About Management Recruiters Franchise
Management Recruiters is one of the longest running executive search and recruitment franchise systems in the world, with franchise operations dating back to 1965.
The brand is backed by MRI Network Holdings, LLC and connects businesses with top talent through professional recruiting services spanning multiple industries and job functions.
The franchise fee is $40,000.
Management Recruiters Franchise Cost & Fees
Minimum Investment
$44K
Average Investment
$70K
Maximum Investment
$96K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $40,000 | One-time payment upon signing |
| Royalty Fee | 9% on the first $500,000 of Net Cash-In; 7% on Net Cash-In from $500,001 to $1,000,000; 5% on Net Cash-In from $1,000,001 to $2,000,000; and 3% on Net Cash-In that exceeds $2,000,000 of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | 0.5% of Net Cash-In | National brand fund |
| Total Investment Range | $44,050 – $96,090 | Includes build-out, inventory, working capital |
The investment range of $44K–$96K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (9% on the first $500,000 of Net Cash-In; 7% on Net Cash-In from $500,001 to $1,000,000; 5% on Net Cash-In from $1,000,001 to $2,000,000; and 3% on Net Cash-In that exceeds $2,000,000) and marketing fee (0.5% of Net Cash-In) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $40,000 | $40,000 |
| Real Estate and Improvements | $0 | $2,000 |
| Computer Hardware | $0 | $4,500 |
| Applicant Tracking System | $900 | $2,100 |
| Online Recruiting Software | $1,100 | $6,100 |
| Cabling for Office | $0 | $1,900 |
| Internet | $0 | $300 |
| Office Furniture | $0 | $3,000 |
| Licensing Fees | $0 | $300 |
| Initial Office Supplies | $300 | $500 |
| Business Insurance | $1,750 | $2,000 |
| Professional Services | $0 | $2,500 |
| Miscellaneous | $0 | $500 |
| Salaries: Researcher | $0 | $6,240 |
| Salaries: Account Executive | $0 | $9,000 |
| Salaries: Project Coordinator | $0 | $9,000 |
| Printer (all in one) | $0 | $150 |
| Additional Funds (3 months) | $0 | $6,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $5,000 |
| Renewal Fee | No renewal fee |
| Audit Fee | Cost of Audit (Payable only if the audit reveals underreporting) |
| Additional Optional Training Fees | Varies |
| Interest | Lesser of 1.5% per month or maximum amount allowed by law. |
| Insufficient Funds Fee | $50 per occurrence or an amount equal to what we are charged by the bank, whichever is greater. |
| Late Fee | $50 per week |
| National Vendor Accounts | Varies based on services purchased |
| Annual Owners’ Meeting | Varies |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Six weeks for Business Startup and New Office Training, followed by one hour per week for six months for role play labs, and thirty minutes per week for six months for coaching calls and morning meeting calls. |
| Classroom Training | 80 |
| On-the-Job Training | 0 |
| Training Location | Virtual |
| Additional Training | Access to self-directed modules, online webinars, and classroom training via the MRINetwork Learning Management System (Path®). Optional programs may incur fees. Corporate sponsored workshops, meetings, and events (like the Annual Owners’ Meeting, CPP Programs, and Pacesetter) have registration fees and require participant travel and expenses. One owner’s event is mandatory annually. MRI provides ongoing advice and support, including one-on-one meetings, telephone conference calls, or face-to-face visits (not for home-based offices). Certified Professional Programs are offered for accreditation. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive |
| Exclusive Territory | No |
| Description | Members receive a single site non-exclusive location. There are no minimum territorial rights, and no restrictions on soliciting and conducting business anywhere in the world. MRI can sell additional franchises in the same geographic location. MRI previously granted exclusive territories ('legacy territories') which may still exist, and relocation into these may require a supplemental royalty payment to the existing member. The business is largely conducted via long distance and Internet, limiting impact from nearby members. MRI and its affiliates reserve the right to use any channels of distribution to make sales of products or services in any territory using MRI trademarks not licensed to the franchisee, without compensation. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years |
| Renewal Term | Five to ten years |
| Renewal Fee | No renewal fee |
| Renewal Conditions | Meet requirements for renewal, comply with franchise agreement, pay all fees owed to MRI, enter into the then-current franchise agreement, execute a general release, comply with current training requirements, and upgrade operations to current standards and methods. |
| Transfer Fee | $5,000 |
| Transfer Conditions | Payment of money owed, non-default, payment of a transfer fee, execution of release, transferee qualifications, and execution of new agreement. |
| Termination for Cause | Default of obligations under the franchise agreement, including failure to pay amounts when due, failure to comply with operational obligations, insolvency, bankruptcy, assignment to creditors, failure to attend training, falsifying reports, abandonment, understating net cash-in, unapproved relocation or transfer, misrepresentation, felony/misdemeanor conviction damaging goodwill, adverse judgment in fraud/racketeering, concealing revenues, refusing audit, unauthorized use of Marks/IP, non-compete violations, repeated defaults, insufficient funds, or termination of other agreements with MRI. |
