What Is the The UPS Store Franchise Opportunity?
Company Overview and Industry
The UPS Store is a retail shipping and business services franchise. It originally launched in 1980 under the name Mail Boxes Etc., aiming to serve small businesses and individuals with packing, shipping, and office services. After United Parcel Service (UPS) acquired the brand in 2001, it was rebranded as The UPS Store in 2003. Today, The UPS Store is headquartered in San Diego and is the largest franchise network in its category across North America. As of 2023, the system includes over 5,200 franchised locations in the U.S. – benefiting from UPS’s strong brand recognition and nationwide presence.
Each UPS Store offers a range of services: core offerings include parcel shipping (as an authorized UPS ship center), packing and packaging supplies, and mailbox rentals for customers who need a secure mailing address. Locations also provide printing and document services, from photocopies and business cards to large-format printing, plus ancillary services like notary public, shredding, faxing, and passport photos. This mix of services positions The UPS Store as a convenient one-stop shop for both everyday consumers and local entrepreneurs who need office support. The target customer base spans individual consumers (e.g. someone shipping a package or making copies) as well as small-business owners who rely on the store for printing, mail handling, and shipping their products. In other words, The UPS Store franchise serves both residential and commercial clientele, tapping into steady demand for shipping and business services in the community.
What Franchisees Get
Franchisees of The UPS Store benefit from a well-established corporate system with extensive training and support. New owners go through a comprehensive, multi-phase training program that includes online learning, in-person instruction, and hands-on experience in a model store. This training covers everything from daily store operations and use of UPS systems to marketing, customer service, and small-business management. By the time a franchisee opens their doors, they have practiced the packing and shipping procedures, learned to operate the point-of-sale and printing equipment, and developed skills in sales and business finances. Importantly, The UPS Store emphasizes that you’re “in business for yourself, not by yourself” – franchisees can count on ongoing support from corporate field staff at every stage. The franchisor provides site selection guidance, store layout design, and grand opening marketing support to get the business off the ground.
Once the store is open, ongoing support continues in the form of marketing programs (including national advertising campaigns funded by the brand), technology support for the store’s systems, and operational coaching. Franchise owners benefit from the UPS brand’s nationwide marketing and name recognition, which helps drive foot traffic. They also gain access to approved suppliers for equipment and inventory (like packaging materials) and negotiated rates for shipping services due to UPS’s economies of scale. In short, an owner receives a turnkey package of systems, training, and tools: everything from the proprietary shipping software and retail signage to a call center for after-hours customer inquiries. This robust support structure allows new franchisees – even those without prior shipping or retail experience – to plug into a proven business model and follow established processes.
Startup Costs and Ongoing Fees
Investing in The UPS Store franchise requires a significant upfront investment in a retail storefront and equipment. According to the latest Franchise Disclosure Document (FDD), the total initial investment to open a traditional UPS Store ranges from about $209,000 to $496,000. This figure includes all the costs to get started: the build-out of a retail location (construction, leasehold improvements, store fixtures and décor), the purchase or lease of equipment like high-volume printers and computers, initial inventory of shipping supplies, and three months of working capital to cover rent, utilities, and payroll until the business ramps up. Notably, the initial package also involves an Initial Franchise Fee of around $29,950 paid to the franchisor, as well as a $7,500 fee for an initial marketing plan to promote the new store. (The UPS Store sometimes offers discounted franchise fees for qualifying veterans or for opening in rural markets, which is why Item 5 of the FDD lists a fee range down to ~$19,950 in some cases.)
In addition to startup costs, UPS Store franchisees pay ongoing royalties and fees. The standard royalty fee is 5% of gross sales. Franchisees also contribute to advertising: 1% of gross sales for local marketing and 2.5% of gross sales toward the national advertising fund. In total, around 8.5% of revenue goes back to the franchisor for brand support and marketing. There may be small additional fees such as regional co-op marketing dues (varying by area, often a flat monthly amount in the low hundreds), according to franchisechatter.com. Owners are also responsible for typical business expenses outside of franchise fees – for example, rent for the store space, employee wages, utilities, insurance, and maintaining their equipment (like servicing copy machines or replacing computers over time).
