Garage KingsFranchise Cost, Revenue & Review 2026
Data from FDD filing + SBA 7(a) records
FranchiseVerdict summary · 2026
A Garage Kings franchise requires a total initial investment of $166K – $208K, including a $60K franchise fee and an ongoing 6.0% royalty[2]. Per the 2022 FDD, average unit revenue was $453K[2]. Verdict grade: A. Run a live ROI scan →
Data last verified June 21, 2026 · figures per the 2022 FDD issuance
Overview
- Investment
- $166K – $208K
- 62nd pct Home Services
- Avg gross sales
- $453K
- 13th pct Home Services
- Royalty
- 6.0%
- 13th pct Home Services
- Units
- 23
- 28th 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 $166K – $208K including a $60K franchise fee, 6.0% ongoing royalty.
- Average unit revenue of $453K/year (median $411K).
- Verdict A (Top Quintile) with a risk score of 52/100.
- 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
- Legal entity
- GK USA Franchise LLC
- Parent company
- GK USA Parent LLC
- Ultimate parent
- Beautiful Surfaces Inc.
- CEO title
- Chief Executive Officer
- Troy S. Rainsberg
- CEO experience
- 20 yrs
- Years in role or industry
- Incorporated in
- DE
- HQ
- 1831 Delaware Ave. Wilmington, DE 19806
- Auditor
- Doeren Mayhew
- Audited financials
- Franchisor revenue
- $289K
- vs $223K prior year
Overview
About
Garage Kings franchisees operate automotive service facilities offering repair, maintenance, and diagnostic services. Day-to-day operations include managing technician teams, scheduling appointments, ordering parts inventory, and handling customer service. Revenue is highly dependent on local market density, technician productivity, and the competitive pressure created by unprotected territory.
- CEO
- Troy S. Rainsberg
- Headquarters
- DE
- Founded
- 2013
- FDD year
- 2022
- States available
- 18
FDD Item 7 · 2022 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $60K | $60K |
| Working capital (3–6 mo) | $10K | $25K |
| Equipment, build-out, other | $96K | $123K |
| Total initial investment | $166K | $208K |
Source: Garage Kings 2022 FDD, Items 5 and 7[2]. “Equipment, build-out, other” is computed as total minus disclosed line items above.
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
$50K
11.0% margin
Unlevered ROIC
24%
EBITDA / total invested capital
Payback
4.1 yrs
cash-on-cash, unlevered
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $166K – $208K
- Near category avg vs category
- Liquid capital req'd
- $10K – $25K
- Better than avg vs category
- Franchise fee
- $60K – $60K
- Near category avg vs category
- Royalty
- 6.0%
- percentage_of_gross · typical 6–8%
- Ad fund
- 2.0%
- typical 3–5%
- Total fee load
- 48.0%
- 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 | $40 |
| Training fee | $6K |
| Transfer fee | $10K |
| Renewal fee | $5K |
| Total fee load | 48.0% of rev |
At 48.0% total fee load, roughly $218K per year goes to the franchisor before you pay a single operating expense.
Financial Performance
- Avg gross sales
- $453K
- Per unit, per year
- Median gross sales
- $411K
- Item 19 type
- gross_sales
- Sample size
- 8 units
- vs category median 25 · small
- Range (low → high)
- $213K→$751K
- Cohort dispersion (min → max)
- Transparency
- 7 / 5
- vs category median 4 / 5 · above
Compared against 349 Home Services brands
vs Home Services averages
How Garage Kings Compares
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 23
- Opened
- 8
- Last reporting year
- Closed
- 3
- Terminated
- 0
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 13.0%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Multi-unit owners
- 12.5%
- Net growth (yr3)
- +27.8%
- Net unit change last year
- 3-yr CAGR
- +4.5%
- Compounded over last 3 years
3-year detail · Item 20
- Transfers (3yr)
- 0
- Projected new
- 10
- Franchisor's next-year forecast
- Ceased ops
- 13.0%
- Units that stopped operating
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 25 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.
Fast growth in a small system. Newer franchisors expanding quickly may not yet have the support infrastructure of larger systems.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA loan disclosures. This brand has only 7 7(a) loans on file; statistical reliability is limited below 10 loans.
