Ready To Invest In Your Future With Uptown Cheapskate?
A Unique Investment Opportunity
At Uptown, we have developed a business model that supports some of the best earnings and growth potential in franchising. When you then layer on top strong industry tailwinds and recession resilient fundamentals, there has never been a better time to become an Uptown Cheapskate franchise owner.
Well-Defined Start Up Costs
Having helped over 130 Uptown stores get started, we have a firm grasp on what it takes to get a new store off the ground and build momentum out of the gate. Our investment guidance is designed to be comprehensive and account for everything you will need to open your store.
Upfront Costs
- Initial Investment: $346K - $575K (Midpoint: $461K)
- Franchise Fee: $25K
Certain Ongoing Costs
- Royalty Fee: 5.0%
- Marketing Fund: 0.5%
Key Financial Requirements
- Minimum Liquid Capital: >$100K
- Minimum Net Worth: >$200K
Strong Return On Investment
Average Gross Sales
Average Net Income
Top Quartile Gross Sales
Top Quartile Net Income
Uptown stores bring considerable value to their communities, and also support a strong return profile for our franchisees. What’s more, with available territories in nearly every market, there is no better time than now to amplify your results with multi-store development.
Turnkey Support At Every Step
Booming Industry Backdrop
Uptown Cheapskate sits at the center of the thriving $43BN clothing resale industry. Over the past decade, the secondhand apparel market in the U.S. has exploded in popularity, maintaining an over 10% average annual growth rate with no signs of slowing down. In fact, resale’s strong alignment with both younger customers (Gen Z) and sustainability is expected to fuel robust growth for years to come.
Adding another layer of security, the appeal of resale is only amplified during periods of economic turmoil. With an “all-weather” financial profile, our stores typically thrive when others fail.
Resale Industry Stats
- U.S. secondhand apparel market is forecasted to reach $73BN by 2028
- Resale is expected to >6x faster than the broader retail clothing sector over the next 5-years
- Resale transcends generations, although its appeal is particularly pronounced for younger customers
- With a core focus on everyday value, resale is typically highly recession resilient
Frequently Asked Questions
How much does it typically cost to open an Uptown Cheapskate store?
Based on results from Uptown Cheapskate store openings over the past several years, we expect a total investment for new franchisees of $345,959 – $575,334 (midpoint of $460,647). Store startup costs will ultimately be influenced by a number of factors, including the size of the store (square footage) and its buildout requirements.
How much can I expect to earn as an Uptown franchisee?
As stated in our current Franchise Disclosure Document (FDD), our average store generated >$1.2MM of sales and >$170K of net income. Those metrics increased to >$1.8MM of sales and >$290K of net income for our top quartile stores. Ultimately, the most important ingredients for success are hard work and dedication, but the performance of our Uptown franchisees illustrates the power of our business model.
How quickly do stores typically achieve profitability?
While every store has a different ramp period, we typically see Uptown stores turn profitable within the first 12-18 months. With that said, we condition our new franchisees to expect that they will not take a material amount of income out of their business in the first year of operations.
How do franchisees typically fund their investment?
While every situation is unique, franchisees typically use Small Business Administration (SBA) loans or other debt financing to fund 80% or more of their total investment. Our in-house finance team will assist you in developing a business plan, guide you through applying for SBA loans or alternative financing options, and leverage our banking relationships to support your new venture.
What are the personal financial requirements to open an Uptown store?
We require that franchise candidates have a minimum of $100K of cash available to invest, as well as at least $200K of net worth. These parameters are designed to ensure that you have the foundation you need to start, build, and grow a strong enterprise.
Is there an opportunity to open multiple stores?
Yes! There are several dozen multi-unit franchisees across the Uptown system. With territories still available across nearly every market, the opportunity remains to scale your enterprise and open multiple stores over time.
How big is the secondhand apparel industry?
*Store financial metrics, including sales, profitability, and development costs, are per the 2024 Uptown Cheapskate Franchise Disclosure Document (FDD)
Let’s Get Started!
Ready to open up a world of new opportunities? Take the first step to launch your business with Uptown by getting in touch with our franchise team today.