Frequently Asked Questions

PostNet offers a unique combination of high-demand mailing & shipping, as well as document services and finishing. Some of the points of differentiation that favor PostNet are -

• PostNet Centers are located closer to where customers live and work on the interior of neighborhoods and in convenient retail locations.
• PostNet’s franchisee owner operators allows for higher level of service and convenience for customers.
• PostNet offers a multi-carrier selection. While the UPS Store® offers only UPS Services and FedEx Kinko’sSM only offers FedEx Services, every PostNet Center is a UPS®, FedEx® and DHL® authorized ship center. In essence, PostNet services customers that are loyal to all three of the major brands and offers a complete line of postal services. PostNet is supported on the UPS®, FedEx® and DHL® locator systems and these companies send their customers to PostNet Centers where as the UPS Store® (for example) is only listed on the UPS store locator online and through their 800 number. Being a multi-carrier allows PostNet to offer a more diverse offering and with our complete business services offering, PostNet is the complete package one-stop center for small business and has a higher level of service than stores like the ones previously mentioned.
• PostNet’s store design, proprietary signage, and merchandising sets us apart by creating a bright, professional, and user-friendly environment that is engineered to be both efficient and effective in delivering a great shopping experience for PostNet customers.

PostNet is a retail and service business, and as such we are looking for people with outgoing personalities that would do an excellent job of representing the brand and their business to the public.

On a financial level, a potential PostNet franchisee must have a net worth of at least $300,000.00 and be (or be able to become) liquid for a minimum of $55,000.00. If a prospective franchisee meets these qualifications along with having a good credit score and history, PostNet offers assistance for our franchisees to secure a number of different types of financing, including being listed on the SBA registry.

PostNet only grants franchises to individuals that are planning on being involved initially as a full-time owner operator. Long term, full-time ownership and operation of the centers are not required; however, initially it is critical because PostNet is a neighborhood business and it is up to the individual store owner to become actively involved in the community to promote the services and products offered.

The PostNet investment is made up of three primary components:

• The franchise fee, which covers all of the initial assistance for store opening along with the training, education, franchise support and rights to use the brand over the 15-year term of the franchise agreement. The franchise fee is $29,900. Unlike other competitors, PostNet’s franchise fee is inclusive, therefore there are no other significant tuitions, construction management or other fees that are added on top of the franchise fee.
• The PostNet store development fee. This fee covers all of the construction, inventory supplies, fixtures and other items necessary to get the store up and running. PostNet's store development package fee is $94,900.
• The operating, working and start-up capital. This amount is approximately $40,000 - $50,000 and would cover costs like initial advertising, monies available to the owner operator to cover the negative cash flow during the start-up period.

For detailed information about the investment, please complete the Information Express Request form in order to receive an Offering Circular, which contains details on every element of PostNet’s investment.

PostNet’s royalty, which covers the on-going service and support of our stores, is 5% of the gross sales of the business. As a result of the royalty, the store owner receives access to the “franchisee website” vendor programs, which offer significant discounts, benefits and advantages and PostNet’s on-going world class service and support.

The national advertising contribution is 2%, which helps support a number of national advertising campaigns on an annual basis as well as, locator systems, cooperative activities and other system-wide advertising and marketing initiatives.

The financial return you will realize as an owner of any small business will depend on many factors including, but not limited to, how well you perform and follow the franchise system, local economics and costs, competition, and how aggressively you market yourself and your business. Starting a new business always carries some level of risk, so we encourage you to speak with our franchisees to learn about their experience and satisfaction with the business, including the financial performance of their own franchise. By speaking with franchisees you will be able to understand the potential of the business and what is necessary to be successful.

PostNet is with you every step of the way, starting with location and finishing with the opening of your business. We have a full-service approach and it starts with our Real Estate Department working with you and local real estate professionals to identify every location in your market that meets PostNet’s criteria. This criteria includes physical attributes of the locations, such as access, visibility, signage, tenant mix and traffic patterns. It also includes a demographic review looking at the population and makeup of the trade area around the proposed location. Ultimately, the location is selected by the franchisee with PostNet’s assistance, and then it is up to PostNet to approve your site. Once the location is identified, PostNet offers assistance through the lease negotiation and culminating in the execution of a lease for your new business location.

