PacLease Franchise Cost, Revenue & Review 2026
Data from FDD filing
Analysis by FranchiseVerdict Research · Methodology
PacLease is a commercial-truck leasing and rental franchise from PACCAR serving fleets and businesses. Franchisees run a dealership managing a truck fleet, lease and rental contracts, maintenance, and customer accounts.
FranchiseVerdict summary · 2026
A PacLease franchise requires a total initial investment of $554K – $904K, including a $4K franchise fee and an ongoing 1.0% royalty[2]. The 2026 FDD does not disclose unit-level revenue (no Item 19). FranchiseVerdict grade: A (Strongest tier), an editorial assessment, not investment advice. Run a live ROI scan →
Data last verified · figures per the 2026 FDD issuance
Overview
- Investment
- $554K – $904K
- 49th pct Automotive
- Avg gross sales
- N/A
- Royalty
- 1.0%
- 0th pct Automotive
- Units
- 457
- 45th pct Automotive
- SBA charge-off
- N/A
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
- COSTTotal investment $554K – $904K including a $4K franchise fee, 1.0% ongoing royalty.
- RETURNSFinancial statements are those of PACCAR Financial Corp. (the franchisor's parent division entity), a wholly owned subsidiary of PACCAR Inc., audited per SEC Form 10-K. FY ended Dec 31, 2025. Total interest and other revenues comprise interest and fee income ($771.1M), operating lease and rental revenues ($139.8M), and used truck sales and other revenues ($31.2M).
- RISKVerdict A (Strongest tier), verdict score 76/100 (higher is better).
- DATANo 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
Corporate structure & franchisor financials
- Legal entity
- PACCAR Leasing Company, a division of PACCAR Financial Corp.
- Parent company
- PACCAR Financial Corp.
- Ultimate parent
- PACCAR Inc
- Incorporated in
- WA
- HQ
- 777 – 106th Avenue NE, Bellevue, Washington 98004
- Auditor
- Ernst & Young LLP
- Audited financials
- Franchisor revenue
- $152.0M
- vs $880.5M prior year
Overview
About
- CEO
- K. D. Baney
- Headquarters
- WA
- Founded
- 1961
- FDD year
- 2026
- States available
- 47
Can you afford it, and what does the money buy?
Entry cost runs 22% below the typical automotive franchise.
Source: FDD 2026 · Items 5–7
FDD Item 7 · 2026 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $4K | $4K |
| Working capital (3–6 mo) | $50K | $150K |
| Equipment, build-out, other | $500K | $750K |
| Total initial investment | $554K | $904K |
Source: PacLease 2026 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
- $554K – $904K
- Middle of category vs category
- Liquid capital req'd
- $50K – $150K
- Top 40% of category vs category
- Franchise fee
- $4K – $4K
- Top 40% of category vs category
- Royalty
- 1.0%
- tiered · typical 6–8%
- Ad fund
- 0.0%
- typical 3–5%
- Total fee load
- 1.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 1.0% of gross sales |
| Marketing / ad fund | 0.0% of gross sales |
| Total fee load | 1.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
PacLease did not disclose financial performance in FDD Item 19. The ROIC and return models require Item 19 revenue. Without it all inputs are estimates. You can still run the calculator with your own assumptions by entering an expected revenue figure.
Returns model · single-unit ROIC
What would one PacLease unit return on the cash you put in?
Unlevered ROIC · per unit
Estimated return on your total franchise investment, before any debt financing.
22%
Below the 30–60% attractive-franchise band
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: 2026 FDD
Financial Performance
Financial statements are those of PACCAR Financial Corp. (the franchisor's parent division entity), a wholly owned subsidiary of PACCAR Inc., audited per SEC Form 10-K. FY ended Dec 31, 2025. Total interest and other revenues comprise interest and fee income ($771.1M), operating lease and rental revenues ($139.8M), and used truck sales and other revenues ($31.2M).
Operator outlook
What the numbers say
Data-driven interpretation of this brand's financial disclosures, fee structure, and system trajectory.
Fee burden
Total ongoing fee load of 1.0% — below the Automotive average of 9.3%.
