RimTyme Franchise Cost, Revenue & Review 2026
- Investment
- $473K – $802K
- Disclosed sales
- not disclosed
- SBA charge-off
- Limited · 12 loans
Data from FDD filing + SBA 7(a) records
Analysis by FranchiseVerdict Research · Methodology
RimTyme is an automotive retail franchise offering custom wheels and tires on a lease-to-own basis. Franchisees run the stores, managing wheel and tire inventory, installation, lease agreements, and collections.
FranchiseVerdict summary · 2026
A RimTyme franchise requires a total initial investment of $473K – $802K, including a $15K – $25K franchise fee and an ongoing 4.0% royalty[2]. Item 5 conditions this fee. The figure shown is the lowest amount the filing discloses, and the filing ties that amount to a qualifying condition — so it is not necessarily what a first-time single-unit franchisee pays. This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. FranchiseVerdict grade: D (Below 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 scored3 of 4 headline figures on this page cite a page of the filing; the rest are marked “Not cited” beside the figure.
Overview
- Investment
- $473K – $802K
- 46th pct Automotive
- Avg gross sales
- N/A
- Royalty
- 4.0%
- 4th pct Automotive
- Units
- 29
- 17th pct Automotive
- SBA charge-off
- N/A
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 $473K – $802K including a $15K franchise fee, 4.0% ongoing royalty. Item 5 conditions this fee. The figure shown is the lowest amount the filing discloses, and the filing ties that amount to a qualifying condition — so it is not necessarily what a first-time single-unit franchisee pays.
- RETURNSThis franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
- RISKVerdict D (Below average), verdict score 31/100 (higher is better).
- GROWTHNegative: net -9 franchised outlets in the latest year (0 opened, 9 closed) (Item 20).
- FLAG9 units terminated last reporting year (31.0% of the system). Ask existing franchisees why.
Item 1 · who you're contracting with
The Franchisor
Corporate structure & franchisor financials
- Legal entity
- Rent-A-Center Franchising International, Inc.
- Parent company
- RAC East (Rent-A-Center East, Inc.)
- FDD Item 1, page 6 of the 2025 FDD
- Ultimate parent
- Upbound Group, Inc. (NASDAQ: UPBD)
- FDD Item 1, page 6 of the 2025 FDD
- Predecessor
- ColorTyme, Inc.
- Prior franchisor entity
- CEO title
- Chief Executive Officer of Upbound Group, Inc. (and Corporate Director of Franchisor)
- Mitchell E. Fadel
- Incorporated in
- Texas
- HQ
- 5501 Headquarters Drive, Plano, Texas 75024
- Auditor
- CliftonLarsonAllen LLP
- Audited financials
- Franchisor revenue
- $118.2M
- vs $122.2M prior year
Overview
About
- CEO
- Mitchell E. Fadel
- Headquarters
- TX
- Founded
- 1980
- FDD year
- 2025
- States available
- 12
Can you afford it, and what does the money buy?
Entry cost runs 73% above the typical automotive franchise.
Source: FDD 2025 · Items 5–7
Item 5 conditions this fee. The figure shown is the lowest amount the filing discloses, and the filing ties that amount to a qualifying condition — so it is not necessarily what a first-time single-unit franchisee pays.
FDD Item 7 · 2025 filing
Initial investment breakdown
| Cost component | Low | High |
|---|---|---|
| Initial franchise fee | $15K | $15K |
| Working capital (3–6 mo) | $95K | $130K |
| Equipment, build-out, other | $363K | $657K |
| Total initial investment | $473K | $802K |
Source: RimTyme 2025 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
- $473K – $802K
- Middle of category vs category
- Liquid capital req'd
- $95K – $130K
- Middle of category vs category
- Franchise fee
- $15K – $25K
- Conditional fee
- Royalty
- 4.0%
- typical 6–8%
- Ad fund
- Combined local advertising + National Ad Fund contributio…
- Total fee load
- 7.0%
- vs 9–13% typical
Ongoing fees · Item 6
| Fee | Amount |
|---|---|
| Royalty | 4.0% of gross sales |
| Technology fee | $504 |
| Transfer fee | $5K |
| Renewal fee | $3K |
| Inventory (initial) | $210K – $300K |
| Total fee load | 7.0% of rev |
ROI & LBO modelsSingle-unit · 25-unit portfolio · editable
RimTyme makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. The return models need a revenue figure to start from, and the operating costs that turn gross sales into a profit are in no FDD. Enter your own and the calculator runs on your assumptions — nothing here is modelled until you do.
