Spherion franchise unit economics
Spherion franchisees run general staffing offices that place temporary and full-time workers with local businesses, and the franchisor pays the owner a commission out of gross profit.
Spherion in the news
- Two Spherion Owners Named 2026 Franchisees of the Year by the International Franchise Association · Franchising.com ·
The Spherion headline above is the publisher's own and links to the publisher. Averan Advisors checked this Spherion link on 11 October 2026. Franchise news lists news on 95 brands, including Spherion. Spherion is in the Staffing franchise guide.
Spherion franchise at a glance
Spherion’s Item 19 reports 2025 billings, gross profit and gross profit rate for 57 franchisees by years open, with the average, median, highest and lowest in each group.
Spherion franchisees averaged $6,947,291 of sales in fiscal 2025, with a median of $4,051,231, according to Item 19 of Spherion’s 2026 FDD, issued 14 May 2026. The 57 in that group are 32%* of Spherion’s 180 locations. Fees paid to Spherion come to about 8.3%* of sales. A Spherion franchise costs $132,980 to $301,040 to open.
- A Spherion franchise costs $132,980 to $301,040 to open, including a $30,000 initial franchise fee, according to the brand's 2026 FDD.
- Spherion charges a royalty of 30% of sales and a 0.25% brand fund contribution.
- Spherion reported 180 franchised locations in its 2026 FDD.
- At the average Spherion location, rent and space costs took 20.5% of sales.
- Work out Spherion's fees at your own sales with the minimum fee calculator.
- A Spherion office is roughly 1,500 square feet.
These figures come from Spherion'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 →- The pooled gross profit rate is 20.5%, against the filed 22.2%. $1,424,192 of gross profit on $6,947,291 of billings is 20.5% *, 1.7 points, worth $118,104 a year at average billings, so benchmark against 20.5%.
- A ten-year office earns 2.56 times a one-to-five-year office. $1,286,076 of commission against $501,448 *, and the sales gap is almost identical at 2.63 times, so the build-up here is volume.
- The median owner takes 58% of what the average owner takes. $579,843 against $996,934 *, because the largest office in the system billed $55,061,325 against a smallest at $439,570.
- Workers’ comp, insurance and paid leave are deducted before the split. They sit inside direct costs, so the owner has 70% of every one of them. So the gross profit rate is the number that decides the year.
- Missing the gross profit quota costs the brand’s 30% share of the shortfall. Spherion bills it as a deficiency fee and can enforce it by termination, so a quiet year is billed as though it had happened.
How much does a Spherion franchise make?
The average Spherion unit reported $6,947,291 of revenue in the 2026 FDD, and the median reported $4,051,231. Item 19 of the Spherion FDD publishes sales, gross profit and gross profit rate for its franchisees by years open, and what an owner keeps depends on the costs set out below. Fees come off the top first, at about 8.3% of sales across royalty, brand fund and the rest of the stack. Revenue is not income. Rent, wages, cost of goods and the franchise fees all come out before an owner is paid. The figures for the highest-selling and lowest-selling businesses are below.
Top performers
What separates the top Spherion performers
Spherion splits its locations into groups instead of publishing one average. The top group averaged $8,917,074 a year. The lowest averaged $3,393,756. Both run the same brand, on the same agreement, paying the same fees. The middle location sold $4,051,231. The average was $6,947,291. More than half the system is below the number the brand quotes.
Decided before you open
- Site and trade area.The top band sells 2.6× the bottom band. Catchment, daytime population and neighboring businesses affect where a location falls.
- Territory.This model sells from a territory, with no storefront. Population density sets how much driving sits between jobs.
- Opening cost range.Opening costs $132,980 to $301,040, a 2.3× range inside one brand.
- Lease cost.Occupancy cost ran 20.5% of sales in this filing. Rent stays the same when sales fall, so it takes a larger share of sales at lower-selling locations.
- Cash needed in the first year.This filing shows how a new location builds up: the month sales cover costs, and how much cash you fund before then.
Live operating levers
- Occupancy cost.Spherion’s filing does not break out rent or building costs. A Spherion office is roughly 1,500 square feet, and its rent is fixed at signing.
