Ace Hardware Painting ServicesFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Ace Hardware Painting Services franchise requires a total initial investment of $89K – $153K, including a $50K franchise fee and an ongoing 6.0% royalty[2]. The 2024 FDD does not disclose unit-level revenue (no Item 19). Verdict grade: D. Run a live ROI scan →
Data last verified June 18, 2026 · figures per the 2024 FDD issuance
Overview
- Investment
- $89K – $153K
- 26th pct Home Services
- Avg gross sales
- N/A
- 54th pct Home Services
- Royalty
- 6.0%
- 13th pct Home Services
- Units
- 3
- 9th pct Home Services
- SBA default
- 0.0%
- system-wide median varies by category
Quick verdict · Home Services · color = vs category peers
Green = >15% above Home Services avg · No shading = within ±15% · Red = >15% below avg · Source: FDD filings + SBA 7(a)
Data from public FDD filings and SBA records. Not financial advice. Methodology
Bottom line
- Total investment $89K – $153K including a $50K franchise fee, 6.0% ongoing royalty.
- No Item 19 financial performance data disclosed. The franchisor chose not to publish revenue figures.
- Verdict D (Below Average) with a risk score of 72/100.
- No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.
Item 1 · who you're contracting with
The Franchisor
- Legal entity
- Ace Painting Franchising, LLC
- Parent company
- Ace Services Holdings LLC
- Incorporated in
- DE
- HQ
- 390 Union Boulevard, Suite 520, Lakewood, Colorado 80228
- Auditor
- Ernst & Young LLP
- Audited financials
- Franchisor revenue
- $9.2B
- vs $9.1B prior year
Overview
About
Ace Hardware Painting Services franchisees operate residential and commercial painting operations under the Ace Hardware brand umbrella, leveraging the parent company's retail distribution network and brand recognition. Day-to-day activities include managing painting crews, scheduling jobs, sourcing materials through Ace locations, customer acquisition, and quality control. Franchisees assume full operational responsibility while paying 6% royalties on gross revenues to corporate.
- CEO
- Andy Bell
- Headquarters
- CO
- Founded
- 2021
- FDD year
- 2024
- States available
- 3
FDD Item 7 · 2024 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $50K | $50K |
| Working capital (3–6 mo) | $15K | $25K |
| Equipment, build-out, other | $24K | $78K |
| Total initial investment | $89K | $153K |
Source: Ace Hardware Painting Services 2024 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
- $89K – $153K
- Better than avg vs category
- Liquid capital req'd
- $15K – $25K
- Better than avg vs category
- Franchise fee
- $50K – $80K
- Near category avg vs category
- Royalty
- 6.0%
- Gross Revenues · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 6.0% of gross sales |
| Marketing / ad fund | 2.0% of gross sales |
| Technology fee | $650 |
| Transfer fee | $10K |
| Renewal fee | $6K |
| Total fee load | 8.0% of rev |
Financial Performance
This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.
vs Home Services averages
How Ace Hardware Painting Services Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 3
- Opened
- 2
- Last reporting year
- Closed
- 0
- Turnover rate
- 0.0%
- Company-owned
- 3
- Corporate units in the system
- % franchised
- 0%
- vs corporate-owned
3-year detail · Item 20
- Transfers (3yr)
- 0
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 20 states with active franchisees
The Territory Map
Derived from franchisee contact records. Shows states with at least one current operator. Not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).
States derived from franchisee contact records (FDD Item 20). Shows states with at least one current operator on file. Full state registration data (Item 12) will appear on a future FDD refresh.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 2 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 2
- Loan volume
- $750K
- Median loan
- $375K
- 50th percentile
- Charge-off rate
- 0.0%
- 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)
- N/A
- 5-yr charge-off
- N/A
- Loans approved 2021+
- Active lenders
- 1
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Ace Hardware Painting Services's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 1 lenders with concentration factor
- Per-state charge-off rates across 1 states
- Startup risk premium and job creation velocity
- 1-year lending trend
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Micro-system with undisclosed financials, parent company litigation involving fraud allegations, unclear growth potential, and going concern questions makes this a high-risk investment unsuitable for most franchisees.
Audited financials (Item 21)
Yes · Ernst & Young LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Score breakdown · what drove the 72 / 100 rating
- 01MINOROnly 3 operating units with unknown growth trajectory suggests minimal system traction and high failure risk
- 02HIGHParent company litigation history includes fraud and disclosure violation allegations, creating reputational and legal exposure
- 03MEDNo average revenue or net income disclosure (missing Item 19) prevents ability to validate ROI on $89k-$153k investment
- 04MINORHigh royalty burden at 6% with no performance benchmarks or profitability thresholds for franchisees
- 05HIGHGoing Concern status as 'False' indicates potential financial instability at corporate level
- 06MEDExtremely small franchise base (3 units) with 10-year commitment creates concentration risk and limited peer support
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 10 years |
|---|---|
| Renewal term | 10 years |
| Allowed renewalsℹ | 1 |
| Territory type | Household-based defined by zip codes |
| Protected territory | Yes |
| Online sales rights | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Jury trial waiver | Yes |
| Governing law | Colorado |
| Litigation count | 3 |
Items 10, 11
Training & Operations
- Classroom training
- 20 hrs
- On-the-job training
- 56 hrs
- POS system
- Ace Hardware Painting Services proprietary business operations software
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Ace Hardware Painting Services proprietary business operations software
Item 20 · call current owners
Franchisee Contacts
24 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Ace Hardware Painting Services · FDD (2024) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Ace Hardware Painting Services franchise?
The total investment to open a Ace Hardware Painting Services franchise ranges from $89K – $153K, with an initial franchise fee of $50K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Ace Hardware Painting Services franchise owners earn?
Ace Hardware Painting Services does not disclose average franchise owner earnings in their FDD Item 19. Not all franchisors are required to make financial performance representations. We recommend asking existing franchisees directly about their financial experience.
What is Ace Hardware Painting Services's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Ace Hardware Painting Services (fewer than 10 loans on file). Charge-off rates are one way to gauge franchise risk, but not all franchise loans go through the SBA program. We recommend reviewing turnover and closure data in the FDD and speaking with current franchisees.
How many Ace Hardware Painting Services franchise locations are there?
As of their most recent FDD filing, Ace Hardware Painting Services has 3 total units in the United States, including 0 franchised units and 3 company-owned units. 2 new units were opened in the latest reporting year.
Is Ace Hardware Painting Services a good franchise to buy?
FranchiseVerdict rates Ace Hardware Painting Services as a D-grade franchise with a risk score of 72 out of 100, 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.
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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.