Founded in 2002 and headquartered in Philadelphia, Pennsylvania, Five Below today has nearly 1,200 stores in 40 states. Is 5 below a franchise? No, we do not franchise our stores. We lease and operate all of our own stores.
What kind of store is five below?
Five Below. Five Below Inc. (Stylized as fiVe BEL°W) is an American publicly held chain of discount stores that sells products that cost up to $5. The chain is aimed at kids, teens, and pre-teens, but has many adult products as well. Its products are mostly oriented to females, but has products for boys as well.
Why is five below called Five Below?
It’s been compared to a dollar tree that offers higher value products with pricing that does not exceed five dollars. This is why the name of the company is called five below. It is truly surprising how many people in America have not heard of the discount franchise.
Who are five below’s competitors?
Five Below’s biggest competitor in their niche in the retail sales industry is The Dollar Store. While they are a five dollar and below store, they have a lot of items that the traditional Dollar Stores do not carry.
Where should you open a five below franchise?
As a part of their strategic plan and business model, the owners and directors of the company prefer to open up their five below locations in metropolitan areas, preferably in strip malls and in major shopping centers that have multiple other retailers in operation nearby.
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How much is a Five Below franchise?
$300,000It costs $300,000 to open a Five Below store, and each new location generates about $450,000 in operating income within the first year. New stores have a cash payback period of just seven months!
What company owns Five Below?
Founded by Tom Vellios and David Schlessinger and headquartered in Philadelphia, Pennsylvania, the chain is aimed at tweens and teens. There are over 1,100 stores located across the United States. Five Below, Inc.
What kind of business is Five Below?
value retailerFive Below is a leading high-growth value retailer offering trend-right, high-quality products loved by tweens, teens and beyond. We believe life is better when customers are free to "let go & have fun" in an amazing experience filled with unlimited possibilities.
Is Five Below a good investment?
As of October 18, 2022, Five Below Inc had a $7.6 billion market capitalization, putting it in the 87th percentile of companies in the Retailers - Department Stores industry. Currently, Five Below Inc's price-earnings ratio is 33.0. Five Below Inc's trailing 12-month revenue is $2.9 billion with a 8.2% profit margin.
Why is it called 5 below?
The brand's defining mission became simply: “Five Below means you never have to pay more than $5 for the coolest, trendiest, highest quality stuff you just gotta have.”
Where is the headquarters for Five Below?
Philadelphia, PAFive Below / Headquarters
Do they drug test at Five Below?
No, Five Below does not drug test for entry-level jobs. However, they may require a drug test for managerial positions. Although they do not routinely drug test, Five Below reserves the right to request a drug test from an employee if they feel it is needed.
What country owns Dollar General?
United StatesDollar General Corporation is an American chain of variety stores headquartered in Goodlettsville, Tennessee. As of April 11, 2022, Dollar General operates 18,216 stores in the continental United States.
What is the return policy at Five Below?
Your store or online Five Below purchase** can be returned to any store location! Unopened or defective products may be exchanged for the same or a different item of equal value at any time after the purchase date.
Does Instacart have stock?
Instacart is currently a private company. However, it is expected to be available on the public markets in early 2022.
What country owns Dollar General?
United StatesDollar General Corporation is an American chain of variety stores headquartered in Goodlettsville, Tennessee. As of April 11, 2022, Dollar General operates 18,216 stores in the continental United States.
Who is the CEO of 5 below?
Joel D Anderson (Feb 1, 2015–)Five Below / CEOJoel D. Anderson has served as a director since February 2015, when he was appointed to serve as our President and Chief Executive Officer. Prior to becoming our President and Chief Executive Officer, Mr.
Is Five Below in Australia?
You can now get products from Five Below USA sent to Australia for a crazy low price.
Does Canada have 5 below?
Your local Five Below located at 1 Mills Circle is a place with unlimited possibilities where tweens, teens and beyond are free to Let Go & Have Fun in a color- popping, music pumping, super-fun shopping experience.
What is 5 below?