- Placements.The fee is earned when a candidate is hired and refunded if they leave inside the guarantee period.
- Fees.Spherion’s fees run about 8.3% of sales, and Spherion sets no minimum royalty.
Context you underwrite around
- Locations included.These figures cover 57 of 180 locations. Locations open less than the full year, brand-owned, or not meeting the reporting criteria are excluded.
- What the filing does not include.Item 19 of the Spherion FDD publishes sales, gross profit and gross profit rate for its franchisees by years open. Ask the franchisor or current owners for any cost line the filing leaves out.
Discounts available
- Spherion takes 25% off the initial franchise fee for U.S. armed forces veterans who meet VetFran requirements.
- Spherion may take 25% off for buyers with at least 5 years of general staffing industry experience.
- Spherion takes 25% off the second franchise agreement and 35% off each one after that for an existing principal owner, including under a Territory Development Agreement.
- Spherion may take up to 100% off for full-time employees of Randstad-affiliated companies with 3 or more years of service (one discount per agreement).
From Item 5 of the Spherion 2026 FDD. The costs on this page use the full initial franchise fee for one unit, before any discount.
Gross profit decides it
Billings, gross profit and commission by years open, 2025
| Years open | Franchisees | Billings | Gross profit | Rate * | Owner commission * |
|---|---|---|---|---|---|
| 1 to 5 years | 18 | $3,393,756 | $716,354 | 21.1% | $501,448 |
| 6 to 10 years | 7 | $7,080,230 | $1,356,070 | 19.2% | $949,249 |
| Over 10 years | 32 | $8,917,074 | $1,837,252 | 20.6% | $1,286,076 |
| All 57 | 57 | $6,947,291 | $1,424,192 | 20.5% | $996,934 |
The billings and gross profit figures are as the brand reported it and the rate and commission columns apply the filed 70% split to them, marked *.
The filed gross profit percentages average each franchisee’s own ratio. 22.2% against the 20.5% that $1,424,192 on $6,947,291 actually gives *, and the same gap appears in every cohort, so use the lower figure when comparing yourself.
One point of gross profit rate is worth $69,473 of gross profit at average billings. It is also worth $48,631 of commission *, so bill-rate discipline on a single large account moves this business more than winning a small one.
The highest-selling franchisees earned $9,741,152 of gross profit and the lowest-selling $66,579. Their commissions were $6,818,806 and $46,605 *, a 146-fold range inside one brand.
Gross profit rates run from 15.0% to 60.5% across the system. With every cohort bottoming at 15.0% or 15.4%, so the minimum is consistent and the ceiling is where the difference lives.
The median franchisee’s gross profit is 58.2% of the average. That is $828,347 against $1,424,192 *. That is the same ratio as billings.
What years open is worth
The range within each years-open group, 2025
| Years open | Average billings | Median | Highest | Lowest | Gross profit rate, filed |
|---|---|---|---|---|---|
| 1 to 5 years (18) | $3,393,756 | $2,710,133 | $10,061,454 | $439,570 | 23.6% average, 20.8% median |
| 6 to 10 years (7) | $7,080,230 | $4,976,272 | $23,449,320 | $1,261,144 | 20.4% average, 21.1% median |
| Over 10 years (32) | $8,917,074 | $4,896,516 | $55,061,325 | $858,754 | 21.8% average, 21.0% median |
| All 57 | $6,947,291 | $4,051,231 | $55,061,325 | $439,570 | 22.2% average, 21.1% median |
Every figure is as the brand reported it for franchisees open at least a full year, with the 1-to-5-year group excluding a Salt Lake City resale.
A one-to-five-year office already bills $3,393,756. That is 38% of what an office over ten years old bills. So the first five years get a young office most of the way to half the mature figure.
The over-ten-year group has the widest range in the system. $55,061,325 against $858,754, with a median of $4,896,516 that sits below the six-to-ten-year median *, so years open alone guarantees very little.
The six-to-ten-year group reports the lowest gross profit rate. That is 19.2% against 21.1% for the youngest offices *, consistent with growth through larger, lower-margin accounts as an office scales.
