Ambrosio’s Take
The UPS Store is the neighborhood shipping, packing, printing, and mailbox center where franchisees earn UPS commissions on top of their own retail sales, and a recent Entrepreneur story puts its package volume at five times its 2019 level. Ranked No. 7 on Entrepreneur’s 2026 Franchise 500 list, the system added 137 franchised outlets in 2025 to reach 5,487, its largest net gain of the three years reported. Average adjusted gross sales of $724,293 across 5,058 traditional centers have barely moved since 2023, which makes the spread inside the system the more telling number: the top 10% of centers average $1,248,208, or 3.6 times the bottom 10%, a gap that reflects site quality, local competition, and how well an owner builds business beyond the UPS counter. A 1.7:1 sales-to-investment ratio compares well with the 1.2:1 at Annex Brands, and in a system this mature, the figures suggest that the choice of site matters as much as the choice of brand.
Ambrosio’s Take appears on all Franchise Chatter FDD Talk posts based on the 2026 FDD.
"If I were considering buying a franchise today, checking territory availability would be one of my first steps. Yet most buyers leave it until last." — Ambrosio, Franchise Chatter
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Section I – Estimated initial investment (franchise costs) for The UPS Store franchise, based on Item 7 of the company’s 2026 FDD
Section II – Initial franchise fee, royalty fee, and marketing fee for The UPS Store franchise, based on Items 5 and 6 of the company’s 2026 FDD
Section III – Number of franchised and company-owned The UPS Store outlets at the start of the year and the end of the year for 2023, 2024, and 2025, based on Item 20 of the company’s 2026 FDD
Section IV – News updates on The UPS Store franchise opportunity
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- 2025, 2024, and 2023 average, median, high, and low adjusted gross sales for the top-performing 10%, bottom-performing 10%, and all traditional UPS Store Centers in the United States that were in operation during the entire 2025, 2024, or 2023 calendar years, and reported their gross sales during the entire year
Section VI – Key ratios, comparables, computations, and analyses for The UPS Store franchise opportunity (exclusive content for Platinum subscribers)
Section I – The UPS Store Franchise Costs
- The UPS Store (traditional, Laser Light design) franchise costs, based on Item 7 of the company’s 2026 FDD:
- Initial Franchise Fee: $39,950
- Initial Marketing Plan Fee: $7,500
- Design Fee: $3,275
- Site Survey: $2,400 to $3,500
- Center Development Fee: $7,700
- Initial Training Fees: $7,000 to $8,500
- Travel and Living Expenses While Training: $3,000 to $4,000 per person
- Site Rent and Security Deposit: $4,500 to $18,000
- Leasehold Improvements, Construction Costs, Signage, Furniture, and Decor Items: $68,146 to $361,729 (average cost of $161,614) (the high cost includes $186,600 in vanilla shell preparation)
- Computer Hardware/Installation/Freight: $17,032 to $22,568
- Digital Media: $3,069
- Optional Keyless Entry: $0 to $1,881
- Annual Technology Development and Support Fee: $2,868
- Software: $2,750 to $4,750
- Printer Lease: $399 to $1,405
- Time-Saving Kiosk: $1,760 to $1,784
- Other Equipment: $2,939 to $16,447
- Start-Up Supplies: $6,180 to $9,155
- Utility Deposits: $900 to $3,000
- Insurance: $1,000 to $15,000
- Additional Funds – 3 Months: $40,000 to $70,000
- Total Estimated The UPS Store Franchise Costs: $222,368 to $606,081
Section II – The UPS Store’s Initial Franchise Fee, Royalty Fee, and Marketing Fee
- The UPS Store’s initial franchise fee, royalty fee, and marketing fee, based on Items 5 and 6 of the company’s 2026 FDD:
- Initial Franchise Fee: $19,950 to $39,950
- Royalty: 5% of Subject to Royalty (“STR”)
- The UPS Store Marketing Fee: 1% of STR
- National Advertising Fee: 2.5% of STR
- The Collaborative Dues: varies from Collaborative to Collaborative. Range is $100 to $500 per month.
Section III – Number of Franchised and Company-Owned The UPS Store Outlets
Franchised
2023
- Outlets at the Start of the Year: 5,138
- Outlets at the End of the Year: 5,232
- Net Change: +94
2024
- Outlets at the Start of the Year: 5,232
- Outlets at the End of the Year: 5,350
- Net Change: +118
2025
"Multi-unit ownership is where the real wealth in franchising is built. It starts with one key decision: choosing a brand with enough territory runway to grow into." — Ambrosio, Franchise Chatter
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- Outlets at the End of the Year: 5,487
- Net Change: +137
Company-Owned
2023
- Outlets at the Start of the Year: 2
- Outlets at the End of the Year: 2
- Net Change: 0
2024
- Outlets at the Start of the Year: 2
- Outlets at the End of the Year: 15
- Net Change: +13
2025
- Outlets at the Start of the Year: 15
- Outlets at the End of the Year: 16
- Net Change: +1
Section IV – News Updates on The UPS Store Franchise
Section V – Financial Performance Representations (Average Revenues and/or Profits) for The UPS Store Franchise (Item 19, 2026 FDD)
The UPS Store’s Financial Performance Representations (Average and Median Adjusted Gross Sales of All Centers, Top 10% and Bottom 10% of Centers)
This historical financial performance representation contains:
1. the actual, average, annual adjusted gross sales and the actual, median, annual adjusted gross sales during each of the 2025, 2024, and 2023 full calendar years of all franchised The UPS Store Centers in the United States that:
- (i) operated at “Traditional” sites;
- (ii) were in operation during the entire 2025, 2024, and 2023 calendar years, and reported their gross sales during the entire year;
- (iii) were in operation as of January 1 of the 2025, 2024, and 2023 calendar years, and then operated until at least sometime in December of that calendar year, and reported their gross sales for the entire timeframe during which they operated; and
- (iv) opened sometime during January of the 2025, 2024, and 2023 calendar years, and then operated until at least sometime in December of that calendar year, and reported their gross sales for the entire timeframe during which they operated.
