Q: How much money do I need to invest in a NEXTAFF franchise?
A: The initial investment for a NEXTAFF franchise ranges between $123,000-$152,000.
Q: How much can I expect to make?
A: While we can’t guarantee the same results, our system-wide Average Gross Revenue for 2019 are $1,953,751, with Franchise Owners reporting average gross profits of $394,662.*
*As disclosed in our Item 19 of NEXTAFF’s 2020 Franchise Disclosure Document
Our FDD provides a full breakdown of revenues for all NEXTAFF offices. To receive our FDD, please complete our Confidential Questionnaire HERE.
Q: How much of an initial franchise fee should I expect to pay?
A: The franchise fee for a single NEXTAFF unit is $40,000, which is included in your initial investment. We also offer multi-pack franchise fee discounts for investors looking to open more than one NEXTAFF office. Ask your Franchise Development Manager for details.
Q: Do you have financial requirements for franchise eligibility?
A: We ask that our franchise candidates have a net worth of at least $175,000, with at least $150,000 in liquid capital.
Q: Do you offer a discount for military veterans?
A: NEXTAFF is proud to honor U.S. military veterans for their service with a 20% franchise fee discount through VetFran. Please ask our Development Manager for details during your initial call.
Q: How quickly could I see a potential return on my franchise investment?
A: While we can’t guarantee the same results, our Franchise Owners report a median breakeven point of just 7 months!
Q: I have no experience in the staffing industry. Is this necessary?
A: Seeing as how two of our Franchise Owners had ZERO industry experience when they opened their NEXTAFF locations, yet still managed to sell for a 7-figure profit, we don’t feel that it is necessary to have a background in staffing! However, we do require people who want to own one of our specialized IT and Healthcare divisions to have a solid background in that particular industry.
Q: Do I need a corporate or professional background to own a NEXTAFF?
A: To be a successful NEXTAFF Franchise Owner, a background in B2B sales is an absolute must! We are looking for experienced professionals who are ready to take the knowledge they’ve gained in corporate America and apply it to growing their own business.
Q: What can I expect a typical day to look like as a Franchise Owner?
A: One of the best things about owning a NEXTAFF franchise is maintaining typical office hours, lending flexibility and balance to your life. Here’s a rough schedule of a day in a Franchise Owner’s life:
8:00 am: Arrive at office, verify new placement arrivals
9:00 am: Team debrief and client follow-up calls
10:00 am: Collecting timesheets
11:00 am: Sales follow-up calls
12:00 pm: Client lunch
1:00 pm: Work on sales proposals and follow-ups
3:00 pm: Recruiting calls
4:00 pm: Team debrief
5:00 pm: Leave for home!
Q: I have a background in IT. Is it possible to open a NEXTAFF agency dedicated to a particular field?
A: Absolutely! In addition to our staffing agencies for commercial and office administrative services, NEXTAFF Franchise Owners can choose to open an agency focused solely on healthcare or IT placements. If you have a background in IT or healthcare, our Franchise Development Manager can provide you with detailed information on how to open a NEXTAFF in one of those two specialty fields.
Q: If the back office is handling most of my day-to-day operations, what will I be doing as a Franchise Owner?
A: Though our support center assists with a variety of operational duties, you will still be keeping busy in your NEXTAFF office! Your primary objective will be to prepare proposals to attract new business, retain existing clients, and continuously network with business contacts in your neighborhood to expand your reach.
Q: How many staff members will I need to help run my office?
A: A NEXTAFF office can be run with minimal staff. Most of our Franchise Owners employ one recruiter and one admin who doubles as a recruiter-in-training to start, adding additional recruiters as the business grows.
Q: What kind of office hours can I expect to keep as a Franchise Owner?
A: Depending on the vertical, your hours could be 8 AM-5 PM, Monday through Friday, with a few follow ups after hours. Some verticals or specialties that operate 24/7 will require after hours communications. In a recent survey conducted by Franchise Business Review, 94% of franchise owners stated they had flexibility in their work schedules and 75% stated they had work-life balance.
Q: What kind of office space is required to open a NEXTAFF franchise in my community?
A: We do require a small office space around 800-1,200 square feet. All it needs are a few desks, computers, and minimal furniture. While we look for locations that are easy to find in high-volume traffic areas with close highway access, it is not necessary to secure grade-A real estate or to be at the main intersection.
Q: Do I get to pick my own location?
A: We will provide you with site selection parameters. You may use a local realtor and our COO will assist with site selection, and assist with lease terms.
Q: What size territory can I expect to operate in?
A: One of NEXTAFF’s best features is our large franchise territory sizes. NEXTAFF territories are typically the entire county an Owner lives in. They will encompass a minimum of 50,000 and a maximum of 500,000 paid employees from the most recent census bureau information.
Q: How long will it take to open my NEXTAFF location after signing my franchise agreement?
A: The typical ramp-up period from signing your agreement to opening your NEXTAFF office is approximately 60-90 days.
