Franchising is a very lucrative way of owning a business without taking on all the stress and the risk of creating your own business.
You get an established brand, a customer base, a proven way of work, and success with just a little bit of premium price compared to owning your own business.
Garage Experts are one of those established brands that have proven themselves to be lucrative.
If you have plans to own a Garage Experts franchise branch, you might wonder about the costs, what you need, restrictions, and every other detail.
Finding these out might be a lot of work as they generally require intense research.
However, we are here to give you everything in this article and make it easy for you to make a choice.
About Garage Experts
Garage Experts is a national garage improvement business specializing in residential garage floor coatings and storage items.
They only work within the United States, with over 100 units across various states as of 2023.
Garage Experts was founded in 2008 and started franchising the same year, hoping to grow the business faster than usual.
They aim to offer their clients the largest product and solution variety and back everything they offer with a lifetime warranty.
They specialize in long-lasting quality garage enhancement products and services as a company and boast about it frequently.
Garage Experts History
Garage Experts have been a franchising business for the most part of their existence, as it started franchising the same year they were founded.
The founder and the CEO, Mike Meursing, decided to quickly turn the business into a franchise business to increase their outlet numbers as fast as possible.
In only 15 years, Garage Experts opened 100 stores in different parts of the country.
While building out franchise outlets across the country, Garage Experts built a community with passionate franchisees that help each other.
They started holding conferences for the franchisees and making sure they could help each other as a community.
Franchise Model Table
|Cost Or Fees
How Much Does It Cost To Open A Garage Experts Franchise?
Opening a Garage Experts comes with its own fees that are both variable and set. The most important thing is the franchise fee which is $15,000, paid in a lump sum and fixed.
The rest is mostly variable, like your rent, equipment, vehicle(s), software, advertising, and many others. When you total all these costs, you require anywhere between $60,000 to $150,000.
Typically the equipment and the number of vehicles are the biggest differentiators in the cost.
Because depending on the size of the franchise branch and the number of vehicles you need, the costs could go up exponentially. These two could cost you as high as $92,500 in total cost.
Garage Experts Franchise Requirements
To be a Garage Experts franchisee, you need to have certain qualifications, both financially and personally.
Financially, you need to have a net worth of at least $150,000 and a liquidity of $65,000. Liquidity is the money that you can access in a short period, either in cash or other assets.
Personally, you need to have a FICO score of 680 or higher and no bankruptcies in the last seven years on your file.
Additionally, you have to have at least two years of leadership experience in any industry and also a sales experience on top of it.
You also need to be open to using new technology that Garage Experts requires you to.
Failure Rate Of Garage Experts
|Outlets at the Start of the Year
|Outlets at the End of the Year
For the Franchised outlets:
- In 2020, the growth rate was (2)/94×100≈2.12%
- In 2021, the growth rate was (5)/96×100≈5.20%
- In 2022, the growth rate was (6)/101×100≈5.94%
According to the above-mentioned data, there is no failure rate for franchised outlets as the outlets at the end of the year increased during the span of 3 years.
We can see that the franchised outlets for Garage Experts grew from 2020 to 2022, showing a growth rate between 2.12% and 5.94%.
Payback Period Of Garage Experts Franchise
With an investment of $150,000 and an estimated 10% profit on the average net sales, which is $461,960, the yearly profit would be $46,196.
So, to find out how long it will take to earn back the initial investment:
Payback Period = Investment / Yearly Profit = $150,000 / $46,196= 3.24 years
Based on these figures, it will take approximately 3 years to pay back the initial investment for Garage Experts. This time period could be longer or shorter depending on your sales, revenue, and profit figures.
Garage Experts Franchise Training and Support
To new franchisees, Garage Experts offers their own training courses and extra support. The training courses are classroom training that is about 37.5 hours in total.
This training focuses on training both the franchise owner and the employees to make sure that the branch can provide exceptional service.
Garage Experts’ ongoing support is both for management and for the marketing needs of the branch.
On the technical and management part, they offer support for field operations, security & safety procedures, the software, and their own intranet platform.
Garage Experts Franchise Terms of Agreement & Renewal
When you first sign the agreement with Garage Experts to become a franchisee, there is a term to that deal.
This term signifies the period where you get to have the franchise name, but you can renew the agreement at the end of it.
For Garage Experts, the first agreement is for five years, and you can renew it for another five or ten if both parties are satisfied.
When you renew the agreement, the franchise fee you have to pay will be lower than the initial fee you paid.
The exact fee could depend on your agreement or the size of your Garage Experts franchise.
Garage Experts Franchise Obligations and Restrictions
Garage Experts doesn’t have any extra or very specific obligations or restrictions than the one that is industry standard by many franchise businesses.
Just like with other franchises, you can only sell products and services that Garage Experts approves beforehand.
You have to get approval for anything you would like to do with your service, location, or the products you are selling.
In addition, you are also obligated to sell all the products and services that Garage Experts ask you to.
This ensures that the brand stays consistent and provides the same quality everywhere.
Garage Experts Franchise Financial Assistance
Garage Experts doesn’t directly offer financial assistance. However, they have relationships with third-party financing capital companies to help you.
Their third-party sources cover only the franchisee fee, startup costs, and equipment.
You have to ask Garage Experts to put you in contact with their sources to be able to have the chance to get the assistance.
It doesn’t mean that you will automatically be eligible to get it. It depends on your personal situation.
Garage Experts Comparison
|Garage Floor Coating
To conclude, it’s obvious that Garage Experts has an attractive offer for their franchisees.
This is not only with their established track record but also with their big franchisee community, trying to help each other.
They give you training, and ongoing support, match you with a third-party financer, and many more.
They are definitely a good choice if you are considering being a Garage Experts franchisee.
However, Garage Expert’s industry is a little bit niche, and even though you don’t need experience in the field, it might be beneficial personally to have some. Otherwise, it could be risky to be a Garage Experts franchisee.
Are the CEO and the founder of the company the same person?
Yes, Mike Meursing has been both the CEO and the founder of the company since 2008.
Are there better garage improvement franchise business options than Garage Experts?
It is no doubt that Garage Experts is not the only garage improvement franchise business. There are many others.
Choosing which one is the best depends on personal goals. However, Garage Experts is definitely one of the most profitable franchise businesses in its industry.
Can you lose money with Garage Experts franchise?
Just like every other franchise business, success is not guaranteed with Garage Experts.
If you fail to attract the customer base of Garage Experts, you will likely see no profit and eventually fail. It’s up to you to make sure that you make a profit.
Where is Garage Experts headquartered?
The headquarters of Garage Experts is located in Anaheim, California, United States.
Amit Gupta is an experienced expert in digital marketing and co-founder of DrFranchises. With more than 11 years of knowledge in franchise digital marketing, SEO, email marketing, and social media marketing, Amit has helped many brands achieve incredible success online. As a passionate entrepreneur and owner of 7 franchises, he continues to study franchise models, looking at costs, revenue, and profitability to guide brands toward profitable growth. When he’s not working on digital marketing, Amit enjoys spending time playing with his beloved dog.