MAACO Franchise Cost, Revenue & Review 2026
- Investment
- $196K – $644K
- Disclosed sales
- $1.6M
- gross sales, not profit
- SBA charge-off
- 17.4%
- on 612 loans
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
Maaco is an automotive franchise specializing in collision repair and affordable auto painting and bodywork. Franchisees run body shops managing technicians, customer intake, insurance work, and quality control.
FranchiseVerdict summary · 2026
A Maaco franchise requires a total initial investment of $196K – $644K, including a $45K franchise fee and an ongoing 8.0% royalty[2]. Per the 2025 FDD, average unit revenue was $1.6M[2]. SBA 7(a) loans show a 17.4% charge-off rate across 612 loans[1]. FranchiseVerdict grade: B (Above average), an editorial assessment, not investment advice. Run a live ROI scan →
Sources, dates and evidence
FDD issued: · Data extracted: · Last cited check: · Staleness risk: medium - issued 12 to 24 months ago; a newer filing is likely on file
Evidence: strong✓ Investment (Item 7)✓ Item 19 status✓ Units and owners (Item 20)✓ SBA loan coverage✓ Litigation (Item 3)✓ Financial statements (Item 21)✓ Franchisor identityhow this is scored7 of 7 headline figures on this page cite a page of the filing.
Overview
- Investment
- $196K – $644K
- 27th pct Automotive
- Avg gross sales
- $1.6M
- Outlet subset16th pct Automotive
- Royalty
- 8.0%
- 40th pct Automotive
- Units
- 363
- 44th pct Automotive
- SBA charge-off
- 17.4%
- % of SBA 7(a) loans not repaid · median varies by category
Quick verdict · Automotive · color = vs category peers
Green = favorable by >10% vs Automotive median · 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
- COSTTotal investment $196K – $644K including a $45K franchise fee, 8.0% ongoing royalty.
- RETURNSAverage unit revenue of $1.6M/year (median $1.3M) (reported for a subset of outlets rather than the whole system).
- RISKVerdict B (Above average), verdict score 56/100 (higher is better). SBA loan charge-off rate of 17.4% across 612 loans (above the 16% franchise average, based on all SBA 7(a) franchise lending, 2010–2025).
- GROWTHNegative: net -13 franchised outlets in the latest year (6 opened, 19 closed); 125 signed but not yet open (Item 20).
- LEGAL10 litigation matters disclosed in Item 3, higher than typical. Review the summary for patterns (franchisor-initiated vs. franchisee-initiated).
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Maaco Franchisor SPV LLC
- Parent company
- Driven Systems LLC
- FDD Item 1, page 10 of the 2025 FDD
- Ultimate parent
- Driven Brands Holdings Inc.
- FDD Item 1, page 11 of the 2025 FDD
- Predecessor
- MAACO Franchising, LLC (MAA); Maaco Enterprises, Inc.
- Prior franchisor entity
- CEO title
- Manager and Chief Executive Officer
- Daniel Rivera
- Incorporated in
- DE
- HQ
- 440 South Church Street, Suite 700, Charlotte, North Carolina 28202
- Auditor
- Independent auditor (not named in text extract)
- Audited financials
- Franchisor revenue
- $270.2M
- vs $289.7M prior year
Affiliated brands
- Driven Brands Shared Services
Other brands the franchisor or its parent operates (Item 1).
Same owner · FDD Item 1, page 11
6 other brands on this site name Driven Brands Holdings Inc. as parent or ultimate parent in their own FDD.
Portfolio: Driven Brands
Grouped by the owner's name as each filing prints it (this page: the 2025 FDD). Spelling variants of the same group may be listed apart; a brand is never grouped with an owner its filing does not name.
Overview
About
- CEO
- Daniel Rivera
- Headquarters
- NC
- Founded
- 1972
- FDD year
- 2025
- States available
- 45
Can you afford it, and what does the money buy?
Entry cost runs 14% above the typical automotive franchise.
