2023 Franchise 500 Rank
#492 Not ranked last year
See the Full List
Initial investment
$522K - $949K
Units as of 2022
367 113.4% over 3 years

Whether a new sofa, mattress, or other type of furniture, we may all love shopping for brands that match our styles, comfort, and budget. American Freight strives to help customers find quality furniture that makes sitting, sleeping, and eating enjoyable.

American Freight was founded in 1994 and operates with the intention to give customers whatever their hearts and homes desire. They may offer deals on mattresses, sofas, dining tables, appliances, and more. Customers might appreciate American Freight’s range of new products and the discounts that help them save. Their flexible ‘take-home today’ payment option is a service that is in place to give customers value for their finances.

American Freight began franchising in 2020 and is seeking to add franchisees to its repertoire. There are over 300 company-owned American Freight locations, which may represent the reach that it has.

Why You May Want To Start An American Freight Franchise?

If you love the adventure of shopping and helping others, then opening an American Freight franchise might be an exciting opportunity for you. American Freight believes that selling the 'best for less' is a rewarding mission and each store strives to give customers the best deals in the market.

Potential franchisees are individuals who can connect with customers and help them find furniture that works for them. Experience working in the retail industry isn’t necessary, but some experience in sales may be highly beneficial. 

Under the American Freight umbrella, franchisees will most likely be expected to run their units efficiently and satisfy customers with brands they may have come to know and love.

What Might Make An American Freight Franchise A Good Choice?

American Freight wants customers to feel as though they are improving their quality of life through the purchases they make. That is why they sell quality items for discounted prices. They believe this has helped them to build a sound reputation among customers.

Between the customer, industry, and strategy, opening an American Freight franchise may offer a more predictable outcome than investing in a completely new brand. 

American Freight’s business model has survived for several decades, which may prove its resilience. Anyone who sits, sleeps, and eats could potentially use American Freight products, which may give franchisees a large sector of customers with which to work.

To be part of the American Freight franchise team, you should make sure you’re financially ready for an initial investment made up of a franchise fee and other startup costs. In addition, you should prepare yourself for ongoing fees that will include advertising, royalty, and potential renewal fees. Franchisees will also need to meet the company's set net worth and liquid capital requirements. 

How To Open An American Freight Franchise

Make sure to research the brand and your local area to see if American Freight would do well in your community. You may want to consider population and competition when doing so. Competition can be healthy, but too much may hinder your location’s growth.

Before making any financial commitment or signing an agreement, you must perform your due diligence. You may want to speak to existing franchisees and ask the American Freight franchising team questions. Ask questions about the "take it home today" program, how to promote locally, and the responsibilities on the sales floor.

If you still want to open an American Freight franchise and are awarded one, American Freight typically offers a great deal of support. In addition to pre-opening training, franchisees receive support through brand awareness, marketing, research, and construction. They also receive hands-on training and continued support after their units have opened.

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Company Overview

About American Freight

Industry
Retail
Founded
1994
Parent Company
American Freight
Leadership
Terry McGee, VP of Franchise Development
Corporate Address
109 Innovation Ct., #J
Delaware, OH 43015
Sponsored Content

More from American Freight

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American Freight - Furniture - Mattress - Appliance

THE AMERICAN FREIGHT STORY

American Freight Furniture and Mattress was established in Lima, Ohio in 1994 to help customers save money on quality furniture and mattresses. By 2020, the brand grew it’s nationwide footprint to more than 350 stores including the addition and rebrand of nearly 130 Sears Outlet and over 30 FFO Home locations. Through the rebrand, American Freight expanded its product assortment to encompass furniture, mattresses and appliances — because everyone needs a place to sit, sleep and eat!

Today, American Freight remains rooted in its foundational mission to sell the best for less every day while delivering excellent customer service. The company prides itself in the valuable savings it provides its customers through flexible payment options, “take home today” offerings and 100% approved free layaway. The business model continues to present itself as a recession-resistant investment that will withstand economic headwinds.

WHY FRANCHISE WITH AMERICAN FREIGHT?

The American Freight business model continues to present itself as a recession-resistant investment that will withstand economic headwinds—because everyone needs to sit, sleep and eat! With our proof of concept in the bank, our franchise opportunity is truly a ground floor opportunity. Our top stores generate $5,590,180 in gross sales and $1,006,555 in net income per store.*

American Freight - A happy man shaking a customers hand.

*This information reflects the Average Gross Sales and Average Net Income for American Freight company-owned retail businesses which were open for more than a year as of fiscal year end 2021 and had annual gross sales of at least $4,500,00.00. Of these 20 retail businesses, 9 attained or surpassed the Average Gross Sales and 9 attained or surpassed the Average Net Income described above. We refer you to Item 19 of our 2022 Franchise Disclosure Document for additional information. A NEW FRANCHISEE'S RESULTS MAY DIFFER FROM THE REPRESENTED PERFORMANCE. This is not intended as an offer to sell, or the solicitation of an offer to buy, a franchise. Offerings made by prospectus only and in compliance with the applicable pre-sale registration and disclosure requirements in your state. ©2022 American Freight®. All rights reserved.

Business Overview

Franchising Since
2020 (3 years)
# of employees at HQ
93
Where seeking

This company is offering new franchisees throughout the US.

# of Units
367 (as of 2022)

Information for Franchisees

Here’s what you need to know if you’re interested in opening a American Freight franchise.

Financial Requirements & Ongoing Fees

Here’s what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.

Initial Franchise Fee
$49,900
Initial Investment
$521,900 - $948,900
Net Worth Requirement
$750,000
Cash Requirement
$200,000
Royalty Fee
5%
Ad Royalty Fee
$7.1K/mo.
Term of Agreement
10 years
Is franchise term renewable?
Yes

Financing Options

Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.

Third Party Financing
American Freight has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs, inventory

Training & Support Offered

Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.

On-The-Job Training
30 hours
Classroom Training
40 hours
Ongoing Support
Newsletter
Meetings & Conventions
Grand Opening
Security & Safety Procedures
Lease Negotiation
Field Operations
Site Selection
Proprietary Software
Franchisee Intranet Platform
Marketing Support
Ad Templates
Regional Advertising
Social Media
SEO
Website Development
Email Marketing
Loyalty Program/App

Operations

Additional details about running this franchise.

Is absentee ownership allowed?
Yes
Can this franchise be run from home/mobile unit?
No
Can this franchise be run part time?
No
# of employees required to run
10
Are exclusive territories available?
Yes

Franchise 500 Ranking History

Compare where American Freight landed on this year’s Franchise 500 Ranking versus previous years.

Additional Rankings

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Disclaimer
The information on this page is not intended as an endorsement or recommendation of any particular franchise or business opportunity by Entrepreneur Media. Our listings and rankings are solely research tools you can use to compare opportunities. Entrepreneur stresses that you should always conduct your own independent investigation before investing in a franchise or business opportunity. That should include reviewing the company’s legal documents, consulting with an attorney and an accountant, and talking to former and current franchisees/licensees/dealers.
Updated: December 12th, 2022