Regus Franchise: Most Successful Co-Working Franchising Business

What is the Regus franchise? Are you planning to invest in a workplace company associated with international workplace groups? You are stuck at the right place then! Regus is part of the International Workplace Groups(IWG). With a network of 7 million customers that includes some of the most successful business owners, individuals, and multimillion-dollar businesses, including Google, Amazon, and IBM, it is the largest flexible workspace supplier and turnkey franchise solution in the world.

What is the Regus franchise?

Are you planning to invest in a workplace company associated with international workplace groups? You are stuck at the right place then! Regus franchise is part of the International Workplace Groups(IWG). With a network of 7 million customers that includes some of the most successful business owners, individuals, and multimillion-dollar businesses, including Google, Amazon, and IBM, it is the largest flexible workspace supplier and turnkey franchise solution in the world.

 

What are Regus Co-Working Spaces

International business Regus lends out commercial office space to other businesses. Regus provides a tidy, polished location for enterprises of all kinds to be conducted to organize a conference or some room to work from for a week away from home. Regus is presently the largest provider of workspace in the world, with over 1,100 sites. Regus offers virtual offices and videoconferencing facilities in addition to conventional office and meeting rooms for businesses that require them.

 

Is Regus a Franchise Opportunity?

If you’re seeking a flexible, downtown work environment with ample opportunity for growth, Regus may be a good fit for you. With over 1,000 locations worldwide, Regus is one of the largest franchise opportunities in the business services industry.

From meeting rooms to conference rooms, Regus offers a variety of options to suit your needs. No matter what you need space for, Regus has you covered. You can also take advantage of Regus’ wide range of amenities, including dining and beverage options, fitness centers, and business services like faxing, copying, and scanning.

 

Rare facts of Regus CoWorking business

• Low payroll costs and ease of staffing—on average. 
• Their operating procedures and systems are based on experience with
• comprehensive franchisee support and training initiatives.
• They offer brand recognition, marketing cost savings, customer growth, supplier initiatives, and other advantages.
• They are associated with National and international business accounts.
• Regus is a Service-oriented, tidy, and professional work atmosphere with little inventory.
• They also offer opportunities for multi-unit development for franchisees interested in growth.

 

Regus Franchise Review and Information
Industry Type	Services Franchises
Sub Category	Coworking Space Franchise
Year Established	1989
Company Name	Regus Franchise
Founder/Management Head	Wayne Berger, CEO, The Americas
Franchising Started	2012 (10 years)
Franchise Expansion Plan	Regus aims to reach areas of the United States and the rest of the world that it does not already serve.
Number of Units	3,259 (as of 2023)
Number of Franchise Units	205 Franchise units
Social Media Handles	Facebook
	Twitter
	Youtube
	Instagram
Company Office location	3000 Kellway Dr., #140Carrollton, TX 75006

 

Regus Franchise Requirements

To establish and expand Regus as the market leader in their local and international markets, they are now looking for franchise partners with the necessary vision, business savvy, leadership abilities, and financial resources.

Ideal franchisee candidates must be thinking about multi-unit development whether they start with a multi-unit exclusive area or a single center with aspirations of growing. Experience in the field is preferable but not necessary.

 

 

Why Should You Invest in Regus Ownership?

• Regus provides an established business model with numerous revenue streams.
• They are enabling people and businesses to work where, when, and how they choose through their assortment of office styles, virtual offices, and workplace recovery enterprises. 
• They provide the chance to get the Regus name in the US. 
• They are constantly looking for partners with the necessary resources to join the company and open new sites across the country.
• You get a business out of your vacant real estate premises and you will earn more than rental on your real estate premises.

 

Regus Initial and On-going Franchise Cost
Regus Franchise Fee	$50,000
Regus Franchise Cost	$549,000 – $998,000
Royalty Fee	6%
Advertising Fee	2 %
Term of Agreement	10 years
Is the franchise term renewable?	Yes

 

Is the Regus worth the investment?

No, it’s not worth the investment as according to the reports by Business Review it says that the franchise owner earns 51% less than the franchise fee which is mentioned as $50, 000.

 There is a high chance that only 7 % of franchise owners of Regus franchises can make an income of $250,000 annually. This data tells us it is not worth the investment as it is not profitable as well. 

 

RegusTraining To Franchises

 

A complete initial and ongoing training program covering every aspect of starting, developing, and expanding a flexible workspace business is offered. Training for new employees lasts for three weeks. Through the Regus online academy, further training is also accessible.

 

Regus Operations and Support to Franchises 

It is a multi-unit franchise opportunity, and franchisees are required to build at least five centers in freestanding or multi-let locations within three years of signing a franchise agreement. 

According to Regus, its franchises are a “proven operating model” that grants franchisees the right to use its brand and trademarks and enjoy the advantages of its business expertise, a clientele that is already established, and its sales, marketing, customer relationship management, invoicing booking, and training systems. They promise to give full assistance throughout the life of a franchisee in the agreement. 

 

How is Regus Territory Granted to Franchises

Regus does grant territory but with terms and conditions that have not been disclosed in the FDD. 

 

 

What is Regus Franchise Term of Agreement and Renewal?

Regus term of the agreement is for 10 years. They also have a franchise renewable term. 

 

Does Regus provide Financial Assistance to Franchises?