Source: FDD 2025 · Items 5–7
Full Item 7 breakdown8 line items
Initial investment breakdown
| Line item | Low | High | |
|---|---|---|---|
| Initial Franchise Fee (Auto Body Conversion Center)not refundable | $45K | $45K | |
| Initial Training and Opening Fee (Auto Body Conversion Center)not refundable | $10K | $10K | |
| Initial Advertising Contribution (Auto Body Conversion Center)not refundable | $15K | $15K | |
| Living Expenses During Training (Auto Body Conversion Center)not refundable | $4K | $5K | |
| Equipment, Signage and Initial Computer Hardware (Auto Body Conversion Center)not refundable | $33K | $307K | |
| Opening Inventory and Supplies (Auto Body Conversion Center)not refundable | $15K | $37K | |
| Construction, Design, Tenant Improvements and Miscellaneous Start-Up Costs (Auto Body Conversion Center)not refundable | $25K | $150K | |
| Additional Funds - 3 Months (Auto Body Conversion Center)not refundable | $50K | $75K | |
| Total initial investment | $196K | $644K |
Line items extracted from FDD Item 7. Ranges reflect the franchisor's stated low and high per line. Total is the sum of line-item lows / highs — actual costs may fall outside this range depending on market and build-out scope.
Item 7 · what it costs to open + operate
The Vitals
- Total investment
- $196K – $644K
- Top 40% of category vs category
- Liquid capital req'd
- $50K – $75K
- Top 40% of category vs category
- Franchise fee
- $45K – $45K
- Top 40% of category vs category
- Royalty
- 8.0%
- typical 6–8%
- Ad fund
- $1,200 per week minimum (flat weekly marketing fee; may b…
- Total fee load
- 8.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 8.0% of gross sales |
| Technology fee | $0 |
| Training fee | $10K |
| Transfer fee | $3K |
| Renewal fee | $3K |
| Inventory (initial) | $15K – $37K |
| Total fee load | 8.0% of rev |
What do units actually make?
Average unit sales run 57% above the automotive norm.
Reported for a subset of outlets rather than the whole system
Source: FDD 2025 · Item 19
Single-unit · not modelled
Returns at a glance
An FDD discloses gross sales, not profit, and the operating costs that turn one into the other are in no filing. We publish no modelled return for Maaco until someone supplies them — yours, in the models below.
—
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for ad fund rate, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
Total invested capital · disclosed
$483K
Item 7 initial investment plus working capital, as filed — the one figure here that needs no assumption.
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
What one unit earns on your invested capital
Model A · Single-Unit Return
Computes unlevered return on invested capital (ROIC) for a single franchise unit, read against the 30–60% reference band · Yale SOM, Post-MBA Path Exhibit 2 (2023). Below that band a passive index fund likely outperforms; above it the franchisor has pricing power you're subsidizing.
Note: Item 19 revenue is what the franchisor discloses, and it is the top line only — gross sales are not profit. No FDD discloses the operating costs that turn one into the other, so those fields start empty and nothing is modelled until you supply them from your own lease quote, labor market and build-out budget.
Returns model · single-unit ROIC
What would one Maaco unit return on the cash you put in?
Illustrative category typicals — not sourced to any filing, survey or sample. Replace them with figures from franchisee validation calls before you rely on the output.
Unlevered ROIC · per unit
Your modelled return on total invested capital, before any debt financing.
—
An FDD discloses gross sales, not profit. We hold no sourced figure for ad fund rate, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
What 25 units return when you use SBA financing
Model B · Return on Equity: Debt-Financed Acquisition
Models a 25-unit portfolio acquisition financed with an SBA 7(a) loan. Shows equity IRR (your return on cash invested), DSCR (how safely the cash flow covers debt service), and the capital stack (SBA + seller + equity breakdown).
This is the “search fund” or “entrepreneurship through acquisition” scenario: you buy an existing multi-unit operator, use leverage to amplify returns, and either operate or hire management. The 25-unit size is the typical minimum for an SBA-backed franchise portfolio acquisition to pencil as a full-time income.
What “return on equity” means here: if you put in $500K of your own cash and the business generates enough EBITDA to pay down debt and grow, your equity IRR is the annual return on that $500K, including the value created when you eventually sell. Target IRR for a search fund is typically 25–35%.
