Ameriprise Financial Services Franchise Cost & Failure Rate 2024

Do you want to open a business with a finance background? Ameriprise Financial Franchise is one of the best options you can consider for this.

It is the best franchise opportunity that you can count in the 15 best franchises under $10000.

In this article, we will discuss Ameriprise Financial Services Franchise and factors like its profit, expenses, cost, fees, and so on.

We will also guide you on how to become a part of Ameriprise Financial and earn profit. So, let’s get started.

Ameriprise Financial Services Franchise

About Ameriprise Financial

Ameriprise Financial was founded in 1894 with the aim – of helping American citizens achieve their financial goals and build confidence in their financial future.

For more than 125 years, they have remained committed to putting clients’ requirements first always.

Ameriprise is a top provider of mutual funds, annuities, financial planning, and insurance. Ameriprise Financial offers a franchise opportunity to entrepreneurs who want to join America’s leading financial company.

The policy of the franchise is very flexible. They never demand any kind of prior experience and also provide a training program and support to franchisees to grow their business.


Ameriprise Financial Services Franchise Model

Cost Or FeesAmount
Initial Investment$10,432 to $114,480
Franchise-Fee$1,500
Royalty-FeeN/A
Area RequirementN/A
Total Outlets4246

Advantage Of Ameriprise Financial

  • Equity ownership
  • You can choose your own location
  • Office branding assistance
  • Access to financing
  • Payout up to 91% with deferred compensation potential
  • Provide training and support
  • Peer-to-peer monitoring
  • A strong national brand

Ameriprise Financial Services Franchise Revenue & Profit

The revenue and profit of Ameriprise Financial Services Franchise can vary depending on many factors such as the size of the unit, location, total number of employees, etc.

Unfortunately, there is no data available on the revenue and profit of Ameriprise financial services since the company has not made the information public.

However, we do know that Ameriprise Financial Services made $14.756B for the year ending on June 30, 2023, showing a 6.96% year-over-year increase.

Ameriprise Financial Services Franchise Revenue & Profit

Ameriprise Financial’s Failure Rate

System-Wide Outlet Summary For Years 2020,2021 And 2022

Franchised Outlets:

YearOutlets at the Start of the YearOutlets at the End of the YearNet Change
20204,2814,309+28
20214,3334,221-112
20224,2334,141-92

For the Franchised outlets:

  • In 2020, the growth rate was (28)/4,281×100≈0.65%
  • In 2021, the failure rate was (112)/4,333×100≈2.58%
  • In 2022, the failure rate was (92)/4,233×100≈2.17%

Company-Owned Outlets:

YearOutlets at the Start of the YearOutlets at the End of the YearNet Change
20201,8791,934+55
20211,9061,795-111
20221,7571,747+10

For the Company-Owned outlets:

  • In 2020, the growth rate was (55)/1,879×100≈2.92%
  • In 2021, the failure rate was (111)/1,906×100≈5.82%
  • In 2022, the growth rate was (10)/1,757×100≈0.56%

Total Outlets:

YearOutlets at the Start of the YearOutlets at the End of the YearNet Change
202061606243+83
202162396016-223
202259905888+102

For Total outlets:

  • In 2020, the growth rate was (83)/6160×100≈1.34%
  • In 2021, the failure rate was (223)/6239×100≈3.57%
  • In 2022, the growth rate was (102)/5990×100≈1.70%

According to the above-mentioned data, we can see that the franchised outlets for Ameriprise Financial Services grew in 2020, showing a growth rate of 0.65%. However, the number of franchised outlets declined in the consecutive year 2021 and 2022, showing a failure rate of 2.58% and 2.17%.

On the other hand, for company-owned outlets, the failure rate of Ameriprise Financial Services was 5.82% in 2021. The company experienced growth in 2020 and 2020, showing a growth rate of 2.92% and 0.56% respectively.

Overall, when we combine the data of franchise and company-owned outlets, we can see that the Ameriprise Financial Services franchise has expanded in the years 2020 and 2022, showing a total growth rate between 1.34% and 1.70%. The failure rate of Ameriprise Financial Services was 3.57% in 2021.


Training & Support

Ameriprise Financial provides an initial training program to all the new franchisees.

This program is around 10 hours, of which 8 hours are spent in classroom training and 2 hours are spent in online training.

The training program is specially designed to give guidance on every aspect that will help you in developing the business.

It includes all basic concepts related to finance and its policies, and it will give a brief of every fact of finance that directly helps you to manage the business.

Subsequently, as per FDD, it is compulsory for the franchisees to attend the training program for the satisfaction of the franchisor, and franchisees also must pay some training fee.

The information related to the training fee is not available for this. You will have to read the Franchise Disclosure Document.


Term & Renewal Of Agreement

The initial length of the Ameriprise Financial agreement is three years. After completing three years of the term, the franchisees are eligible for another consecutive three years renewal of the term, but there are some conditions defined by the franchisor which must be fulfilled by the franchisees.

First, the franchise business should be in good standing, and second, it should generate a decent amount of revenue. 

Opportunities abound for entrepreneurs in finance franchising, including brands like Liberty Tax, H&R Block, and Allstate Franchise.


Ameriprise Financial Services Comparison

CompanyAmeriprise Financial Services H&R Block
Founded In18941995
Initial Investment$10,432 to $114,480$31,557-$157,898
Franchise-Fee$1,500$2,500
Total Outlet424612,000
Annual Revenue$11.9 Billion $3.463 Billion

Frequently Asked Question

How much does it cost to own the Ameriprise Financial Services franchise?

An initial investment required to open Ameriprise Financial Services Franchise is $10,432 to $114,480.

Is Ameriprise Financial a low-cost investment franchise?

Yes, Ameriprise Financial is a low-cost investment franchise and is also listed in the section for Franchises under $10k.

How many Ameriprise Financial Services franchises are there?

There are more than 4246 units of the Ameriprise Financial franchise across the U.S.

Who owns Ameriprise Financial Services?

Ameriprise Financial Services is owned by its parent company, Investors Syndicate Development Corp. but is a publicly traded company.

Who founded Ameriprise Financial Services?

Ameriprise Financial Services is founded by John Tappan in 1994.

Where is the headquarteres of Ameriprise Financial Services?

Ameriprise Financial Services is headquartered in Minneapolis, MN, and has 7 office locations located throughout the USA.

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