- Total loans
- 7
- Loan volume
- $1.7M
- Median loan
- $229K
- 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)
- 100.0%
- 5-yr charge-off
- 0.0%
- Loans approved 2021+
- Active lenders
- 5
- Defaults
- 0
Explore lender portfolios on Bank Reports or regional data on State Reports.
Premium insight
SBA Lending Report
Deep-dive into Garage Kings's SBA lending history: lender network, geographic footprint, interest rates, and more.
SBA Lending Report
- Principal loss rate and NAICS industry benchmark
- 5 lenders with concentration factor
- Per-state charge-off rates across 5 states
- Startup risk premium and job creation velocity
- 4-year lending trend
Instant access. No subscription.
Risk analysis
FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17
Risk & Legal
Garage Kings presents moderate-to-caution risk due to non-disclosure of net income, unprotected territory enabling direct competition, prior regulatory litigation, and limited system maturity (23 units), making ROI validation impossible and profitability assumptions unreliable.
Litigation (Item 3)
Two administrative consent orders with state regulatory agencies: (1) Minnesota Department of Commerce - June 20, 2019 - related to offer and sale of one license in Minnesota, $1,000 penalty; (2) Washington Department of Financial Institutions Securities Division - September 11, 2019 - related to offer and sale of one license in Washington, $2,281.25 penalty. Neither admission nor denial of violations in either case.
Largest disclosed settlement: $2,281
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Doeren Mayhew
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 52 / 100 rating
- 01MEDNet income not disclosed in FDD despite $453K average revenue — inability to assess actual profitability and ROI on $165K-$208K investment
- 02HIGHHistorical litigation in Minnesota and Washington (2019) for unlawful offer/sale of licenses indicates potential compliance issues and regulatory scrutiny
- 03MINORUnprotected territory creates direct competition risk — multiple franchisees can operate in same area, fragmenting the $453K average revenue
- 04MINOR6% royalty on gross revenue (not net) is standard but painful if net margins are thin — critical to validate actual take-home profitability
- 05MED27.8% YoY unit growth is moderate but only 23 total units suggests small, young system with limited stability and support infrastructure
- 06MED10-year term is long; combined with unprotected territory and undisclosed profitability, creates exit risk if unit economics deteriorate
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 | 5 years |
| Allowed renewalsℹ | 2 |
| Territory type | Zip Codes |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Territory population | 100,000 |
| Online sales rightsℹ | Restricted |
| 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 | Wilmington, Delaware |
| Jury trial waiver | Yes |
| Governing law | Delaware |
| Litigation count | 2 |
View Item 3 litigation summary
Two administrative consent orders with state regulatory agencies: (1) Minnesota Department of Commerce - June 20, 2019 - related to offer and sale of one license in Minnesota, $1,000 penalty; (2) Washington Department of Financial Institutions Securities Division - September 11, 2019 - related to offer and sale of one license in Washington, $2,281.25 penalty. Neither admission nor denial of violations in either case.
Items 10, 11
Training & Operations
- Classroom training
- 71 hrs
- On-the-job training
- 42 hrs
- Training location
- Franchisor's location and on-site
- Ongoing training
- Required
- POS system
- Thryv
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: Thryv
Item 20 · call current owners
Franchisee Contacts
36 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
Garage Kings · FDD (2022) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Garage Kings franchise?
The total investment to open a Garage Kings franchise ranges from $166K – $208K, with an initial franchise fee of $60K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do Garage Kings franchise owners earn?
According to Item 19 of the Garage Kings FDD, the average gross sales per unit is $453K. The median is $411K. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
What is Garage Kings's franchise failure rate?
SBA 7(a) loan charge-off data is not available for Garage Kings (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 Garage Kings franchise locations are there?
As of their most recent FDD filing, Garage Kings has 23 total units in the United States, including 23 franchised units and 0 company-owned units. 8 new units were opened in the latest reporting year.
Is Garage Kings a good franchise to buy?
FranchiseVerdict rates Garage Kings as a A-grade franchise with a risk score of 52 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.