2. as a component of that system-wide adjusted gross sales information, the actual, average, annual adjusted gross sales and the actual, median, annual adjusted gross sales during each of the 2025, 2024, and 2023 full calendar years of the top-performing and bottom-performing (in terms of adjusted gross sales) 10% of the franchised The UPS Store Centers in the United States that:
- (i) operated at “Traditional” sites;
- (ii) were in operation during the entire 2025, 2024, and 2023 calendar years, and reported their gross sales during the entire year;
- (iii) were in operation as of January 1 of the 2025, 2024, and 2023 calendar years, and then operated until at least sometime in December of that calendar year, and reported their gross sales for the entire timeframe during which they operated; and
- (iv) opened sometime during January of the 2025, 2024, and 2023 calendar years, and then operated until at least sometime in December of that calendar year, and reported their gross sales for the entire timeframe during which they operated.
3. A franchised The UPS Store Center’s adjusted gross sales in a particular year are included in the calculation of the system-wide average adjusted gross sales during the 2025, 2024, and 2023 calendar years (subject to the qualifiers above) even if:
- (i) that Center’s ownership changed during the calendar year; or
- (ii) the Center did not operate during one or both of the other calendar years represented in this historical financial performance representation.
4. Franchised The UPS Store Centers whose annual average adjusted gross sales and annual median adjusted gross sales are included in the calculation reported below are located only at “Traditional” sites.
- Traditional sites are highly visible locations in strip shopping centers or high foot-traffic downtown areas in urban, suburban, and rural markets.
- The UPS Store offers franchises for Centers at Non-Traditional sites under its Non-Traditional FDD. The characteristics of Non-Traditional sites vary significantly. The UPS Store included in this financial performance representation the results of only Traditional The UPS Store Centers because the Traditional site model is the only Center model it offers under the disclosure document.
5. The UPS Store has not independently audited the financial information reported by franchisees.
Definition of Terms
1. “Adjusted Gross Sales” are defined as a franchisee’s total gross sales (not including sales taxes collected from customers), plus “gross commissions earned” less certain permitted “exclusions.”
2. “Gross Sales” is the total of all revenue derived from products and/or services sold by or through a Center during the franchise term, whether evidenced by cash, services, credit, property, barter, electronic funds transfer, or other means of exchange, and whether or not the products and/or services are sold in any other Center. “Gross Sales” includes UPS shipping costs that a franchisee receives from its customers.
3. “Gross Commissions” is the total amount of all commissions actually earned by a franchisee during the franchise term on account of those transactions occurring at the Center in which the franchisee acts as agent for certain vendors or service providers specified in the Manuals, for example, UPS Drop-Off Program compensation.
4. Examples of permitted “exclusions” are Counter Manifest System Processing Fees and deposits toward products to be sold or services to be rendered.
Year 2025
- Total Number of Centers: 5,058
- Average Adjusted Gross Sales (“AGS”) for All Centers: $724,293
- Median AGS for All Centers: $692,858
- Average AGS for Top 10% of Centers: $1,248,208
- Average AGS for Bottom 10% of Centers: $345,790
- Highest AGS for Top 10% of Centers: $2,445,630
- Lowest AGS for Top 10% of Centers: $1,058,267
- Median AGS for Top 10% of Centers: $1,185,804
- Highest AGS for Bottom 10% of Centers: $430,282
- Lowest AGS for Bottom 10% of Centers: $89,036
- Median AGS for Bottom 10% of Centers: $363,210
Year 2024
- Total Number of Centers: 4,931
- Average Adjusted Gross Sales (“AGS”) for All Centers: $719,842
- Median AGS for All Centers: $686,743
- Average AGS for Top 10% of Centers: $1,225,942
- Average AGS for Bottom 10% of Centers: $353,236
- Highest AGS for Top 10% of Centers: $2,453,930
- Lowest AGS for Top 10% of Centers: $1,046,788
- Median AGS for Top 10% of Centers: $1,171,687
- Highest AGS for Bottom 10% of Centers: $436,215
- Lowest AGS for Bottom 10% of Centers: $85,284
- Median AGS for Bottom 10% of Centers: $372,216
Year 2023
- Total Number of Centers: 4,825
- Average Adjusted Gross Sales (“AGS”) for All Centers: $721,245
- Median AGS for All Centers: $691,610
- Average AGS for Top 10% of Centers: $1,224,355
- Average AGS for Bottom 10% of Centers: $357,306
- Highest AGS for Top 10% of Centers: $2,599,032
- Lowest AGS for Top 10% of Centers: $1,039,146
- Median AGS for Top 10% of Centers: $1,166,349
- Highest AGS for Bottom 10% of Centers: $435,904
- Lowest AGS for Bottom 10% of Centers: $68,027
- Median AGS for Bottom 10% of Centers: $371,853
Section VI – The UPS Store Franchise Ratios, Comparables, Computations, and Analyses (Exclusive Content for Platinum Subscribers) ⬇️
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