Alloy Wheel Repair Specialists
Bottom line
- Total investment $100K – $639K including a $40K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $391K/year (median $253K). Estimated payback in 0.6 years.
- Rated STRONG with a risk score of 54/100. SBA loan default rate of 0.0% across 26 loans (below the industry average).
- System contracting at -9.8% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).
Item 1 · who you're contracting with
The Franchisor
Yale framework · single-unit ROIC
Returns Analysis
Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.
The model · Yale framework
What would one Alloy Wheel Repair Specialists unit return on the cash you put in?
Unlevered ROIC · per unit
10%
Below typical band (30–60%)
Levered LBO scenario · Yale Crease Capital framing
What would 25 Alloy Wheel Repair Specialists units return on equity?
Equity IRR · 5-yr
49.9%
7.57× MOIC
Year-1 DSCR
1.88×
EBITDA ÷ debt service
Equity required
$234K
on $1.2M purchase
Total debt
$938K
SBA $0.6M + senior + seller note
Overview
About
Franchisees operate automotive repair centers specializing in alloy wheel restoration, refinishing, and repair services. Day-to-day operations include customer intake and diagnostics, wheel repair execution using specialized equipment, quality control, and inventory management of repair materials and replacement components. The business model targets both retail customers and fleet/commercial accounts seeking cost-effective wheel restoration versus replacement.
Item 7 · what it costs
The Vitals
Item 19
Financial Performance
Item 20 · unit dynamics
The Growth Chart
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 30 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 phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.
Government records
SBA Loan Data
Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
System contraction, unverified financials, and undisclosed going concern issues present meaningful risk despite no litigation.
Score breakdown · what drove the 54 / 100 rating
- 01MEDUnit count declined 5.1% YoY (87 units) suggesting system contraction and potential market saturation or franchisee dissatisfaction
- 02MEDNo Item 19 financial performance representation disclosed — cannot independently verify claimed $390K avg revenue or $612K net income figures
- 03MINORHigh investment range ($100K-$638.5K spread) indicates inconsistent territory valuations and undefined scalability parameters
- 04HIGHGoing Concern status is FALSE with no explanation — raises questions about franchisor financial stability and long-term viability
- 05MINOR6% royalty on gross revenue (not net) creates cash flow pressure during seasonal downturns common in automotive repair
Severity inferred from the FDD text · not a regulatory classification
FDD Items 5, 6, 12, 17 · continued from Risk & Legal
Contract & Territory Detail
Item 11
Training & Operations
Item 20
Franchisee Contacts
Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.
Franchisee contacts
61 numbers
One-time purchase · CSV download · Validation questions included
FDD download
Alloy Wheel Repair Specialists · FDD (2025) PDF