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Fact sheet

Staffing Franchise Statistics: Share, Size, SBA Loans and Fee Models

How franchised U.S. temp and placement agencies are, how franchise offices compare, and how staffing franchisors charge fees and fund payroll, from Census, SBA, BLS and 7 current FDDs.
Updated Next update: after the SBA FY2026 Q4 FOIA file (late October 2026) and the 2024 Annual Business Survey (2026-12-03)By the Editorial TeamData: CC BY 4.0
Documentary photograph of an office reception desk with a blank job board on the wall and empty waiting chairs, soft daylight, no people, no logos, no readable
Short answer

Staffing franchise offices are a small slice of U.S. staffing. In the 2017 Economic Census, the latest U.S. count, franchises were 6.3% of temporary help establishments and 3.4% of placement agencies, and a franchise temp office averaged 0.40 times the receipts of a non-franchise one. In 5 of 6 current temp-staffing FDDs, the franchisor funds payroll.

This fact sheet reports published data. It is not financial advice; requirements are as each brand published them on the date shown.

The numbers

016.3%Franchises were 6.3% of U.S. temporary help services establishments (2,345 of 37,391) in 2017.Census EC1700FRAN
023.4%Franchises were 3.4% of U.S. employment placement agencies (207 of 6,036) in 2017.Census EC1700FRAN
032.6%Franchise temp help offices took 2.6% of U.S. temporary help services receipts in 2017.Census EC1700FRAN
0479Temporary help ranked 79 of 241 large U.S. industries by franchise share in 2017, above the median share of 3.3% but below the 11.5% share across all tabulated industries.Census EC1700FRAN; calculation
059.1%The franchise share of U.S. temp help establishments fell from 9.1% in 2007 to 6.7% in 2012 and 6.3% in 2017.Census EC0700CFRA1, EC1200CFRA1, EC1700FRAN
0683.2%Franchisee-owned offices were 83.2% of U.S. franchise temp help establishments in 2017, down from 93.8% in 2007.Census EC1700FRAN, EC0700CFRA1
0756.0A U.S. franchise temp help establishment averaged 56.0 paid employees in March 2017, against 94.5 at non-franchise establishments.Census EC1700FRAN; calculation
082023In 2023 (2024 ABS), 4.5% of responding U.S. employment services employer firms operated as a franchise (standard error 1.0 points), against 4.7% of all employer firms.Census ABS, data year 2023
098.9%8.9% of 3,047 SBA 7(a) loans to U.S. temp help and placement businesses from FY2010 to June 30, 2026 carried a franchise code, against 10.1% of all 7(a) loans.SBA 7(a) FOIA, as of 2026-06-30
1056.1%56.1% of franchise-coded 7(a) staffing loans (FY2010 to June 2026) funded a startup, against 8.8% of other staffing loans.SBA 7(a) FOIA, as of 2026-06-30
1133 of 6 current U.S. temporary-staffing FDDs (issued 2025 to 2026) set the main continuing fee as a share of gross margin or gross profit, and 3 as a percentage of sales.Staffing FDDs, Item 6
125In 5 of 6 current temporary-staffing FDDs the franchisor or its affiliate funds temporary payroll as the standard structure; in 3 the franchisor is also the employer of record.Staffing FDDs, Items 6, 10, 11
137The median Item 7 range across 6 current temp-staffing FDDs is $142,465 to $228,800 (issued 2025 to 2026).Staffing FDDs, Item 7
142,486.8U.S. temporary help services employment was 2,486.8 thousand in September 2026 (preliminary), 21.3% below the March 2022 level of 3,161.4 thousand.BLS CES

Staffing franchise statistics at a glance

Eleven figures that answer most questions about staffing franchises in the United States. Each links to its source; the fact sheet download holds every input.

  1. 6.3% of U.S. temporary help establishments were franchises in 2017 (2,345 of 37,391). Census EC1700FRAN
  2. 3.4% of U.S. employment placement agencies were franchises in 2017. Census EC1700FRAN
  3. 2.6% of U.S. temp help receipts went to franchise establishments in 2017. Census EC1700FRAN
  4. 83.2% of franchise temp help establishments were franchisee-owned in 2017, down from 93.8% in 2007. Census EC1700FRAN
  5. 0.40x receipts of a franchise temp office relative to a non-franchise office, 2017 ($2,009,543 against $5,005,023). Census EC1700FRAN
  6. 4.5% of U.S. employment services employer firms operated as a franchise in 2023 (2024 ABS). Census Annual Business Survey, data year 2023
  7. 3,047 SBA 7(a) loans to temp help and placement businesses, FY2010 to June 2026, 8.9% franchise-coded. SBA 7(a) and 504 FOIA files, as of 2026-06-30
  8. $150,000 median franchise-coded 7(a) staffing loan, the same as the median for other staffing loans (FY2010 to June 2026). SBA 7(a) and 504 FOIA files, as of 2026-06-30
  9. 3 of 6 current temp-staffing FDDs charge their main fee on gross margin or gross profit (issued 2025 to 2026). PrideStaff FDD (2026-04-15)
  10. 5 of 6 current temp-staffing FDDs have the franchisor fund temporary payroll as the standard structure. Spherion FDD (2026-05-14)
  11. 2,486.8K U.S. temporary help jobs in September 2026 (preliminary), 21.3% below March 2022. BLS CES series CES6056132001

How many staffing agencies are franchises?

Summary: franchises are a small minority of staffing offices, and their share fell between 2007 and 2017 in both temp help and placement.

