How does 7 eleven franchise work

Obligations and Restrictions: Franchisees agree under the franchise agreement to devote their best efforts to the store and to actively and substantially participate in the actual operation of the franchise. Since the franchisor expects the franchisee to actually manage the franchise business, other than in exceptional cases, it does not require franchisees to name or train a manager, except if they operate more than one 7-Eleven franchise.

The store must carry all categories of inventory specified. Franchisees must carry, use and offer for sale only the inventory and other products that are consistent with the type, quantity, quality, and variety associated with the 7-Eleven Image and as the franchisor specifies in the franchise agreement.

Franchisees must maintain in the store at all times a reasonable and representative quantity of all proprietary products listed in the franchise agreement or that the franchisor otherwise lists in writing. Franchisees must carry at the store a reasonable and representative quantity of all designated nationally or regionally advertised or promoted products.

Term of Agreement and Renewal: The length of the initial franchise term is 15 years. One renewal term equal to the number of years under the then-current franchise agreement for franchise renewals is available, if requirements are met. The franchisor also will establish and maintain an Open Account for the franchisee as part of the bookkeeping services provided see FDD for further details. The franchisor does not offer financing arrangements from any other sources, and does not receive payments for the placement of any financing.

The above information has been compiled from the FDD of 7 Eleven. Year of FDD: Franchise Direct's Disclaimer. It is an overview of what is contained in the full document, which is to be given to the prospective franchisee by the franchise--and receipt of which must be formally notarized between the parties.

If you are interested in getting in touch with a franchise company, please search our listings via the "Industry" pages accessible from the drop-down menu above. Sign up here to get the latest franchise opportunity updates and more delivered directly to your inbox. Be the first to know! Retail Franchises. Download Full FDD. Take our franchise quiz to find out if 7-Eleven is the best choice based on your interests and budget.

Here is a table of the brief financial requirements to start a franchise with 7-Eleven. Note that these numbers are solely base financial requirements and added fees and costs may be likely. Here is a further breakdown of the costs for starting a franchise with 7-Eleven.

In , they changed their name to 7-Eleven and started franchising. However, they still hold their headquarters in Dallas. Is owning a 7-Eleven profitable? The location has always been an indicator of how well a franchise can perform.

Being at a prime location means there has to be a good amount of traffic that flows through with minimal or no competition nearby. Ease of access to the facility is important, as well as parking spaces since customers need to be able to walk inside in order to purchase products.

Depending on where you want to open, there may be a different location or storefront type that works best for that area. The products that 7-Eleven stock and sell are a big factor as to why consumers would support their business. Though 7-Eleven will require certain brands for franchises to have, they do their own research for other products for franchise owners.

There are other alternatives that they could have that customers may have more of a preference. This would be the definitio n of a convenience store since it will be easy for customers to consume their food. They have been slowly adopting heated items like hot dogs, churros, and tacos. It is important to note that 7-Eleven does change up its products depending on location to help fit the customer preferences. Not Sure What Franchise to Start? One of the advantages 7-Eleven has is that not only can they build new stores for their franchises, but they can also convert existing convenience stores too.

Here are the types of existing stores that can be converted into 7-Elevens:. Whether you own a franchise or build a business from the ground up, business planning is an essential step in the process. With a business plan and budget in place, the next step is a final interview with a manager in your area.

One of the final steps in becoming a 7-Eleven franchise owner signing the franchise agreement. You'll also get guided through the process of applying for necessary licenses and paying franchisee fees. The fee is based on location and the previous gross profits of the location, if applicable. The initial fee includes a down payment on supplies, inventory, permits, licenses, bonds and startup cash for the register. Franchisees who elect to purchase stores from existing owners, must pay the fee to the owner, as well as 7-Eleven's franchisee fees.

After the initial one-time fee, you pay royalties based on your store's gross profit. The calculation is net sales receipts minus the wholesale costs paid for the merchandise sold. After your receive training, you can begin to hire and train staff for your store.

Miranda Brookins is a marketing professional who has over seven years of experience in copywriting, direct-response and Web marketing, publications management and business communications. She has a bachelor's degree in business and marketing from Towson University and is working on a master's degree in publications design at University of Baltimore. By Miranda Brookins. Submit Franchise Application Prospective 7-Eleven franchisees must submit a franchise application.