, and technical assistance to ensure every franchise owner can succeed.
The following blog post provides a helpful and informative guide about Spherion Franchising. As per their updated FDD, this blog discusses franchise fees, liquid capital requirements, etc. You will also know what other alternate opportunities are available for you.
Spherion Business Highlights
- Spherion has provided temporary staffing and permanent placement services for over 75 years.
- In 2006, the business became Spherion Global Workplace Solutions, a global leader in workforce solutions for businesses of all sizes through multiple mergers and acquisitions. A subsidiary of Randstad Holding N.V.
- Franchise owners are supported with an array of operational and marketing assistance.
- Spherion franchises are for sale in almost every market in the U.S.
Spherion Business Models
Spherion Franchise has two types of models for running your business.
- The professional model is for urban areas with dense populations.
- The commercial model focuses on smaller businesses in mid-sized towns, cities, and rural areas.
Spherion Franchise Updated Cost
If you are thinking of buying a Spherion franchisee, you should know about the initial investment for setting it up.
- Initial Franchise Fees: $35,000 – $35,000
- Professional Fees: $1,050 – $5,200
- Opening Advertising: $7,500 – $25,000
- Signs: $2,000 – $8,000
- Additional Funds for 12 months: $51,500 – $170,000
- After adding other cost and expenses estimated total is $148,025 – $347,475.
However, the “total” fees aren’t really the total. Spherion adds additional fees that prospective franchisees need to be aware of.
Temporary Sales Fee: The franchisor pays Spherion General Staffing franchisees 75% and retains 25% of the temporary gross profits. The franchisor pays Spherion Professionals franchisees 70% and retains 30% of the temporary gross profits.
Full-Time Placement Fee: The franchisor pays franchisees an 88% commission on the full-time placement sales in each fiscal year.
Computer System Support Fee: The fee for General Staffing Franchisees is $200 per site and for Professionals Franchisees: $300 per site
Spherion Marketing Fund: Fee for General Staffing Franchises is 0.25% of sales and for Professionals Franchises: 0.25% to 0.75% of sales.
Revenue Sharing Fee: Fee is up to 50% of sales for a temporary employee or full-time placement sale.
There are many other fees that Spherion charges its franchises, making it one of the most expensive franchises in terms of extra fees.
Reviews From Spherion Existing Franchise Owner
“The Spherion name is recognized and highly respected for quality services. Being aligned with a world-class company that offers a strong, structured business model and an award-winning franchise support team allowed me to fast-track the growth of my business.”
“Spherion is not an affordable franchise by any means. You’d be crazy to risk all your savings and take on a Spherion franchise without doing due diligence and researching the company and products in detail.”
“The costs and legal obligations of franchising a business can be complex. At the same time, finding the appropriate territory has a significant role in making the franchise a successful business.”
“Hire a professional to make sure you don’t miss anything and take the time to compare to
Available Territories:
Spherion is for sale in almost all the U.S. Their priority markets are Atlanta, GA; Charlotte, NC; Chicago, IL; Grand Rapids, MI; Las Vegas, NV; Milwaukee, WI; Orlando, FL; Philadelphia, PA; San Antonio, TX; San Diego, CA.
How To Buy a Spherion Franchise
You can either purchase a single unit or multiple unit franchise depending on whether you are a new franchise owner or an existing franchise owner. There are ten simple steps to start your franchise.
Along with the help of a franchise consultant, you can expedite the buying process by getting instant information about what goes into owning a franchise business, including how the franchise works, what you should expect when buying a franchise, and what you need to keep an eye out for when signing the franchise agreement.
Advantages and Disadvantages of Buying Spherion Franchise
Every franchise has its advantages and disadvantages, so you should do due diligence before committing to any franchise.
Advantages of Buying Spherion Franchise
- Spherion has a good brand value in the market.
- The average office revenue is $5 million with an average gross margin of $1.05 million.
- Strong training and support.
Disadvantages of Buying a Spherion Franchise
- Spherion franchise turns out to be very expensive when considering all their fees.
- They have excessive control over the franchises.
Alternate Franchise Opportunities
All of the fees associated with a Spherion franchisee might make a prospective franchisee decide to consider a different brand to franchise with. Fransmart, the leading franchise development company for emerging brands can help you assess the Spherion opportunity, as well as present emerging brands with lower costs and strong ROI to consider including;
- RISE SOUTHERN BISCUITS & RIGHTEOUS CHICKEN
- BROOKLYN DUMPLING SHOP
- CURRY UP NOW
- IKE’S LOVE & SANDWICHES
- JARS BY FABIO VIVIANI
- PAYMORE
- SLAPFISH
- THE HALAL GUYS
- TAFFER’S TAVERN
- SAVANNAH SEAFOOD SHACK
- DUFFS CAKE MIX
If you’re ready to explore all your franchise options, contact Fransmart today for help choosing the ideal franchise for your goals.