licence set-up costs

make an investment in your own future

The initial fee of £13,900 +VAT  gives you exclusive the rights to operate an expost Mail Centre within the reserved,  protected,  territory of Yorkshire for a term of five years.   It covers the cost of training,  IT hardware,  specialist equipment,  sales & marketing,  all consumables for the first 12 months,  access to our bespoke software,  ongoing support and system development.

We know,  from the frequency of telephone and email enquiries,  that virtual addresses in both Leeds and Sheffield are in demand.   Part of this is undoubtably due to the region being so heavily populated,  with a trading a tradition and a high number of small to medium sized businesses.

annual licence fees

There are none!   At the end of the five year term,  all you will need to pay for a further five years is 25% of the original initial fee,  plus VAT of course.   Renewal of the Licence will also renew your geographical exclusivity for the same extended period.

Happy franchisee couple in Leeds, with parcels

operating costs

on-going & sales related costs

licence royalties

Our income is limited to the Royalties charged on account sales and mail handling,  we only profit from your financial success!

Even though all sales,  marketing,  advertising,  customer support and administration is handled exclusively by our dedicated teams at Philbeach on your behalf,  we only retain 40% +VAT of gross revenues as a Royalty,  with the balance credited to your bank account at the end of each month.

The cost to operate the Yorkshire Mail Centre
fixed overheads

If you intend to operate the Yorkshire Mail Centre yourself,  from home,  then you should have no additional workspace or staff related outgoings whatsoever.   The business is effectively overhead free,  aside from broadband internet and some form of commercial insurance  ( this may be required by law if you are trading as a Limited Company ).   For your guidance,  a minimum of £10,000 all risks cover is suggested for computer hardware,  mailsort furniture and consumables held in stock.

Mail held at your Centre is insured at the rate of £1 per letter, £2 per large letter and £10 a parcel,  with any single claim being limited to £50 in aggregate. . .  so we have found that the most cost effective option is to self-insure mail-in-hand.   Your Mail Centre management reports include a real-time update on the current insurance exposure.


The largest operational cost is,  by far,  the postage and courier charges incurred when forwarding your customers' mail.

But you don't pay them!   Whether you are forwarding a single letter to Scunthorpe via the Royal Mail,  or despatching two 20Kg parcels to Switzerland by DHL or UPS,  the postal or shipping costs are all covered by our national credit accounts!

( call our development team for more information on 0333 789 0011 )


earnings & income

sales, renewals, handling & scanning

Projected Licence revenue for the Yorkshire Mail Centre

Please note that the sales figures used in the following projections are drawn directly from the actual performance of your closest active Licence,  in Telford,  which serves a very similar demographic,  but a smaller geographical area.

account sales

The income from the sale of new accounts,  and subsequent renewals,  constitutes the primary revenue stream for your Mail Centre.   To help put these projections into perspective;   even in year three,  they still represent less than one account sale per day.

3 month account:  £100
6 month account:  £180
12 month account:  £240

Average sales value:  £216
Net of Royalties:  £112

account renewals

New account sales are augmented by renewals in subsequent years.   The current retention rate for accounts across our UK network of Mail Centres is over 80% and there is no evidence to suggest that this figure would be any lower in Yorkshire.

operational revenues

As your Mail Centre accumulates customer accounts,  the income arising from mail handling fees,  scanning and surcharges  ( 'Operational Revenues'  )  grows proportionately,  because the longer a customer holds an account with you,  the more mail they will process through the Centre each month.

handling charges

Letter handling:  £0.60
Large Letter handling:  £1.00
Parcel handling:  £3.00
Scanning:  £0.50
Surcharges:  £3.00

Although the Operational Revenue in our Head Office Mail Centre now exceeds that generated by Account Sales,  for the purposes of the projections it has been assumed that the mean Operational Revenue per active Account will equate to just 45% of the Sales value in year one,  rising to 85% in subsequent years,  as your customers' account usage matures.

financial summaries

36 month projections - expost yorkshire

Year 1  total account sales:  80
Year 2  total account sales:  110
Year 3  total account sales:  150
Active accounts, year 3:  289

financial projections

TOTAL SET-UP COST:  £13,400  (+ VAT)
Year 1   Projected revenue:  £13,000   ( net of Royalties & VAT )
Year 2   Projected revenue:  £29,500   ( net of Royalties & VAT )
Year 3   Projected revenue:  £50,100   ( net of Royalties & VAT )


billing & reconciliation

Calculator illustrating financial summaries for Yorkshire mailbox Licence

ProPost incorporates a comprehensive accounting module that keeps track of every letter and parcel you handle,  every scan,  customer credit,  royalty payment,  transaction fee,  surcharge and VAT;  then uses this data to present you with a real-time,  fully reconciled,  statement of account.   At the end of each calendar month,  the net revenue due is transferred from expost's client account,  directly into your real-world bank.