The Economic Census asks every employer establishment whether it operates under a franchise. In 2017 franchises were 6.3% of the 37,391 temporary help services establishments (NAICS 561320) and 3.4% of the 6,036 employment placement agencies (NAICS 561311) in the United States (Census EC1700FRAN). Temporary help services supply workers to clients for limited periods; placement agencies recruit and refer applicants who are not their employees (Census 2022 NAICS definitions).

The temp help share fell from 9.1% in 2007 (Census EC0700CFRA1) to 6.7% in 2012 (Census EC1200CFRA1) and 6.3% in 2017. Franchise temp establishments dropped 19.2% over the decade while all temp establishments grew 17.1%. Placement agencies lost franchise units faster (-57.0%).

By establishment count, temp help ranked 79 of 241 large industries and sat above the median franchise share of 3.3%. By receipts it is lightly franchised: franchise offices took 2.6% of temp help receipts and 2.1% of placement receipts in 2017.

Figure 1Franchise share of U.S. staffing establishments, 2007, 2012 and 2017
Temporary help services (561320)Employment placement agencies (561311)0.0%2.5%5.0%7.5%10.0%6.3%3.4%200720122017
Source: U.S. Census Bureau, Economic Census franchise status (EC0700CFRA1, EC1200CFRA1, EC1700FRAN); 2017 is the latest U.S. tabulation. Download data (CSV)
Table 1Franchise status of U.S. employment services establishments, 2007, 2012 and 2017
YearIndustry (NAICS)All establishmentsFranchise establishmentsFranchisee-ownedFranchisor-ownedFranchise share of establishments (%)Franchisee-owned share of franchise (%)Franchise share of receipts (%)
2007Temporary help services (561320)31,9322,9022,7211819.193.85.4
2007Employment placement agencies (561311)8,798481459225.595.47.1
2012Temporary help services (561320)31,3852,1131,9241896.791.13.2
2012Employment placement agencies (561311)6,058289228614.878.93.2
2017Temporary help services (561320)37,3912,3451,9513946.383.22.6
2017Employment placement agencies (561311)6,036207197103.495.22.1
2017Executive search services (561312)6,046442418247.394.6None
2017Professional employer organizations (561330)3,7695444101.481.5None
Source: U.S. Census Bureau, Economic Census franchise status (EC0700CFRA1, EC1200CFRA1, EC1700FRAN); 2017 is the latest U.S. tabulation. Receipts share shown for the two focus industries only. Download CSV

Who owns franchise staffing offices

Summary: most franchise temp offices are owned by franchisees, but franchisor-owned offices more than doubled from 2007 to 2017.

In 2017, 1,951 of 2,345 franchise temp help establishments (83.2%) were franchisee-owned and 394 were owned by a franchisor (Census EC1700FRAN). In 2007 the split was 2,721 and 181 (Census EC0700CFRA1), so franchisor ownership grew 2.2 times. Placement agencies stayed franchisee-run: 95.2% in 2017.

Current Item 20 tables can shift for classification reasons as well as sales. The Labor Finders FDD shows 184 franchised outlets at the start of 2023 and 84 at year end, and company-owned outlets rising from 0 to 99; its note explains that an affiliate bought several locations from a franchisee and that affiliate-owned locations were reclassified as company-owned (Labor Finders FDD (2026-03-26)). At 2025 year end it listed 80 franchised and 86 company-owned outlets.

Figure 2Who owns franchise temporary help offices: franchisee vs franchisor, U.S., 2007 to 2017
Franchisee-ownedFranchisor-owned07501,5002,2503,0002,72120071,92420121,9513942017
Source: U.S. Census Bureau, Economic Census franchise status (EC0700CFRA1, EC1200CFRA1, EC1700FRAN); 2017 is the latest U.S. tabulation. Download data (CSV)

Franchise vs independent staffing offices: size

Summary: the data contradict the idea that franchise staffing offices are larger. In 2007, 2012 and 2017 the average franchise temp office was smaller than the average non-franchise office, by receipts and by headcount.

In 2017 a franchise temp help establishment averaged $2,009,543 in receipts against $5,005,023 for a non-franchise establishment, a ratio of 0.40 (Census EC1700FRAN; calculation). The ratio was 0.57 in 2007 and 0.46 in 2012. Franchise temp establishments averaged 56.0 paid employees in March 2017 against 94.5; for temp help this count includes the placed workers.

Placement agencies were the one exception: in 2007 a franchise placement agency averaged $1,745,963 against $1,316,091 (ratio 1.33), but by 2017 the ratio was 0.60.

The comparison group matters. Census non-franchise establishments are not only independents: they include every branch of non-franchised national staffing companies, plus establishments that did not answer the franchise question. Within franchising, franchisee-owned temp offices averaged $2,027,806 and franchisor-owned offices $1,919,109 in 2017. For a wider comparison across industries see franchise vs independent business.

