Total investment:

$ 58,700

Franchise fee:

$ 40,000

Royalty fee:


Marketing fee:

$ 5%

Number of franchises


Time period


$ 12 000*

* Calculator calculations are provisional, not guaranteed


Year founded: 1972

Franchise since: 1973

Company owned units:

Franchise owned units: 3104

Total number of units:

Number of employees per unit: 5-10

Contract period: 60 month



Liberty Tax Service is a full-service tax service specializing in computerized federal and state preparation of individual returns. On September 1, 1997, tax legend John Hewitt acquired a Canadian tax franchisor, U&R Tax Depot. In 1998, the company opened five offices in the U.S. and became Liberty Tax Service. As of 2018 they have more than 3,000 Liberty Tax Service offices in the United States and Canada.

On-The-Job Training: Varies
Classroom Training: 40 hours
Additional Training: Additional training in various cities

Royalties 14% of Gross Receipts subject to the following minimums:
First year – minimum $5,000
Second year – minimum $8,000
Third year and beyond – $11,000 minimum
Advertising 5% of Gross Receipts.
Retail Kiosk Programs Rent and applicable fees as required by the retailer.
Mexpliqa Sharing of Revenue as detailed in the Agreement between Mexpliqa and the franchisee.
Non-Profit Fund $50 Customer Referral Payment in the form of a donation.
Guerrilla Marketing Boot Camp – On-Site The fee varies based upon when the Camp takes place as follows: January/February – $1,500; March/April – $500
Exclusion of Pre-Existing Clients $5 per client.
Interest 12%
Transfer Fee $5,000 per territory.
Commission Fee 10% of the sales price, subject to a minimum of $5,000
National Call Center for Tax School $.50 – Appointments; $1.50 – Tax School; $3.75 – customer follow up; $5.25 – Tax School kit sent
Customer Refunds, Penalty & Interest, unpaid Send a Friends The amount of tax preparation fee, financial product fees, misdelivered check amount, penalty and interest, or unpaid Send a Friend or E-Send a Friend.
Change to Opening Schedule in Multi-Territory Stipulation $3,500
Retail Rent to Own Franchisees must pay a royalty of 14% of Gross Receipts, subject to a $5,000 minimum, and an advertising fee of 5% of the Gross Receipts. If franchisees operate an office in the Territory, that office shall not be subject to the minimum royalty.
Rent to Own Franchisees must pay to the franchisor a royalty of 14% of Gross Receipts and an advertising fee of 5% of the Gross Receipts.
Sales or Gross Receipts Tax If required by the state or locality in which the territory is located, the initial franchise fee, royalties, and advertising fees will be subject to sales or gross receipts tax.
Transmitter, Electronic Filing, Handling or Software Fee Refund Advance from $500 up to $3,250 – 3.75% to 5.5% of the Easy Advance for each approved loan. In California and Illinois, $39.95 handling fee for each Refund Transfer.
Cash in a Flash Financing Set Up Fee $55 for entities who own a single office; $110 for all other entities.
Assessment Related to Understatement of Revenues The costs of the review and interest of 12% per annum on the understated amount.
Sublease Fee Up to $1,000
Attorneys’ Fees and Costs An amount equal to the franchisor’s costs and expenses

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