Labor Finders franchise unit economics
Labor Finders franchisees run temporary industrial staffing offices that employ the workers on their own payroll and bill customers for the hours worked.
Labor Finders franchise at a glance
Labor Finders’ 2026 FDD, issued 26 March 2026, makes no financial performance representation in Item 19, so it gives no sales or profit figure. A Labor Finders franchise costs $159,535 to $363,200 to open, including a $20,000 initial franchise fee. Labor Finders charges a royalty of 3.5% of sales and a $365 monthly technology fee.
- Labor Finders reported 80 franchised locations in its 2026 FDD.
- Work out Labor Finders's fees at your own sales with the minimum fee calculator.
These figures come from Labor Finders's 2026 Franchise Disclosure Document, as the brand reported them, and were read by Averan Advisors.
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Talk to Averan → Move your books and accounting to Averan →- Insurance costs more than the franchise fee. That is $30,000 to $40,000 against $20,000, 18.8% of the low total investment *, and the largest pre-opening line of all.
- Working capital is about half the whole investment. That is $74,045 to $183,500 for three months *, 46.4% of the low total and 50.5% of the high *.
- Temporary wages alone are $35,000 to $100,000 a quarter. That is $140,000 to $400,000 a year at that rate *, paid weekly while customers settle on their own terms.
- The territory is one or more contiguous counties and is exclusive. The brand and its own subsidiary are kept out, and Labor Finders exclusivity has no sales condition.
- Ninety-nine franchised offices became company-owned in 2023. That is why the franchised count fell from 184 to 84 in a single year *.
How much does a Labor Finders franchise make?
The 2026 FDD for Labor Finders does not publish unit revenue in a form that answers this directly. Labor Finders charges a royalty of 3.5% of gross billings. Insurance before opening costs $30,000 to $40,000, and three months of working capital costs $74,045 to $183,500. Labor Finders had 80 franchised offices at the end of 2025.
Top performers
What separates the top Labor Finders performers
Labor Finders publishes no revenue figures, so neither the average nor the spread between locations is disclosed.
Decided before you open
- Capacity.Locations run 1,000 to 1,200 square feet. The build sets how much you can sell.
- Opening cost range.Opening costs $159,535 to $363,200, a 2.3× range inside one brand.
- Fees and the minimum.Labor Finders charges 3.5% of gross billings plus $365 a month for each office in technology fees, with no advertising fund.
Live operating levers
- Billed hours.You pay for every hour worked and bill only the hours a client accepts. Track hours worked against hours billed, and the rate charged against the rate paid.
Context you underwrite around
- What the filing does not include.Item 19 publishes no profit or cost data for franchised locations, no median, no performance bands, no attainment figure. Ask the franchisor or current owners for cost and profit figures.
- Sales spread in the category.Across 4 Staffing brands in this library, the top group sells 7.3× the bottom at the typical brand, and a median 31% of locations reach their own average *. Ask the franchisor for this brand’s spread.
Discounts available
- Labor Finders waives the fee for existing franchisees who buy one or more additional franchises.
From Item 5 of the Labor Finders 2026 FDD. The costs on this page use the full initial franchise fee for one unit, before any discount.
Funding the wages
The opening investment
| Item | Low | High | Share of the low total * |
|---|---|---|---|
| Working capital, three months | $74,045 | $183,500 | 46.4% |
| Insurance | $30,000 | $40,000 | 18.8% |
| Initial franchise fee | $20,000 | $20,000 | 12.5% |
| Office build-out | $10,000 | $50,000 | 6.3% |
| Professional services | $5,000 | $15,000 | 3.1% |
| Total | $159,535 | $363,200 | n/a |
Every figure is as the brand reported it and the share column divides each line by the filed low total, marked *.
Temporary worker wages are $35,000 to $100,000 of that first quarter. Running at $140,000 to $400,000 a year *, and the office has them on its own wages before the customer pays.
Office staff cost a further $30,000 to $45,000 a quarter. $120,000 to $180,000 annualized *, so the two payrolls together dominate every other cost in the model.
Insurance costs $30,000 to $40,000 before any hour is billed. A Labor Finders office employs its temporary workers, so it carries insurance that a placement agency does not.
The estimate excludes any salary for the owner and all royalties. So the real three-month requirement sits above $74,045 for anyone who needs to draw.
Premises are 1,000 to 1,200 square feet. They sit in a strip center or similar, with rent of $3,000 to $15,000 across the first three months.