Figure 3Average receipts per establishment, franchise vs non-franchise staffing offices, U.S., 2017
FranchiseNon-franchiseTemporary help services$2,009,543 vs $5,005,023Employment placement agencies$1,237,097 vs $2,073,946
Source: U.S. Census Bureau, Economic Census franchise status (EC0700CFRA1, EC1200CFRA1, EC1700FRAN); 2017 is the latest U.S. tabulation; calculation. Non-franchise includes branches of large non-franchised staffing companies. Download data (CSV)
Table 2Size of franchise vs non-franchise staffing establishments, United States, 2007 to 2017
YearIndustryReceipts per franchise establishment ($)Receipts per non-franchise establishment ($)Ratio, franchise to non-franchisePaid employees per franchise establishmentPaid employees per non-franchise establishment
2007Temporary help services1,951,2123,445,6950.5772.397.6
2007Employment placement agencies1,745,9631,316,0911.3340.626.7
2012Temporary help services1,830,4813,970,3800.4657.694.7
2012Employment placement agencies1,174,4011,765,7420.6730.227.4
2017Temporary help services2,009,5435,005,0230.45694.5
2017Employment placement agencies1,237,0972,073,9460.628.430.9
Source: U.S. Census Bureau, Economic Census franchise status (EC0700CFRA1, EC1200CFRA1, EC1700FRAN); 2017 is the latest U.S. tabulation; Franchise Consultants and Brokers calculation. Non-franchise includes branches of large non-franchised staffing companies. Paid employees include placed temporary workers. Download CSV

Franchise share of staffing firms, 2020 to 2023

Summary: counted as firms rather than offices, employment services look about as franchised as the economy as a whole.

The Annual Business Survey asks employer firms whether all or part of the business operates as a franchise. In data year 2023 (2024 ABS), 4.5% of responding employment services firms (NAICS 5613) said yes, with a standard error of 1.0 points, against 4.7% of all employer firms (Census Annual Business Survey, data year 2023). That placed 5613 at rank 54 of 174 4-digit industries. Franchise firms held 3.7% of the industry’s receipts and 4.2% of its employment.

The ABS goes no deeper than 4 digits, so 5613 mixes temp help and placement with executive search and professional employer organizations. The share was 6.3% in 2020, 3.7% in 2021 and 4.3% in 2022, with standard errors of 0.8 to 1.3 points, so single-year moves need care. The 2024 ABS is due 2026-12-03 (Census release calendar).

Table 3Employment services (NAICS 5613) employer firms operating as a franchise, United States, 2020 to 2023
Data year (survey)Franchise share of responding firms (%)Standard error (pp)Franchise firmsFirms reporting status
2020 (2021 ABS)6.30.976712,219
2021 (2022 ABS)3.70.861316,541
2022 (2023 ABS)4.31.365715,123
2023 (2024 ABS)4.5168715,350
Source: U.S. Census Bureau, Annual Business Survey characteristics of businesses (AB2000 to AB2300 CSCB01). All-sector share in 2023: 4.7%. 2019 has no 4-digit franchise row. Download CSV
Weekly time sheets drive staffing franchise economics: fees and payroll funding are calculated from them.
Weekly time sheets drive staffing franchise economics: fees and payroll funding are calculated from them.

How much SBA lending reaches staffing franchises

Summary: staffing is a small SBA market, and a minority of its loans carry a franchise code.

From FY2010 to June 30, 2026, lenders approved 3,047 SBA 7(a) loans worth $1,025,180,100 to temporary help and placement businesses (SBA 7(a) and 504 FOIA files, as of 2026-06-30). 271 of them (8.9%) carried a franchise code, for $80,012,300. Since FY2020 the share is 11.0% (137 of 1,251 loans). Placement agencies carry most of the franchise loans: 11.1% of their 7(a) loans were franchise-coded against 4.2% for temp help. Lenders record the NAICS code, so a temp-staffing franchisee may appear under 561311.

The median franchise-coded loan was $150,000, the same as other staffing loans. The difference is purpose: 56.1% of franchise-coded loans funded a startup against 8.8% of others. The 504 program adds only 150 staffing loans (6 franchise-coded).

Franchise coding depends on the SBA Franchise Directory, which SBA stopped publishing from 2023-05-11 (88 FR 21074) and reinstated from 2025-06-01 (SBA Information Notice 5000-866746). The franchise-coded share of staffing loans fell from 12.6% before the gap to 7.7% during it and recovered to 10.2% after; all 7(a) loans moved the same way. Treat FY2024 and FY2025 as undercounts. For the program as a whole see SBA franchise loans.

Figure 4Franchise-coded share of SBA 7(a) loans to U.S. staffing businesses, FY2010 to FY2026
0.0%5.0%10.0%15.0%20.0%FY2010FY2011FY2012FY2013FY2014FY2015FY2016FY2017FY2018FY2019FY2020FY2021FY2022FY2023FY2024FY2025FY2026SBA Franchise Directory withdrawn 2023-05-11 to 2025-06-01Oct 2025 to Jun 2026 only
Source: U.S. Small Business Administration, 7(a) and 504 FOIA loan files as of 2026-06-30; Franchise Consultants and Brokers calculation. Download data (CSV)
Table 4SBA 7(a) and 504 lending to U.S. staffing businesses, FY2010 to June 30, 2026
ProgramIndustryApproval periodLoansFranchise-coded loansFranchise-coded share (%)Gross approvals ($)Median franchise-coded loan ($)Median other loan ($)Franchise-coded loans funding a startup (%)
7(a)Temporary help + placementFY2010 to FY2026 Q33,0472718.91,025,180,100150,000150,00056.1
7(a)Temporary help + placementFY2020 to FY2026 Q31,25113711549,985,600150,000158,25060.6
7(a)Temporary help services (561320)FY2010 to FY2026 Q3967414.2359,384,800NoneNoneNone
7(a)Employment placement agencies (561311)FY2010 to FY2026 Q32,08023011.1665,795,300NoneNoneNone
504Temporary help + placementFY2010 to FY2026 Q31506None93,751,000NoneNoneNone
Source: U.S. Small Business Administration, 7(a) and 504 FOIA loan files as of 2026-06-30; Franchise Consultants and Brokers calculation. Franchise coding is a floor: it dipped while the SBA Franchise Directory was withdrawn (2023-05-11 to 2025-06-01). Download CSV

Staffing franchise fees: gross margin royalties and payroll funding

Summary: half of the temp-staffing systems price their main fee on gross margin rather than sales, and most of them carry the temporary payroll. That part of the planned angle holds.