Five Below is an American chain store that offers products that are sold at a tremendous discount. It’s been compared to a dollar tree that offers higher value products with pricing that does not exceed five dollars. This is why the name of the company is called five below. It is truly surprising how many people in America have not heard of the discount franchise. Those who do not have one that is nearby have yet to discover the savings they can find on thousands of everyday items. This is a popular chain store with an interesting history and business model. There is a lot about them that even loyal and regular shoppers are not aware of so here are 20 things that you didn’t know about Five below to fill you in.
Where is Five Below located?
The first big move that Five Below made was to relocate their corporate headquarters in 2011. They moved to a larger headquarters in Philadelphia, PA. At this point in their history they had outgrown their previous location and they were in need of a much larger facility. they moved into an area that other well known companies occupied including Philadelphia Magazine, Merrill Lynch, eResearch Technology and the College of Radiology.
What is the target audience of Five Below?
This isn’t as ominous as it might sound. Five Below’s target audience is women, children, teens and adolescents. They assess what people within these groups are purchasing regularly and then they stock the shelves with items that will appeal to them as their target audience for sales. This is a very smart way to do business because it ensures that when shoppers come into the stores they are going to find a variety of items which have been stocked to either meet their needs or appeal to the demands that they have made in the marketplace, and they get them at discount prices which makes it all the better.
Why is Five Below so popular?
Five Below is good for the economy of the communities that they open new locations in . They not only add more jobs for the locals, each store quickly becomes a hub of shopping activity. It’s one of the more popular retail chain stores in the nation because of the wide variety of items that they offer for sale and additionally, they’re a discount store that offers hundreds of items for lower prices than their competition sells them for. This is why Five Below stores are usually very busy.
How much did Five Below donate to Hurricane Sandy?
When Hurricane Sandy Left behind a wake of damage and in some areas, total destruction, the American Red Cross was there to provide aid to the victims of the natural disaster. Five Below immediately set up a donation program at all of their registers to help in the cause. They gave shoppers the opportunity to donate $1 to the charity and when it was all said and done, Five Below and their shoppers had raised a total of $50,000 in donations. Five Below matched the amount of funding that was raised and donated $100,000 to help out.
What is the benefit of Five Below?
Another interesting fact that we learned about Five Below is that they offer some really great fund raising opportunities for non profit groups. Many of the local stores form partnerships with local agencies in the community to set up fundraisers. this gives anyone who receives an invitation from the group that is doing the fundraising to come into the store at a specially designated time to shop and ten percent of all of the sales made by shoppers with the invitations go back to the fundraising organization in the form of a donation. This is a win win situation for both the organization doing the fundraising and Five Below because they receive a tax break from the government for their donation activity.
How big is Five Below?
Each store is approximately 8,000 square feet which isn’t that big. They’ve laid out their floor plan by grouping their aisles around eight product categories. These are sports, party, technology, style ,create, room, candy and their seasonal area which is reserved for the changing of the seasons and holiday items.
How many Five Below stores are there?
During the past decade, Five Below has increased its store count more than fivefold. And after opening 34 net new stores in the most recent quarter, there are currently 1,121 locations in 39 states today. This represents an aggressive expansion plan, especially over a period of time when many other brick-and-mortar retailers have struggled.
Is Five Below stock outperformed?
Over the past five- and 10-year periods, Five Below stock has significantly outperformed its larger rival, and the market's optimism is certainly baked into the stock price today. Five Below's forward price-to-earnings ratio of 39 exceeds Dollar General's more attractive 21. Additionally, the market cap per store for Dollar General is $2.8 million, while for Five Below, it's a whopping $9.5 million, demonstrating the expectation shareholders have for the latter.
How many stores does Five Below have?
Five Below opened its first store in 2002 in Pennsylvania and now has 750 locations in 33 states. The store chain is going national with plans to open another 145 to 150 stores this year and expand to three new states.
Why is Five Below so popular?
First, the stores are easy to navigate with bright lighting and shelving that allows customers to see all the way across a store. There's also a treasure-hunt aspect to shopping at a store.
Why do companies strip costs out of the supply chain?
The company strips all costs out of the supply chain to sell as close to the source price as possible. They go as far as deflating basketballs so there's less weight and packaging during shipment.
Why do teens come back to Five Below?
Teenagers keep coming back to Five Below, because the store encourages them to come back. Five Below is a toy store for those too old for a toy store.
Why is Five Below still posting big numbers?