Not modelled yet
An FDD discloses gross sales, not profit. We hold no sourced figure for ad fund rate, COGS, labour, rent / occupancy and other operating costs, and will not substitute an assumed one. Enter your own and the model runs on your assumptions.
A 25-unit return is built on a per-unit EBITDA. Fill in the operating costs in Model A above and this model runs on that figure, or take the whole scenario to the full ROI workbench, where the portfolio and LBO models accept your own per-unit economics directly.
These models are for research and scenario planning only. Not investment advice. Actual results depend on your specific location, management, and market conditions. Consult a franchise attorney and accountant before signing any franchise agreement.
Item 19 · Source: 2025 FDD
Financial Performance
Reported for a subset of outlets rather than the whole system
- Avg gross sales
- $1.6M
- Per unit, per year
- Median gross sales
- $1.3M
Gross sales are revenue before expenses — not profit. Actual owner earnings depend on rent, labor, royalties, marketing fees, and debt service.
- Item 19 type
- gross receipts
- Sample size
- 317 outlets
- vs category median 70 · large
- Range (low → high)
- $446K→$10.5MCited, not corroborated — printed on page 76 of the 2025 FDD. Nothing else in our record independently restates or re-derives it.
- Cohort dispersion (min → max)
- Quartile band
- $1.0M→$2.2M
- Bottom 25% → top 25%
- Reporting year
- 2024
- Fiscal year the figures cover
- Source filing
- FDD 2025
- Disclosed in the 2025 filing, covering 2024
- Transparency
- 4 / 10
- vs category median 4 / 10 · typical
Compared against 167 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 $1.6M/year in gross sales. Median is $1.3M — top performers pull the average up, so a typical unit earns less. Revenue-to-investment ratio: 3.8x. Reported for a subset of outlets rather than the whole system.
Fee burden
Total ongoing fee load of 8.0% (near the Automotive median).
Disclosure
Transparency score 4/10 — this franchisor discloses detailed breakdowns (quartiles, segments, or cohort data). Buyers can model unit economics with higher confidence.
Operator retention
System contracting at -8.8% CAGR over 3 years. Investigate whether closures are franchisor-driven consolidation or franchisee exits.
Multi-unit rate
Only 14% of franchisees own multiple units. Could indicate challenging economics or a young system where operators haven't had time to expand.
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 medians
How MAACO Compares
Category median of published Automotive brands that report the figure; the middle half spans the 25th to 75th percentile and n counts the brands behind it. Medians are used because a few very large systems pull an average far from the typical brand. Revenue is disclosed gross sales, not profit.
Is the system healthy?
Source: FDD 2025 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 363
- Opened
- 6
- Last reporting year
- Closed
- 19
- Terminated
- 19
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 5.2%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Multi-unit owners
- 13.6%
- Net growth (3-yr)
- -8.8%
- Net unit change over 3 years
- 3-yr CAGR
- -8.8%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 19
- Not renewed
- 0
- Transferred
- 16
- Reacquired
- 0
- Franchisor bought back
- Signed, not yet open
- 125
- 0.34 per open outlet · Item 20 Table 5
- Projected new
- 11
- Franchisor's next-year forecast
- Transfer rate
- 4.4%
- Owners selling to other franchisees
- Continuity rate
- 95.0%
- Units that stayed open
- Termination rate
- 5.2%
- Franchisor-initiated terminations
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 12 · 45 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.
45
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
- 612
- Loan volume
- $226.5M
- Median loan
- $408K
- 50th percentile
- Charge-off rate
- 17.4%
- on 612 loans · 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)
- 82.6%
- 5-yr charge-off
- 35.7%
- Loans approved 2021+
- Active lenders
- 140
- Defaults
- 76
- Typical loan rate
- 7.7%
- avg rate to borrowers
- Franchised industry avg
- 17.2%
- brand above franchise avg ↑
- Jobs supported
- 1,187
- 2.2 per loan
- Lender concentration
- 14%
- top lender's share
Borrower mix: 45% went to startups / new businesses, 55% to established operators
Franchise vs independent — in automotive body, paint, and interior repair and , franchised businesses charge off at 17.2% vs 13.5% for independents — franchising is associated with 27% higher SBA default risk in this category.
