American Freight
Company Information
109 Innovation Court, Suite J Delaware, Ohio 43015
We are directly owned by Franchise Group Newco S, LLC ('FG Newco S'), a Delaware limited liability company. In addition to us, FG Newco S directly owns American Freight Outlet Stores, LLC, a Delaware limited liability company ('AFOS'), which is described in more detail below in this Item 1. In September 2019, our indirect parent, Liberty Tax, Inc. changed its name to Franchise Group, Inc. The principal business address of Franchise Group, Inc. ('FRG') is 109 Innovation Court, Suite J, Delaware, Ohio 43015. FRG is a publicly traded company that has a number of direct or indirect subsidiaries which currently offer and sell franchises in the United States. None of these affiliated franchise programs operate an American Freight Retail Business franchise.
Not Available
2 Ongoing Lawsuits
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Franchise Rating
Franchimp Summary Rating
7/10
Earning Transparency
10/10
Investment Accessibility
4/10
Summary of potential earnings
$2,646,547 / unit
Average Revenue During 2021Home Goods & Furnishings Retail
Franchise System Development
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Employee Contact Database
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Summary of Investment Costs
Upfront Franchise Fees
Minimum: $374,900 Maximum: $484,900
Upfront franchise fees are the one-time payments required to secure rights to operate under an established brand, typically ranging from $20,000 to $100,000+ depending on brand value.
These fees grant access to proprietary business systems, training programs, intellectual property rights, and often territorial exclusivity—essentially purchasing the blueprint for a proven business model.
While separate from ongoing royalties, investors should evaluate these fees against expected returns, comparing fee-to-earnings ratios across opportunities and assessing how effectively franchisors reinvest these funds into system improvements.
Total Investment Costs
Minimum: $521,900 Maximum: $948,900
Ongoing Fees
Ongoing franchise fees, typically structured as royalties ranging from 4-8% of gross sales, represent the continuous payments franchisees make to maintain brand affiliation and support services.
These recurring fees fund the franchisor's operational assistance, marketing initiatives, technology updates, and continued brand development—creating a partnership where the franchisor's revenue grows alongside the franchisee's success. In addition to royalties, franchisees often contribute to national advertising funds (usually 1-3% of sales) and may incur technology fees, supply chain markups, or renewal fees depending on the franchise agreement.
Investors should carefully analyze these ongoing costs within their financial projections, as they directly impact profit margins and cash flow throughout the entire franchise relationship.
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