About SI Staffing Franchise
SI Staffing is a professional and temporary staffing franchise operating under the trade name SI Staffing.
Franchisees develop and operate a staffing business focused on light industrial, transportation, and administrative positions.
Day-to-day operations involve recruiting, screening, and placing temporary and permanent employees with client businesses.
SI Staffing Franchise Cost & Fees
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $15,000 | One-time payment upon signing |
| Royalty Fee | 5.5% of Gross Sales (first 3 months); $750 or 5.5% of Gross Sales, whichever is greater (after first 3 months); minimum $12,000 per year of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 1% of gross sales (Marketing Fund) + 4% of gross sales (Local Marketing) | National brand fund |
| Total Investment Range | $67,383 – $104,800 | Includes build-out, inventory, working capital |
The investment range of $67K–$105K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (5.5% of Gross Sales (first 3 months); $750 or 5.5% of Gross Sales, whichever is greater (after first 3 months); minimum $12,000 per year) and marketing fee (1% of gross sales (Marketing Fund) + 4% of gross sales (Local Marketing)) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $15,000 | $15,000 |
| Initial Training Fee | $20,000 | $20,000 |
| Rent, Utilities, and Leasehold Improvements | $1,933 | $5,100 |
| Market Introduction Program | $5,000 | $10,000 |
| Furniture, Fixtures, and Equipment | $1,000 | $3,000 |
| Computer Systems | $2,000 | $3,500 |
| Insurance | $500 | $1,000 |
| Signage | $400 | $2,500 |
| Office Expenses | $250 | $1,000 |
| Licenses and Permits | $100 | $200 |
| Dues and Subscriptions | $200 | $500 |
| Professional Fees (lawyer, accountant, etc.) | $1,000 | $3,000 |
| Additional Funds (for first 3 months) | $20,000 | $40,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $2,000 |
| Renewal Fee | Not Applicable |
| Technology Fee | $195 per month |
| Audit Fee | Actual cost |
| National Account Royalty | 7% of gross sales from National Accounts |
| Direct Hire Royalty | 25% of gross sales from direct hires |
| National Account Direct Hire Royalty | 30% of national account direct hire gross sales |
| Market Cooperative Contribution | As determined by co-op (currently none) |
| Replacement/Additional Training Fee | $5,000 |
| Third Party Vendors | Pass-through of costs plus reasonable administrative charge (currently none) |
| Reimbursement/Late Fee | $100 plus interest at 18% per year on unpaid amount |
| Insufficient Funds Fee | $50 |
| Costs of Collection | Actual costs |
| Breach of Territory Fee | Greater of $500 or 75% of amount paid by customer outside territory |
| Special Support Fee | $650 per day plus out-of-pocket expenses |
| Customer Complaint Resolution | Franchisor's expenses |
| Non-compliance Fee | $500 then $250 per week |
| Records Audit | Actual cost |
| Business Evaluation Fee | $600 plus out-of-pocket costs |
| Non-compliance Cure Costs and Fee | Out-of-pocket costs and internal cost allocation plus 10% |
| Indemnity | Costs and losses from legal action related to franchise operations |
| Prevailing Party's Legal Costs | Attorney fees, court costs, and expenses of legal proceeding |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 78 hours total (16 hours classroom, 62 hours on-the-job) |
| Classroom Training | 16 hours |
| On-the-Job Training | 62 hours |
| Training Location | Baltimore, MD and franchisee location |
| Additional Training | Refresher training programs or refresher courses required one time per year (electronic) for all operations managers and owners. Additional persons may attend training beyond initial 3 trainees for $5,000 fee. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Exclusive |
| Exclusive Territory | Yes |
| Territory Size | Approximately 250,000 to 499,999 population |
| Description | Exclusive territory based on population, number of local businesses (preferably 20,000), potential clients, average household income, and existence of competition. Franchisor will not establish an SI Staffing outlet or franchise another party in your territory. Franchisee cannot solicit or serve customers outside territory without prior written permission. Minimum annual gross revenue of $150,000 required beginning in 2nd year to maintain territorial rights. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | Not Applicable |
| Renewal Fee | Not Applicable |
| Renewal Conditions | Not Applicable - no renewal or extension provisions |
| Transfer Fee | $2,000 |
| Transfer Conditions | Pay transfer fee; buyer meets franchisor's standards; buyer is not a competitor; buyer signs then-current franchise agreement; all payments to franchisor made and in compliance; buyer completes training program; franchisee signs general release; business complies with then-current system specifications. Franchisor has right of first refusal. |
| Termination for Cause | Curable defaults: non-payment (10 days to cure), violate franchise agreement other than non-curable default (30 days to cure). Non-curable defaults: misrepresentation, intentionally submitting false information, bankruptcy, violation of law, violation of confidentiality/non-compete/transfer restrictions, libel or defamation, cease operations for more than 5 consecutive days, three defaults in 12 months, cross-termination, felony conviction. |
| Non-Compete Period | 2 years |
| Non-Compete Details | For two years after termination or expiration, no ownership or employment by a competitor operating in former territory or the territory of any other SI Staffing business operating on the date of termination. During the term, neither franchisee, owners, nor spouse of an owner may have ownership interest in or be engaged or employed by any competitor. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | Franchisee must participate personally in the direct operation of the business. If sole owner, franchisee is the Principal Executive. If entity-owned, must designate a Principal Executive who owns at least 10% of the business. Principal Executive must complete initial and post-opening training, attend meetings, and cannot fail to attend more than three consecutive required meetings. On-premises supervision is recommended but not required. |
| Required Suppliers | Payroll processing and funding services must use franchisor's required vendors; insurance must meet specified minimums; computer software (ATS, Spark Hire) as specified; marketing materials from same vendor |
| Supply Restrictions | Franchisees must purchase or lease goods, services, supplies, fixtures, equipment, computer hardware and software from franchisor, franchisor's designee, or approved suppliers. Required purchases and leases estimated at 50% to 80% of total purchases to establish and operate business. |
| Franchisor Revenue from Suppliers | In fiscal year ending December 31, 2021, franchisor derived $9,909 (5.16% of total gross revenue of $192,069) from required franchisee purchases through commission on financing provided to franchisees. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee your note, lease or obligations. |
SI Staffing Franchise Earnings — Item 19
SI Staffing does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
SI Staffing Litigation & Risk Flags
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
SI Staffing System Growth
SI Staffing currently operates 4 franchised locations and 1 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2019 | 1 | 0 | 1 |
| 2020 | 2 | 0 | 3 |
| 2021 | 2 | 1 | 4 |
Transfers: 0 | Closures: 1
State Registrations
Registered in 6 states: DE, MD, MT, NJ, PA, TX
Franchisor Financials (Item 21)
Audited by JPizars CPA & Business Consultants, LLC for year ending December 31.
SI Staffing Franchise — FAQ
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