Vintage analysis
MAACO charge-off rate by loan vintage
Top lenders financing MAACO franchisees
Showing 3 of 140 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.
Lender network · 7(a) + 504
SBA Lending Report
Full lending analysis for MAACO from SBA 7(a) FOIA data.
- Principal loss rate
- 4.1%
- Avg SBA guarantee
- 72%
- Avg interest rate
- 7.71%
- Avg chargeoff amount
- $378K
- Lender concentration
- 13.9%
- Job velocity
- 2.2 per $100K
- Startup risk premium
- +27.3pp
- NAICS benchmark
- 8.8%
- NAICS 811121
- Jobs supported
- 1,187
Top SBA lendersTop lender holds 14% of loans
| # | Lender | Loans | Volume | Default % |
|---|---|---|---|---|
| 1 | Live Oak Banking Company | 11 | $11.2M | 0.0% |
| 2 | The Huntington National Bank | 5 | $2.2M | 0.0% |
| 3 | The Bancorp Bank National Association | 4 | $1.3M | 0.0% |
| 4 | TD Bank, National Association | 4 | $4.4M | 0.0% |
| 5 | Webster Bank National Association | 3 | $1.7M | 100.0% |
| 6 | Hanover Community Bank | 3 | $2.8M | 0.0% |
| 7 | First Bank of the Lake | 3 | $3.5M | N/A |
| 8 | Manufacturers and Traders Trust Company | 3 | $1.0M | 0.0% |
| 9 | Florida Capital Bank, National Association | 2 | $349K | 100.0% |
| 10 | PNC Bank, National Association | 2 | $1.3M | 100.0% |
Geographic failure vector
| State | Loans | Defaults | Rate |
|---|---|---|---|
| NJNew Jersey | 13 | 0 | 0.0% |
| TXTexas | 8 | 0 | 0.0% |
| CACalifornia | 7 | 0 | 0.0% |
| NYNew York | 6 | 0 | 0.0% |
| MIMichigan | 4 | 0 | -- |
| AZArizona | 3 | 0 | 0.0% |
| MDMaryland | 3 | 0 | -- |
| WIWisconsin | 3 | 0 | 0.0% |
| FLFlorida | 2 | 0 | 0.0% |
| GAGeorgia | 2 | 0 | 0.0% |
SBA 7(a) lending trend
Borrower profile
Source: SBA 7(a) + 504 FOIA loan-level data, matched by FranchiseVerdict
What could kill this investment?
SBA loans here charge off near the 16.0% national average.
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
Maaco presents high-risk profile with a shrinking franchise system, absent profitability data, unresolved securities litigation, and unprotected territories that threaten franchisee sustainability.
Litigation (Item 3)
Subject: the franchisor is a named party (defendant).
Two franchisor-initiated actions against former franchisees (both concluded/settled). Three pending shareholder derivative/securities class actions against parent Driven Brands Holdings. Three concluded franchisee actions against franchisor/affiliates (including settlement for $5.5M to Maaco from franchisee, $100K paid by MAA to franchisees, $675K paid by MAA). One Canada affiliate action (settled CAN$500K). One Arby's affiliate state AG settlement.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Independent auditor (not named in text extract)
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Item 21 audited statements are the consolidated financials of parent guarantor Driven Systems LLC (FYE Dec 28, 2024), not the franchisor Maaco Franchisor SPV LLC. Balance-sheet figures are the audited Dec 28, 2024 year-end values (shown as comparatives in the unaudited interim balance sheet, in thousands). Full-year audited statement of operations (revenue, net income) and the CPA auditor report were present in Exhibit A but rendered as unreadable encoded/CID font text in this extract, so annual revenue/net income and auditor name left null. Note: the interim (3-month ended Mar 29, 2025) unaudited statement of operations showed Total revenue $63,575K (franchise fee revenue $60,197K + other revenue $3,378K) and net income $55,614K, but these are quarterly, not annual.
