Grupo Select

Franchising

How the Select Start franchise works

In Select Start, the franchisee handles prospecting and relationships, and the franchisor delivers the technical services. Understand the model, the project terms and what Brazil's Franchise Law says.

Updated on · 6 min read

Select Start is Grupo Select's franchise project focused on recruitment and selection (R&S) and payroll and HR administration (DP) services, offered in Brazil. The idea is to separate two roles: the franchisee focuses on prospecting clients, building relationships and selling the authorized services, while the franchisor delivers the technical services.

This article explains how the model was designed, what terms are set out in the project and what Brazilian franchise law requires before any agreement is signed.

The terms described in this article are project terms, subject to commercial validation. Final amounts, percentages and rules will be set out in the Franchise Disclosure Document (COF, Circular de Oferta de Franquia) and in the agreement.

The model in one sentence

The franchisee sells and supports the client; Select delivers the service. The franchisee does not need to conduct interviews, calculate payroll or design selection processes. The role is commercial and relationship-focused.

How it works in practice

  1. The franchisee identifies companies in their region or network that need recruitment or payroll and HR administration.
  2. They present the authorized services and negotiate the contract within the terms defined by the franchisor.
  3. Once the contract is signed, the client is registered in Select's system and gains access to open positions and track processes.
  4. The franchisor's technical team delivers the service: the recruitment and selection process or the payroll routines.
  5. The franchisee maintains the client relationship, monitors the portfolio and identifies new opportunities.

Who does what

ActivityFranchiseeFranchisor
Client prospectingYesProvides materials and guidance
Negotiation and closingYes, within the authorized termsDefines services, prices and rules
Client relationshipYesSupports
Delivery of recruitment and selectionNoYes
Delivery of payroll routinesNoYes
System and client accessRequests registrationProvides and maintains
TrainingParticipatesProvides

Authorized services

The project provides for two main services to be sold by the franchisee:

  • Recruitment and selection: the client company contracts the opening of positions, and Select runs the selection process.
  • Payroll and HR administration: the client company outsources its payroll routines under an ongoing service agreement.

Other services in the Grupo Select ecosystem may only be offered by the franchisee if expressly authorized.

Project terms

The terms below are part of the Select Start project and are subject to commercial validation. They may be adjusted until the COF is issued.

ItemProject term (subject to commercial validation)
Initial investment (franchise fee)R$ 14,900.00 (BRL)
Payment methodUp to 12 credit card installments
Monthly royaltiesNot planned
Additional marketing feeNot planned
Recruitment compensation30% commission on the recruitment and selection service sold
Payroll compensation20% recurring commission on payroll and HR administration contracts

None of these terms represents a promise of earnings. The franchisee's compensation depends exclusively on contracts actually closed and paid for by clients, and there is no guarantee of profit, return on investment or minimum revenue. Before deciding, carefully assess your sales capacity, the market in your region and your own costs, such as travel, phone and local advertising.

Technology

The model provides for the client to have access to a system to open positions and track the progress of processes, and for the franchisee to track their portfolio and commissions. The original project document mentions the Selecty system for the recruitment pipeline. Grupo Select also develops its own technology, Select360 Talentos and Select360 ERP. The tools actually used at each stage will be specified in the COF and in training.

Who might be interested

  • Professionals with experience in consultative sales or business relationships.
  • HR professionals who prefer to work on the commercial side.
  • People with a strong network of business contacts in their region.
  • Those looking for a model that does not require building their own technical team.

The model requires commercial dedication. Without active prospecting and ongoing relationships, there are no contracts and, therefore, no compensation.

What Brazil's Franchise Law says

The business franchise system in Brazil is governed by Law 13,966/2019. Under the law, the franchisor authorizes the franchisee, by contract, to use trademarks and other intellectual property, together with the right to distribute products or services and to use methods and systems developed by the franchisor, in exchange for direct or indirect compensation. The law clarifies that this relationship does not constitute a consumer relationship or an employment relationship with the franchisee or its employees, including during training.

Franchise Disclosure Document (COF)

Before making any commitment, the candidate must receive the COF, a document containing information about the franchisor, the business, the amounts involved and the rules of the relationship. The law requires the COF to be delivered at least 10 days before the agreement or pre-agreement is signed, or before any fee is paid to the franchisor. If this deadline is not met, the franchisee may request annulment of the agreement and a refund of the amounts paid, under the terms of the law.

Read the COF carefully, compare it with the information you received during the sales phase and, if possible, consult a lawyer before signing.

Next steps

  1. Express your interest through the form on the franchise page.
  2. Initial conversation to understand your profile and your region.
  3. Receipt of the COF at least 10 days before signing or making any payment.
  4. Review of the documentation and answers to your questions.
  5. Decision and, if applicable, signing of the agreement and start of training.

For information purposes only. The terms mentioned are project terms, subject to commercial validation, and do not constitute a franchise offer or a promise of results. It does not replace specific legal or accounting advice.

Sources

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