When all is said and done, the financial requirements to qualify as a UPS Store franchisee include a minimum net worth around $150,000 and at least $75,000 in liquid capital. This ensures the owner can handle the investment and have a cushion for operating expenses. It’s worth noting that The UPS Store is a high-volume, lower-margin business model: the average gross revenue for a UPS Store center is around $692,000 per year. While top-performing locations can exceed seven figures in sales, profit margins are affected by retail overhead (rent, staff, etc.) and the relatively fixed pricing of shipping services. In fact, some franchisees have noted that net profits can be modest relative to the initial investment – one prospective owner researching the business found that “some mentioned you make only $35k in total profit a year… quite low compared to the start-up cost of over $250K”. Actual results vary widely by location, but this underscores the importance of understanding the cost structure and competitive landscape before investing.
How the Industry Itself Compares
Running a pack-and-ship store like The UPS Store is quite different from running a commercial cleaning business franchise. To make an informed decision, it helps to compare the shipping/postal services industry versus the commercial cleaning industry in practical, financial, and operational terms. Below, we’ll outline some of the advantages of The UPS Store’s industry, and then contrast those with the commercial cleaning industry. Both industries fulfill essential needs and can be profitable, but they differ in market dynamics, revenue patterns, and day-to-day ownership experience.
The UPS Store Industry Advantages
Strong Brand & Built-In Demand: One clear advantage of The UPS Store is its brand recognition and corporate backing. Franchisees leverage the trusted UPS name – a huge plus when competing against independent mail shops or postal centers. Customers often default to UPS Stores for shipping because they recognize the logo and expect reliable service. This means a new franchisee isn’t starting from scratch in terms of brand awareness; there is already demand from people who need to ship packages, make returns, or get documents notarized, and being part of a well-known brand helps attract those customers according to sharpsheets.io. The UPS Store is regularly ranked highly in franchise lists (including Entrepreneur’s Franchise 500), indicating its established presence and successful model.
Multiple Revenue Streams: Another benefit is the diverse services (and revenue streams) each UPS Store can generate. Unlike a single-service business, a UPS Store earns money from various lines: shipping fees, packing services, private mailbox rentals (which provide monthly recurring income), printing and copying services, retail sales of boxes and packing materials, and more. This diversification can help stabilize revenue – if one segment (say personal shipping) slows down, another (like printing or Amazon return drop-offs) might pick up. For example, many stores have a base of mailbox customers who pay monthly or yearly for a mailbox, ensuring steady cash flow. The rise of e-commerce has also driven increased foot traffic for shipping and return services, as consumers regularly drop off online returns (sometimes by the hundreds) at UPS Stores. All these services collectively create an opportunity to capture repeat business and cross-sell (e.g. someone coming in to ship a package might also get some documents printed and notarized).
Proven Systems & Support: The postal/shipping service industry is structured and regulated, which means The UPS Store model comes with well-defined operational systems. Franchisees benefit from UPS’s logistics expertise – for instance, standardized shipping rates, tracking systems, and daily pickup schedules are all handled through UPS. This makes certain aspects of the business straightforward (you don’t have to negotiate rates or find suppliers for core services). The UPS Store corporate also provides ongoing product development (adding new services like shredding or passport photos to drive revenue) and negotiated partnerships (such as deals with printing equipment vendors or marketing programs with small-business organizations). For an owner, this high level of franchisor support and refinement can simplify operations and give confidence that the concept works as advertised.
Community Presence: Running a UPS Store is a local, community-oriented business. Many franchisees become the go-to resource for small businesses in their area – handling bulk print jobs for the local realtor, managing mail for nearby home-based entrepreneurs, etc. If you enjoy customer interaction and being a known business owner in the community, this industry provides that outlet. The store’s retail nature means you’ll have regular customers and opportunities to build relationships. Over time, a well-run UPS Store can become a fixture of the neighborhood, with a loyal base of customers who rely on its services. This can be personally rewarding and also creates word-of-mouth referrals that strengthen the business.