We read Items 5, 6, 7, 10, 11 and 20 of 7 current staffing FDDs issued in 2025 or 2026: six temporary-staffing systems and one permanent-placement system. No staffing brand is in our 259-FDD Minnesota sample, so these come from Minnesota CARDS and California DFPI filings.

  • Royalty base. 3 of 6 temp systems charge a share of gross margin or gross profit: PrideStaff keeps the greater of 35% of gross margin or 6% of net billings (PrideStaff FDD (2026-04-15)); Spherion retains 30% of temporary gross profit plus a 1.9% fee on gross payroll (Spherion FDD (2026-05-14)); Snelling charges 4.5% of payroll plus 18% of gross margin (Snelling FDD (2025-04-28)). The other 3 charge a percentage of sales: AtWork 7% (AtWork FDD (2025-03-28)), Labor Finders 3.5% (Labor Finders FDD (2026-03-26)) and All Team 3% of temporary billings (All Team Staffing FDD (2025-04-30)).
  • Payroll funding. In 5 of 6 the franchisor or an affiliate funds temporary payroll as the standard or required structure, usually by billing clients and owning or buying the receivables. Labor Finders offers discretionary payroll loans of up to 75% of receivables under 60 days at prime plus 3% and a 5% weekly service fee. In 3 of 6 the franchisor is the employer of record.
  • Working capital. Item 7 additional funds reach $106,250 at the median high estimate of the 6 temp systems. Where the franchisee funds payroll, it shows: Labor Finders’ estimate includes $35,000 to $100,000 for temporary salaries over 3 months.

Gross-margin fees move with pricing. AtWork’s FDD lowers its 7% royalty toward 4.5% for accounts with gross margins below 16.50%. At that 16.50% margin, a 35% margin share equals 6.00% of sales once PrideStaff’s 6% floor applies, and Spherion’s 30% share equals 4.95% of sales before its payroll fee. For royalty rates across all sectors see franchise royalty rates.

Figure 5How 6 temporary-staffing FDDs structure fees and payroll, U.S., issued 2025 to 2026
01.534.563Royalty on gross margin or profit3Royalty on sales5Franchisor funds payroll (standard)3Franchisor is employer of record6Any franchisor payroll funding or loans
Source: Franchise Disclosure Documents (Minnesota CARDS, California DFPI), Items 6, 10 and 11; Franchise Consultants and Brokers coding. Download data (CSV)
Table 5Staffing franchise fee models in 7 current FDDs, United States, issued 2025 to 2026
SystemFDD issuedRoyalty baseContinuing fee terms (Item 6)Temporary payroll fundingEmployer of temporary workersInitial franchise fee (Item 5)Item 7 low ($)Item 7 high ($)Item 7 additional fundsFranchised outlets (Item 20, latest year end)
PrideStaff2026-04-15Gross margin (with sales floor)Franchisor share: greater of 35% of gross margin or 6% of net billings (temporary); 21% of direct hire and conversion feesFranchisor is employer of record and funds all temporary associate expensesFranchisor (employer of record)$40,000151,950244,600$90,000 to $110,000 (3 mo.)65
Spherion2026-05-14Gross profit (plus payroll fee)Franchisor retains 30% of temporary gross profits and 30% of full-time placement sales; plus a 1.9% franchise support fee on total gross payrollFranchisor pays temporary employees, bills clients and carries the receivable floatFranchisor$30,000 to $50,000132,980301,040$50,000 to $120,000 (6 to 11 mo.)180
Snelling2025-04-28Payroll plus gross margin4.5% of payroll plus 18% of gross margin per territory; 7.0% of permanent placement feesFranchisor affiliate funds temporary payroll, bills customers and owns receivablesFranchisor (statutory employer)$2,500 to $25,00045,000147,750$30,000 to $75,000 (12 mo.)76
AtWork2025-03-28Sales (with low-margin discount)7% of gross revenues (9% on full-time placements); discounted to 4.5% to 6.5% for qualified accounts with gross margins below 16.50%Franchisor pays temporary worker expenses on the franchisee's behalf and buys the receivables, assuming customer credit riskFranchisee$40,000156,000213,000$66,000 to $102,500 (6 to 9 mo.)84
Labor Finders2026-03-26Sales3.5% of sales (gross customer billings)Optional, at franchisor discretion: payroll loans up to 75% of receivables under 60 days, prime plus 3% interest plus a weekly 5% service fee on new loansFranchisee$20,000159,535363,200$74,045 to $183,500 (3 mo.)80
All Team Staffing2025-04-30Sales (gross billings)Greater of a weekly minimum ($600 to $1,250) or 3% of temporary gross billings and 8% of permanent placement gross billings; plus a 1.65% processing fee on temporary gross billingsRequired: franchisor buys customer invoices and advances 80% weekly (1.5% funding fee per invoice)Franchisee$42,50080,700124,500$10,000 to $25,000 (3 mo.)7
Patrice & Associates2025-04-15Sales (placement fees)10% royalty plus 5% billing, 2% brand fund and 7% database fees, all on gross sales (24% of each placement fee in total)None (no temporary workers); franchisor invoices clients and remits the netNot applicable$65,000105,100121,050$4,000 to $6,000 (3 mo.)189
Source: Franchise Disclosure Documents filed with the Minnesota Department of Commerce (CARDS) and the California DFPI; Franchise Consultants and Brokers reading of Items 5, 6, 7, 10, 11 and 20. Listed by royalty base, not ranked. Item 19 not used. Download CSV

How many staffing franchisors convert existing agencies?