Three and a half percent
The ongoing charges
| Charge | Rate | On $1,000,000 of billings * | On $3,000,000 * |
|---|---|---|---|
| Royalty | 3.5% of sales | $35,000 | $105,000 |
| Software | $125 a month an office | $1,500 | $1,500 |
| Mobile platform | $240 a month an office | $2,880 | $2,880 |
| Advertising fund | Zero | $0 | $0 |
| Local marketing minimum | Zero | $0 | $0 |
| Total | n/a | $39,380 | $109,380 |
The 3.5% rate and the $125 and $240 monthly charges are as the brand reported it and the dollar figures apply them at each billings level for a single office, marked *.
Sales means gross customer billings. That excludes interest, taxes and certain bonuses and transport paid to workers, so the wages inside an invoice are part of the royalty base.
Royalty falls due 45 days after the month of invoicing. That is a long payment term, and it helps a model where cash goes out weekly and comes in monthly.
Advertising obligations are absent entirely. There is no fund, no council, no cooperative and no required spend. The only advertising figure anywhere is a $1,000 to $5,000 opening estimate.
Technology costs $4,380 a year for each office *. That cost multiplies with offices.
More than three uncured negative reviews can cost $100 a day. The charge applies per violation, which is unusual, so set up a standing process for reviews.
Counties and offices
The territory and its obligations
| Term | Detail |
|---|---|
| Territory | One or more contiguous counties, exclusive |
| Development | One office for each 500,000 of population on an additional territory |
| Extra offices | No additional franchise fee inside the same territory |
| Site approval | Notification instead of approval |
| Penalty for missing the schedule | Territory reduced to a 10 or 20 mile radius around each open office |
Every term is as the brand reported it. The reduction radius is 20 miles where the original territory held 5 million people or fewer and 10 miles above that.
Exclusivity has no sales or penetration condition. What it depends on is opening offices to the schedule, so the risk is development.
Missing the development schedule reduces the territory. The brand is expressly unable to terminate for late openings, a meaningfully softer remedy than most.
Additional offices inside the territory carry no franchise fee. So the marginal office is the build cost and the working capital alone.
Locations need notification. That is rare, and it gives real freedom over where inside the county the offices sit.
Soliciting outside the territory is prohibited. The ban covers internet, catalog, telemarketing and direct marketing, unless the brand consents in writing.
The network of locations
Franchised offices, 2023 to 2025
| Year | Start | Opened | Terminated | Reacquired | Ceased, other | End | Company-owned end |
|---|---|---|---|---|---|---|---|
| 2023 | 184 | 0 | 0 | 99 | 1 | 84 | 99 |
| 2024 | 84 | 1 | 2 | 0 | 0 | 83 | 92 |
| 2025 | 83 | 0 | 2 | 0 | 1 | 80 | 86 |
Every figure is as the brand reported it, with 2023 reflecting an affiliate purchase of multiple franchised locations and a reclassification of subsidiary offices as company-owned.
Ninety-nine offices moved to company ownership in one year. That is 53.8% of the franchised estate at the start of 2023 *.
Company-owned offices have fallen every year since. They went from 99 to 92 to 86, so the combined system is shrinking from both sides.
One office opened across the three years. Four terminations and two closures came in the same years, so new franchise development has effectively paused.
The subsidiary operates offices outside franchisee territories. That is what the exclusivity protects against, and it is expressly excluded from your counties.
Some long-standing owners pay reduced royalties. These include a legacy sliding scale based on billable hours, and the 3.5% applies to new agreements.
Questions we get asked
Questions an owner asks
How much does a Labor Finders franchise make?
Labor Finders’ 2026 FDD, issued 26 March 2026, makes no financial performance representation in Item 19, so it gives no sales or profit figure. A Labor Finders franchise costs $159,535 to $363,200 to open, including a $20,000 initial franchise fee. Labor Finders charges a royalty of 3.5% of sales and a $365 monthly technology fee.
What fees does Labor Finders charge?
Labor Finders charges 3.5% of sales, meaning gross customer billings excluding interest, taxes and certain bonuses and transport paid to workers. It falls due 45 days after the end of the month in which you invoiced. Add $365 a month for each office in software and mobile platform fees.
Is there an advertising obligation at Labor Finders?
