Jackson Hewitt Tax Service Franchise FDD, Profits & Costs (2025)
Jackson Hewitt Tax Service is one of the largest tax preparation franchises in the United States. The business traces its roots back to 1982 in Norfolk, Virginia, when founder John T. Hewitt acquired Mel Jackson’s Tax Service and rebranded it under the new name.
Today, the company operates from its headquarters in Jersey City, New Jersey. It launched its franchising program in 1986, right as the IRS was rolling out electronic filing, which helped fuel rapid growth across the country.
Over the years, Jackson Hewitt has built a strong reputation for providing affordable, accessible tax solutions. With thousands of locations nationwide, the brand has become a familiar resource for Americans seeking help during tax season.
The franchise provides a full suite of services, including state and federal tax preparation, audit support, refund advances, and amended returns.
Initial Investment
How much does it cost to start a Jackson Hewitt Tax Service franchise? It costs on average between $96,000 – $128,000 to start a Jackson Hewitt Tax Service franchised facility.
This includes expenses such as office setup, technology systems, supplies, and initial operating costs. The total investment can vary depending on factors such as the size of the office, the market location, and whether the franchisee decides to lease or purchase the property.
| Type of Expenditure | Amount |
|---|---|
| Application Fee | $500 |
| Initial Franchise Fee | $50,000 |
| Travel/Living Expenses While Training | $1,200 to $1,500 |
| Lease Payments | $4,500 to $16,000 |
| Leasehold Improvements | $0 to $2,500 |
| Equipment & Signs | $30,000 to $35,000 |
| Insurance | $850 to $2,000 |
| Initial Advertising | $5,000 |
| Additional Funds – 3 ½ months | $3,000 to $12,000 |
| Miscellaneous | $1,000 to $3,000 |
| Total | $96,050 to $127,500 |
Average Revenue (AUV)
How much revenue can you make with a Jackson Hewitt Tax Service franchise? A Jackson Hewitt Tax Service franchised center makes on average $96,000 in revenue (AUV) per year.
Here is the extract from the Franchise Disclosure Document:
Download the Franchise Disclosure Document
Frequently Asked Questions
How many Jackson Hewitt Tax Service locations are there?
As of the latest data, Jackson Hewitt Tax Service operates about 6,000 locations across the United States. Of these, roughly 3,900 are franchise-owned while about 1,800 are company-owned.
What is the total investment required to open a Jackson Hewitt Tax Service franchise?
The total investment required to open a Jackson Hewitt Tax Service franchise ranges from $96,000 to $128,000.
What are the ongoing fees for a Jackson Hewitt Tax Service franchise?
Jackson Hewitt Tax Service franchisees pay a royalty fee that can be as high as 15% of gross sales. In addition, they are required to contribute about 6.5% to 7% of gross sales to the system’s marketing and advertising fund.
What are the financial requirements to become a Jackson Hewitt Tax Service franchisee?
To become a Jackson Hewitt Tax Service franchisee, candidates are generally required to have a minimum net worth of $100,000 and at least $50,000 in liquid capital.
How much can a Jackson Hewitt Tax Service franchise owner expect to earn?
The average gross sales for a Jackson Hewitt Tax Service franchise are approximately $0.1 million per location. Assuming a 15% operating profit margin, $0.1 million yearly revenue can result in $15,000 EBITDA annually.
Who owns Jackson Hewitt Tax Service?
The franchise is owned by Jackson Hewitt Inc., which is a privately held company currently under the ownership of Corsair Capital, a private equity firm.
Disclaimer
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