7-Eleven

Start a 7-Eleven Franchise | Costs, and Requirements

Read on to explore everything you need to know if you’re interested in opening a 7-Eleven franchise.

7-Eleven’s History

7-Eleven is a franchise of convenience stores in the U.S. and abroad. Founded in 1927 in Dallas, Texas, the store in its modern form has become known for its Slurpees and Big Gulp deals. 

7-Eleven  prides itself on being a place to pick up something you forgot at the grocery store, grab a snack, and fuel up your vehicle. 

Whether it's a hot or cold beverage, a lotto ticket, or a toothbrush, 7-Eleven has built its brand based on convenience and what community members may need.

There are over 7,300 7-Eleven franchises in the United States, and outside the U.S., more than 59,000 locations.

As a result, 7-Eleven is a consistent high-ranker inEntrepreneur’s Franchise 500 and Top Global Franchises lists. These rankings are based on an evaluation of more than 150 data points of costs and fees, size and growth, franchisee support, brand strength, and financial strength and stability. 

Why Should You Open Your Own 7-Eleven Franchise?

If you enjoy serving and getting to know your community, a 7-Eleven franchise might suit your business needs. It also could be a great alternative to owning a full-size grocery and all-in-one shop. 

Additionally, if you open a location, you can benefit from 7-Eleven's commitment to your growth. As a franchisor, 7-Eleven prioritizes training franchise owners and creating a support system. They know that if a franchisee thrives, it will positively impact the rest of the stores.  

As a result, they support franchisees the best they can.

Related: Considering franchise ownership? Get started now and take this quiz to find your personalized list of franchises that match your lifestyle, interests and budget.

What Are the Pros of Being a 7-Eleven Franchise Owner?

As a potential franchisee, you will be looking to open a location for a currently established business. This means that owning a franchise is slightly different from starting a business from the ground up. 

Take a look at the five perks of being a franchise owner with 7-Eleven.

1. Support and Assistance 

Because 7-Eleven has been in business since 1927, they know the ropes. This means they can provide you with the following:

• Training on-the-job, in the classroom, and additional training at local training centers.
• Real estate assistance (including lease negotiation and site selection).
• National and local advertising (co-op advertising, national media, regional advertising, SEO, social media, email marketing, ad templates, website development, and more).
• Built in customer loyalty.
• Internal financing program for short-term financial support.

Most businesses in the franchise industry do not offer internal financial assistance and will refer you to independent loan resources or SBA franchise loans. However, 7-Eleven’s internal financing program can provide up to 65% financing on its initial franchise fee.

This will vary based on franchise and location but these are huge perks that 7-eleven franchise owners can uniquely benefit from. 

2. Brand Name Recognition

Because 7-Eleven can be found almost anywhere in the U.S. and globally, your store has built-in customer loyalty and brand recognition. Customers who know 7-Eleven may already be familiar with the company's unique products, including one of the most popular, the Big Gulp.

One of the most challenging things about starting a small business is bringing in customers, but when you franchise a 7-Eleven, you’ll have a built-in customer base. Instead of building a following from scratch, you can focus on day-to-day operations and provide an excellent customer experience to make your 7-Eleven location stand out.

3. Higher Success Rate

Brand recognition and success rate go hand in hand. When you don’t have to build a business from the ground up, you don’t have to claw your way to the top. 

4. Buying Benefits

As a standalone business owner, ordering products and supplies can be a costly guessing game. However, 7-Eleven comes with data and discounts. An established business comes with the knowledge of the necessary volume and the ability to buy in bulk and, by extension, lower costs.

You also have the power of the parent company behind you to negotiate deals on goods and supplies for the entire franchise system that will benefit you and your fellow franchise owners. 

The best news? 7-Eleven sources more than 1,000 new products each year.

5. Higher Profits

Again, brand recognition is a massive part of your business's success. Because people know and love 7-Eleven, you’re likely to make higher profits compared to opening your own, unknown convenience store. Your franchise will come with a built-in customer base, and popularity equals profits.

In addition, one fee you will not have to worry about with 7-Eleven is the royalty fee. While most franchise systems operate this way, 7-Eleven shares the gross profits with its franchise owners, which is sales receipts less the cost of the merchandise sold.

Are There Cons of Being a 7-Eleven Franchise Owner?

Here’s the thing: you must make a well-informed decision. Entering into franchise ownership is no joke, so this article will show you both sides to help you make the best decision. 