Disclosure
Franchisor chose not to disclose financial performance representations. You will need to gather unit economics directly from existing franchisees.
Operator retention
System expanding at 9.6% CAGR over 3 years across 457 units — operators are staying and new ones are joining.
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 PacLease Compares
Is the system healthy?
Source: FDD 2026 · Item 20
Unit growth
Item 20 · unit dynamics
The Growth Chart
- Total units
- 457
- Opened
- 24
- Last reporting year
- Closed
- 3
- Terminated
- 3
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 0.2%
- Company-owned
- 2
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Net growth (3-yr)
- +9.6%
- Net unit change over 3 years
- 3-yr CAGR
- +9.6%
- Compounded over last 3 years
3-year detail · Item 20
- Opened (3yr)
- 26
- Closed (3yr)
- 1
- Terminated (3yr)
- 0
- Non-renewed (3yr)
- 0
- Transfers (3yr)
- 3
- Reacquired (3yr)
- 0
- Franchisor bought back
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 32 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 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
No SBA loan data available for this brand.
What could kill this investment?
Source: SBA 7(a) FOIA · FDD Items 3, 21
Risk analysis
FranchiseVerdict rating + FDD Items 3, 4, 8, 16, 21
Risk & Legal
PacLease presents moderate-to-cautionary risk due to missing financial disclosure, unprotected territories, and slow growth, though the low franchise fee and declining royalties at scale are attractive structural elements.
Litigation (Item 3)
0 case reference(s): 0 pending, 0 settled.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · Ernst & Young LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
ⓘ 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
- Kickbacks from required suppliers: Yes
- Must buy proprietary products: No
- Restricted to system-approved products: No
- Can negotiate own supplier terms: Yes
Score breakdown · what drove the 76 / 100 verdict
- 01MINORNo average revenue or net income disclosure (Item 19) prevents ROI validation and profitability assessment
- 02MINORUnprotected territory creates direct competition risk between franchisees in same market
- 03MINORModest 4.1% YoY unit growth suggests slow system expansion and potential market saturation
- 04MINORShort 3-year term limits long-term business stability and requires frequent renewal negotiations
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 1.0% of sales (royalty + ad fund), before rent and labor.
Source: FDD 2026 · Items 11, 12, 17
FDD Items 12, 15, 17 · continued from Risk & Legal
Contract & Territory Detail
| Initial term | 3 years |
|---|---|
| Renewal term | 3 years |
| Territory type | none |
| Protected territory | No |
| Online sales rights | Granted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 90 days |
| Curable defaultsℹ | 1 |
| Mandatory arbitration | No |
| Jury trial waiver | No |
| Governing law | Washington |
| Litigation count | 0 |
View Item 3 litigation summary
0 case reference(s): 0 pending, 0 settled.
Items 10, 11
Training & Operations
- Classroom training
- 10 hrs
- On-the-job training
- 16 hrs
- Training location
- Bellevue, WA (or online via Microsoft Teams) and franchise location
- Ongoing training
- Optional
- Site selection
- Franchisee (existing facility), with franchisor approval required
- Franchisor financing
- Offered
- Item 10
Items 5 & 11
Franchisor Support
Item 20 · call current owners
Franchisee Contacts
434 owners to call
Name · phone · city · state. Extracted from FDD Item 20
FDD download
PacLease · FDD (2026) PDF
Frequently asked questions
Frequently Asked Questions
How much does it cost to open a PacLease franchise?
The total investment to open a PacLease franchise ranges from $554K – $904K, with an initial franchise fee of $4K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD).
What do PacLease franchise owners earn?
PacLease 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 Item 19 in the PacLease 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 PacLease FDD and qualifies whose outlets they describe.
What is PacLease's franchise failure rate?
SBA 7(a) loan charge-off data is not available for PacLease (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 PacLease franchise locations are there?
As of their most recent FDD filing, PacLease has 457 total units in the United States, including 455 franchised units and 2 company-owned units. 24 new units were opened in the latest reporting year.
Is PacLease a good franchise to buy?
FranchiseVerdict rates PacLease as a A-grade franchise with a verdict score of 76 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
Are you the franchisor?
If you represent PacLease, you can request corrections or provide updated information.
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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.