ⓘ These are the parent company's consolidated financials (the parent guarantees the franchisor), not this brand's standalone results — the figure reflects the whole corporate group, not this brand alone.
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
Score breakdown · what drove the 56 / 100 verdict
- 01MINORDeclining unit count (-3.5% YoY) signals system contraction and market saturation concerns
- 02HIGHMultiple active litigations including shareholder derivative and securities class actions create franchisor stability uncertainty
- 03MINORNo protected territory combined with 363 competing units increases cannibalization risk
- 04MED8% royalty on $1.6M average revenue = $128k annual royalty burden with undisclosed profitability
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 8.0% 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 | 15 years |
|---|---|
| Renewal term | 15 years |
| Allowed renewalsℹ | 1 |
| Territory type | No territory protection |
| Protected territory | No |
| Exclusive territoryℹ | No |
| Territory radius | 10 mi |
| Territory population | 50,000 |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Not allowed |
| Owner-operator | Required |
| Non-compete (years)ℹ | 1 year |
| Non-compete (miles)ℹ | 10 mi |
| Right of first refusalℹ | Yes |
| RoFR response window | 90 days |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Termination groundsℹ | 15 |
| Curable defaultsℹ | 3 |
| Mandatory arbitration | No |
| Arbitration location | Charlotte, North Carolina (litigation only, no arbitration) |
| Jury trial waiver | Yes |
| Governing law | NC |
| Litigation count | 10 |
View Item 3 litigation summary
Two franchisor-initiated actions against former franchisees (both concluded/settled). Three pending shareholder derivative/securities class actions against parent Driven Brands Holdings. Three concluded franchisee actions against franchisor/affiliates (including settlement for $5.5M to Maaco from franchisee, $100K paid by MAA to franchisees, $675K paid by MAA). One Canada affiliate action (settled CAN$500K). One Arby's affiliate state AG settlement.
Items 10, 11
Training & Operations
- Classroom training
- 127 hrs
- On-the-job training
- 0 hrs
- Training location
- Charlotte, North Carolina (and virtually for pre-work)
- Ongoing training
- Required
- Time to open
- 18 mo
- From signing to launch
- Site selection
- Franchisee with franchisor approval
- Franchisor financing
- Not offered
- Item 10
- POS system
- CCC One Base Package
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: CCC One Base Package
Item 20 · call current owners
Franchisee Contacts
28 owners to call
Name · phone · city · state. Extracted from FDD Item 20
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a Maaco franchise?
The total investment to open a Maaco franchise ranges from $196K – $644K, 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 Maaco franchise owners earn?
According to Item 19 of the Maaco FDD, the average gross sales per unit is $1.6M. The median is $1.3M. Important context: Reported for a subset of outlets rather than the whole system. Note: this is gross revenue, not profit. Actual owner earnings vary based on location, operating costs, and management.
Who owns Maaco?
Maaco is franchised by Maaco Franchisor SPV LLC. Its parent company is Driven Systems LLC. The ultimate parent named in the FDD is Driven Brands Holdings Inc.. Source: FDD Item 1, 2025 filing.
What is Item 19 in the Maaco FDD?
The FDD section where a franchisor may disclose financial performance of its outlets. Disclosure is optional and formats vary; figures are typically gross sales, which is revenue before expenses, not profit. FranchiseVerdict extracts these figures directly from the Maaco FDD and qualifies whose outlets they describe.
What is Maaco's franchise failure rate?
Based on SBA 7(a) loan data, Maaco has a charge-off rate of 17.4% across 612 loans, meaning 17.4% 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 Maaco franchise locations are there?
As of their most recent FDD filing, Maaco has 363 total units in the United States, including 363 franchised units and 0 company-owned units. 6 new units were opened in the latest reporting year.
Is Maaco a good franchise to buy?
FranchiseVerdict rates Maaco as a B-grade franchise with a verdict score of 56 out of 100 (higher is better). The grade is a deterministic score built from six weighted dimensions — financial health, unit economics, unit growth, scale, legal, and transparency — then calibrated against SBA loan charge-off rates and FDD age. Transparency is one of the six, so a filing that discloses less scores lower on that dimension than one that discloses more. 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.