7-Eleven Franchising Florida
Details on initiative to convert company-ops; ratcheting up Business Conversion Program
ORLANDO, Fla. -- As reported in a CSP Daily News Flash yesterday, 7-Eleven Inc. said that it plans to convert approximately 475 additional company-operated convenience stores in Central Florida into franchised operations. The conversion of company-op stores in the Sunshine State began this January in South Florida. The change affects 7-Eleven stores in the greater Orlando, Tampa/St. Petersburg, Daytona and Fort Myers metropolitan areas.
Previously, 7-Eleven had announced stores available for franchise in the Miami and Daytona Beach areas, said company spokesperson Margaret Chabris. ( Click here to read CSP Daily News coverage; also click here.)
Existing 7-Eleven store managers in Florida were the first entrepreneurs who were invited to apply for a 7-Eleven franchise, and many have taken advantage of the opportunity, the company said. The offer is now available to the public, it added.
7-Eleven provides the land, building, equipment and a turnkey operation for its franchisees. The average up-front, total investment for a 7-Eleven franchise in Florida is about $180,000, although this amount may vary significantly by store. This investment is based on the store 's actual sales history and includes the store's inventory, supplies, business licenses, permits, bonds, cash register fund as well as a franchise fee, the amount of which may vary depending on the store's location.
Unlike other franchise models that take a percent of sales, 7-Eleven shares in the store's merchandise gross profits.
"This move by 7-Eleven in Florida is an opportunity for people in the community to franchise their own business using an established, successful system supported by the world 's largest convenience retailer," said Ivy Nunez, 7-Eleven franchise sales manager for Central and South Florida.
"Ours is an entry-level franchise that offers a variety of services for a new business operator," said Brad Jenkins, 7-Eleven division vice president for Florida operations. "Franchisees have a vested interest in knowing their customers and communities as 7-Eleven grants much of the product assortment decision-making to each individual store. We believe that the franchisee, as a store operator, is in the best position to understand and respond to their local retail needs, which in turn, builds customer loyalty and sales."Separately, 7-Eleven said that it is also expanding through its Business Conversion Program (BCP), whereby independent business owners interested in converting their "back-court" operation to a 7-Eleven store can apply to qualify. BCP provides many similar benefits as 7-Eleven's traditional, individual-store franchise model, while allowing an independent store operator with at least 1,800 square feet of selling space the opportunity to own or lease his store site. Upon agreement, 7-Eleven installs proprietary equipment and assists in converting the store to a 7-Eleven-branded location.
Approximately 4,100, or 76%, of 7-Eleven's almost 5,400 U.S. stores are now franchised, according to the Dallas-based company.