Risk Score
Pending analysis
Investment Range
$99,750 - $230,700
Min Cash Required
$63,000
Total US Locations
75
Business Summary
PrideStaff operates a business that provides temporary, temporary-to-hire, and direct hire staffing services. PrideStaff places administration, general office, light industrial, accounting, and other types of personnel with client businesses. The business model involves PrideStaff, Inc. serving as the employer of record for temporary associates and handling billing and collections from clients, while franchisees manage the client relationships and daily operations of their staffing office.
Corporate History
PrideStaff, Inc. was founded in 1978 by George A. Rogers and incorporated in California in 1985. The company started offering PRIDESTAFF® franchises in September 1995. In addition to franchising, PrideStaff, Inc. also operates specialty staffing service businesses in Fresno, California, under the names "RX relief" and "Insurance Relief."
Financial Overview
Investment Range
$99,750 - $230,700
Franchise Fee (High)
$40,000
Minimum Cash Required
$63,000
Royalty %
7.86%
Equipment Costs (Low)
$26,200
Equipment Costs (High)
$64,800
Working Capital
$81,000
Audited Financials
Yes
Offers Financing
No
Audit Opinion
Unqualified opinion
Financial Health Notes
PrideStaff, Inc. shows an increase in net income from 2023 to 2024, although the 2024 net income is lower than 2023's originally reported income due to a prior period adjustment. The company utilizes a revolving line of credit for working capital, and its balance on this line increased from $1,019,368 in 2023 to $5,342,828 in 2024. PrideStaff also notes a concentration of credit risk, with one customer accounting for 22% of gross accounts receivable and 10% of total revenues in 2024.
Financing Details
PrideStaff does not offer any direct or indirect financing to its franchisees. This means PrideStaff will not provide loans, guarantee leases, or assume any financial obligations on behalf of its franchisees.
Performance Metrics
Total US Locations
75
Franchised Units
70
Corporate Units
5
Franchising Since
1995
Legal & Compliance Analysis
Recent Litigation
No
Bankruptcy
No
Litigation Summary
PrideStaff has no litigation to report in Item 3 of this FDD document.
Bankruptcy History
PrideStaff has no bankruptcy history to report in Item 4 of this FDD document.
Agreement Terms
Initial Term
5 years
Renewal Conditions
To renew their franchise agreement, PrideStaff franchisees must meet several conditions. Franchisees and their associated parties must be in good standing, sign the new franchise agreement at least 180 days before the current agreement expires (or 30 days after receiving it), and upgrade their office's fixtures, equipment, and signs to meet current brand standards. If the franchisee failed to meet Minimum Performance Standards during the term, they must hire a full-time Business Development Manager before renewal. Additionally, franchisees and all associated parties must sign a special release of claims and ensure that all Required Trainees complete any specified retraining programs at the franchisee's expense for travel and living. The new renewal agreement may have materially different terms, including potential changes to fees, territory, and performance standards.
Training & Support Program
Franchisor Assistance
PrideStaff provides extensive assistance to its franchisees, starting before the office opens. This includes site selection guidelines, prototype plans for construction and furnishings, and an initial training program. PrideStaff also sends representatives to assist with the office opening and provides confidential manuals, initial marketing materials, and a list of approved suppliers. After opening, PrideStaff offers ongoing field support through consultations and visits. PrideStaff serves as the employer of record for temporary associates, managing their payroll, taxes, and collections from clients. The franchisor offers technical support for the computer system, provides periodic post-opening training programs, and offers opportunities to participate in a Managed Services Program.
Initial Training Hours
207
Training Location
The training takes place through a combination of self-directed online learning at home, virtual instructor-led sessions, in-person training at PrideStaff's headquarters (Fresno, CA), and field training at a designated Certified Training Office.
Ongoing Support
PrideStaff provides ongoing support to its franchisees including regular in-person, phone, video, or email consultations on all business aspects. PrideStaff conducts five office visits in the first year, with additional visits as needed. Franchisees are required to attend annual conferences and periodic regional meetings. PrideStaff also serves as the employer of record for temporary associates, managing their payroll, taxes, and collections from clients. The franchisor offers technical support for the computer system, provides periodic post-opening training programs, and offers opportunities to participate in a Managed Services Program.
Franchise Requirements
Industry Experience Required
No
Management Experience Required
Yes
Sales Experience Required
No
Technical Skills Required
No
Operational Details
Location Type
Commercial
Owner Participation
Full-Time
Territory Type
Exclusive
Staff Count
3
Territory Size Requirements
PrideStaff territories are defined by the number of employees within a geographic area. Each territory must have a minimum of 50,000 employees and will not exceed 200,000 employees. Major metropolitan markets are divided into multiple territories, and mapping software is used to determine employee counts.
Staffing Notes
PrideStaff franchisees are solely responsible for all labor and employment decisions for their office staff, including hiring, firing, and compensation. Franchisees must employ a sufficient number of properly trained and qualified staff according to PrideStaff's standards, ensuring all employees pass a comprehensive criminal background check. Staff must maintain good client relations and comply with the franchise agreement and manuals. Franchisees must train their own employees and ensure they understand they are employees of the franchisee, not PrideStaff, Inc. Franchisees' employment paperwork must refer to their own entity as the employer and they cannot use client and candidate record management software with their own employees.