Bookkeeping Services Franchise vs. Starting Your Own
What five years costs on each path, counting every cost we can source on both sides. Change the revenue to see how royalties grow with your sales.
Preview: figures awaiting verification
Some numbers on this page haven't been checked against their sources yet.
At a glance
| Franchise (3 brands) | Independent | |
|---|---|---|
| Franchise fee | $35,000 – $60,000Pending verificationSourcesSupporting Strategies 2024 FDD (Minnesota CARDS), issued May 15, 2024(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Padgett Business Services 2026 FDD (Minnesota CARDS), issued March 23, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Ledgers (unit) 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Last verified October 30, 2026Range across 3 franchise brands. | $0 |
| Initial investment | $48,200 – $117,295Pending verificationSourcesSupporting Strategies 2024 FDD (Minnesota CARDS), issued May 15, 2024(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Padgett Business Services 2026 FDD (Minnesota CARDS), issued March 23, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Ledgers (unit) 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Last verified October 30, 2026FDD Item 7 estimated initial investment (includes the franchise fee), across 3 brands. | $90 – $1,589*Pending verificationSourcesApple Store — Buy 13-inch MacBook Air(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Intuit QuickBooks — QuickBooks Online Accountant / Intuit Accountant Suite page(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Xero — Partner program (US)(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026California Secretary of State — Business entities fee schedule (Rev. 06/2018)(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Last verified October 30, 2026Computed from 3 startup budget line items: lean plan low to professional plan high. Some lines are not sourced yet and are excluded. |
| Ongoing royalties | 9% – 10% of revenuePending verificationSourcesSupporting Strategies 2024 FDD (Minnesota CARDS), issued May 15, 2024(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Padgett Business Services 2026 FDD (Minnesota CARDS), issued March 23, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Ledgers (unit) 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Last verified October 30, 2026Percent of gross revenue, across 3 brands. | None |
| Operating costs (5 years) | $10,760Pending verificationSourcesInsureon — Bookkeeper insurance cost (updated June 24, 2025)(opens in a new tab)Tier 2 · Industry report · Accessed October 30, 2026California Franchise Tax Board — 2025 Instructions for Form FTB 3522 (LLC tax voucher)(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Last verified October 30, 2026Five years of the operating costs we have sourced so far (insurance, software, fees), charged to both paths. | $10,760 |
| Brand, training, and support | Included | You build your own |
Franchise fee
- Franchise (3 brands)
- $35,000 – $60,000Pending verificationSourcesSupporting Strategies 2024 FDD (Minnesota CARDS), issued May 15, 2024(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Padgett Business Services 2026 FDD (Minnesota CARDS), issued March 23, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Ledgers (unit) 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Last verified October 30, 2026Range across 3 franchise brands.
- Independent
- $0
Initial investment
- Franchise (3 brands)
- $48,200 – $117,295Pending verificationSourcesSupporting Strategies 2024 FDD (Minnesota CARDS), issued May 15, 2024(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Padgett Business Services 2026 FDD (Minnesota CARDS), issued March 23, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Ledgers (unit) 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Last verified October 30, 2026FDD Item 7 estimated initial investment (includes the franchise fee), across 3 brands.
- Independent
- $90 – $1,589*Pending verificationSourcesApple Store — Buy 13-inch MacBook Air(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Intuit QuickBooks — QuickBooks Online Accountant / Intuit Accountant Suite page(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Xero — Partner program (US)(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026California Secretary of State — Business entities fee schedule (Rev. 06/2018)(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Last verified October 30, 2026Computed from 3 startup budget line items: lean plan low to professional plan high. Some lines are not sourced yet and are excluded.
Ongoing royalties
- Franchise (3 brands)
- 9% – 10% of revenuePending verificationSourcesSupporting Strategies 2024 FDD (Minnesota CARDS), issued May 15, 2024(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Padgett Business Services 2026 FDD (Minnesota CARDS), issued March 23, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Ledgers (unit) 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Last verified October 30, 2026Percent of gross revenue, across 3 brands.
- Independent
- None
Operating costs (5 years)
- Franchise (3 brands)
- $10,760Pending verificationSourcesInsureon — Bookkeeper insurance cost (updated June 24, 2025)(opens in a new tab)Tier 2 · Industry report · Accessed October 30, 2026California Franchise Tax Board — 2025 Instructions for Form FTB 3522 (LLC tax voucher)(opens in a new tab)Tier 1 · Primary source · Accessed October 30, 2026Last verified October 30, 2026Five years of the operating costs we have sourced so far (insurance, software, fees), charged to both paths.
- Independent
- $10,760
Brand, training, and support
- Franchise (3 brands)
- Included
- Independent
- You build your own
We don't have a sourced revenue forecast for this business, so royalties and 5-year totals depend on your own numbers. Franchise investment figures come from each brand's disclosure (FDD Item 7) and already include the franchise fee. * Excludes independent startup lines we haven't sourced yet.
What franchisees report taking in
From each brand's own disclosure (FDD Item 19), copied exactly. These are gross sales before royalties and costs, not profit, and not a promise of what you will earn.