Regus does provide financial assistance with the help of third-party financing. Regus has connections with outside companies that provide finance for the following expenses: startup charges, franchise fees, equipment, and inventory.

 

Pros & Cons of Regus Franchise Ownership

Pros

1. 3500 business centers in 120 countries are accessible.
2. A network six times larger than our nearest competitor with the best facilities and services
3. Additionally, franchisees will gain profit from a pre-existing network of 2.5 million clients, some of the most prosperous businesspeople and multibillion-dollar corporations, that become immediately accessible to franchisees.

Cons

1. Numerous multi-unit franchisees worry increasingly about how long it will take to recoup their investment, which leads to rash decisions. Franchisees must realize that while money will eventually flow, it won’t do so as rapidly as it did with the first site.
2. Determine the necessity for business expansion in the area before launching your business. Even if expansion is the primary objective of the majority of franchising organizations, be confident in your ability to succeed.

 

How much do Regus franchise owners make?

A Regus franchise owner nearly makes less than 50% of the franchising fee. Hence the franchise is not as profitable as it should be compared to the initial investment cost and its fees. 

 

What is Regus franchise profit?

Their operational model is tried-and-true, indisputably effective, and will offer their partners a very appealing return on their investment after 30 years in business. 

 

What are Regus franchise reviews?

The satisfaction of knowing you contributed to a company’s success when it comes to owning a franchise in the Flexi and coworking space sector.

One of the operators of Regus mentioned that they found it to be a straightforward transition from the senior housing sector to becoming a Regus franchising partner. After COVID-19, there will be a need for alternative workspace, and they are eager to contribute to the shift in workplace culture. 

If you require a virtual office, a former worker advises looking for another provider. Pay attention to the owners and their locations. This company, which is from Belgium, seems to just have electronic communications and staff members.

 

Regus Franchise Rankings

Regus has not been given a rank last year out of 500 total franchises though it is one of the top coworking business models. 

 

Franchise Deck Analysis and Overview

Regus Franchises is a great opportunity to invest your money. If you can expand it on a larger scale, you will tend to gain more profit as you take over more properties to rent for businesses and huge organizations. 

The only disadvantage here is the turnover. Only if the turnover of the company is high, then the owner and the team be able to earn the expected profit. Though the recoup of capital information has not been disclosed yet, it can still be concluded that the profitable side of this firm is not so great. Therefore, only if you think you can take this franchise to bigger heights, you can choose to invest in this area. If you think this is what you have been waiting for for a long time, then this is the best opportunity for you to grab and start over your career aspect. 

 

Competition Analysis of Regus
Franchise Brand	Cost to Franchise	Franchise Fees	Royalty + Ad fees	Expected Profit	Recoup of Capital	FD Rating
Regus	$549,000 – $998,000	$50,000	Royalty fee 6%+Ad fee 2%	51% less than the franchise fee	N/A	2.5/5.0
WeWork Franchise	N/A	N/A	N/A	The company posted revenue of $815 million	N/A	4.0/5.0
Office Evolution Franchise	$400k-$1.3M	$39,500 – $49,500	Royalty fee is 7.5% and Ad Fee is 3%	Not disclosed in FDD	Not disclosed in FDD	3.3/5
Venture X Franchise	$1.1 million-$3.4 million	$79,500	Royalty fee is 6% and Ad fee is 2%	Not disclosed in FDD	Not disclosed in FDD	3.0/5.0

 

The rating for Regus franchising is 2.5/5.0.

 

 

Conclusion 

Flexible office and workspace solutions had been in high demand in the years before 2020. Regus is growing quickly. In the US, demand for coworking spaces and flexible workplaces surged by more than 40% this year. There are higher chances of it expanding in the upcoming years due to its opportunity to work flexibly. Hence, if you have shown interest in something like this, you must think of investing in them. 

You can explore other coworking or real estate franchising opportunities,

1. Red Barn Franchise 
2. Success Space franchise
3. Intelligent Office Franchise
4. WeWork Franchise
5. Office Evolution Franchise
6. Venture X Franchise
7. Best Coworking Space Franchise

 

Frequently Asked Questions (FAQs)

 

1. Is the Regus franchise profitable?

No, Regus Franchises is not that profitable. The Regus brand has been around since 1990, and it now operates in over 1000 cities across 38 countries. The company is profitable and has a good reputation for providing high-quality accommodations and meeting spaces. The Regus brand is currently expanding into new markets, and it is expected to be profitable and grow in the future.

2. Can you make money owning a Regus?

Yes, you can but less. There are many ways for someone to make money owning a Regus office. One way is to offer flexible office space for businesses of all sizes. Another way is to offer conference rooms that can be rented out for various events. Finally, some people offer consulting services for businesses that want to improve their operations.

3. Is Regus a franchise?

Yes, Regus is a franchise business. A franchise is a company that owns and operates a chain of stores. These stores offer a variety of services, such as meeting rooms, business services, and even temporary office space. These services are available to the public, and the franchise can be found in many different markets around the world.

4. How do Regus franchises make money?

Regus Franchises makes money by renting business office spaces to companies in need.  Regus franchises make money by charging rental fees for office space and providing a variety of services, such as meeting rooms, broadband, printing, phone services, and more. They also generate revenue from sales of furniture and equipment, and advertising.