The Area Representative opportunity
Having proven that the TaxAssist Accountants concept can be replicated in Ireland and Australia and that ongoing training and consultancy support can be given to overseas operations, TaxAssist is in a position to be able to offer its Area Representative Rights to selected states in the US.
The franchise industry
The latest (2016) International Franchise Association (IFA) Annual Report shows that in the US:
- There are 733,000 franchise units trading.
- The association has 1,349 franchisor members (there is estimated to be over 3,000 brands franchising in the US), in addition to over 13,700 franchisee and 680 supplier members.
- 7.6 million people are employed in franchising.
- The industry generates $404.6 billion GDP.
The Franchise Education & Research Foundation's 2017 Franchise Business Economic Outlook report also showed that the business services sector is the third largest sector in the US with more than 106,000 franchised establishments.
The TaxAssist Accountants model is fundamentally simple; to focus on the supply of professional accounting, taxation, advisory and associated services to small businesses through highly-visible and welcoming storefront locations.
The small business economy
For franchisees the market is small business. In the US, a small business is defined by the US Small Business Administration as those with typically no more than 250 employees. The US Small Business Administration 2018 Small Business Profile revealed the following in 2017:
- 30.2 million small businesses in the US.
- 99.9% of all businesses are small businesses in the US.
- 58.9 million - The number of people employed in small business.
- 47.5% of all US employees work in small businesses.
- 3.4% annual rate growth of the US economy at the 3rd quarter of 2017, against a growth rate of 1.5% in 2016.
We believe there is a significant opportunity for TaxAssist Accountants in the US. As the TaxAssist Accountants business model is to provide professional tax, accounting and advisory services to small businesses, we aren't reliant on seasonality to drive income. In addition to the small business market, franchisees will benefit from the significant personal tax return market. The Internal Revenue Services (IRS) forecasts that in 2018 there will be in excess of 253 million tax returns filed.
Who we are looking for and your role
We are looking to award our Area Representative rights either to an individual who has been working at senior management level and is looking to use their business experience to build a saleable business, or to a firm of accountants looking to go state-wide but doesn't want the costs of opening multiple offices or the risks associated with employing managers who could leave with clients following.
Unlike the Master Franchise model, the Area Representative and us, the franchisor, share responsibility for recruiting, training, supporting and administering a network of franchisees. The responsibility will be split for the core support services. Your role will be to facilitate franchisee recruitment, train, and provide ongoing support to franchisees who open and operate single unit franchises within their Development Area. In return, you will receive a percentage of the franchise fee for each new unit sold, as well as a percentage of the ongoing Management Service Fees.
We will provide the established business model together with all the systems and tactics that have made us so successful in the UK, Ireland and Australia - you will bring with you financial and business or tax and accounting experience and plenty of energy, personality and vision - together this is a recipe for success.
What can you achieve?
By working with us and following our franchise support and business development model, proven in the UK, Ireland and Australia over the last 23 years, you should be recruiting franchisees and supporting them in growing their business, benefiting from the shared income. The potential for franchisee recruitment and ongoing management service fee income is enormous.
We have proven in the UK, Ireland and Australia that the TaxAssist Accountants franchising concept works. In 2009, we awarded our Master Franchise Rights to an accounting firm in Ireland who have gone on to establish a network of 17 franchised territories (June 2018). The full case study can be found here. In 2015, we awarded Master Franchise Rights to an established firm based in Australia for Queensland, New South Wales, Australian Capital Territory and Victoria, and in 2018, we awarded the Master Franchise Rights for Western Australia, South Australia and the Northern Territory to an established firm in Perth.
With the success we have achieved in the UK, Irish and Australian markets, we have the confidence to support Area Representatives in selected markets where we believe there is genuine opportunity.
Out of all the 50 US states, 22 have a population in excess of 5 million and are, therefore, suitable for TaxAssist Accountants Area Representatives. There are a further 28 states with a population of less than 5 million which could be viable for Area Representatives or be bolted onto existing states.
US Area Representative Prospectus
For information on the TaxAssist Accountants US Area Representative opportunity, download our Prospectus here.
If you are interested in becoming an Area Representative in the US, then please call our recruitment team on +44 1603 447 402, or email [email protected].