Seven franchisees make up the entire six-to-ten-year group. That compares with 18 in the youngest group and 32 over ten years, which is the shape of a system that recruited heavily long ago and again recently.
Six franchisees were excluded for trading less than the full year. Those who left during 2025 and the whole area-based program were excluded too, so 57 of a larger franchisee base sit behind these figures.
The split and what sits behind it
Where the average franchisee's billings go
| Line | Basis | Amount | Share of billings * |
|---|---|---|---|
| Billings | n/a | $6,947,291 | 100% |
| Direct costs | Wages, payroll taxes, workers’ comp, insurance, paid leave, benefits | $5,523,099 | 79.5% |
| Gross profit | n/a | $1,424,192 | 20.5% |
| Brand keeps | 30% of gross profit | $427,258 | 6.1% |
| Owner commission | 70% of gross profit | $996,934 | 14.4% |
| Franchise support fee | 1.9% of temporary wages and placement sales | Up to $104,939 | Up to 1.5% |
| Marketing fund | 0.25% of sales | $17,368 | 0.25% |
Billings and gross profit are as the brand reported it, direct costs are the difference between them. The remaining rows apply the filed rates, with the support fee shown as an upper bound because wages are a subset of direct costs, marked *.
The brand keeps $427,258 of a $1,424,192 gross profit before the support fee and marketing fund. 6.1% of billings *, which is how a 30% share of margin looks when expressed the way most franchise royalties are.
Workers’ compensation, health cover, holiday and sick pay all sit inside direct costs. So they come off before the 70/30 split and the owner absorbs 70% of any increase, so a heavy claims year at a Spherion office lands mostly on the owner.
A client account is measured by the gross profit it produces, and the quota is enforced. Failing the annual gross profit quota triggers a deficiency fee equal to the brand’s 30% of the shortfall, and failure to pay it can end the agreement.
A commission below zero in any accounting period is payable back within 30 days. It can also be deducted from later commissions, so a bad period here can end below zero.
The brand pays the temporary staff and bills the customers. Spherion then remits a commission to the owner. That is why $50,000 to $120,000 of working capital (cash to run the business day to day) covers six to eleven months.
Territory, build and the system
Initial fee tiers and what each buys
| Tier | Temporary help wages in the area | Initial fee | Average billings as a share of the pool * |
|---|---|---|---|
| Tier 3 | $25,000,001 to $100,000,000 | $30,000 | 6.9% to 27.8% |
| Tier 2 | $100,000,001 to $300,000,000 | $40,000 | 2.3% to 6.9% |
| Tier 1 | $300,000,001 to $500,000,000 | $50,000 | 1.4% to 2.3% |
The tiers, wages groups and fees are as the brand reported it, and the final column measures the $6,947,291 average billings against each group, marked *.
The area is sized by the local temporary help wages from labor statistics. Households and radius do not set it. The most directly useful territory measure in this library, because it states the size of the market you are buying into.
A Tier 1 area holds six to twenty times the wages of a Tier 3 area for a fee 67% higher. $50,000 against $30,000 *, so on paper the larger areas are much cheaper per dollar of addressable wages.
An office costs $132,980 to $301,040 to open. 0.13 to 0.30 times the average owner’s annual commission *, of which $50,000 to $120,000 is working capital covering six to eleven months. New offices are expected to run negative cash flow at first.
Expanding an area costs $15,000, or a fresh franchise fee above $25 million of added wages. The Spherion agreement expressly excludes an exclusive territory. The brand and its Randstad affiliates may operate inside the area under other marks and for other services.
The system went from 215 franchised outlets to 180 across three years. A 16.3% decline, though 11 of the 2024 departures were offices consolidated by franchisees who kept operating. Company-owned outlets went from zero to two and back to zero.
Questions we get asked
Questions an owner asks
How much does a Spherion franchise make?
Spherion franchisees averaged $6,947,291 of sales in fiscal 2025, with a median of $4,051,231, according to Item 19 of Spherion’s 2026 FDD, issued 14 May 2026. The 57 in that group are 32%* of Spherion’s 180 locations. Fees paid to Spherion come to about 8.3%* of sales. A Spherion franchise costs $132,980 to $301,040 to open.
