Motivera Search Group Franchise
Audited FinancialsRisk Score
Pending analysis
Investment Range
$48,100 - $66,750
Franchise Fee
$18,750
Min Cash Required
$10,000
Total US Locations
3
Business Summary
Motivera Search Group operates a temporary and permanent placement staffing business. Motivera Search Group offers two main services: contract staffing and permanent placement. These services are provided within one of six specific candidate categories, which Motivera Search Group calls Placement Verticals. These verticals include Administrative & Human Resources Support, Engineering, Information Technology, Finance & Accounting, Legal, and Marketing & Creative Services.
Corporate History
Motivera Franchising Group, Inc. was established in Massachusetts on January 2, 2023, and began offering franchises for Motivera Search Group businesses in February 2023. The company is owned by its principal officer. Motivera Search Group has never operated a business similar to the franchised business, but its affiliate, AVID Technical Resources, Inc., has operated an information technology employee recruiting and placement firm since 2003.
Financial Overview
Investment Range
$48,100 - $66,750
Franchise Fee (Low)
$18,750
Franchise Fee (High)
$25,000
Minimum Cash Required
$10,000
Royalty %
4%
Equipment Costs (Low)
$2,500
Equipment Costs (High)
$3,500
Working Capital
$15,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
Motivera Franchising Group, Inc. has a short operating history, having been in business for less than a year. The company incurred a net loss of $25,188 and had an accumulated deficit of the same amount by December 31, 2023. These financial factors raise substantial doubt about Motivera Franchising Group, Inc.'s ability to continue operating. Management believes it can access additional funds from its affiliate, AVID Technical Resources, Inc., and expects to generate enough cash from operations and future franchise sales to cover its needs, though this is not guaranteed.
Financing Details
Motivera Franchising Group, Inc. does not directly offer financing or guarantee any loans for its franchisees. However, Motivera Search Group requires franchisees to use Madison Resource Funding, LLC for payroll funding and related services. Madison Resource Funding, LLC provides interim funding for franchisee payroll and other obligations from temporary placements. Madison Resource Funding, LLC's fees range from 4.75% to 2.00% of weekly Gross Billings, subject to annual increases based on the Prime Rate. The funding agreement has a three-year term with automatic renewals. Franchisees must sign a security agreement covering their accounts receivable and other assets, and all owners must personally guarantee the funding obligations. Motivera Franchising Group, Inc. receives a rebate based on franchisee payments to Madison Resource Funding, LLC.
Performance Metrics
Total US Locations
3
Franchised Units
2
Corporate Units
1
Franchising Since
2023
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
Motivera Franchising Group, Inc. has no litigation history to report. No litigation is required to be disclosed in Item 3 of the Franchise Disclosure Document.
Bankruptcy History
Motivera Franchising Group, Inc. has no bankruptcy history to report. No bankruptcy is required to be disclosed in Item 4 of the Franchise Disclosure Document.
Agreement Terms
Initial Term
6 years
Renewal Term
6 years
Renewal Conditions
To renew their Motivera Search Group franchise, franchisees must provide timely notice (between 6 and 12 months before expiration), be in good standing without having received three or more default notices during the previous term, and not be in default of their agreement. They must also sign a new franchise agreement, which may include significantly different terms regarding their territory and royalty fees, sign a general release, and complete any required refresher training. Motivera Franchising Group, Inc. does not charge a renewal fee.
Training & Support Program
Franchisor Assistance
Motivera Franchising Group, Inc. provides comprehensive support to its franchisees both before and after opening. Before opening, Motivera Search Group grants the license to its trademarks, designates a territory within a chosen Placement Vertical, and lends franchisees a confidential Operations Manual. Initial virtual training is provided, and franchisees gain access to required third-party vendors for website development, hosting, and IT support. After opening, Motivera Search Group continues to offer ongoing access to the updated Operations Manual and provides individual or group guidance through visits, phone calls, or electronic communications. This support covers areas like maximizing sales, marketing, employee hiring and training, client and candidate services, and vendor relations. Franchisees can participate in system-wide programs and receive advertising materials. Motivera Search Group also tests new products and services, provides ongoing access to IT support and website vendors, and facilitates access to a required third-party vendor for payroll funding.
Initial Training Hours
37
Training Location
Online/virtual
Ongoing Support
After opening, Motivera Search Group franchisees receive continuous access to updates for the confidential Operations Manual. Motivera Search Group offers ongoing individual or group guidance through personal visits, telephone, electronic transmissions, newsletters, and reports, covering topics such as sales, profits, marketing, employee training, client/candidate services, and vendor relations. Franchisees can participate in system-wide programs and receive advertising materials. Motivera Search Group also tests and makes available new products, services, equipment, or technologies, and provides ongoing access to its required third-party vendors for IT support, website development, and hosting, as well as a payroll funding vendor. Motivera Search Group strives to establish and maintain high standards of client and candidate satisfaction and professionalism within the system and protects its trademarks. An annual conference may be held periodically, which franchisees are required to attend, incurring a registration fee and travel expenses.
Franchise Requirements
Ideal Candidate Profile
Motivera Search Group seeks franchisees who are individuals or business entities where the operating principal holds at least a 10% ownership interest. The franchisee's operating principal must personally supervise the day-to-day operations of the business and devote full-time efforts after successfully completing the initial training program. All owners of the franchisee entity must personally guarantee the obligations of the franchise agreement.
Industry Experience Required
No
Management Experience Required
No
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Hybrid
Owner Participation
full-time
Territory Type
Non-Exclusive
Territory Size Requirements
Motivera Search Group territories are defined by specific county, zip code, and/or other boundary limitations, which are detailed to the franchisee before signing the agreement. The size of the territory is determined by population density. The physical office location must be within the approved Designated Territory.
Staffing Notes
Motivera Franchising Group, Inc. emphasizes that franchisees are solely responsible for all employment-related decisions and aspects of labor relations for their staff. This includes determining wages, benefits, hours, scheduling, assigning duties, supervising performance, establishing work rules, and handling hiring, firing, and discipline. Motivera Franchising Group, Inc. does not exercise control over these essential terms and conditions of employment. Franchisees must also inform their employees in writing, using an approved form, that Motivera Franchising Group, Inc. is not a "joint employer." While Motivera Franchising Group, Inc. may offer optional guidance on employment policies, these do not constitute mandatory System Standards.