|
NYS Collection Eyewear Franchise ProfileRetail Franchises > Specialty Retail |
What Are the Initial Investment Requirements for a NYS Collection Eyewear Franchise?
To open a NYS Collection Eyewear franchise, the initial investment ranges from $25,820 to $176,378. This includes a franchise fee of $25,000, and potential additional costs such as marketing fees of $1,200 and cash reserves of $25,000 to $35,000. It's essential to ensure you meet the net worth requirement of $100,000 to qualify for this franchise opportunity.
What Are the Ongoing Fees for NYS Collection Eyewear Franchisees?
Once you become a franchisee, you will need to budget for ongoing fees, which include a royalty fee of 10% on your revenue. Additionally, you’ll need to allocate funds for marketing, which is set at $1,200 annually. Understanding these fees is crucial for maintaining profitability and ensuring your business's financial health.
What Is the Average Revenue for a NYS Collection Eyewear Franchise?
The average annual revenue per unit for a NYS Collection Eyewear franchise is around $648,000, with a median annual revenue of $37,300. However, revenue can vary significantly, with the lowest reported annual revenue at $25,000 and the highest at $70,000. These figures highlight the potential for profitability but also indicate the importance of effective management and location selection.
What Is the Breakeven and Payback Period for NYS Collection Eyewear Franchisees?
Franchisees can expect to reach breakeven within 12 months of operation, making this a relatively quick return on investment. The investment payback period is also 12 months, which suggests that if you manage your costs effectively and drive sales, you could recoup your initial investment in a year. This rapid turnaround can be attractive for aspiring entrepreneurs looking for a solid business opportunity.
NYS Collection Eyewear 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:
NYS Collection Eyewear Franchise Unit Growth Summary
A breakdown of corporate, franchised, and total units, with yearly net changes.
Total Units
Franchised Units
Corporate Units
| Units | 2018 | 2019 | 2020 |
|---|---|---|---|
| Total Units | 40 | 67 | 57 |
| Net Change YoY | 27 | -10 | |
| Franchised Units | 26 | 62 | 57 |
| Net Change YoY | 36 | -5 | |
| Corporate Units | 14 | 5 | 0 |
| Net Change YoY | -9 | -5 |
Initial Investment
The NYS Collection Eyewear franchise offers a range of investment options, with a low initial investment starting at $25,820 and a high of $176,378. The initial franchise fee is set at $25,000, ensuring that entrepreneurs can enter the eyewear market with a manageable financial commitment.
Financial Requirements
Potential franchisees must have a cash requirement of $25,000 to $35,000 and a net worth of at least $100,000. This financial framework helps ensure that franchisees are adequately capitalized to support their business operations from the outset.
Revenue Potential
The average annual revenue per unit is approximately $648,000, showcasing the lucrative potential of the NYS Collection Eyewear franchise. However, revenue can vary significantly, with the lowest annual revenue recorded at $25,000 and the highest at $70,000, indicating a wide range of performance outcomes.
Operating Costs
Franchisees should anticipate total operating expenses ranging from $25,820 to $63,180 annually. Key expenses include rent, utilities, marketing, insurance, and professional fees, which collectively impact the overall profitability of each unit.
Breakeven and Payback
Franchisees can expect to reach breakeven within 12 months, with investment payback also projected at the same timeframe. This quick return on investment is attractive to aspiring entrepreneurs looking for a viable business model in the eyewear industry.
Franchise Growth
Since its inception, the NYS Collection Eyewear franchise has shown promising growth. The number of franchised units increased from 26 in 2018 to 62 in 2019, before stabilizing at 57 in 2020. This growth trajectory highlights the brand's potential for expansion and market presence.
Frequently Asked Questions
The initial investment for a NYS Collection Eyewear franchise ranges from $25,820 to $176,378, which includes a franchise fee of $25,000.