Summary: conversion is a minor path in current staffing FDDs.

2 of the 7 FDDs mention converting an existing business, and only 1 sets terms. Snelling says a converting business’s prior billings factor into its $2,500 to $25,000 initial fee and that its affiliate’s loans may fund a non-Snelling business converting to the system (Snelling FDD (2025-04-28)). Spherion’s Item 11 refers to converting an existing office’s files from another system (Spherion FDD (2026-05-14)). The other five list no conversion terms. Spherion also offers a 25% fee discount to owners with at least 5 years of general staffing experience in its Item 5. The cross-sector picture is in conversion franchising.

Is the temp staffing industry growing?

Summary: not yet. U.S. temp help employment has shrunk for three years and has only just stopped falling.

BLS counted 2,486.8 thousand temporary help services jobs in September 2026, a preliminary figure released 2026-10-02 (BLS CES series CES6056132001; BLS Employment Situation, September 2026). That is 0.6% (15.2 thousand) above September 2025 but 21.3% below the March 2022 level of 3,161.4 thousand. On annual means of monthly data, 2025 averaged 2,497.0 thousand, 15.5% below 2019. Temp help was 1.56% of total nonfarm employment in September 2026 (BLS CES0000000001).

The American Staffing Association, a trade body, reports the same turn: total staffing employment in the first quarter of 2026 was 4.6% below a year earlier, with $27.6 billion in quarterly sales (ASA, June 25, 2026), and its weekly index for the four weeks to August 16, 2026 was 4.4% above 2025 (ASA, August 25, 2026). BLS publishes October 2026 data on 2026-11-06.

Figure 6U.S. temporary help services employment, 2017 to 2025 (thousands, annual mean)
01,0002,0003,0004,0002,497201720182019202020212022202320242025September 2026 (preliminary): 2,486.8 thousand
Source: U.S. Bureau of Labor Statistics, CES series CES6056132001 (seasonally adjusted), mean of monthly values; Franchise Consultants and Brokers calculation. Download data (CSV)

Original analysis: how we calculated it

Franchise share trend, 2007 to 2017

Formula
franchise establishments / all establishments x 100, by year; change in percentage points
Inputs
C07_561320_share, C17_561320_share, C07_561311_share, C17_561311_share, CT_561320_pp, CT_561311_pp
Result
Temp help 9.1% to 6.3% (-2.8 points); placement 5.5% to 3.4% (-2.1 points)
Limitations
Unknown-status establishments count as non-franchise; 2022 not tabulated for the U.S.

Owner type shift

Formula
franchisee-owned / franchise establishments x 100; franchisor-owned 2017 / 2007
Inputs
C07_561320_feeshare, C17_561320_feeshare, CT_561320_sorx
Result
Franchisee-owned share 93.8% to 83.2%; franchisor-owned offices x2.2
Limitations
Small franchisor-owned counts

Size: franchise vs non-franchise

Formula
(receipts / establishments) franchise divided by the same for non-franchise
Inputs
C07_561320_rratio, C12_561320_rratio, C17_561320_rratio, C17_561311_rratio
Result
Temp help 0.57 (2007), 0.46 (2012), 0.40 (2017); placement 0.60 (2017)
Limitations
Non-franchise includes branches of large non-franchised companies; averages, not medians

SBA franchise share and median loan

Formula
franchise-coded 7(a) loans / all 7(a) loans to 561320 + 561311; median GrossApproval
Inputs
S7_st_share, S7_r_share, S7_st_med_fr, S7_st_med_ot
Result
8.9% FY2010 onward, 11.0% FY2020 onward; median $150,000 for both groups
Limitations
Coding gap 2023-05-11 to 2025-06-01; NAICS is lender-recorded

Royalty base and payroll funding

Formula
count of 6 temp-staffing FDDs by Item 6 royalty base and by payroll funding structure; royalty as % of sales = share x gross margin
Inputs
F_margin_n, F_sales_n, F_fund_n, F_employer_n, F_eq_pride_16_5, F_eq_spher_16_5
Result
3 margin-based, 3 sales-based; franchisor funds payroll in 5 of 6; at a 16.50% margin, 6.00% and 4.95% of sales
Limitations
7 FDDs, not a random sample; Express Employment Professionals not covered

Temp help employment trend

Formula
(latest - comparison) / comparison x 100
Inputs
B_t2019, B_t2025, B_19_25, B_latest, B_peak, B_frompeak
Result
-15.5% from 2019 to 2025; -21.3% from March 2022 to September 2026
Limitations
Seasonally adjusted monthly means; latest two months preliminary; no franchise flag

Staffing franchise buyer checklist

Summary: the questions that change the economics of a staffing franchise are in Items 6, 7, 10 and 11, not in the headline royalty rate.