Zero on every count: advertising fund, council, cooperative and required local spend are all absent. The only advertising figure anywhere is a $1,000 to $5,000 estimate for opening.
How much does a Labor Finders franchise cost to open?
$159,535 to $363,200, of which $74,045 to $183,500 is three months of working capital, about half the total on our reading. Insurance at $30,000 to $40,000 is the largest single pre-opening line, above the $20,000 franchise fee.
Why is so much of it working capital at Labor Finders?
So much of it is working capital because the office employs the temporary workers. Their wages are $35,000 to $100,000 across the first three months and office staff another $30,000 to $45,000, all paid before customers settle their invoices.
How exclusive is the Labor Finders territory?
Genuinely exclusive, which is rare. It is one or more contiguous counties, and while you are in compliance the brand keeps itself, its subsidiary and every other franchisee out of it for temporary industrial staffing. Exclusivity has no sales condition.
What are the development obligations at Labor Finders?
Territories above one million people have an opening schedule, and an additional territory requires one office for each 500,000 of population once the schedule is met. Missing it reduces the territory to a radius around each open office.
What does an extra office cost at Labor Finders?
No additional franchise fee applies inside the same territory. Locations need notification, so the marginal office is the build-out, the working capital and $365 a month of technology.
Which two numbers should run weekly at Labor Finders?
Track the days between paying wages and collecting invoices, because the whole model is that gap. Then track gross profit on billings, because the royalty is charged on billings.
- The filing gives no revenue figures. The filing makes no financial performance representation, so there is no disclosed sales number for any location.
- The filing gives no profit figure. The filing reports sales and not earnings, so what an owner keeps is not disclosed.
- The filing breaks out no cost lines. Wages, rent and cost of goods are not broken out, so margin cannot be rebuilt from the document.
- The filing gives no range. The filing does not show the highest and lowest locations, so the spread inside the system is unknown.
- The filing gives no attainment figure. The filing does not say how many locations reached the average it publishes.
- The filing shows no ramp. The filing does not show how a new location builds up, so the first-year curve has to be assumed.
Questions worth putting to Labor Finders
The filing answers what it answers. These are the gaps an owner or a buyer should close directly.
- What do locations at the median spend on wages and rent as a share of sales? The filing reports sales only.
- What did the highest and lowest locations sell last year, and what explains the gap?
- How long does a new location take to reach the average you publish, and what does the build-up look like month by month?
- What do the fees add up to as a share of sales at the average location, once minimums and technology charges are counted?
- How many Labor Finders locations closed, were sold, or changed hands last year, and why?
Run your own numbers.
The Franchise Numbers Check runs the same checks on your own numbers. It scores where you stand and compares you with Item 19 of your brand’s FDD. It works out what one location earns and spends, and builds a 13-week cash forecast. It checks whether you are ready to open another one. It is free and it runs in your browser.
Launch the diagnostic →How long is your cash gap?
We review your unit economics, cash forecast and reporting, built around wages paid weekly, invoices collected monthly and a royalty charged on billings.
Talk to Averanthe franchise library, all 447 brands · how franchise unit economics work · running the books across several locations · what Averan does for franchise owners
Labor Finders reads against the rest of the staffing offices group: AtWork Group · Express Employment Professionals · PrideStaff · Spherion.
Questions owners ask next
The figures above raise these, and each one is answered on its own page.
- At what level of sales does a minimum fee stop costing me more than the percentage?It works out the sales level where a minimum fee stops applying.
- How much cash do I fund before a new location covers its own costs?It builds a 13-week forecast for the months before break-even.
- My payroll percentage keeps climbing. Is that a payroll problem?It shows how to tell whether payroll is rising or revenue is falling.
- How much of Item 19 can I rely on?It explains what an Item 19 financial performance representation tells you and what it leaves out.
- What should I be looking at every week?It lists the handful of numbers that move before the P&L does.
Where these figures come from.
Every figure here comes from Labor Finders International, Inc.’s 2026 FDD and is unaudited by us, we are unaffiliated with the brand, calculations of our own are marked with an asterisk where they appear, the figures describe contractual terms and estimated costs. This page is an educational summary and is not legal or tax advice. Labor Finders® is a registered trademark of its owner. How Averan reads a Franchise Disclosure Document.
These figures come from the brand's disclosure. They are not a forecast, an offer to sell a franchise or advice. Source: Labor Finders International, Inc., 2026 Franchise Disclosure Document, issued 26 March 2026.