Fibrenew Franchise Cost, Owner Salary & Profit 2024

Fibrenew is one of the leading mobile service franchises, and entrepreneurs interested in this business might want to find out the Fibrenew franchise cost, profits, etc.

Lucky for you, we did the research and made this comprehensive guide that includes complete information on this franchise.

So, if you have been considering investing in this business, then make sure to read this guide till the end to find out if it is the right investment for you.

Fibrenew Franchise Cost

About Fibrenew History

Fibrenew is a mobile service franchise that specializes in the repair, renewal, and restoration of plastic, vinyl, leather, and upholstery. Fibrenew was founded in 1985 and started franchising in 1987, and today, it has grown to 303 locations.

The company manufactures a highly specialized proprietary product line and has mastered the color-matching technique, which distinguishes it from the rest.

In terms of the services offered, Fibrenew is a great company, but is it as great of a business opportunity? Keep on reading to find out!


Fibrenew Franchise Model

Cost Or FeesAmount
Initial Investment       $100,595 – $120,595
FranchiseYES
Franchising Since1987
Franchise-Fee$47,000 + $42,000 Start Up Fee
Royalty-FeeFlat rate
Liquidity$15,000 – $25,000
Estimated Outlets303

How Much Does It Cost To Open A Fibrenew Franchise?

Cost To Open A Fibrenew Franchise

As per Fibrenew’s website, the initial investment to start a Fibrenew franchise is $93,125 – $111,695. Because of this low investment cost, Fibrenew is also listed in Entrepreneur Magazine’s Top Franchise Opportunities for Less than $100k list.

The cost of investment for a Fibrenew franchise is much less because there is no need for franchise partners to open an office or have a full team of employees.

So, outside of the initial franchise fee, the only major starting expenses for this business are the cost of a work vehicle ,a minimal amount of equipment, and inventory.


Fibrenew Franchise Requirements

To be eligible for Fibrenew franchise, you do not necessarily need industry experience; the franchisor will give you the training for that.

However, you must have minmum net worth of $100,000 and minimum liquid capital of $15,000 – $25,000.


How Much Does Fibrenew Franchise Owner Make?

Fibrenew has not made any representations on its website about the earnings of its franchise owners.

However, based on our research, we can estimate that Fibrenew franchise owners make $249,212 in annual revenue in the first year of business.

So now, using this and a profit margin of 15% on average, we can calculate that Fibrenew franchise owners make an estimated net profit of $37,381 a year in the first year of business.

Financial OverviewPercentage of RevenueAmount ($)
Individual Franchise Annual Revenue100%249212.00
Rent10.63%(26478.77)
Insurance5.31%(13239.39)
Salaries21.25%(52957.55)
Franchise Royalty Fees5.31%(13239.39)
Utilities2.13%(5295.76)
Cost of Goods Sold (COGS)26.56%(66196.94)
Labor (Variable)13.81%(34422.41)
Total (Expenses)85.00%(211830.20)
Net Profit15.00%37381.80

Note: The displayed expenses are estimates based on industry averages and standard costs. Actual expenses may vary due to factors like location, business size, and market conditions. We recommend conducting detailed research or consulting with a financial advisor for a tailored financial analysis.


How Much Does A Fibrenew Franchise Owner Make In Salary?

The annual salary of the Fibrenew franchise owner is estimated to be around $37,381.

However, you must note that this is the average profit that a Fibrenew franchisee can expect to make in the first year of business. With more years into the business, this amount can increase.


Payback Period Of Fibrenew Franchise

Using the average initial investment of $110,595 and the average profits of $37,381, we can find out how long it will take to earn back the initial investment:

Payback Period = Investment / Yearly Profit = $110,595/ $37,381= 2.9 years

Based on these figures, it will take approximately 3 years to pay back the initial investment for Fibrenew franchise. This time period could be longer or shorter depending on your sales, revenue, and profit figures.