However, it’s also important to acknowledge some challenges of the pack-and-ship industry that prospective owners should weigh. The business can be labor-intensive and customer-service heavy – owners (or their staff) are on their feet during store hours, assisting a high volume of customers with transactions that sometimes only amount to a few dollars’ profit each. In busy periods (like the holiday shipping rush), the work is fast-paced and can be stressful. Additionally, while the brand draws customers, competition still exists: other UPS Stores or FedEx Office locations might share the market, and consumers have alternatives like USPS or online printing services. Profit margins on many services are relatively thin (for example, UPS sets the shipping rates and the store earns a portion, but also has to cover labor and rent out of that portion). One long-time insider frankly noted that running a UPS Store “can be exhausting… and extremely discouraging” if the location struggles with thin profits and demanding volume. Thus, the UPS Store industry offers a well-trodden path with big-brand advantages, but it requires diligence, hustle, and an acceptance of retail realities to be successful.
Compared to Commercial Cleaning Industry
By contrast, the commercial cleaning industry (where Assett Franchise operates) offers a very different growth path and day-to-day model – one that in many ways can be more favorable for a first-time business owner looking for stability, scalability, and profitability. Here’s how the cleaning industry stacks up:
- Massive Market Size & B2B Focus: The U.S. commercial cleaning industry is valued at over $100 billion annually, serving virtually every kind of commercial building – offices, schools, medical facilities, warehouses, retail stores, and more. Every business you drive past likely needs cleaning services, creating a huge pool of potential clients. This market is far larger than the postal/shipping niche and it focuses on business-to-business (B2B) contracts rather than individual consumers. That means cleaning franchise owners target professional clients (e.g. a property manager or facility director) who often sign long-term contracts, rather than relying on one-off retail transactions.
- Essential & Recession-Resistant: Commercial cleaning is considered an essential service that maintains health and safety standards in workplaces. Because dirt and germs don’t take a break during recessions, cleaning tends to be recession-resistant. Even during economic downturns – or events like the 2020 pandemic – businesses and institutions must keep their spaces clean. In fact, janitorial services often see steady or increased demand during tough times as cleanliness becomes even more critical. This contrasts with shipping/printing, which can dip if consumers cut back on spending. Cleaning is a need, not a want, and that stability of demand can give franchise owners peace of mind about the longevity of their business.
- Recurring Revenue Contracts: Most commercial cleaning work is set up as recurring services – for example, a cleaning franchise might have a contract to clean an office 3 times a week, every week. Franchisees build portfolios of accounts that generate predictable monthly income. This is a powerful model: rather than depending on foot traffic or seasonal spikes, you have ongoing relationships. Long-term B2B contracts mean high customer retention, as companies typically stick with a cleaning provider they trust (it’s a hassle to switch frequently). Over time, a cleaning franchise can accumulate many contracts, layering stable revenue streams on top of one another. The UPS Store model, by comparison, is more transactional – you start at $0 in sales each day and rely on customers walking in, whereas a cleaning business often begins each month with a base of contracted revenue already secured.
- Low Cost of Entry, High Income Potential: Generally, a commercial cleaning franchise has a much lower barrier to entry financially than retail franchises. You don’t need expensive storefront real estate or large equipment. Many commercial cleaning businesses can be run from a small office or even a home office, with basic cleaning tools and a vehicle. Typical startup costs range from about $30,000 to $100,000 total – a fraction of the UPS Store investment. Yet the earning potential is very high because you can add clients without proportionally adding huge expenses. In fact, cleaning franchises can scale to $1M+ in annual revenue with the right approach. Profit margins also tend to be stronger in cleaning (often 20–30%) because overhead is low; you’re primarily paying for labor as you grow, not rent or costly inventory. The return on investment can be reached faster and exceed that of many retail concepts. For example, Assett Franchise reported that its average franchise unit generated over $1.53 million in revenue in 2024, showcasing how a cleaning business can achieve seven-figure sales in a structured model.
- Semi-Absentee Ownership Possible: One of the biggest draws of the commercial cleaning industry is that it can be structured for executive or semi-absentee ownership. The nature of janitorial work – routine cleaning tasks performed after-hours – means an owner doesn’t have to be physically present at each job site or work 9-5 in a store. Many commercial cleaning franchisees operate in a managerial role, putting in as little as 5–10 hours per week once the business is established and a trusted operations manager is in place. They focus on client relationships and business growth while letting trained crews handle the nightly cleaning. In contrast, a UPS Store typically requires an owner or manager on-site during all store hours, which can mean a more demanding schedule or the need to hire a full retail staff. The relative simplicity and uniformity of cleaning tasks make them easier to delegate to hourly employees or subcontractors. For an entrepreneur who wants to work on the business, not in it, commercial cleaning offers a clear path to that lifestyle (especially once a solid team is built).