  1. Is the royalty on sales, gross margin, payroll, or a mix? Ask what it equals as a percentage of sales at your expected gross margin.
  2. Who funds payroll, who is the employer of record, and who owns the receivables?
  3. What does funding cost (fees, interest, service charges) and when are unpaid invoices charged back to you?
  4. Does the Item 7 additional funds line include temporary payroll, and how many months does it cover?
  5. Are there minimum fees, gross profit quotas or territory fines?
  6. How have franchised and company-owned outlet counts moved in Item 20?
  7. Are you converting an existing agency? Ask for conversion terms in writing.

For cost ranges across sectors see franchise costs and franchise initial investment; for the buying process, buying a franchise.

In short

  • Franchising reaches a minority of U.S. staffing offices: 2,345 of 37,391 temporary help establishments (6.3%) and 207 of 6,036 employment placement agencies (3.4%) were franchises in the 2017 Economic Census.
  • Both shares fell from 2007 to 2017: temporary help from 9.1% to 6.3% and placement from 5.5% to 3.4%, while franchisor-owned temp offices rose from 181 to 394.
  • The planned angle that franchise offices are larger did not hold. In 2017 a franchise temp office averaged $2,009,543 in receipts against $5,005,023 for a non-franchise office, which includes the branches of large non-franchised staffing companies.
  • Fee models are distinctive. In the 6 temporary-staffing FDDs reviewed (issued 2025 and 2026), 3 take the main continuing fee as a share of gross margin or gross profit and 5 have the franchisor fund temporary payroll as the standard structure.
  • SBA lending is modest: 3,047 SBA 7(a) loans worth $1,025,180,100 went to temp help and placement businesses from FY2010 to June 30, 2026, and 8.9% carried a franchise code. The median loan was $150,000 for franchise-coded and other loans alike.
  • Temp employment is still below its peak: BLS counted 2,486.8 thousand temporary help jobs in September 2026 (preliminary), 21.3% below March 2022 and 0.6% above September 2025.
  • No U.S. franchise count newer than 2017 exists: the 2022 Economic Census published franchise status only for Puerto Rico, so FDDs and SBA records are the current evidence.

What's new

As of October 18, 2026
  • 2026-10-02: BLS released September 2026 employment; temporary help was 2,486.8 thousand (preliminary). October data follow on 2026-11-06 (BLS Employment Situation).
  • SBA FOIA loan files used here are as of 2026-06-30, the latest quarterly release; the next file (as of 2026-09-30) is expected about one month after quarter end (SBA 7(a) and 504 FOIA files, as of 2026-06-30).
  • FDD issue dates in this report run from 2025-03-28 (AtWork) to 2026-05-14 (Spherion); three were issued in 2026.
  • 2026-06-25 and 2026-08-25: the American Staffing Association reported narrowing declines in Q1 2026 and year-over-year growth in its August index (ASA).
  • 2026-12-03: Census is scheduled to release the 2024 Annual Business Survey (Census release calendar).

Questions people ask

How much does a staffing franchise cost?

Item 7 totals in 6 current temp-staffing FDDs (issued 2025 to 2026) run from $45,000 (Snelling, low) to $363,200 (Labor Finders, high), with a median range of $142,465 to $228,800. Initial franchise fees run from $2,500 to $65,000 across the 7 FDDs. Working capital is a large share of the total: the median high additional-funds estimate is $106,250.

How do staffing franchise royalties work?

Three of the 6 temp-staffing FDDs reviewed take a share of gross margin or gross profit (for example PrideStaff: the greater of 35% of gross margin or 6% of net billings; Spherion: 30% of temporary gross profit plus 1.9% of payroll). The other 3 charge a share of sales, from 3% (All Team, temporary billings) to 7% (AtWork). Permanent placement fees carry separate rates.

Do staffing franchisors fund payroll?

Most do. In 5 of 6 current temp-staffing FDDs the franchisor or an affiliate funds temporary payroll as the standard or required structure, and in 3 it is the employer of record. Labor Finders offers discretionary payroll loans instead (up to 75% of receivables under 60 days, prime plus 3%).

How many staffing agencies are franchises?

In the 2017 Economic Census, 2,345 of 37,391 U.S. temporary help establishments (6.3%) and 207 of 6,036 placement agencies (3.4%) were franchises. The ABS put the franchise share of employment services firms at 4.5% in 2023.

Is the temp staffing industry growing?

Not on BLS data yet. Temporary help employment was 2,486.8 thousand in September 2026 (preliminary), 0.6% above a year earlier but 21.3% below March 2022. The 2025 annual mean was 15.5% below 2019.

Frequently asked questions

What share of temp agencies are franchises?

6.3% of U.S. temporary help services establishments were franchises in 2017, down from 9.1% in 2007, according to the Economic Census.

Are placement agencies more or less franchised than temp agencies?

Less. Franchises were 3.4% of U.S. employment placement agencies in 2017 against 6.3% of temp help establishments (Census EC1700FRAN).

Are franchise staffing offices bigger than independents?

No. In 2017 a franchise temp office averaged $2,009,543 in receipts against $5,005,023 for non-franchise offices, which include branches of large non-franchised companies (Census EC1700FRAN; calculation).

Who owns franchise staffing offices?

Franchisees owned 83.2% of U.S. franchise temp help establishments in 2017; franchisors owned 394, up from 181 in 2007 (Economic Census).

Why is there no franchise count after 2017?