The average center is 1200 to 1400 sq. ft., however, we have centers as small as 700 sq. ft. and also larger stores that range upwards to 2000 sq. ft. The PostNet concept is flexible and the size of your center will depend not only on your plans, but also on what size locations are available in your local market.

With PostNet, every franchisee offers a core of proven and high-demand services and products through their PostNet Center. However, depending on the needs of the local market and the franchisee’s own attributes, other complimentary services that are consistent with the other PostNet offerings may be approved by PostNet. Services, as bookkeeping, advanced computer and database services, and eBay selling services are just some examples of other services and products that PostNet franchisees offer to the public through their PostNet Centers.

Yes. PostNet offers complete support associated with various methods of financing, including the “SBA 7a” program and various leasing options. PostNet is also listed on the SBA’s Franchise Registry to make the process of SBA financing a smoother transaction. After you become a franchisee, a PostNet Financial Support Representative will work with you to develop a business plan and complete the related materials necessary to be approved for your loan.

There is a competitive market for PostNet’s products and services because the market is huge. The overall market for shipping and mailing services is over $170 billion dollars strong and the growing documents services market represents another $100 billion dollars. With PostNet’s store design, programs and services, along with the best franchisees in the business, PostNet competes very well in the marketplace. PostNet serves the fastest growing segment of business today; the small and micro businesses including Small Office Home Office (SOHO) workers, home based businesses, retail and service businesses, and road warriors (traveling business people).

Yes. Initially an owner operator of a franchise will typically have one (1) to two (2) part-time or full-time staff members to help with the operation of the store. As the business grows, and you build a customer base, more employees and staff will be needed. Our highest volume locations have six (6) to seven (7) full-time staff members including the franchisee.

Typical hours of a PostNet Center begin between 8:30 a.m. and 9:30 a.m. and close between to 6:30 p.m. and 7:30 p.m., Monday through Friday. Most stores are typically open for half a day on Saturdays between 10 a.m. and 3 p.m., primarily to allow the sorting of the mail and access to the building in non 24-hour locations for customer mail. Many PostNet Centers also offer 24 hour access to the private mail boxes.

Yes. PostNet has long term relationships and national contracts with all three major carriers (UPS, FedEx, and DHL) that provide various benefits, including the payment of drop off fees, significant discounts on ground and air services, and other waivers. These relationships allow the carriers to use PostNet’s prime retail locations as a delivery system for their services and products to the public and it also allows PostNet franchisees to profit and benefit from offering “Fortune 100” company services through their locations. Each of these companies also provides an illuminated sign that hangs in the front window of every PostNet location identifying them as an outlet. PostNet locations are also featured on each of these companies online and 800 locator systems.

PostNet’s marketing programs include-

• Local programs, which the franchisees utilize to build and develop awareness and loyalty with current customer base.
• Regional and cooperative advertising, where PostNet franchisees get together with other franchisees and leverage their strength in numbers.
• National programs that are conducted by the PostNet National Ad Fund.

Also, PostNet is the only company in the industry that offers a first-year managed marketing program that includes both consumer advertising and business-to-business advertising to help develop an initial customer base and momentum for the growth of the business.

Once a franchise agreement is signed, the typical time needed to get a center open is approximately 90 to 180 days. This depends much on the real estate that is identified. In the case of a newly constructed shopping center, the timeframe could be longer. To get started, complete PostNet’s Franchise Application today.

In order to receive a copy of PostNet’s Franchise Disclosure Document (FDD), please complete the Information Express Request form or download it and fax it to us at PostNet World Headquarters at 303-771-7133. Once we have received your completed application, we will forward you our Franchise Information Kit which includes PostNet’s FDD and much more information about PostNet and the process.

When you receive our Franchise Information Kit and FDD, you will also find a copy of PostNet’s Investigation Guide. This will explain our franchisee selection process in much more detail. Should you decide to enter the process, you will participate in a series of informative discussions and receive materials along the way that will illustrate the strength and value of the PostNet organization and franchise opportunity. This 4 – 6week process will ultimately culminate in a “Discovery Day” meeting at PostNet World Headquarters in Denver, Colorado, where we will come to a mutual conclusion about whether or not there is a good fit for you and the company. If you like what you see so far and would like to enter the process, please fill-out the Information Express Request form and we will be in touch with you shortly. If you would like to speak with a representative now, call 1-800-841-7171 or 1-303-771-7100.

We are looking forward to hearing from you and getting started in your exploration of PostNet’s opportunity.