- 2022 Franchise 500 Rank
-
#360 Not ranked last year
- Initial investment
-
$44K - $79K
- Units as of 2021
-
2,683 19.7% over 3 years
Here’s what you need to know if you’re interested in opening a Liberty Tax Service franchise.
Liberty Tax Service is a tax preparation service that has locations in both the United States and Canada. It is one of the largest tax preparation franchises in the country, with over 2,500 franchised locations all over North America. In 1997, John Hewitt of Jackson Hewitt Tax Service acquired the Canadian franchise and gave it the name we know today.
As a franchisee, you’ll not only provide friendly, professional tax services in person but provide support for online services, as well. Customers have access to a W4 withholding calculator to figure out their income online, a mileage reimbursement calculator, and a reimbursement adjustment calculator. As a franchisee, you might also handle tax debt relief services, car insurance, roadside assistance, and more.
Why You May Want to Start a Liberty Tax Service Franchise
If there’s one thing that life guarantees, it’s taxes, and that's something that will likely never go out of style. Besides always being in demand, Liberty Tax Service designs its franchise process to ultimately benefit franchisees and your customers.
The company makes their brand one of the more affordable startups to invest in so you can grow quickly. It also leaves you money to customize your franchise location and really make it your own. With the franchise comes their iconic sign-twirling Lady Liberty mascot. Who says taxes aren’t fun?
This is a company that can truly benefit you as a franchisee, and give you the opportunity to change your clients’ lives. They’ll be able to learn taxes as you help them with their debt, questions, and tax anxiety. You’ll soon become one of their first choices when they search for “tax accountants near me.”
What Might Make a Liberty Tax Service Franchise a Good Choice?
Opening a Liberty Tax Service franchise means that the low startup cost could better benefit you in the future. But, as you should know, the franchise is only as good as the person running the business and offering services.
To be part of the Liberty Tax Service 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 be prepared for ongoing fees that will include advertising fees and royalty fees. Franchisees will also need to meet the company's set net worth and liquid capital requirements.
How to Open a Liberty Tax Service Franchise
Liberty Tax Service makes opening a franchise as straightforward a process as possible. The first step is to request information and a representative may be in touch with you. Thereafter, they will arrange for you to participate in a live conference call. You’ll then attend discovery day, a private meet-and-greet to speak with other franchisees, learn about the Liberty Tax Service culture, and discuss the Franchise Disclosure Document.
If all works out, you’ll fill out and submit the confidential franchise application and initial investment. On the company’s end, they’ll review your territory request, application, and set up a formal interview. After you complete their effective operations training, you’ll sign the paperwork that makes your franchise official.
Company Overview
About Liberty Tax Service
- Industry
- Financial Services
- Related Categories
- Tax Services, Business Financial Services
- Founded
- 1972
- Parent Company
- NextPoint Financial
- Leadership
- Brent Turner, CEO
Franchising Overview
- Franchising Since
- 1973 (49 years)
- # of employees at HQ
- 285
- Where seeking
-
This company is seeking new franchisees throughout the US.
This company is seeking new franchisees in the following international regions: Canada
- # of Units
- 2,683 (as of 2021)
Franchisor Information
Information for Franchisees
Here’s what you need to know if you’re interested in opening a Liberty Tax Service 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
- $20,000 - $40,000
- Initial Investment
- $43,700 - $78,900
- Net Worth Requirement
- $100,000 - $250,000
- Cash Requirement
- $75,000
- Veteran Incentives
- $15,000 off franchise fee; special financing
- Royalty Fee
- 14%
- Ad Royalty Fee
- 5%
- Term of Agreement
- 5 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.
- In-House Financing
- Liberty Tax Service offers in-house financing to cover the following: franchise fee, startup costs, equipment, inventory, accounts receivable, payroll
- Third Party Financing
- Liberty Tax Service 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
- 12 hours
- Classroom Training
- 30 hours
- Additional Training
- Additional training in various cities
- 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 AdvertisingMarketing Planning & SupportSocial MediaSEOWebsite DevelopmentEmail MarketingLoyalty 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
- 5-10
- Are exclusive territories available?
- Yes
Franchise 500 Ranking History
Compare where Liberty Tax Service landed on this year’s Franchise 500 Ranking versus previous years.
Stock History for Liberty Tax Service
Ticker Symbol for Liberty Tax Service: NACQF
Additional Rankings
Curious to know where Liberty Tax Service ranked on other franchise lists? Find out below.
Want to stay updated on the latest franchise news?
Never miss a beat when you sign up to receive our newsletter.
We care about the protection of your data. Read our Privacy Policy
Related Franchises
Are you eager to see what else is out there? Browse more franchises that are similar to Liberty Tax Service.
Related Franchise Content
Catch up on the latest franchise news, trends, and more.
Jon Taffer on Communication, Marketing and Consistency in Franchising
'Entrepreneur' editor-in-chief Jason Feifer sat down with 'Bar Rescue' host Jon Taffer to discuss his new book, 'The Power of Conflict,' in which he shares illuminating insights on running a business, maintaining consistency in franchising and where to put your money when it comes to marketing.
Four Years Ago, This Chick-Fil-A Started Paying $17 An Hour. It Transformed the Business.
Back in 2018, Eric Mason made headlines when he began paying his employees a "living wage." On this side of the great recession, his experience could be a roadmap for other fast food franchises.
Meet 6 of the Top Global Franchises of 2022
Here's how 6 top brands are expanding the presence in international markets.
The State of Franchising in 2022
FRANdata provides valuable insight on the state of franchising in 2022 and what to expect looking forward.
Home-Based and Mobile Franchises Create a Surge of New Entrepreneurs
No commute? No problem. Home-based and mobile franchises are an attractive option for entrepreneurs looking to franchise, but stay close to home.
Small Business Week Spotlight: 5 Exceptional Franchisees
Don't forget to support your local franchisees during National Small Business Week. Here's how these five franchisees thrive as small business owners and inspire their communities.