The 2022 Economic Census published franchise status only for Puerto Rico. The 2017 file is the latest U.S. tabulation; the Annual Business Survey gives firm-level shares through 2023, and the 2024 ABS is due 2026-12-03.

How many SBA loans go to staffing franchises?

271 franchise-coded SBA 7(a) loans went to U.S. temp help and placement businesses from FY2010 to June 30, 2026, 8.9% of 3,047 staffing loans (SBA FOIA).

What is the typical SBA loan for a staffing franchise?

The median franchise-coded 7(a) staffing loan was $150,000 from FY2010 to June 2026, and 56.1% of those loans funded a startup (SBA FOIA, as of 2026-06-30).

What is a gross margin royalty?

A fee calculated on the difference between what clients are billed and the direct cost of the temporary workers. 3 of 6 current temp-staffing FDDs use one, for example PrideStaff at the greater of 35% of gross margin or 6% of net billings.

Do I need working capital for temporary payroll?

It depends on the system. Where the franchisor funds payroll (5 of 6 temp FDDs), it carries that cost; Labor Finders’ Item 7 includes $35,000 to $100,000 for temporary salaries over 3 months, and All Team’s excludes temporary payroll.

How many staffing franchisors accept conversions?

2 of 7 current staffing FDDs reviewed mention converting an existing business, and 1 (Snelling) sets fee and loan terms for it.

For journalists

Most quotable statistics

If you cite only a few, cite these

  • Franchises were 6.3% of U.S. temporary help establishments in 2017, the latest Census count. source
  • An average U.S. franchise temp office had 0.40 times the receipts of a non-franchise temp office in 2017. source
  • 5 of 6 current U.S. temp-staffing FDDs (2025 to 2026) have the franchisor fund temporary payroll. source
Press summary and suggested headlines

Franchises ran a small and shrinking share of U.S. staffing offices through 2017, according to an analysis of Census, SBA and BLS data and seven current franchise disclosure documents by Franchise Consultants and Brokers. In the 2017 Economic Census, the latest U.S. count, franchises were 6.3% of temporary help establishments, down from 9.1% in 2007, and 3.4% of placement agencies. Franchise temp offices were smaller than non-franchise ones, averaging 0.40 times their receipts. What sets staffing franchises apart is the fee model: 3 of 6 temp-staffing FDDs issued in 2025 or 2026 take a share of gross margin, and in 5 the franchisor funds temporary payroll. SBA data show 8.9% of 3,047 7(a) staffing loans since FY2010 were franchise-coded, with a $150,000 median. BLS counted 2,486.8 thousand temp help jobs in September 2026, 21.3% below the 2022 peak.

Suggested headlines

  • Only 6.3% of U.S. temp agencies were franchises in the latest Census count
  • Franchise staffing offices are smaller than non-franchise ones, not larger
  • In 5 of 6 temp-staffing FDDs reviewed, the franchisor funds temporary payroll
  • Half of temp-staffing FDDs reviewed charge royalties on gross margin, not sales
  • U.S. temp help jobs sit 21.3% below their 2022 peak

Methodology

Question and scope. How franchised U.S. temporary help services (NAICS 561320) and employment placement agencies (NAICS 561311) are, how franchise offices compare with others, how much SBA lending reaches them, and how staffing franchise fees and payroll funding work. Executive search (561312) and professional employer organizations (561330) appear as context only.

Sources. Tier 1: Census Economic Census franchise files for 2007, 2012 and 2017 (the latest U.S. tabulation; the 2022 census published franchise status only for Puerto Rico); Annual Business Survey characteristics files for data years 2019 to 2023; SBA 7(a) and 504 FOIA files as of 2026-06-30; BLS CES and QCEW; and 7 FDDs filed with Minnesota CARDS (5) and California DFPI (2), issued 2025-03-28 to 2026-05-14. Tier 2: American Staffing Association releases. Pages that only list brands, or repeat figures without a source, were excluded.

Rules. Non-franchise = all establishments minus franchise establishments, so it includes unknown status and the branches of non-franchised national companies; it is not a count of independents. SBA franchise status = a non-blank FranchiseCode; borrower names and addresses were never loaded. FDD values were hand-coded from Items 5, 6, 7, 10, 11 and 20, and a script checks a verbatim snippet for every coded term. Item 19 was not used. No brand is ranked; FDD tables list systems by fee structure.

Conflicts. QCEW counts many more temp help establishments than the Economic Census (70,569 against 37,391 in 2017) because it counts unemployment-insurance reporting units; the two are not combined. Unit counts in brand roundups differ from Item 20; Item 20 is used.

Derived metrics. Shares, ratios, medians, counts and changes are computed by the scripts in scripts/ and listed with formulas and fact ids in derived.csv.

Limitations. Census franchise counts are 9 years old. The ABS stops at 4-digit NAICS. SBA coding dipped from 2023-05-11 to 2025-06-01. The FDD sample is 7 systems, not random, and does not include Express Employment Professionals, which files in California under an exemption without an FDD.

Last updated 2026-10-18.