Supporting Strategies
The 2024 Supporting Strategies FDD makes no financial performance representation.
Padgett Business Services
Item 19 reports fiscal 2025 revenue and adjusted profit for 130 franchisees grouped by revenue size, plus average client fees; the figures below are the average revenue in each size group.
- Average 2025 revenue, franchisees with $500,000 or more (47 of 130 franchisees; gross revenue, not profit)$1,143,869.47 a yearPending verificationSourcePadgett Business Services 2026 FDD (Minnesota CARDS), issued March 23, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026Average adjusted P&L for this group. FDD Item 19, from complete financial reports submitted by 130 of 146 U.S. franchisees for fiscal 2025 (16 were left out because of tax-season deadlines or extensions). Revenue includes bookkeeping, tax preparation and payroll; it is before royalties and all expenses — not profit. Some outlets have earned this amount; your results may differ.
- Average 2025 revenue, franchisees with $300,000–$499,999 (23 of 130 franchisees; gross revenue, not profit)$402,904.89 a yearPending verificationSourcePadgett Business Services 2026 FDD (Minnesota CARDS), issued March 23, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026FDD Item 19, from complete financial reports submitted by 130 of 146 U.S. franchisees for fiscal 2025 (16 were left out because of tax-season deadlines or extensions). Revenue includes bookkeeping, tax preparation and payroll; it is before royalties and all expenses — not profit. Some outlets have earned this amount; your results may differ.
- Average 2025 revenue, franchisees with $100,000–$299,999 (44 of 130 franchisees; gross revenue, not profit)$194,190.56 a yearPending verificationSourcePadgett Business Services 2026 FDD (Minnesota CARDS), issued March 23, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026FDD Item 19, from complete financial reports submitted by 130 of 146 U.S. franchisees for fiscal 2025 (16 were left out because of tax-season deadlines or extensions). Revenue includes bookkeeping, tax preparation and payroll; it is before royalties and all expenses — not profit. Some outlets have earned this amount; your results may differ.
- Average 2025 revenue, franchisees under $100,000 (16 of 130 franchisees; gross revenue, not profit)$66,136.38 a yearPending verificationSourcePadgett Business Services 2026 FDD (Minnesota CARDS), issued March 23, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026FDD Item 19, from complete financial reports submitted by 130 of 146 U.S. franchisees for fiscal 2025 (16 were left out because of tax-season deadlines or extensions). Revenue includes bookkeeping, tax preparation and payroll; it is before royalties and all expenses — not profit. Some outlets have earned this amount; your results may differ.
Ledgers
Item 19 reports 2025 gross revenue for just the 2 Ledgers outlets open three or more years; all 16 outlets that opened in 2025 were left out.
- Average 2025 gross revenue (2 franchised outlets open 3+ years; gross sales, not profit)$294,192 a yearPending verificationSourceLedgers (unit) 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026The FDD also gives this as the median, since there are only two outlets. FDD Item 19. Based on only 2 outlets open 3+ years (one storefront, one virtual); 16 outlets that opened in 2025 were excluded. Gross revenue before royalties and all expenses — not profit. Some outlets have earned this amount; your results may differ.
- Highest 2025 gross revenue of those 2 outlets (gross sales, not profit)$364,474 a yearPending verificationSourceLedgers (unit) 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026FDD Item 19. Based on only 2 outlets open 3+ years (one storefront, one virtual); 16 outlets that opened in 2025 were excluded. Gross revenue before royalties and all expenses — not profit. Some outlets have earned this amount; your results may differ.
- Lowest 2025 gross revenue of those 2 outlets (gross sales, not profit)$223,911 a yearPending verificationSourceLedgers (unit) 2026 FDD (Minnesota CARDS), issued April 29, 2026(opens in a new tab)Tier 1 · Primary source · Accessed October 31, 2026Last verified October 31, 2026FDD Item 19. Based on only 2 outlets open 3+ years (one storefront, one virtual); 16 outlets that opened in 2025 were excluded. Gross revenue before royalties and all expenses — not profit. Some outlets have earned this amount; your results may differ.
What a franchise does give you
Franchises cost more, but the fees buy real things. Weigh them honestly.
- Brand focused only on outsourced bookkeeping and controller services
- Initial training for you and your staff
- Franchisor-supplied IT setup, secure document storage and practice-management software
- Runs from home; no office lease required
- A network of other owners to learn from
- Long-established brand serving small-business tax, payroll and bookkeeping
- Initial classroom training and ongoing tax seminars
- Bundled tax and accounting software through the franchisor
- Franchisor can prepare tax returns on your behalf until you qualify
- Combined bookkeeping, payroll, tax preparation and advisory brand
- Initial training
- Optional central processing: the franchisor can prepare some returns and books for your clients for a fee
- Franchisor financing available for the initial fee
Going independent means
- You keep 100% of what you earn after costs — no royalties.
- You build your own brand, systems, and customer base.
- You need more self-reliance, especially in the first year.
Brand by brand
Enter the yearly revenue you expect, low and high, to see five-year totals for each brand. We don't have a sourced forecast for this business to start from.
Back to the Bookkeeping Services guide · Sources for these figures