Q: I may not have the capital required for the initial investment- do you offer funding options?
A: NEXTAFF is proud to partner with Benetrends to offer franchise funding to qualified candidates. Learn more about Benetrends small business financing options HERE.
Q: Can I run a NEXTAFF franchise as a semi-absentee Owner?
A: While we require our Franchise Owners to operate their NEXTAFF locations on a full-time basis to start, they have the option to operate on a semi-absentee basis after approximately 2-3 years as an Owner/Operator, depending on the volume and structure of the business.
Q: I am a people person and have spent my career in B2B sales management- as a Franchise Owner with NEXTAFF, will I still get to interact with prospective clients?
A: You certainly will! We are looking for experienced B2B sales professionals who love interacting with people and networking so that you can get out in your community and start earning business.
Q: I was looking into franchising but now I’m a bit scared about the economy. Is a staffing agency really necessary when so many people are out of work right now?
A: Staffing agencies are necessary whether unemployment is high or low.
When unemployment is low, recruiting is tight and it is hard to find the right people with the right skills, so companies turn to us. When unemployment is high a company could post a listing for a remedial position and be inundated with applicants. In this instance, the company does not have the bandwidth to review all resumes and finds the benefit of a staffing company.
Also, it is extremely cost-effective for companies to utilize staffing agencies to find the right employees. All employees are already screened in advance and if an employee does not work out, the company can request someone else until they find that right fit. When a company tries to find employees on their own it is very time-consuming and costly. When using NEXTAFF, that company can focus on the bigger picture and grow their business.
Q: Are staffing agencies like NEXTAFF still important even though we have online job recruiting websites like Indeed, Glassdoor, and CareerBuilder?
A: When Monster first came on the scene 20 years ago people thought it was the end of staffing, but we have proven that the model is here to stay. There is no way to replace the human element that is truly needed when trying to make the right placement. We use the internet to help us find employees but our proprietary X-FACTOR method includes a number of elements that need a human touch.
Q: I’m looking to franchise with a company that gives back to the community. Does NEXTAFF have any involvement with charities or nonprofit organizations?
A: NEXTAFF is proud to donate 10% of net franchise fees to charity. Since we began franchising, we have given back to a number of organizations for causes as diverse as cancer research, rare genetic diseases, drug addiction, and more.
Q: What is X-FACTOR?
A: X-FACTOR is our proprietary recruiting method which delivers up to 100% greater results than typical methods used by staffing competitors.
Q: Why would companies use NEXTAFF instead of hiring their own employees?
A: Companies will save on time, payroll cost, marketing and other costs involved in onboarding an employee. NEXTAFF is like an HR extension for companies. We take care of finding the right employees so the company can focus on their bottom line.
Q: Do I have the necessary skills to become a NEXTAFF Franchise Owner?
A: Owning a NEXTAFF franchise is not for everyone. If you have strong sales skills, love to talk to people, and have a strong desire to succeed and be a part of a supportive system, then we invite you to start our mutual evaluation process.
Q: What does NEXTAFF's mutual evaluation process mean?
A: Our mutual evaluation process takes 4-8 weeks, and allows us to learn more about you to ensure that you are a good fit for our franchise. This process allows you to complete your due diligence to see if NEXTAFF is the right franchise for you. There is no obligation and it is free!
Q: How much are your franchise royalty fees?
A: Unlike other franchise systems, NEXTAFF royalty is based on gross wages (total paid to all employees recruited for various companies), not your location’s gross revenue. It starts at 8% for the first $1M and is reduced as your revenue increases.
Q: What type of training is provided?
A: Once awarded a franchise, you will receive a combination of classroom training, both at NEXTAFF headquarters and via online instruction, and one week of on-site training once your location opens.
Q: What type of support can I expect from the NEXTAFF team?
A: Franchise Owners will have access to our entire suite of back office support, including payroll service for field employees, administration, marketing, operation assistance and much more. You will learn all the details in our mutual evaluation process.
Q: What are the average gross margins?
A: According to our 2020 FDD our average margins are 21.47%
Q: How many locations are there?
A: We currently have 18 locations that are owned by 20 Franchise Owners.
Q: What are the steps to owning a NEXTAFF Franchise
A: We have a detailed step by step education process to make sure the fit is right for both yourself and the NEXTAFF family.
1. Submit Lead
2. Speak with the NEXTAFF Development Manager to see if your territory is available
3. Complete the Confidential Questionnaire so our team can assess if you meet the necessary requirements for Franchise Ownership
4. The Franchise Development Manager will assess your Questionnaire. If successful you will be placed in direct contact with the NEXTAFF Development Director
5. You will then review the business model and Franchise Disclosure Document in detail
6. Next you will get access to speak to the Founder, Cary Daniel
7. You will then be introduced to Franchise Owners to talk with them directly about their experience in owning a Nextaff staffing franchise
10. If the mutual evaluation is continuing to go well, you will be invited to the Nextaff Headquarters for Discovery Day for completion of the education process