Blog about entrepreneurship in South Africa | Jeff

» Profitable, low investment franchises to start a business

Written by Jeff | Oct 26, 2020 4:36:46 PM

When deciding whether to invest in a business or not, there are two main factors we must evaluate. Firstly we need to ensure the investment is feasible and secondly, we must be sure that smaller investments will be profitable. One of the best ways to meet these two criteria is to buy a franchise. Besides being a good way to start a business, especially for those who have little experience, investing in a franchise is much cheaper than starting a business from scratch.

Here we tell you about a few profitable low investment franchises:

Profitable low investment franchises 

1. Beauty Jeff Lite Hair Salon Franchises

The Jeff Lite hairdressing franchise is a franchise model which has been adapted to the current situation (Covid-19) and is very similar to the Smart Beauty franchise. However it requires a smaller investment and operates more simply. 

The Jeff Lite model only offers the most popular services on the market, with standardized processes focused on user experience.

Investing in this model at this time could potentially be very successful due to the measures the beauty sector has had to adapt to:

  • Limit of customers per stylist
  • Attending the salon with an pre-booked appointment 
  • Limited capacity
  • Personnel having to wear protective equipment 

Benefits of investing in Beauty Jeff Lite:

  • Fewer fixed costs 
  • More accessible breakeven point 
  • Higher average ticket 
  • Possibility to grow and become a Smart Beauty Salon
  • 1 to 3 employees 
  • Perfect for shopping centers or more alternative areas 
  • ROI: approximately in month 23 
  • IRR end of year 3: 32% 
  • Average profit: 2,000$

Beauty Jeff Lite stores are adapted to the needs of the current global situation.

In addition to the Beauty Jeff Lite franchise, you may also be interested in these other sectors which also require a small investment:

2. Profitable low investment franchise: Mr Jeff laundry

Mr Jeff is a consolidated laundry franchise which has revolutionized the sector thanks to its innovative business model.

It offers laundry and ironing services with home delivery through its app and website. It also offers monthly subscriptions. 

Mr Jeff has over 2000 franchises sold around the world and continues to expand.

 

3. Despierta Franchise 

This Spanish franchise stands out in the health sector.  Despierta, founded in 1998, already has more than 24 franchises abroad. This profitable, low-investment franchise is focused on developing childrens’ talent and skills in a rapidly growing sector. The broad portfolio of services is one of its strengths. The total investment amounts to 43,200 USD, rendering Despierta a profitable and accessible investment.

4. E-Mobike Franchise

This franchise combines ecology and innovation. It is an electric bike rental service focused on the tourism sector. This Spanish franchise has 39 centers open abroad and the initial investment is on the lower end of the spectrum. 

5. Profitable low investment franchise: Fit Jeff Center

Fit Jeff Centers are a profitable, low investment option. The initial investment is smaller as Centers only offer Pilates, yoga, HIIT and functional training classes, so no expensive equipment is required. 

This is a profitable business as people usually buy memberships every 6 or 12 months, which ensures high profit all year round.

The Fit Jeff boutique gym franchise has been one of the company's most important launches this year.

The cost of investing in a Jeff gym franchise may vary depending on your country. We recommend contacting an advisor to receive more information.

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