Returns model · single-unit ROIC
What would one RimTyme 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 annual revenue, 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.
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
No financial performance representation
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that.
Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
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 7.0% (near the Automotive median).
Disclosure
This franchisor makes no financial performance representation in Item 19 of its FDD. Item 19 is voluntary under the FTC Franchise Rule, and this filing states that it makes none, so no revenue or earnings figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Operator retention
System contracting at -21.6% CAGR over 3 years. Investigate whether closures are franchisor-driven consolidation or franchisee exits.
Multi-unit rate
Only 13% 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 RimTyme 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
- 29
- Opened
- 0
- Last reporting year
- Closed
- 9
- Terminated
- 9
- Franchisor ended the franchise (per Item 20)
- Non-renewed
- 0
- Term expired, not renewed (per Item 20)
- Turnover rate
- 31.0%
- Company-owned
- 0
- Corporate units in the system
- % franchised
- 100%
- vs corporate-owned
- Multi-unit owners
- 12.5%
- Net growth (3-yr)
- -21.6%
- Net unit change over 3 years
- 3-yr CAGR
- -21.6%
- Compounded over last 3 years
Last fiscal year · Item 20 exits and transfers
- Terminated
- 9
- Not renewed
- 0
- Transferred
- 0
- Reacquired
- 0
- Franchisor bought back
- Signed, not yet open
- 0
- 0.00 per open outlet · Item 20 Table 5
- Projected new
- 0
- Franchisor's next-year forecast
Year-over-year franchised unit counts and net change. Source: FDD Item 20.
Item 20 · 13 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.
Where the owners are · Item 20 owner list
30 current owners across 13 states.
- NC 7
- GA 4
- TN 3
- VA 3
- AL 2
- KY 2
- OH 2
- SC 2
- IL 1
- IN 1
- LA 1
- MS 1
- +1 more states
Counts only, from the list the franchisor prints in Item 20. Names and phone numbers are for your own due diligence and are not shown here.
SBA loan performance
Government records
SBA Loan Data
Aggregated from SBA 7(a) and 504 loan disclosures, public data unique to FranchiseVerdict.
- Total loans
- 12
- Loan volume
- $10.7M
- Median loan
- $895K
- average
- Charge-off rate
- Limited · 12 loans
- Limited SBA coverage: 12 loans, rate hidden until 10 have resolved and loans reach 2% of franchised units
Historical SBA 7(a) lending data, not predictive of future performance. How SBA charge-off rates are calculated
- Repayment rate (PIF)
- Limited · 12 loans
- 5-yr charge-off
- Limited · 12 loans
- Loans approved 2021+
- Active lenders
- 0
- Defaults
- 2
Explore lender portfolios on Bank Reports or regional data on State Reports.
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
Litigation (Item 3)
Subject: the franchisor is a named party (defendant).
Item 3 discloses seven matters: a 2015 ColorTyme franchisee arbitration over royalty renewal terms (dismissed without payment); a securities class action (Hall/DePalma) settled for $11 million in 2018; a California Karnette Rental-Purchase Act class action (Blair) settled for $13 million in 2019; an FTC Civil Investigative Demand regarding lease-agreement purchase/sale practices, settled via consent order with no fines; a California AG investigation of Acceptance Now settled for $15.5 million in 2022; a Massachusetts AG matter settled for $8.75 million in 2023; and a Georgia AG Assurance of Voluntary Compliance regarding debt-collection practices (2022). No litigation against franchisees disclosed.
Bankruptcy (Item 4)
None disclosed
Audited financials (Item 21)
Yes · CliftonLarsonAllen LLP
Franchisor revenue (Item 21)
Franchisor entity revenue (not unit-level)
Financial statements are for Rent-A-Center Franchising International, Inc. (the franchisor entity), which also franchises the Rent-A-Center and ColorTyme brands; figures are not RimTyme-specific.