Sources and source quality

Tier 1: primary and government sources (30)

  1. 2017 Economic Census, Franchise Status for the U.S. (EC1700FRAN), bulk file, U.S. Census Bureau (accessed 2026-10-18)
  2. 2012 Economic Census, Franchise Status (EC1200CFRA1), bulk file, U.S. Census Bureau (accessed 2026-10-18)
  3. 2007 Economic Census, Franchise Status (EC0700CFRA1), bulk file, U.S. Census Bureau (accessed 2026-10-18)
  4. 2022 Economic Census data release schedule and table list, U.S. Census Bureau (accessed 2026-10-18)
  5. 2022 NAICS descriptions (2022_NAICS_Descriptions.xlsx), U.S. Census Bureau (accessed 2026-10-18)
  6. Annual Business Survey 2024 (data year 2023), Characteristics of Businesses (AB2300CSCB01), U.S. Census Bureau (accessed 2026-10-18)
  7. Annual Business Survey 2023 (data year 2022), Characteristics of Businesses (AB2200CSCB01), U.S. Census Bureau (accessed 2026-10-18)
  8. Annual Business Survey 2022 (data year 2021), Characteristics of Businesses (AB2100CSCB01), U.S. Census Bureau (accessed 2026-10-18)
  9. Annual Business Survey 2021 (data year 2020), Characteristics of Businesses (AB2000CSCB01), U.S. Census Bureau (accessed 2026-10-18)
  10. Annual Business Survey 2020 (data year 2019), Characteristics of Businesses (AB1900CSCB01), U.S. Census Bureau (accessed 2026-10-18)
  11. Upcoming data releases (census.gov), U.S. Census Bureau (accessed 2026-10-18)
  12. SBA 7(a) and 504 FOIA loan data, files as of June 30, 2026, U.S. Small Business Administration (accessed 2026-10-18)
  13. Final rule, Business Loan Program Temporary Changes; Paycheck Protection Program (88 FR 21074), affiliation and SBA Franchise Directory, U.S. Small Business Administration, Federal Register (accessed 2026-10-18)
  14. Information Notice 5000-866746, Issuance of SOP 50 10 8, U.S. Small Business Administration (accessed 2026-10-18)
  15. Current Employment Statistics, series CES6056132001, all employees, temporary help services, seasonally adjusted, U.S. Bureau of Labor Statistics (accessed 2026-10-18)
  16. Current Employment Statistics, series CES0000000001, all employees, total nonfarm, seasonally adjusted, U.S. Bureau of Labor Statistics (accessed 2026-10-18)
  17. The Employment Situation, September 2026 (USDL-26-1549, released 2026-10-02), U.S. Bureau of Labor Statistics (accessed 2026-10-18)
  18. Employment Situation release schedule, U.S. Bureau of Labor Statistics (accessed 2026-10-18)
  19. QCEW open data, 2017 annual averages, NAICS 561320, U.S. Bureau of Labor Statistics (accessed 2026-10-18)
  20. QCEW open data, 2025 annual averages, NAICS 561320, U.S. Bureau of Labor Statistics (accessed 2026-10-18)
  21. QCEW open data, 2017 annual averages, NAICS 561311, U.S. Bureau of Labor Statistics (accessed 2026-10-18)
  22. QCEW open data, 2025 annual averages, NAICS 561311, U.S. Bureau of Labor Statistics (accessed 2026-10-18)
  23. Express Services, Inc. filing record (large franchisor exemption notice), California Department of Financial Protection and Innovation (accessed 2026-10-18)
  24. All Team Staffing Franchise Disclosure Document, issued 2025-04-30 (Minnesota CARDS 33932-202504-08), Minnesota Department of Commerce, CARDS franchise registrations (franchisor filing) (accessed 2026-10-18)
  25. Snelling Franchise Disclosure Document, issued 2025-04-28 (Minnesota CARDS 34335-202506-15), Minnesota Department of Commerce, CARDS franchise registrations (franchisor filing) (accessed 2026-10-18)
  26. PrideStaff Franchise Disclosure Document, issued 2026-04-15 (Minnesota CARDS 35992-202604-07), Minnesota Department of Commerce, CARDS franchise registrations (franchisor filing) (accessed 2026-10-18)
  27. Labor Finders Franchise Disclosure Document, issued 2026-03-26 (Minnesota CARDS 36005-202604-07), Minnesota Department of Commerce, CARDS franchise registrations (franchisor filing) (accessed 2026-10-18)
  28. Spherion Franchise Disclosure Document, issued 2026-05-14 (Minnesota CARDS 36655-202605-09), Minnesota Department of Commerce, CARDS franchise registrations (franchisor filing) (accessed 2026-10-18)
  29. AtWork Franchise Disclosure Document, issued 2025-03-28 (California DFPI application APP00001336 (effective 2025-05-19)), California DFPI franchise registration record (franchisor filing) (accessed 2026-10-18)
  30. Patrice & Associates Franchise Disclosure Document, issued 2025-04-15 (California DFPI application APP00002021 (effective 2025-05-13)), California DFPI franchise registration record (franchisor filing) (accessed 2026-10-18)

Tier 2: trade bodies, market research, company filings (2)

  1. U.S. Staffing Industry's Seasonal Declines Narrow in First Quarter of 2026 (2026-06-25), American Staffing Association (accessed 2026-10-18)
  2. Staffing Index Grows in August (2026-08-25), American Staffing Association (accessed 2026-10-18)

How to cite and reuse

Franchise Consultants and Brokers Editorial Team. "Staffing Franchise Statistics: Share, Size, SBA Loans and Fee Models." Franchise Consultants and Brokers, updated October 18, 2026. https://franchiseconsultantsandbrokers.com/research/staffing-franchise-statistics/

The data tables and charts on this page are licensed under CC BY 4.0. Please credit “Franchise Consultants and Brokers, franchiseconsultantsandbrokers.com” with a link to this page.

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