Tax Leaf Franchise Review (2024)
Tax Leaf Franchise Background
Tax Leaf is a franchise that offers bookkeeping, payroll, personal and corporate tax returns, incorporate services, business services and accounting for franchises.
Tax Leaf differentiates itself in the market since they use a very sophisticated software and have a very competent marketing team. Another interesting factor is that their price is quite reasonable compared to what other accounting and bookkeeping firms are offering in the market
They are known for their experience as well as their technology. They also have a system called LeafCloud – all the documents are there, available on the internet, anytime and anywhere.
Management Team
Tax Leaf has been helping people with their Tax, Accounting, and Bookkeeping needs since 1976. They have 11 units in South Florida, and one in the Orlando area.
Business Services Industry Analysis
Franchise Strengths
- Appeals to a wide range of the population, since legally every American and American business is required to submit an income tax return
- Recurrent revenue streams
- Recession proof
- They have a 100% cloud based accounting system
- Personalized service
Franchise Weaknesses
- Reliant on finding and retaining clients and small businesses
- Operates in a competitive environment with low barriers of entry
Business Services Industry Franchise Opportunities
- Brand awareness will continue to grow as the concept expands
- Tax service revenues of $11bn are forecast for 2018 (IBIS world)
- There are 27.9 million small businesses in the US, and in Florida alone there are 2.1 million (SBA)
Threats in the Business Services Industry Franchise Market
- Operating in a very large, competitive market that is rapidly changing
- People can opt to do their taxes on their own
- New technologies and electronic filling systems available for everyone
How Much is a Tax Leaf Franchise?
| Item | Estimated Amount (in USD) | When Due | To Whom Payment is to Be Made | |
| Low | High | |||
| Initial Franchise Fee | $40,000 | $40,000 | Upon signing Franchise Agreement | Franchisor |
| Real Estate/Rent | $938 | $5,625 | Before Beginning | Lessor |
| Utility Deposits | $500 | $1,000 | Before Beginning | Utility Providers |
| Leasehold Improvements | 8,000 | 20,000 | Before Opening | Suppliers |
| Insurance | 800 | 1,200 | Before Beginning | Insurance Company |
| Office Equipment & Supplies | 1,000 | 2,000 | Before Beginning | Suppliers |
| Cost of Travel, Food and Lodging for Training | 2,000 | 4,000 | During Training | Airlines, Hotel & Tax Preparations Small Business Consulting |
| Signage | 3,000 | 9,000 | Before Beginning | Suppliers |
| Furniture, Fixtures & Equipment | 4,000 | 10,000 | Before Beginning | Suppliers |
| Computer Equipment Services & | 1,000 | 2,000 | Before Beginning | Suppliers |
| Dues & Subscriptions | 200 | 1,000 | Before Beginning | Associations & Suppliers |
| Licenses & Permits | 50 | 2,000 | Before Beginning | Licensing Authorities |
| Legal & Accounting | 1,000 | 3,000 | Before Beginning | Suppliers |
| Market Introduction Program | 3,000 | 6,000 | Upon Opening | Suppliers |
| Additional Funds — 3 Months | $30,000 | $60,000 | As Necessary | Franchisor, Employees, Utilities, Lessor & |
| TOTAL | $95,488 | $166,825 |
| Royalty | Ad-Fund |
| 20% | 3% |