- Scalability Without Heavy Infrastructure: Cleaning businesses are highly scalable. No expensive facilities or machinery are needed to expand – you mainly need more contracts and more cleaners. You’re not constrained by the size of a retail floor or the number of printing machines you can fit in a store. If you want to double your revenue, you can market to win more contracts and hire additional cleaning crews as needed. There’s also flexibility to start small and grow at your own pace; you might begin with a couple of accounts and gradually add on as you gain experience and revenue. This asset-light model (few fixed assets or physical build-outs) keeps overhead low and scales efficiently. By comparison, a UPS Store has fixed capacity – there are only so many customers one store can serve in a day, and expanding often means investing in another location with all the associated costs.
- Year-Round Demand (Minimal Seasonality): Commercial cleaning tends to have steady, year-round demand. Offices, medical centers, and industrial facilities need cleaning in every season – there might be slight upticks at certain times (e.g. extra disinfecting during flu season or more floor care in winter), but there is no period when the business shuts off. This contrasts with some service industries that are highly seasonal (tax preparation, lawn care, etc.). Even the pack-and-ship industry has a huge surge in December and slower months afterward. Cleaning contracts smooth out those peaks and valleys since they usually bill evenly throughout the year. The predictable nature of cleaning work helps with cash flow planning and staffing; you’re not hiring seasonal workers for a rush then sitting idle.
- Less Competition & Fragmented Market: Despite its size, the commercial cleaning industry is highly fragmented – there is no single dominant giant that controls the market. Many providers are small local outfits, and even the largest cleaning franchisors command only a small market share. This fragmentation means new franchisees can grab market share more easily without going head-to-head against entrenched monopolies. In your territory, you might find that the competition is a handful of independent cleaning crews (which lack the professional systems you have) or other franchises that can’t service every client. By delivering reliable service, a new entrant can quickly win contracts. In contrast, a UPS Store franchisee often has defined competition nearby (UPS itself carefully manages territories, but you may still compete with FedEx or the postal service for customers). In cleaning, because every business is a potential customer, there’s room for multiple providers to succeed and still not saturate the market. Even a small slice of a $100B industry can translate into high revenue.
- Lower Operational Complexity: Running a cleaning business franchise generally involves less operational complexity than running a retail shipping store. The services are straightforward – e.g. emptying trash, vacuuming, sanitizing surfaces – which are tasks that can be taught relatively quickly and don’t require expensive technical equipment. There is no need to manage a retail storefront, handle cash registers all day, or deal with shipping logistics and per-customer transactions. Instead, much of the work happens on scheduled routines, often when clients’ buildings are empty. This can lead to fewer customer service issues and a simpler daily routine for the owner. There’s also typically lower liability and regulatory burden – for example, you’re not dealing with lost packages or complex shipping regulations; the main compliance concern is following safety and cleaning standards. Overall, for someone new to business ownership, the cleaning industry’s simplicity can mean a shorter learning curve and fewer things that can go wrong operationally. (Even insurance costs often tend to be lower – a mistake in office cleaning might result in a broken lamp, whereas a mistake in packing a shipment incorrectly could be more costly, or an error in notary work could have legal implications.)
In summary, the commercial cleaning industry provides a bigger playing field with more flexibility and stability compared to the postal services industry. It offers essential, recurring services in a giant market, making it possible for franchise owners to build a $1M+ revenue business that’s relatively simpler to operate and scale. While The UPS Store’s industry has its merits, cleaning stands out for its combination of low entry cost, high recurring income, and adaptability to an executive ownership style. Next, let’s see how one particular opportunity – Assett Franchise – leverages these industry advantages and how it stacks up as an alternative for aspiring business owners.
How the Assett Franchise Compares
Assett Franchise is a commercial cleaning business franchise built explicitly for entrepreneurs who want a scalable, executive-style business in the cleaning industry. As a participant in the $100B+ commercial cleaning sector, Assett benefits from all the general industry advantages discussed above – a huge market, essential recurring demand, low operating costs – but it also brings its own unique systems and support to further tilt the odds of success in the owner’s favor. Below, we compare how Assett’s model differentiates itself, especially versus a more traditional franchise like The UPS Store or other service franchises.