| Non-Compete Period | 24 months |
| Non-Compete Details | During the term of the franchise, the franchisee and principals cannot divert business, customers, or clients to competitors in the staffing placement industry, or participate in any similar business. After termination or expiration, for 24 months and within 50 miles of any MRINetwork franchise location, the franchisee and principals cannot divert business or participate in any competing staffing placement industry business. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | The General Manager, which may be the franchisee or an appointed person, must directly supervise the franchised business on its premises. The General Manager must devote full time and best efforts to the supervision and management of the Franchised Business, meet franchisor's standards, and complete all required training. If the General Manager cannot continue, a replacement must be designated within 30 days and meet the same qualifications. If the franchisee is an entity, any shareholder with 50% or more share (or all shareholders with 10% or more if no single individual holds 50% or greater) must sign a personal guaranty and agree to all obligations of the Franchise Agreement. All owners, members, shareholders, and employees with access to confidential information must keep it confidential. MRI reserves rights regarding competitive activities by spouses. |
| Required Suppliers | MRI Contract Staffing, LLC (for contract staffing services), BCC Media Group (for professional media services, but not the only supplier), Gold Standard Insurance Program agent (currently Kastendike) for business insurance. |
| Supply Restrictions | Franchisees are required to use MRI Contract Staffing, LLC for contract staffing services if they choose to offer them. Business insurance must be purchased through the Gold Standard Insurance Program's approved agent. For other required suppliers, MRI maintains a list and reserves the right to change suppliers. If no required supplier is identified for a specific service or product, franchisees may use any supplier. MRI may approve alternative suppliers if they meet specifications. |
| Franchisor Revenue from Suppliers | $0 (0% of total revenue from required purchases) in 2021. MRI Contract Staffing, LLC derived $68,882,033 in net revenue from sales to MRI members in 2021. BCC Media Group derived $283,274 in net revenue from sales to MRI members. MRI does not derive revenue from the purchase of business insurance through the Gold Standard Insurance Program. MRI may charge more for third-party services with negotiated discounts to cover management costs. |
Management Recruiters Franchise Earnings — Item 19
Management Recruiters does not make an Item 19 financial performance representation in their FDD. This means they do not disclose revenue, profit, or earnings data for franchised locations. Before investing, ask the franchisor directly for franchisee contact information so you can speak with existing owners about their actual financial performance.
Management Recruiters does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Management Recruiters Litigation & Risk Flags
Clean Litigation RecordManagement Recruiters has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Management Recruiters System Growth
Total Units
248
Franchised
248
Company-Owned
0
Management Recruiters currently operates 248 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2019 | 11 | 36 | 297 |
| 2020 | 4 | 36 | 265 |
| 2021 | 3 | 20 | 248 |
Transfers: 2 | Closures: 20
State Registrations
Registered in 14 states: CA, HI, IL, IN, MD, MI, MN, NY, ND, RI, SD, VA, WA, WI
Franchisor Financials (Item 21)
Revenue
$75.4M
Net Income
$1.9M
Total Assets
$14.9M
Audited by Daszkal Bolton, LLP for year ending December 31.
Management Recruiters Franchise — FAQ
The total investment to open a Management Recruiters franchise ranges from $44,050 to $96,090, per their Franchise Disclosure Document. This includes the initial franchise fee of $40,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Management Recruiters charges a royalty fee of 9% on the first $500,000 of Net Cash-In; 7% on Net Cash-In from $500,001 to $1,000,000; 5% on Net Cash-In from $1,000,001 to $2,000,000; and 3% on Net Cash-In that exceeds $2,000,000 of gross sales, plus a 0.5% of Net Cash-In contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Management Recruiters Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Management Recruiters to ensure you have the most up-to-date version.
Management Recruiters does not provide an Item 19 financial performance representation in their FDD, which means they do not disclose franchisee revenue or earnings data. Prospective investors should contact existing franchisees directly (listed in Item 20 of the FDD) to gather real-world financial performance information.
Management Recruiters has been franchising since 1965. The FDD shows an investment range of $44,050-$96,090, a 9% on the first $500,000 of Net Cash-In; 7% on Net Cash-In from $500,001 to $1,000,000; 5% on Net Cash-In from $1,000,001 to $2,000,000; and 3% on Net Cash-In that exceeds $2,000,000 royalty, and includes an Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $40,000 and the total investment ranges from $44,050 to $96,090 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Management Recruiters and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Management Recruiters or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com