Drive down any street in the US these days and it’s not long before you come across an office that prepares and files tax returns. Many of these are well known franchise offerings; some that have almost become consistent with tax preparation itself. There are also the names of yesteryear and the newcomers. Each of these franchises has a niche that they serve. Many of the smaller and newer tax franchise offices specialize in RALs or “Refund Anticipation Loans”. Some of the companies have names that sound like accounting firms, while others have more commercial-sounding names.

TAX DRx is a new and different kind of tax franchise that combines tax preparation and resolution services under one roof. We all know what tax preparation is, but tax resolution adds an interesting and profitable service to the TAX DRx franchise offering. Tax resolution is the service through which professionals work with those who have a problem with the IRS to help them “settle” differences and/or disputes. Many tax preparation offices are busy from January through the end of April, then close or open reduced hours after that time. TAX DRx offices generate income throughout the year, which makes their business model very different.

It is estimated that nearly sixty percent (60%) of American taxpayers pay a professional to prepare and file their returns. This makes tax preparation a big deal for the right person. Tax preparation is considered a recession-resistant business with low start-up costs. These two things combine to make it an attractive business now and for years to come.

The tax resolution aspect of TAX DRx makes it a very interesting franchise offering compared to other franchises. In order for a professional to offer tax resolution services, they must be an attorney, a CPA, or an IRS Enrolled Agent, a designation that can only be obtained after passing a test given by the IRS. TAX DRx hopes that all of its franchise owners will eventually have a professional designation to handle tax resolution work. TAX DRx has a way to assist any tax franchise owner with tax resolution cases until he obtains the required designation. By requiring franchise owners to have a better and deeper understanding of tax preparation, TAX DRx hopes to be able to offer a higher level of tax services than other tax franchises, thereby attracting clients who are willing to pay a little more for a better quality service.

Leave a comment

Your email address will not be published. Required fields are marked *