What does a Spherion franchisee earn?
Across 57 franchisees with at least a year of years open, 2025 billings averaged $6,947,291 and gross profit $1,424,192, giving a 70% commission of $996,934 on our reading. The median franchisee's gross profit was $828,347, a commission of $579,843. The largest billed $55,061,325 and the smallest $439,570.
Why does the gross profit rate matter more than billings at Spherion?
Gross profit rate matters more than billings because the owner is paid on gross profit. The system converts 20.5 cents of every billed dollar into gross profit. One point of rate is worth $69,473 of gross profit and $48,631 of commission at average billings. Rates across the system run from 15.0% to 60.5%.
Is the filed 22.2% figure comparable to my own at Spherion?
Only with care. The filed percentages average each franchisee's own ratio. Dividing the filed totals gives 20.5%, and the same 1.7-point gap appears in each cohort. Benchmark against 20.5%.
What fees does Spherion charge?
Spherion retains 30% of temporary gross profit and 30% of full-time placement billings before the commission is paid. On top of that, Spherion charges a franchise support fee of 1.9% of gross temporary wages and of full-time placement sales, and 0.25% of sales to the marketing fund. On the average franchisee the 30% alone is $427,258, or 6.1% of billings.
What sits inside direct costs at Spherion?
Those costs are temporary employee wages and payroll taxes, plus workers' compensation, liability and bonding insurance, transportation, vacation, holiday and sick pay, profit sharing and health benefits. All of it comes off before the 70/30 split, so the owner has 70% of any increase in any of those lines.
What is the gross profit quota at Spherion?
Spherion sets an annual target by tier for each of the first ten years. Missing it triggers a deficiency fee equal to the brand's 30% of the shortfall, and failure to pay that can end the agreement. For a multi-market area, the brand may take back a market where a full-service office is absent or the market's quota is missed.
What does an office cost to open at Spherion?
A Spherion office costs $132,980 to $301,040 to open, of which $34,745 to $65,025 goes to the brand. The initial fee is $30,000, $40,000 or $50,000 by tier, discounted 25% for veterans, for five years of staffing experience, and for a second agreement. Working capital of $50,000 to $120,000 covers six to eleven months.
Which two numbers should run monthly at Spherion?
Track gross profit rate against 20.5%, because it is the base you are paid on and a single point is worth $48,631 of commission. Then track gross profit against the quota, because the shortfall is billed at the brand's 30% whether or not the work happened.
Questions worth putting to Spherion
These are questions the Spherion filing leaves open. An owner or a buyer can put them to Spherion directly.
- How would wages and rent at a new Spherion location compare with the figures in the filing? Item 19 of the Spherion FDD publishes sales, gross profit and gross profit rate for its franchisees by years open.
- Which factors does Spherion see in its highest-selling locations, such as trade area, years open and size?
- How long does a new location take to reach the average you publish, and what does the build-up look like month by month?
- At what level of sales do the minimum charges stop applying and the percentage take over?
- How many Spherion 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. Checks whether you are ready to open another one. It is free and it runs in your browser.
Launch the diagnostic →What is your gross profit rate really?
We review your unit economics and cash forecast and build your reporting around the 20.5% this system converts, the $48,631 a single point is worth. A quota whose shortfall is billed at the brand's 30%.
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
Spherion reads against the rest of the staffing offices group: AtWork Group · Express Employment Professionals · Labor Finders · PrideStaff.
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.
- Do I need a bookkeeper, a controller, or a CFO?It explains what each role owns and when the next hire pays for itself.
- Revenue was the highest it has been. Why did profit not move?It traces where the extra revenue went, line by line.
Where these figures come from.
Every figure here comes from Spherion Staffing, LLC’s 2026 FDD and is unaudited by us. We are unaffiliated with the brand. Calculations of our own are labeled where they appear, the figures describe past performance at other businesses and are not a projection of yours. This page is an educational summary. It is not an offer to sell a franchise, and it is not financial, legal or tax advice. Spherion® 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: Spherion Staffing, LLC, 2026 Franchise Disclosure Document, issued 14 May 2026.