Supplier relationship · Items 8 & 16
- Franchisor sells you products: Yes
- Kickbacks from required suppliers: No
- Must buy proprietary products: Yes
- Restricted to system-approved products: Yes
- Can negotiate own supplier terms: No
Score breakdown · what drove the 31 / 100 verdict
- 01MINORSeven Item-3 matters incl. $11M and $13M class-action settlements
- 02MINORNo Item 19 earnings disclosure
- 03HIGHFinancials strong (net worth $26.8M) but litigation count high relative to system size
Severity inferred from the FDD text · not a regulatory classification
What are you signing up for?
Ongoing fees run about 7.0% 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
| Allowed renewalsℹ | 1 |
|---|---|
| Territory type | Protected territory |
| Protected territory | Yes |
| Exclusive territoryℹ | No |
| Territory radius | 5 mi |
| Online sales rightsℹ | Restricted |
| Franchisor can compete | Yes |
| Hire a manager? | Allowed |
| Owner-operator | Optional |
| Non-compete (years)ℹ | 2 years |
| Right of first refusalℹ | Yes |
| Transfer requires consent | Yes |
| Termination notice | 30 days |
| Mandatory arbitration | Yes |
| Arbitration location | Texas |
| Jury trial waiver | Yes |
| Governing law | Texas |
| Litigation count | 8 |
View Item 3 litigation summary
Item 3 discloses seven matters: a 2015 ColorTyme franchisee arbitration over royalty renewal terms (dismissed without payment); a securities class action (Hall/DePalma) settled for $11 million in 2018; a California Karnette Rental-Purchase Act class action (Blair) settled for $13 million in 2019; an FTC Civil Investigative Demand regarding lease-agreement purchase/sale practices, settled via consent order with no fines; a California AG investigation of Acceptance Now settled for $15.5 million in 2022; a Massachusetts AG matter settled for $8.75 million in 2023; and a Georgia AG Assurance of Voluntary Compliance regarding debt-collection practices (2022). No litigation against franchisees disclosed.
Items 10, 11
Training & Operations
- Classroom training
- 0 hrs
- On-the-job training
- 15 hrs
- Site selection
- Franchisee selects, subject to franchisor approval; franchisor provides demographic/market analysis
- Franchisor financing
- Not offered
- Item 10
- POS system
- VersiRent
- Operating tech stack
Items 5 & 11
Franchisor Support
Technology: VersiRent
Item 20 · call current owners
Franchisee Contacts
30 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 RimTyme franchise?
The total investment to open a RimTyme franchise ranges from $473K – $802K, with an initial franchise fee of $15K. This includes real estate, equipment, inventory, and working capital as disclosed in their Franchise Disclosure Document (FDD). Item 5 conditions this fee. The figure shown is the lowest amount the filing discloses, and the filing ties that amount to a qualifying condition — so it is not necessarily what a first-time single-unit franchisee pays.
What do RimTyme franchise owners earn?
RimTyme makes no financial performance representation in Item 19 of its FDD - a voluntary item under the FTC Franchise Rule - so no unit revenue figures are disclosed. Declining to publish one is lawful and is not evidence of how the outlets perform. It does mean that less about this brand can be verified from its filing, and the FranchiseVerdict grade - an editorial assessment, not investment advice - reflects that. Item 20 of the FDD lists current and former franchisees; asking them directly is the standard way to fill this gap.
Who owns RimTyme?
RimTyme is franchised by Rent-A-Center Franchising International, Inc.. Its parent company is RAC East (Rent-A-Center East, Inc.). The ultimate parent named in the FDD is Upbound Group, Inc. (NASDAQ: UPBD). Source: FDD Item 1, 2025 filing.
What is Item 19 in the RimTyme 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 RimTyme FDD and qualifies whose outlets they describe.
What is RimTyme's franchise failure rate?
SBA 7(a) loan charge-off data is not available for RimTyme (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 RimTyme franchise locations are there?
As of their most recent FDD filing, RimTyme has 29 total units in the United States, including 29 franchised units and 0 company-owned units.
Is RimTyme a good franchise to buy?
FranchiseVerdict rates RimTyme as a D-grade franchise with a verdict score of 31 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.