- The demise of the South African Post Office led to a slew of businesses picking up the slack.
- Many of these are franchises available to purchase for under R1 million.
- Here are five courier and print shop franchises – like PostNet, 3@1, and The Courier Guy, you can buy and run.
- For more stories, go to www.BusinessInsider.co.za.
The demise of the South African Post Office, despite an ongoing need for services like posting, couriering, document verification, and printing, led to a slew of businesses opening up to offer a privatised equivalent.
Operations like PostNet and 3@1 started as unlikely competition to the state-owned operation, but are now the go-to places if you need to print, courier, or certify items.
Despite a constant shift towards digital, there are still businesses that cater to those needing documents that must go somewhere other than an inbox, and many of them are franchises available to purchase.
They’re also not particularly expensive franchises, as far as other turnkey businesses go in South Africa. Many sell for under R1 million, and unlike those in the quick service food industry, you’ll usually get to keep something approaching office hours.
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Here’s what you’ll pay for turnkey courier and printing franchises in South Africa.
PostNet opened its first store in 1994, and there are over 450 owner-managed shops throughout the country. The network is South Africa’s largest privately-owned courier operation and claims to serve close to 2 million customers monthly. The rapid expansion of the franchise means there aren’t as many locations available to buy as before – but they’re still entertaining franchise enquiries from interested individuals.
How much it costs to buy a PostNet franchise: A new PostNet franchise costs approximately R860,000 depending on store size and location. PostNet also charges a joining fee of R95,000 and an ongoing marketing and management fee of 9%.
The Courier Guy
The Courier Guy is a leading local courier business with over two decades of experience. The company operates through a franchise model that includes kiosks, depots, and lockers – and at last count, they had 2,200 drivers making over 12 million deliveries in a year.
How much it costs to open a The Courier Guy franchise: A turnkey Courier Guy kiosk costs approximately R850,000, and a kiosk vehicle with signage R260,000. They also charge an upfront franchise fee of R75,000.
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Jetline is a predominantly business-to-business operation specialising in printing, including banners, signs, promotional material, and vehicle wraps. They’ve expanded the business through a franchise model that has seen stores open up around South Africa – but they’re still open to applications from new franchisees interested in starting their own turnkey print business.
How much it costs to buy a Jetline franchise: A Jetline franchise costs approximately R875,000 to open, depending on size and location.
InXpress is a global courier and parcel delivery service. They work directly with businesses of various sizes to take care of shipping and other related logistics. They operate on a franchise model and have options to purchase in South Africa.
How much it costs to buy an InXpress franchise: InXpress charges an upfront fee of R287,500. According to the Franchise Association of South Africa, they charge a management fee of 30%.
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3@1 Business Centre
3@1 Business Center is a one-stop courier and print shop. They’re one of the fastest-rising competitors to PostNet and currently have close to 100 stores in five countries. They’ve expanded primarily through a franchising model that offers a turnkey business offering a range of related services.
How much it costs to open a 3@1 Business Centre: It costs upwards of R595,000 to set up a new 3@1 store, excluding landlord deposit and working capital. 3@1 also charges an initial royalty of R2750 or 3% of turnover, whichever is greater, and a flat monthly advertising fee of R466.