Fibrenew Franchise Failure Rate

Franchised Outlets:

YearOutlets at the Start of the YearOutlets at the End of the YearNet Change
2020000
2021187204+17
2022204228+24

For the Franchised outlets:

  • In 2020, the failure rate was (0)/0×100≈0%
  • In 2021, the growth rate was (17)/187×100≈9.09%
  • In 2022, the growth rate was (24)/204×100≈13.2%

Company-Owned Outlets:

YearOutlets at the Start of the YearOutlets at the End of the YearNet Change
2020172187+15
2021000
2022000

For the Company-owned outlets:

  • In 2020, the growth rate was (15)/172×100≈8.7%
  • In 2021, the failure rate was (0)/0×100≈0%
  • In 2022, the failure rate was (0)/0×100≈0%

Total Outlets:

YearOutlets at the Start of the YearOutlets at the End of the YearNet Change
2020172187+15
2021187204+17
2022204228+24

For total outlets:

  • In 2020, the growth rate was (15)/172×100≈8.7%
  • In 2021, the growth rate was (17)/187×100≈9.09%
  • In 2022, the growth rate was (24)/204×100≈11.7%

So according to the data mentioned above, the franchised outlets for Fibrenew showed a growth rate of 9.09% and 13.2% between the years 2021-2022.

On the other hand, company-owned Fibrenew outlets grew in the year 2020 only, showing a growth rate of 8.7% for that year and a failure rate of 0% for the next two years.

Overall, when we combine the data of franchise and company-owned outlets, we can see that Fibrenew showed continued growth of 8.7% and 11.7% for the years 2020-2022.


Fibrenew Franchise Training And Support

Fibrenew Franchise Training And Support

As a Fibrenew franchisee, you get access to their comprehensive initial training program that is designed to help you master all aspects of this business. This includes information on:

  • How to perform our services with expertise
  • How to build a book of business
  • How to sell our services with confidence
  • Marketing support
  • Professional development

Each year, the company also holds 10 training classes for new franchisees, along with other seminars and workshops for existing franchisees.

The new franchisees can attend the training either online, on Zoom, or in person at their training facility in Calgary.

Once you take the training and start your fibrenew franchise, you can expect to receive continuous support from the franchisor.

The company offers annual seminars and weekly workshops to make sure the franchisees are continuously trained and equipped with new services and strategies.


Fibrenew Franchise Terms Of Agreement And Renewal

The term of agreement and renewal for the Fibrenew franchise is five years. This means that you can legally work under the brand name for five years unless you breach the franchise contract.

After five years, however, you can again renew your franchise term by paying a franchise renewal fee as pre-decided by the franchisor.


Fibrenew Franchise Obligations And Restrictions

Every franchise has some obligations and restrictions that you must adhere to as per the company’s FDD.

So this could include your work timings, marketing strategy, products, and services you can and cannot offer, etc.

You can ask for Fibrenew’s FDD by getting in touch with the company’s representatives on their website.

Once you get access to their FDD, you will be able to see what obligations and restrictions you will need to adhere to.


Fibrenew Franchise Financial Assistance

Fibrenew does not offer direct or in-house financing. However, they do have access to third-party lenders who can help you secure the necessary funds to open a Fibrenew franchise.

For this, you might have to share your financial history, your credit score, etc so that the third-party lender can identify the best course of action for you.


Fibrenew Franchise Comparison

NameFranchise FeeRoyalty FeeInitial Investment
911 Restoration$25,000-$75,00010%$70,100 – $226,900
Steamatic$42,000N/A$129,84 – $173,490
Fibrenew $47,000Flat rate$100,595 – $120,595

Conclusion

Fibrenew franchise is a great franchise opportunity if you are looking to invest in an affordable mobile repair and restoration franchise.

This is because the Fibrenew franchise cost is low, its royalty is based on a flat rate, its payback period is also low, and the failure rate is zero.

All these positive factors make the Fibrenew franchise one of the best low-cost and profitable franchises to invest in.


FAQ’s

How Much is the Franchise Fee For Fibrenew?

The franchise fee for Fibrenew is $47,000 + $42,000 start up fee.

Can I Fail With a Fibrenew Franchise?

The failure rate of the Fibrenew franchise is zero; it is unlikely that you will fail with this franchise. However, in order for a franchisee to be successful, it is essential for the franchisee to follow the guidelines and standards set by the franchisor.

Where is the Headquarters of Fibrenew?

Fibrenew is headquartered in Black Diamond, 220 3 St NE Unit 105, Canada.

Leave a Comment