However, Five Below kept posting big numbers in 2018, because the company's merchandising strategy is designed to follow whatever is selling every year.
How much does it cost to open a Five Below store?
It costs $300,000 to open a Five Below store, and each new location generates about $450,000 in operating income within the first year. New stores have a cash payback period of just seven months!
Who is the CEO of Five Below?
Five Below CEO Joel Anderson is the former head of Walmart 's online business. He's applying his experience from running Walmart.com to Five Below. Walmart mastered the art of sourcing merchandise cheap and selling it cheap.
What Is a Franchise?
A franchise is a type of license that grants a franchisee access to a franchisor's proprietary business knowledge, processes, and trademarks , thus allowing the franchisee to sell a product or service under the franchisor's business name . In exchange for acquiring a franchise, the franchisee usually pays the franchisor an initial start-up fee and annual licensing fees .
Why do people buy franchises?
People typically purchase a franchise because they see other franchisees' success stories. Franchises offer careful entrepreneurs a stable, tested model for running a successful business. On the other hand, for entrepreneurs with a big idea and a solid understanding of how to run a business, launching your own startup presents an opportunity for personal and financial freedom. Deciding which model is right for you is a choice only you can make.
What Are the Risks of Franchises?
Disadvantages include heavy start-up costs as well as ongoing royalty costs. By definition, franchises have ongoing fees that must be paid to the franchisor in the form of a percentage of sales or revenue. This percentage can range between 4.6% and 12.5%, depending on the industry.
How Does the Franchisor Make Money?
Typically, a franchise agreement includes three categories of payment to the franchisor. First, the franchisee must purchase the controlled rights , or trademark , from the franchisor in the form of an upfront fee. Second, the franchisor often receives payment for providing training, equipment, or business advisory services. Finally , the franchisor receives ongoing royalties or a percentage of the operation's sales.
What is franchise contract?
Franchise Basics and Regulations. Franchise contracts are complex and vary for each franchisor. Typically, a franchise agreement includes three categories of payment to the franchisor. First, the franchisee must purchase the controlled rights, or trademark, from the franchisor in the form of an upfront fee.
What does a franchisor receive?
Finally, the franchisor receives ongoing royalties or a percentage of the operation's sales. A franchise contract is temporary, akin to a lease or rental of a business.
How long does a franchise contract last?
It does not signify business ownership by the franchisee. Depending on the contract, franchise agreements typically last between five and 30 years, with serious penalties if a franchisee violates or prematurely terminates the contract.
Overview
Five Below Inc. (stylized as fiVe BEL°W) is an American chain of specialty discount stores that sells products that are less than $5, plus a small assortment of products from $6 to $25. Founded by Tom Vellios and David Schlessinger and headquartered in Philadelphia, Pennsylvania, the chain is aimed at tweens and teens. There are over 1,100 stores located across the Uni…
History
David Schlessinger, founder of Encore Books and Zany Brainy, and Tom Vellios, former CEO of Zany Brainy, founded Five Below on October 4, 2002.
On March 18, 2020, Five Below announced the temporary closing of all stores due to the COVID-19 outbreak. However, as of May 29, 2020, 75% of Five Below stores across the United States reopened with plans for new stores to open up.
Growth and expansion
To date, Five Below operates over 1,100 stores in 40 states, employing over 90,000 associates along with two distribution centers. It began its outward expansion away from the Philadelphia Metro area by entering the Illinois and Michigan markets in 2011; Georgia, Kansas, Missouri and Western Michigan in 2012; Texas in 2013; Tennessee in 2014; Alabama, Florida and Kentucky in 2015; Louisiana, Minnesota, Oklahoma, West Virginia and Wisconsin in 2016, California in 2017 …
Store format
The average Five Below store size is 8,000 square feet (740 m ). The store specializes mainly in carrying a wide variety of merchandise at a low price.
Corporate affairs
In 2018, Five Below moved its corporate headquarters, now called WowTown, to the Lit Brothers Building in the Market East section of Philadelphia, PA, and has rights to more than 200,000 square feet. WowTown has over 300 employees.
Since 2005, Five Below has contributed over $19 million for organizations around the country who focus on the well-being of children. They have partnered with and supported Alex's Lemonade St…
External links
• Five Below Website