1-800-radiator Franchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
FranchiseVerdict summary · 2026
A 1-800-radiator franchise requires a total initial investment of $464K – $1.3M, including a $45K franchise fee and an ongoing 8.0% royalty[2]. Per the 2025 FDD, average unit revenue was $2.2M[2]. SBA 7(a) loans show a 23.4% charge-off rate across 65 loans[1]. FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2025 FDD issuance
Overview
- Investment
- $464K – $1.3M
- 38th pct Automotive
- Avg gross sales
- $2.2M
- 20th pct Automotive
- Royalty
- 8.0%
- 27th pct Automotive
- Units
- 194
- 31st pct Automotive
- SBA charge-off
- 23.4%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Automotive · color = vs category peers
Green = favorable by >10% vs Automotive avg · No shading = within ±10% · Red = unfavorable by >10% · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- Total investment $464K – $1.3M including a $45K franchise fee, 8.0% ongoing royalty.
- Average unit revenue of $2.2M/year (median $1.7M), with an estimated 19% cash-on-cash return.
- Verdict B (Above average), verdict score 56/100 (higher is better). SBA loan charge-off rate of 23.4% across 65 loans (well above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- No protected territory and the franchisor reserves the right to compete in your area. Clarify territorial boundaries before signing.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- 1-800-Radiator Franchisor SPV LLC
- Parent company
- Driven Systems LLC
- Ultimate parent
- Driven Brands Holdings Inc.
- Predecessor
- 1-800-RADIATOR & A/C Corporation; 1-800-Radiator Franchise Inc. (RFI)
- Prior franchisor entity
- CEO title
- Manager and Chief Executive Officer
- Daniel Rivera
- Incorporated in
- Delaware
- HQ
- 4401 Park Road, Benicia, California 94510
Overview
About
Wholesale distribution of radiators, condensers, air conditioning compressors, and other automotive parts and products from a warehouse location to automotive repair shops, parts stores, body shops, and other repair shops within a defined territory.
- CEO
- Daniel Rivera
- Headquarters
- California
- FDD year
- 2025
- States available
- 31
Can you afford it, and what does the money buy?
Entry cost runs 11% below the typical automotive franchise.
Source: FDD 2025 · Items 5–7
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $45K | $45K |
| Working capital (3–6 mo) | $50K | $150K |
| Equipment, build-out, other | $369K | $1.1M |
| Total initial investment | $464K | $1.3M |
Source: 1-800-radiator 2025 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $464K – $1.3M
- Top 40% of category vs category
- Liquid capital req'd
- $50K – $150K
- Top 40% of category vs category
- Franchise fee
- $45K – $45K
- Top 40% of category vs category
- Royalty
- 8.0%
- percentage · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 8.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $155 |
| Transfer fee | $20K |
| Renewal fee | $20K |
What do units actually make?
Average unit sales run 61% above the automotive norm.
Source: FDD 2025 · Item 19
Single-unit · estimated
Returns at a glance
Indicative numbers using FDD Item 7 / Item 19 inputs and category-benchmarked cost ratios. Full single-unit, 25-unit portfolio, and LBO models (with every input editable to stress-test your own scenario) live on the financials page.
Store EBITDA · annual
$323K
15.0% margin
Unlevered ROIC
33%
EBITDA / total invested capital
Payback
3.1 yrs
cash-on-cash, unlevered
Financial Performance
- Avg gross sales
- $2.2M
- Per unit, per year
- Median gross sales
- $1.7M
- Avg owner earnings
- $167K
- Cash-on-cash
- 18.8%
- Earnings / investment midpoint
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- average_sales_and_ebitda
- Sample size
- 112 units
- vs category median 75
- Range (low → high)
- $310K→$8.9M
- Cohort dispersion (min → max)
- Reporting year
- 2025
- Fiscal year the figures cover
Compared against 220 Automotive brands
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Unit economics
Average unit generates $2.2M/year in gross sales. Median is $1.7M — top performers pull the average up, so a typical unit earns less. Revenue-to-investment ratio: 2.4x.
Fee burden
8.0% royalty + 2.0% ad fund.
Operator retention
System roughly stable (0.0% 3-year CAGR) with 194 units.
Source: FDD Item 19 financial performance representations and publicly filed FDD data. Past performance is not indicative of future results. Verify all figures with the franchisor and current franchisees before making any investment decision.
vs Automotive averages
How 1-800-radiator Compares
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 194
- Opened
- 0
- Last reporting year
- Closed
- 0
- Terminated
- 1
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.5%
- Company-owned
- 1
- Corporate units in the system
- % franchised
- 1%
- vs corporate-owned
- Net growth (3-yr)
- +0.0%
- Net unit change over 3 years
- 3-yr CAGR
- +0.0%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 1
- Closed (3yr)
- 0
- Terminated (3yr)
- 1
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 10
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 31 states reported
The Territory Map
FDD Item 12 reports the state count, but the specific list isn't in our current data. The map will appear once we re-extract from the FDD or enough franchisee contacts are available.
