Valpak is a leading name in the direct marketing industry, renowned for its innovative advertising solutions that effectively drive sales and brand awareness for businesses across the United States. Founded in 1968 by Terry Loebel, an unemployed autoworker, with a modest $500 loan, Valpak began its journey by mailing coupons from Loebel’s home in Clearwater, Florida.The company’s early success led to the establishment of its first franchise in Orlando, Florida, in 1972.
Today, Valpak is headquartered in St. Petersburg, Florida, and operates under the ownership of AmatoMartin, following a series of ownership transitions, including its acquisition by Cox Target Media, Inc. in September 1991, and later by Platinum Equity in January 2017 before AmatoMartin took over in November 2023.
Valpak’s signature product, the Blue Envelope of Savings, is mailed to over 41 million demographically targeted households each month. This direct mail piece is instrumental in introducing consumers to a wide array of offers and opportunities from both local and national businesses.
Number of locations
Here’s how many franchised and company-owned Valpak there have been in the United States over the past few years.
 | TOTAL UNITS 138 |
| FRANCHISED UNITS 48 |
Try for free
Initial investment
Here’s what you can expect to spend to start a Valpak franchise.
 | INITIAL INVESTMENT $81,000 – $201,000 |
| Type of Expenditure | Amount |
|---|---|
| Initial Franchise Fee | $1,600 – $2,500 |
| Training Fee | $10,400 – $15,000 |
| Territory Acquisition Fee | $12,000 – $100,000 |
| Prepaid Rent and Deposits | $0 – $4,800 |
| Business Telephone | $300 – $1,000 |
| Office Furniture | $0 – $2,500 |
| Office Equipment | $1,300 – $2,000 |
| Computer Hardware | $2,500 – $5,000 |
| Computer Software | $500 – $1,000 |
| Insurance | $1,000 – $2,000 |
| Additional Funds | $50,000 minimum |
| Vehicle | As Arranged |
| Start-Up Advertising/Marketing Funds | $1,000 – $15,000 |
| Total Estimated Initial Investment | $80,600 to $200,800 |
Note:The table above provides a snapshot of the main costs associated with starting the most common franchise format (as disclosed in theItem 7of the Franchise Disclosure Document). For a complete overview of all the expenses involved with the various formats offered by the franchisor, please consult the Franchise Disclosure Document.
Franchise fees & Royalties
Here are the main ongoing fees the franchisor will ask you to pay going forward to run the franchise.
 | INITIAL FRANCHISE FEE $2,000 - $2,500 |
 | ROYALTY FEE 0.00% |
Initial Franchise Fee
The initial franchise fee for Valpak varies depending on the status of the territory. For an active territory, the fee is $2,000, and for a dormant territory, it is $2,500. This fee is non-refundable and fully earned by the company upon the execution of the agreement.
Territory Acquisition Fee
The Territory Acquisition Fee is $5,000 for every 10,000 “Prime Households” in the territory, rounded to the nearest 10,000. For dormant territories, the fee phases in, starting with a minimum number of mailings.
Lease or Rent Fee
The estimated cost for the first 3 months’ rent for an office and a security deposit equal to 1 month’s rent varies based on local market conditions. The lower end assumes rent of $300 per month for cooperative shared office space.
Transfer Fee
A transfer fee of $1,000 is charged to help defray the direct and indirect costs of reviewing and processing proposed transfers.
Technology Fee
Technology fees include software license fees, which vary based on market size from $35 to $175 monthly, and software support and maintenance fees, which range from $78 to $180 monthly.
Profits
Here’s how much revenue and profits you can expect to make with a Valpak franchise, as indicated by the franchisor.
Find & compare the best franchises on
How to apply
Opening a Valpak franchise involves several steps, designed to ensure you are a good fit for the franchise. Here are the main steps to follow to open a Valpak franchise.
1. Research and Understand Valpak’s Business Model
- Explore Valpak’s official website, franchise portals, and business articles to gain a comprehensive understanding of what Valpak offers, its target market, and its position in the direct marketing industry.
- Look into the services provided by Valpak, such as direct mail advertising, digital marketing solutions, and the iconic Blue Envelope of savings.
2. Assess Your Financial Readiness
- Review the financial requirements for opening a Valpak franchise, including initial investment costs, franchise fees, and ongoing operational costs.
- Consider your financial resources and the potential need for financing. Valpak may offer financing options or have partnerships with financial institutions that you can leverage.
3. Contact Valpak for Franchise Information
- Reach out to Valpak through their website’s franchising section or by contacting their franchise development team directly.
- Request detailed franchise information, including the Franchise Disclosure Document (FDD), which outlines the legal and financial aspects of owning a Valpak franchise.
4. Attend a Discovery Day or Webinar
- Participate in a Discovery Day or an informational webinar hosted by Valpak. This is an opportunity to meet the franchisor team, ask questions, and get a feel for the company culture.
- Use this step to clarify any doubts or concerns about the franchise operation, support structure, and expectations from both sides.
5. Review the Franchise Agreement
- Carefully review the Franchise Agreement and the FDD with the help of a franchise attorney. Pay close attention to the terms of the agreement, obligations, franchisee support, and any territorial rights or restrictions.
- Discuss any concerns or questions with your attorney and the Valpak franchising team to ensure clarity and understanding of the agreement.
6. Secure Financing
- If you need financing to start your Valpak franchise, approach banks, credit unions, or financing companies that specialize in franchise investments.
- Consider leveraging any financing options or assistance provided by Valpak, as some franchisors offer in-house financing or have partnerships with lenders to facilitate the process for new franchisees.
7. Sign the Franchise Agreement
- Once you are comfortable with the terms and have secured financing, sign the Franchise Agreement to officially become a Valpak franchisee.
- Pay any required upfront fees as outlined in the agreement to secure your franchise rights.
8. Undergo Training and Set Up Your Franchise
- Participate in Valpak’s training program, which may include sales training, operational procedures, marketing strategies, and the use of proprietary software systems.
- Begin setting up your franchise, including finding a suitable location if necessary, hiring staff, and preparing for your launch with the guidance and support of Valpak.
Disclaimer
Disclaimer: This content has been madefor informational and educational purposes only. We do not make any representation or warranties with respect to the accuracy, applicability, fitness, or completeness of the information presented in the article. You should not construe any such information or other material as legal, tax, investment, financial, or other professional advice. Nothing contained inthis articleconstitutes a solicitation, recommendation, endorsem*nt, advertisem*nt, or offer to buy or sell any franchises, securities, or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the franchise and/or securities laws of such jurisdiction.
All content in this article is information of a general nature and does not address the detailed circ*mstances of any particular individual or entity. Nothing in the article constitutes professional and/or financial and/or legal advice, nor does any information in the articleconstitute a comprehensive or complete statement of the matters discussed or the law relating thereto. You alone assume the sole responsibility of evaluating the merits and risks associated with the use of any information or other content in this article before making any decisions based on such information or other content.