Related: The 10 Commandments of Franchise Ownership

1. Restrictions

While becoming a franchise owner means you’ll be your own boss, you must remember that the storefront is yours, but 7-Eleven is still a corporation. Some decisions will be yours, but others you will not have control over. 

Some of the decisions that might be out of your hands include: 

• Hours and days of operation
• Aesthetic: layout, design, signage, decor
• Products and services
• Marketing and advertising

In addition, keep in mind that the corporation has the last say, so make sure you feel out 7-Eleven’s management style to see if it’s the right fit for you.

2. Initial Cost

To be part of the 7-Eleven team, you should ensure you're financially ready for an initial investment made up of a franchise fee and other startup costs. 

Additionally, you should prepare for ongoing fees, including advertising and potential renewal fees. Franchisees will also need to meet the company's liquid capital requirements and net worth.

Generally, the more well-known the franchise, the higher the franchise fee. This article will get into 7-Eleven’s facts and figures a little later, but know that 7-Eleven is not a low-cost franchise. 

3. Continuous Costs

Regardless of if you decide to own a franchise or go it alone, there will be ongoing operational costs. When you decide to be a franchise owner you can think of it as though you are a renter, and 7-Eleven is your landlord. To use their property, you will have to keep paying for it. 

Ongoing costs of owning a franchise include:

• Payroll
• Advertising costs
• Charge for training services

4. Minimal Financial Privacy

7-Eleven will need to vet your finances and oversee your financial performance as a franchise owner. Before you enter your agreement, ensure you are comfortable sharing that information.

Related: 7 Things You Need to Know Before Becoming a Franchise Owner

7 Steps for Opening a 7-Eleven Franchise

1. Qualifications, Costs, Requirements

The 7-Eleven franchise model has some qualifications, costs, and financial requirements specific to its brand that you must meet to become a franchise owner. 

Qualifications include:

• Citizenship: You must have U.S. citizenship or permanent residency
• Age: You must be 21 or older
• Ownership: Must not own any business that competes with 7-Eleven

Upfront investment costs include:

• Minimum Liquid Assets: $100,000
• Initial Franchise Fee (will vary by store)
• Opening Inventory Down Payment: $20,000
• Business license and permits
• Insurance

2. Apply

Once you’ve read through 7-Eleven’s franchise agreement requirements, it’s time to complete the application process. Ensure you fill out all information accurately, so your application process runs smoothly.

3. Assessments and Meetings

If your application meets their qualifications, one of 7-Eleven’s Franchise Sales Representatives will reach out to you to go over your results and next steps. 

You’ll also attend a series of meetings and trainings. During these meetings, you will:

• Participate in general sessions to learn more about the franchise
• Learn with other prospective 7-Eleven franchise owners
• Receive more insight into goods, services, business structure, and additional important information

4. Choose Your Location

As you decide if opening a 7-Eleven is the right move for you, make sure you take time to explore the opportunity. Research the brand and your local area to see if a 7-Eleven franchise would do well in your community. 

Some communities may not be zoned for this type of store, so be sure to get an idea of what real estate inventory there is in your area.

Consider your location. Are you near a highway exit? What kind of foot traffic will pass by your store? Are you in a rural, suburban, or urban area? Consider the demands of each of these settings. 

Also, think about your competition — other convenience stores. While competition is healthy, too much of it may not allow for the best possible growth of your new store.

7-Eleven has an easy-to-use tool that will show you available locations in your area. Check it out.

5. The Offer

At this point, you’ve met the qualifications and completed your research. Now, it’s time to talk about an offer. 

Read the fine print. Negotiate. Make sure that the agreement works for you. 

6. Training

One of the best parts about being a new franchisee is that there is a roadmap for you to follow. 7-Eleven has been in business for almost 100 years, so they’ve got a successful training program. 

7-Eleven will take you through six to eight weeks of in-store training called “C.O.O.L.” — College of Operations Leadership. This training will prepare you to open your store, complete daily operations, and train future employees. 

7. Open

Once you’ve completed your training, it’s time to open your very own storefront. What should you do? Celebrate with a Slurpee or two in your new 7-Eleven franchise.

How you can start a 7-Eleven franchise

Ready to dive into this new business opportunity? You’ve got the details and background knowledge. You’ve got the pros and cons of the 7-Eleven franchise business. 

If opening your own 7-Eleven sounds like a dream come true, it’s time to make moves and start slurping up success.

Looking for other franchising resources? Explore Entrepreneur’s Franchise Center here.