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KeyGlee Franchise ProfileReal Estate Franchises > Residential Brokerage |
What Are the Initial Investment Requirements for a KeyGlee Franchise?
To open a KeyGlee franchise, the initial investment ranges from $124,800 to $274,050. This includes a franchise fee of $100,000. Potential franchisees should also be prepared for ongoing costs, including a royalty fee of 6% and a marketing fee of 1%. It's essential to assess your financial readiness, as you will need a minimum cash requirement of $124,800 and a net worth between $100,000 and $1,000,000 to qualify.
What Is the Average Revenue Potential for a KeyGlee Franchise?
KeyGlee franchises show promising revenue potential, with an average annual revenue of $293,640 per unit. In fact, the highest annual revenue reported is an impressive $24,261,916, while the lowest is still substantial at $16,741,653. With effective management and strategic marketing, franchisees can tap into this lucrative market. Understanding the revenue landscape can help you set realistic financial goals for your franchise.
How Quickly Can You Expect to Break Even with a KeyGlee Franchise?
One of the appealing aspects of a KeyGlee franchise is the relatively short breakeven period of just 12 months. Additionally, franchisees can expect to see a payback on their investment in about 10 months. This quick turnaround is crucial for aspiring entrepreneurs looking to minimize financial risk while maximizing potential returns on their investment.
What Are the Key Expenses to Consider When Operating a KeyGlee Franchise?
Operating a KeyGlee franchise involves various expenses that franchisees need to budget for. Annual running expenses total approximately $100,050, covering rent, utilities, insurance, professional fees, and more. Notably, management salaries account for a significant portion of operating costs at $60,000. Understanding these expenses is vital for effective financial planning and ensuring the profitability of your franchise.
KeyGlee Franchise Financial Requirements
Below, you’ll find an overview of the initial investment needed to launch the business, along with the ongoing fees required by the franchisor to maintain operations over time.
The minimum total assets (minus liabilities) you must possess.
Net Worth Required:
The estimated period to recoup your total investment.
Investment Payback:
The initial fee paid to join the franchise system.
Franchise Fee:
Ongoing percentage of revenue paid to the franchisor.
Royalty Fee:
Regular contribution toward the franchise’s advertising fund.
Marketing Fee:
The estimated timeframe to recover your initial costs.
Breakeven Time:
The total amount required to launch the franchise.
Initial Investment:
The minimum liquid capital you must have on hand.
Cash Required:
The typical yearly revenue generated per franchise location.
Average Revenue:
The middle value of yearly revenue among franchise locations.
Median Revenue:
The largest reported annual revenue among franchisees.
Highest Revenue:
The smallest reported annual revenue among franchisees.
Lowest Revenue:
A broad sector defining similar types of franchise businesses.
Industry:
A more specific division within the broader industry.
Category:
The key individuals guiding the franchise’s strategy and growth.
Leadership:
The official business address of the franchisor’s headquarters.
Corporate Address:
Available financing options to help start the franchise.
Funding Year:
The main organization that owns the franchise brand.
Parent Company:
KeyGlee Franchise Unit Growth Summary
A breakdown of corporate, franchised, and total units, with yearly net changes.
Total Units
Franchised Units
Corporate Units
| Units | 2020 | 2021 | 2022 |
|---|---|---|---|
| Total Units | 29 | 74 | 76 |
| Net Change YoY | 45 | 2 | |
| Franchised Units | 23 | 64 | 66 |
| Net Change YoY | 41 | 2 | |
| Corporate Units | 6 | 10 | 10 |
| Net Change YoY | 4 | 0 |
Investment Overview
KeyGlee offers a franchise opportunity with a low initial investment ranging from $124,800 to $274,050. The initial franchise fee is set at $100,000, with ongoing royalty fees of 6% and a marketing fee of 1%. Potential franchisees should be prepared for a cash requirement that aligns with the total investment range, ensuring they meet the necessary financial criteria to launch their business successfully.
Financial Performance
The average annual revenue per KeyGlee unit is reported at $293,640, with a median revenue of $35,000. The revenue range varies significantly, with the lowest annual revenue recorded at approximately $16.7 million and the highest at around $24.3 million. This broad spectrum indicates strong potential for profitability depending on location and operational efficiency.
Breakeven and Payback Period
Franchisees can expect to reach their breakeven point within approximately 12 months of operation. Moreover, the investment payback period is estimated at just 10 months, which highlights the potential for rapid return on investment and the financial viability of the KeyGlee franchise model.
Operational Structure
As of 2022, KeyGlee has expanded its footprint with a total of 76 units, comprising 66 franchised locations and 10 corporate units. The growth trajectory has been strong, with franchised units increasing from 23 in 2020 to 66 in 2022, demonstrating the brand's appeal and market demand.
Average Expenses
KeyGlee's average running expenses total approximately $100,050 annually, covering essential costs such as rent, utilities, insurance, and management salaries. This structured financial approach allows franchisees to maintain control over their operational costs while focusing on revenue generation.
Corporate Support
KeyGlee provides robust support to its franchisees, ensuring they have the necessary tools and resources to succeed. From marketing assistance to operational training, the corporate team is dedicated to fostering a collaborative environment that empowers franchisees to thrive in their local markets.
Frequently Asked Questions
The initial investment for a KeyGlee franchise ranges from $124,800 to $274,050, which includes the franchise fee of $100,000 and other startup costs.