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- 2023 Franchise 500 Rank
#466 Not ranked last year
- Initial investment
$63K - $79K
- Units as of 2022
83 88.6% over 3 years
Atax franchise businesses offer essential services to their clients, including tax preparation for both individuals and businesses, bookkeeping, incorporation services, payroll services, and more. The company was founded in 1986 by Rafael Alvarez, who was born in the Dominican Republic and living in New York when he recognized that no other brand in the tax-preparation industry was focusing on serving the Latino market.
Alvarez began franchising the Atax business model in 2007, and in 2019 he joined Loyalty Brands, an umbrella franchise company founded by John Hewitt, who is no stranger to tax services franchises, having founded both Jackson Hewitt and Liberty Tax Service. Loyalty Brands is also the parent company of other business services franchises, including Jomsom Staffing, Estrella Insurance, and First Choice Business Brokers.
Why You Might Consider an Atax Franchise
An Atax franchise is particularly well-suited to bilingual individuals with an interest in starting a business that will serve their community under a recognized and growing brand. With an Atax franchise, you gain access to training and support from a franchisor with decades of experience, including weekly webinars and live personalized coaching. You also get the advantage of access to a powerful marketing system and advertising strategies, and assistance with locating and leasing your new business location.
You can also choose how you would like to run your business. Some franchisees want to be the face of their office, while those with multiple units are allowed to run their business more like an enterprise. Atax franchises are fairly simple to operate, allowing the franchisee to focus on delivering consistent results.
You also don't have to start from the ground up. If you already own an existing tax preparation firm but want to expand your business under a trusted name, you can convert your business to an Atax franchise. The company knows it's hard work running a business alone and they're on hand to make it a more accessible experience.
What Might Make an Atax Franchise a Good Investment?
Atax operates in an industry that's typically seen as a durable one and serves a multicultural clientele. The demand for its products exists no matter the current economic climate. Every citizen of the United States is required to file their taxes annually, but not everyone understands how or has the time to do so on their own, creating a high demand for the company’s services. And offering bilingual services allows your Atax franchise to appeal to the country’s fast-growing Latino and Hispanic population.
How to Open an Atax Franchise
If you are considering an opportunity with Atax, you'll want to be prepared with a dependable net worth and liquid capital sufficient to open an Atax franchise. If you can meet the financial requirements, you can chat with company representatives about available franchise opportunities in your desired area.
Before long, you could be opening the doors of your new Atax franchise to local consumers. You'll be helping people get their taxes and other business services done right the first time.
- Financial Services
- Related Categories
- Tax Services
- Parent Company
- Loyalty Brands
- Alberto Ortiz, President
- Corporate Address
780 Lynnhaven Pkwy., #240
Virginia Beach, VA 23452
- Franchising Since
- 2007 (16 years)
- # of employees at HQ
- Where seeking
This company is offering new franchisees throughout the US.
- # of Units
- 83 (as of 2022)
Information for Franchisees
Here’s what you need to know if you’re interested in opening a ATAX 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
Definition: The initial fee paid to a franchisor to join their system
What you need to know: Found in Item 5 of the FDD, this may be a flat fee, or may vary based on territory size, experience, or other factors.The franchise fee is an up-front (one-time) cost that a new franchisee pays to the franchisor. This fee is usually due at the signing of the franchise agreement and covers the right to use the franchisor's trademarks, name, and related business systems.
- Initial Investment
- $62,650 - $79,000
Definition: The total amount necessary to begin operation of the franchise
What you need to know: The initial investment includes the franchise fee, along with other startup expenses such as real estate, equipment, supplies, business licenses, and working capital. This is outlined in a chart in Item 7 of the FDD, showing a range of possible costs from low to high.
- Veteran Incentives
- 10% off franchise fee
Definition: A discount or other incentive offered to military veterans who buy a franchise with this company.
- Royalty Fee
Definition: A ongoing fee paid to the franchisor on a regular basis.
What you need to know: Most franchisors require franchisees to pay an ongoing royalty fee, which is detailed in Item 6 of the FDD. This fee is typically a percentage of weekly or monthly gross sales, but may also be a flat weekly, monthly, or annual fee.
- Ad Royalty Fee
Definition: An going fee paid to the franchisor on a regular basis to support advertising or marketing efforts.
What you need to know: This may also be called advertising fee, marketing fee, brand fund fee, and more, but the basic purpose is the same-- to support promotion of the brand systemwide. As with the royalty fee, it is detailed in Item 6 of the FDD, and can be a percentage of weekly or monthly gross sales or a weekly, monthly, or annual fee.
- Term of Agreement
- 10 years
Definition: The length of time your franchise agreement will last.
What you need to know: Franchise terms are typically anywhere from 5 to 20 years in length, but are sometimes instead dependent on factors such as the term of your lease. Once your term is up, you may have the option to renew your agreement, typically for a smaller fee than the original franchise fee.
- Is franchise term renewable?
Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.
- In-House Financing
- ATAX offers in-house financing to cover the following: franchise fee
- Third Party Financing
- ATAX has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs, equipment, inventory, accounts receivable, payroll
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
- 2 hours
- Classroom Training
- 21 hours
- Ongoing Support
Purchasing Co-opsNewsletterMeetings & ConventionsToll-Free LineGrand OpeningOnline SupportSecurity & Safety ProceduresLease NegotiationField OperationsSite SelectionProprietary SoftwareFranchisee Intranet Platform
- Marketing Support
Co-op AdvertisingAd TemplatesNational MediaRegional AdvertisingSocial MediaSEOWebsite DevelopmentEmail MarketingLoyalty Program/App
Additional details about running this franchise.
- Is absentee ownership allowed?
Definition: Absentee ownership means that the franchisee does not actively work in the franchise business or manage day-to-day operations.
- Can this franchise be run from home/mobile unit?
Definition: The business can be run from your home and/or a vehicle, and it is not necessary to have a retail facility, office space, or warehouse.
- Can this franchise be run part time?
Definition: This business can be run by the owner on a part-time basis (less than 40 hours per week) and/or as a side business; it is not necessary for the business to be open/run full-time.
- Are exclusive territories available?
Definition: An exclusive territory is a fixed area in which you are given the right to operate and in which no other units of the same franchise may be opened.
What you need to know: Territory size may be based on factors such as radius, population size, zip codes, and more. Details can be found in Item 12 of the FDD.
Interested in ownership opportunities like ATAX? Request a free consultation with a Franchise Advisor now.
Franchise 500 Ranking History
Compare where ATAX landed on this year’s Franchise 500 Ranking versus previous years.
Curious to know where ATAX ranked on other franchise lists? Find out below.
Are you eager to see what else is out there? Browse franchises that are similar to ATAX.
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