- 2021 Franchise 500 Rank
#402 Ranked #384 last year
- Initial investment
$86K - $167K
- Units as of 2020
371 16.7% over 3 years
More from InXpress
OWNING AN INXPRESS GLOBAL SHIPPING FRANCHISE ALLOWS SALES PROS TO BUILD A CUSTOMER BASE THAT GENERATES RECURRING INCOME
FRANCHISEES SECURE CLIENTS, NEVER TOUCH PACKAGES, AND RECEIVE ONGOING COMMISSIONS FROM SHIPPING REVENUE
InXpress is a global shipping franchise that helps get the same prices and customer support for small and mid-sized businesses that carriers typically reserve for Fortune 1000 companies. We earn the discounts and increased service through cooperative buying that bundles the revenues of these small businesses together.
We have more than 350 franchisees worldwide in 14 countries, with more than 100 in the United States and Canada. Franchisees don’t handle boxes or load trucks. They act as consultants or specialists. Here’s how it works:
National and global shipping companies (like DHL) focus a lot of their efforts on supporting large national and global Fortune 1000 companies. Like any smart business, they offer the best deals and best service to customers who provide them substantial recurring revenue. Small and mid-sized businesses don’t buy enough services to command significant price breaks or personalized attention. Yet they have the same needs.
InXpress changes this equation. We operate as a buying group to bundle the collective purchasing power of thousands of small and medium-sized business. We then guarantee carriers tens of millions of dollars in business each year and negotiate strong discounts as a result — lower than any single small or mid-sized business could negotiate on its own. In fact, InXpress is the #1 reseller of DHL services in the world.
Day in the life of an InXpress franchisee
Franchisees call on small and mid-sized businesses, through door knocking or cold calling, to learn what they’re paying currently in shipping costs, and offer real and measurable savings to these businesses. In addition, franchisees and InXpress take on some of the customer service responsibilities, but none of the heavy lifting. Clients start saving immediately, and franchisees generate revenue on each shipment.
Businesses typically agree to use InXpress on a trial basis. After a positive experience, these companies bring all their shipping business to the InXpress franchisee. This ongoing business relationship provides a valuable ongoing revenue stream to the franchisee. The franchisee continues to touch base with existing customers while reaching out to new prospects and increasing their client roster — and revenue potential — over time.
Our value is easy to demonstrate: lower shipping costs and increased service and communication.
Size of the industry
The global freight market is $700 billion in the U.S., and it’s expected to grow to $1.3 trillion by 2023, according to research from the U.S. Department of Transportation and Research and Innovative Technology. Fortune 1000 companies have resources to hire logistics experts — but what about the nearly 5 million companies that have a smaller payroll and are less experienced, but that cumulatively represent a huge piece of the shipping market? This largely overlooked market of small to medium sized businesses is the core target for InXpress franchisees.
Global shipping generates hundreds of billions of dollars in annual sales. It makes global commerce possible. As long as companies are manufacturing, buying and selling goods around the world, the shipping and freight industry will continue to grow and create massive opportunities for InXpress franchisees.
A simple, powerful business model
When you’re thinking of starting your own business, would you rather:
A) Invest in a franchise that has a lot of moving parts, a large number of employees to manage, high fixed costs and an inventory that has to be financed, or
B) Invest in a simple business with low overhead, no employees to start and no inventory you have to buy, yet still offers high margins, repeat customers and strong recurring revenue?
Franchisees handle client sales and some customer service. The carriers handle the complex part, which is getting packages and products from point A to point B.
An easy value proposition for customers
Several franchisees have told us that before they started working with InXpress, the opportunity didn’t look real. A low startup cost, home-based business with high revenue potential? That sounds like some of the emails that get directed straight to the spam folder.
That’s why we’d like to introduce you to Cathy Battreall, one of our franchisees. She lives in Jacksonville, Florida, where she has built the most successful InXpress location in the United States, despite living in a city without a major shipping hub or a first-tier international airport. She developed a passion and a knack for discussing inbound and outbound shipping needs with nearby small and medium-sized businesses.
InXpress franchise owners use their sales and people skills to sign customers with InXpress and find solutions to fulfill all their shipping needs. All the complexities of shipping lie with the actual carrier; the InXpress shipping franchise merely provides the access and the discounts that come from group buying power. InXpress franchisees find the customers; the carriers and shippers literally do all the heavy lifting. And the franchisor handles all the customer billing and collections to free up franchisees’ time to focus on selling to more businesses.
“What we’re good at is helping the customer save money,” says CEO Dustin Hansen, who was originally an InXpress franchisee himself, like most of our executive board. “A common misconception is that the franchisees are actually involved in the shipping. Our franchises never touch the boxes. We’re simply there to provide access to the customers and help them save money. And we provide that one-on-one customer service that the big carriers don’t offer.”
Aside from being a price leader, we create high customer loyalty through simple calls and visits. Instead of talking to a call center 7,000 miles away, customers call you when they have a question. What does this mean to a customer?
- Real cost savings
- No 800 numbers without live help
- No messing around with low-level service reps who are trained to say, “I hear your frustration” but don’t have the knowledge or authority to do anything about it
- Speedy answers
- Knowledgeable service
- Real problem-solving
It means customers turn to you for professional guidance, and they build a trusted relationship with you. This reduces customer frustration and increases retention, which helps franchisees keep customers for a long time. Customer loyalty provides a base of recurring revenue that franchisees expand by adding new customers.
The successful InXpress franchisee possesses a high level of determination, is highly trainable, and has a lot of self-confidence. They do not need shipping industry experience, which can be gained through our comprehensive training program. Ultimately, our franchisees enjoy networking and building relationships, have hustle and sales experience or an aptitude and desire to run a sales business. US candidates also have $65,000 in funds for the upfront fees, or $25,000* in capital along with the ability to secure funding for the remainder of the initial investment cost.
*SBA financing requires a $25,000 cash deposit plus $50,000 capital left in cash or retirement accounts after loan closing
- Franchising Since
- 2000 (21 years)
- # of employees at HQ
- Where seeking
This company is seeking new franchisees throughout the US.
This company is seeking new franchisees in the following international regions: Africa, Asia, Australia/New Zealand, Europe (Eastern), Europe (Western), Canada
- # of Units
- 371 (as of 2020)
Information for Franchisees
Here’s what you need to know if you’re interested in opening a InXpress 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
- $85,600 - $166,990
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.
- Net Worth Requirement
Definition: The minimum net worth you must have in order to qualify to become a franchisee of this company
What you need to know: Net worth is the value of a person's assets minus liabilities. Assets include cash, stocks, retirement accounts, and real estate. Liabilities include items like mortgages, car payments, and credit card debt.
- Cash Requirement
- $25,000 - $65,000
Definition: The minimum liquid capital you must have available in order to qualify to become a franchisee of this company.
- Veteran Incentives
- 15% 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.
- Term of Agreement
- 5 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.
- Third Party Financing
- InXpress has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs
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
- 50-79 hours
- Classroom Training
- 128-219 hours
- Additional Training
- Additional training
- Ongoing Support
NewsletterMeetings & ConventionsField OperationsProprietary SoftwareFranchisee Intranet Platform
- Marketing Support
Ad TemplatesSocial MediaSEOWebsite DevelopmentEmail Marketing
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.
Franchise 500 Ranking History
Compare where InXpress landed on this year’s Franchise 500 Ranking versus previous years.
Curious to know where InXpress ranked on other franchise lists? Find out below.
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