Simpler Systems, Bigger Potential
One of Assett’s core philosophies is keeping the business simple to run while unlocking big revenue potential. Assett is already in the commercial cleaning industry, meaning as an owner you’re tapping into that massive, recession-resistant B2B market of offices and facilities, rather than limiting yourself to a small retail niche. The franchise’s business model is designed for someone who may have no prior janitorial experience – in fact, owners are not expected to grab a mop or vacuum at all. Instead, Assett is structured as an executive model franchise: you focus on working on the business (client acquisition, team leadership, quality control) and hire cleaning crews to do the nightly work. This “manager/owner” approach is in contrast to some franchises (including many small owner-operator concepts) where the franchisee ends up performing the front-line work themselves. Assett provides a full business playbook and comprehensive training, so even first-time entrepreneurs can quickly learn how to run the operation without needing any technical background in cleaning. No industry experience is required – the franchisor teaches you everything from sales and customer service to scheduling and service delivery.
The earning potential with Assett is notably high given this simple, scalable setup. The franchise emphasizes building a business with $1M+ in recurring revenue, and this isn’t just a theoretical projection – it’s supported by real performance data. In 2024, the average Assett franchise unit generated over $1.5 million in annual revenue. That figure far exceeds the average unit volumes in many other service franchises (for instance, it’s roughly double the average gross sales of a UPS Store, despite Assett’s lower startup costs). The ability to land numerous cleaning contracts across different industries in your territory means an Assett owner isn’t capped by one type of customer or constrained by retail foot traffic. As you add contracts, revenue scales upward with relatively linear costs. Importantly, Assett lets franchisees keep more of what they earn – the franchise royalty is a sliding scale between 3% and 7% of gross revenue, which is significantly lower than the ~8.5%+ fees at many retail franchises. Over time, this difference means tens of thousands of dollars that stay in your business, available to reinvest in growth or enhance your bottom line. Assett’s startup investment is also lower, roughly $73K–$116K all-in as noted in their materials (this includes everything needed to launch, from the franchise fee and training to initial equipment and marketing). With lower costs, higher revenues, and simpler operations, Assett Franchise is engineered to deliver a faster ROI and greater upside than more infrastructure-heavy franchise models.
Automated Hiring = Time and Money Saved
Perhaps the most innovative aspect of Assett’s model is its automated hiring system, which tackles one of the toughest challenges in any service business: finding and retaining reliable staff. In the commercial cleaning world, high employee turnover and constant recruiting needs are common headaches that limit growth for many companies. Assett’s founder, Matt Pencarinha, drew on his experience to develop a proprietary hiring system (first launched in 2019 and continuously improved since) that is considered “the best hiring system in the entire commercial cleaning industry.” This system automates and streamlines much of the recruitment and onboarding process for cleaning technicians. The result? Assett franchise owners can scale their workforce quickly without spending all their time on HR.
According to Assett, the Automated Hiring System saves an owner 20–30 hours per week, reducing what used to be a constant grind of posting jobs, interviewing, and training into roughly 2–5 hours per week of oversight. In other words, the franchisor’s technology and processes handle the heavy lifting of sourcing candidates, filtering for quality, and even initial training, so that the franchisee doesn’t need a full-time recruiter or manager just to staff the contracts. This is a game-changer because it eliminates the biggest growth bottleneck most cleaning businesses face – staffing – and it does so in a cost-efficient way. With Assett’s system, an owner can continually add new cleaning crews as they win more contracts without personally working long hours or having to pay for an expensive HR manager.
The benefits of this approach are significant: franchisees can focus more on service quality and client retention rather than constantly hiring. They can confidently take on new accounts knowing a pipeline of vetted workers is available. The system also leads to lower turnover because employees are better matched and supported – staff feel more valued and stay longer when a company has a smooth, professional hiring and onboarding process. Moreover, by automating away the drudgery of hiring, owners save money (since they don’t need to hire additional HR staff or spend on endless recruiting ads) and gain lifestyle flexibility. Assett likes to point out that this advantage lets their franchisees enjoy a more hands-off management role much sooner than most service business owners could. In short, Assett’s automated hiring is a unique leverage point that helps ensure you have a consistent, high-quality workforce at scale, which in turn allows you to keep clients happy and grow faster than competitors who are held back by labor shortages.