31
states with franchisees (per FDD Item 12)
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 65
- Loan volume
- $14.6M
- Median loan
- $180K
- 50th percentile
- Charge-off rate
- 23.4%
- rates vary by category · see methodology
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- 76.6%
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 31
- Defaults
- 15
- Typical loan rate
- 5.7%
- avg rate to borrowers
- vs industry
- N/A
- NAICS 4231
- Jobs supported
- 391
- 2.7 per loan
- Lender concentration
- 15%
- top lender's share
Borrower mix: 0% went to startups / new businesses, 100% to established operators
Vintage analysis
1-800-radiator charge-off rate by loan vintage
Top lenders financing 1-800-radiator franchisees
Showing 3 of 31 lenders. The full breakdown — every lender, state distribution, interest rates & risk ratings — is in the SBA Lending Report below.
Explore lender portfolios on Bank Reports or regional data on State Reports.
A 23.4% charge-off rate means roughly 1 in 4 franchisees failed to repay their SBA loan. Investigate what changed.
What could kill this investment?
SBA loans charge off at 23.4% — 46% above the 16.0% national norm, i.e. higher lender-observed risk.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Litigation (Item 3)
No litigation against 1-800-Radiator itself. Item 3 discloses 5 pending securities/derivative actions against parent Driven Brands Holdings and its officers (Genesee, Terwilliger, Gaiman, Kalimon, Bushansky - all alleging failure to disclose info resulting in misstatements about Driven Brands Holdings business/prospects), plus a Maaco franchisee breach-of-contract suit (PJC Management) against affiliate Maaco/Driven Brands/Driven Systems, and historical settled affiliate actions (ARG/Arby's no-poach, Dunkin' no-poach and NY data breach settlements). None allege wrongdoing by 1-800-Radiator or affect the brand directly.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
What are you signing up for?
Ongoing fees run about 10.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2025 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 20 years |
|---|---|
| Renewal term | 20 years |
| Territory type | none |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Territory sizeℹ | Customer base of 500-3,000 Shops |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 2 years |
| Non-compete (miles)ℹ | 25 mi |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | Solano County, California |
| Governing law | California |
| Litigation count | 4 |
View Item 3 litigation summary
No litigation against 1-800-Radiator itself. Item 3 discloses 5 pending securities/derivative actions against parent Driven Brands Holdings and its officers (Genesee, Terwilliger, Gaiman, Kalimon, Bushansky - all alleging failure to disclose info resulting in misstatements about Driven Brands Holdings business/prospects), plus a Maaco franchisee breach-of-contract suit (PJC Management) against affiliate Maaco/Driven Brands/Driven Systems, and historical settled affiliate actions (ARG/Arby's no-poach, Dunkin' no-poach and NY data breach settlements). None allege wrongdoing by 1-800-Radiator or affect the brand directly.
Items 10, 11
Training & Operations
- Classroom training
- 40 hrs
- On-the-job training
- 0 hrs
- Training location
- Corporate Headquarters in Benicia, CA and Company-Owned Warehouse in Sacramento, CA
- Ongoing training
- Required
- Time to open
- 2 mo
- From signing to launch
- Site selection
- franchisor_approves
- Franchisor financing
- Not offered
- Item 10
- POS system
- WIZMO Software System
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: WIZMO Software System
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a 1-800-radiator franchise?
The total investment to open a 1-800-radiator franchise ranges from $464K – $1.3M, with an initial franchise fee of $45K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do 1-800-radiator franchise owners earn?
According to Item 19 of the 1-800-radiator FDD, the average gross sales per unit is $2.2M. The median is $1.7M. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is 1-800-radiator's franchise failure rate?
Based on SBA 7(a) loan data, 1-800-radiator has a charge-off rate of 23.4% across 65 loans, meaning 23.4% of franchise loans were charged off. Charge-off rates are one proxy for franchise risk, though they do not capture all closures. This data comes from FOIA-sourced SBA lending records.
How many 1-800-radiator franchise locations are there?
As of their most recent FDD filing, 1-800-radiator has 194 total units in the United States, including 193 franchised units and 1 company-owned units.
Is 1-800-radiator a good franchise to buy?
FranchiseVerdict rates 1-800-radiator as a B-grade franchise with a verdict score of 56 out of 100 (higher is better), based on our analysis of investment costs, revenue data, SBA loan performance, and growth trends. Our rating is based solely on publicly available FDD and government data; we recommend speaking with current franchisees before making any investment decision. This is not investment advice.
Data sourced from public FDD filings and SBA 7(a) FOIA records. Not financial advice.
For franchisors
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Data extracted from public FDD filings and SBA 7(a) loan disclosures (FOIA). This information is provided for research purposes only and does not constitute financial, legal, or investment advice. Verify all figures with the franchisor's current Franchise Disclosure Document before making any investment decision.