Personalized and Founder-Led
Another distinguishing factor of Assett Franchise is its personalized, founder-led approach to franchising. Unlike many large franchise chains that might be owned by private equity firms or layers of corporate bureaucracy, Assett is a family-owned franchise brand that is “personally owned & operated” by its founder, Matt Pencarinha. Matt started the business himself (as a former corporate professional who launched a cleaning company in 2019 to gain more freedom) and remains deeply involved in the company’s mission and the success of each franchisee. For franchise owners, this means direct access to leadership and a more hands-on guidance than they might get in a huge franchise system. You’re not just a number in a portfolio – you’re a partner working with the founder who built the model. Franchisees can tap into Matt’s knowledge and the company’s founding team for mentorship, problem-solving, and support in a way that feels like joining a close-knit business family.
Assett Franchise also prides itself on being values-driven and community-focused. The company operates on core convictions like “People First” and a “Pioneering Spirit,” emphasizing ethics, service, and innovation in every aspect of the business. The idea is that by taking care of employees and clients with integrity (and embracing new ideas like the hiring system), the business will thrive for everyone. Franchisees are attracted to this mission-oriented culture – it’s not just about making money, but also about building a business that has a positive impact on everyone involved (from the cleaners employed to the clients whose workplaces are healthier). Being founder-led, Assett can instill these values consistently and avoid the disconnect that sometimes happens when franchises are owned by distant investors.
In practice, the personal touch shows up in how Assett supports its franchisees: you have direct lines of communication to the founders, get personalized coaching, and join a franchise community where your feedback can influence the brand’s direction. Assett is still relatively young and growing (with just over a dozen units so far, as of 2024 according to bizbuysell.com), which can be an advantage – early franchisees often enjoy more individual attention and the ability to work closely with the franchisor to shape best practices. For someone who values relationships and mentorship, this environment can be very appealing compared to buying a franchise from a giant corporation where you might only ever speak with regional managers. In summary, Assett offers a family-like franchise system where the owners are deeply invested in your success (because it’s their life’s work too). This personalized, founder-led model ensures that franchisees are supported by leadership that’s approachable, accountable, and passionate – a stark contrast to more impersonal franchise chains.
Final Thoughts
Both The UPS Store and Assett Franchise present compelling opportunities in their respective industries, and each will have its strengths for the right type of buyer. The UPS Store franchise could be a good fit if you’re drawn to a retail environment with a famous brand name, multiple revenue streams like shipping and printing, and you enjoy daily customer interaction on the front lines. It offers a proven track record and the backing of a global logistics leader, which can be reassuring. For some entrepreneurs, that environment – handling packages, running a storefront, and being a known neighborhood business – is exactly what they’re looking for.
However, if you’re someone who wants to build a business that emphasizes long-term income, scalability, and a more executive level of ownership, the Assett Franchise offers more advantages. The commercial cleaning model provides stable, recurring revenue that isn’t subject to consumer whims or seasonal swings. It has low operational complexity and low overhead, meaning you can focus on growth rather than troubleshooting equipment or managing a retail staff. Assett in particular has engineered a modern franchise model with tools (like the automated hiring system) to remove common obstacles, making it easier to ramp up to a sizeable business. For an ambitious first-time entrepreneur, it’s a simpler path to a high-revenue enterprise, without the heavy financial risk of a large build-out or the grind of retail hours. And you do all this while being supported closely by a founder-led team that cares about your success.
In the end, the best franchise opportunity is one that aligns with your personal goals and lifestyle. The UPS Store might appeal to those who are comfortable with a traditional, hands-on retail operation and see value in a steady walk-in business. Assett Franchise will appeal to those who want a scalable, stable business with minimal risk and faster ROI, who prefer managing a team and client relationships over running a storefront, and who appreciate a modern, systems-driven model built for executive ownership. Both routes require hard work, but they offer very different day-to-day experiences and long-term trajectories.
If you’re exploring franchise opportunities and want a model that can deliver long-term income, flexibility, and control — we’d love to show you how Assett Franchise can help you build a business that works for your life. Visit https://assettfranchise.com to connect with our team and learn more.
