Are you thinking about owning a Tint World franchise but wondering if it is worth all the effort and money? Tint World is one of the leading auto and window tinting franchise companies with decades of experience in the field. They have a tremendous franchise experience and provide a relatively good opportunity for entrepreneurs through established systems.
In this article, we will go over Tint World, its franchise systems, expected costs, income, and all other details to show you if it’s worth owning a Tint World franchise.
About Tint World And Tint World History
Tint World is one of the leading auto and window tinting American franchise chains in the United States. The company was founded in 1982 but only started to franchise in 2007. Once they started franchising, they started to grow exponentially.
They established a solid franchising system that allows their entrepreneurs to succeed fast and efficiently.
Now, the company has over 100 locations across the country, most of which are franchised. Being the leader in the industry with relatively lower entry costs, it comes up as an attractive option for both beginner and experienced entrepreneurs.
Franchise Model Table
| Cost Or Fees | Amount |
|---|---|
| Initial Investment | $289,950-$469,950 |
| Franchise | YES |
| Franchising Since | 2007 |
| Franchise-Fee | $49,950 |
| Royalty-Fee | 6% |
| Liquidity | $120,000 |
| Estimated Outlets | 113+ |
How Much Does It Cost To Open A Tint World Franchise?
The expected investment to open a Tint World is between $289,950 and $469,950. This number includes all the related startup costs to open one Tint World franchise. It includes the $49,950 franchise fee, construction, lease, payroll, and all other related startup and operational costs.
The number comes from the average of all Tint World franchises and is shared in the Tint World Franchise Disclosure Document. Depending on various factors, the actual numbers might be out of this range.
Franchise Requirements
You need a liquid capital of at least $150,000, a minimum net worth of $250,000, and at least a 700 credit score to qualify as a Tint World Franchisee. There are no requirements for the professional side.
They don’t look for any experience in the industry or as a business manager or owner. You’ll just need to meet the financial requirements.
Profit & Revenue Of Tint World
Tint World is a private company, so they don’t have to share their financials, and there is no information about their current status. However, we know the average sales a franchised store makes, so we can have an estimation from those numbers.
According to our estimations, Tint World’s annual revenue is around $85 million, and net profit is about $22.1 million. These are just estimations, and the reality might be different.
Overall Sales Of Tint World
According to the Franchise Disclosure Document of Tint World, the average franchised store made $759,478 in annual overall sales. The top 50% of stores, however, made around $1.1 million.
How Much Does A Tint World Franchise Owner Earn?
On average, the annual net income, which is generally the franchise owner’s salary, was around $197,464, which represents a 26% profit margin from the overall sales. The top 50% of stores have an annual net income of $400,261.
This is how we calculated this amount:
| Financial Overview | Percentage of Revenue | Amount ($) |
|---|---|---|
| Individual Franchise Annual Revenue | 100% | 759478.00 |
| Rent | 9.25% | (70251.71) |
| Insurance | 4.63% | (35125.86) |
| Salaries | 18.50% | (140503.43) |
| Franchise Royalty Fees | 4.63% | (35125.86) |
| Utilities | 1.85% | (14050.34) |
| Cost of Goods Sold (COGS) | 23.12% | (175629.29) |
| Labor (Variable) | 12.03% | (91327.23) |
| Total (Expenses) | 74.00% | (562013.72) |
| Net Profit | 26.00% | 197464.28 |
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.
Payback Period Of Tint World Franchise
The investment of $469,950 and the yearly profit is $197,464. So, to find out how long it will take to earn back the initial investment:
Payback Period = Investment / Yearly Profit = $469,950 / $197,464=Â 2.3 years
Based on these figures, it will take approximately 3 years to pay back the initial investment for Tint World. This time period could be longer or shorter depending on your sales, revenue, and profit figures.
Failure Rate Of Tint World
Franchised Outlets:
| Year | Outlets at the Start of the Year | Outlets at the End of the Year | Net Change |
|---|---|---|---|
| 2020 | 69 | 71 | +2 |
| 2021 | 71 | 84 | +13 |
| 2022 | 84 | 101 | +17 |
For the Franchised outlets:
- In 2020, the growth rate was (2)/69×100≈2.89%
- In 2021, the growth rate was (13)/71×100≈18.3%
- In 2022, the growth rate was (17)/84×100≈20.23%
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 Toint World grew from 2020 to 2022, showing a growth rate between 2.89% and 20.23%.
Training and Support Of Tint World
There is an initial training program designated for franchisees and their designated manager. This program is called the new owner training program, which includes a self-study program and on-the-job training to help you get familiar with their systems and teach operational things.
The new owner training takes three weeks, and it’s held at their corporate office in Florida.
Each Tint World franchisee receives five-day assistance during the grand opening of the store, where an experienced Tint World employee works with you before, during, and after your opening.
They have a Tint World Startup Assistance package that includes things like site selection, recruitment assistance, grand opening promotion, and many other support initiatives.
Terms of Agreement and Renewal
The term of the initial agreement with Tint World will be for 15 years. After 15 years, a renewal agreement for another 15 years might be possible if both sides are in good standing and the franchisor approves the renewal.
You have to pay a renewal fee in case this renewal goes through, which is 25% of the current franchise fee.
Obligations and Restrictions
Absentee ownership is not allowed. The franchisee needs to be involved in all the decision-making processes and be present at the store to oversee the daily operations. Depending on the situation, you might be able to dedicate a designated manager who is approved by the franchisor.
Additionally, you can’t operate this business from home. You need to have an established physical office, warehouse, or retail presence to run the business. You are also restricted from selling any products or services that Tint World didn’t approve beforehand.
Financial Assistance
Tint World has relationships with third-party financial lenders to provide financial assistance to the franchisees. That’s why they don’t have direct financial assistance but indirect.
This financing is generally for startup costs, overall fees, equipment, inventory, and payroll. However, depending on the franchisee and the available cash, the details might be different.
Aspiring entrepreneurs in the automotive service franchise realm have choices like AutoZone, AAMCO, Express Oil Change Franchise, Napa Auto Parts, and Alta Mere to consider.
Tint World Comparison
| Name | Franchise Fee | Royalty Fee | Initial Investment |
|---|---|---|---|
| Detail Garage | $30,000 | 4% | $138,500-$178,500 |
| Ziebart | $36,000 | 8% | $416,820-$566,100 |
| Tint World | $49,950 | 6% | $289,950-$469,950 |
Conclusion
Tint World is an established franchise chain with a proven success track record. If it’s on your radar to own a Tint World franchise, it might be a good option.
They have relatively low expected investment and a high potential to make decent money. Considering all of these, Tint World remains as one of the best options available in its industry to own a franchise with.
FAQs
How much is the Tint World franchise fee?
The Tint World franchise fee is $49,950, a fixed fee that you pay upfront.
Is there any discount available for the Tint World franchise fee?
Yes, they have a program that gives about a 10% discount to veterans. If you are eligible for that discount, you can get it when you sign the agreement.
How much can I expect to earn as a Tint World franchisee?
On average, a Tint World franchise owner makes about $197,464. The top 50% of owners make around $400,000 annually.
Who founded Tint World?
The founder, CEO, and president of Tint World is Charles Bonfiglio.
How many locations does Tint World has?
Tint World has 141 stores, which are all franchised in 36 states in Canada, Saudi Arabia, and the United Arab Emirates.
Where is Tint World headquartered?
The headquarters of Tint World is located in Boca Raton, Florida.
Sources
https://www.tintworld.com/franchise-opportunities/faqs/
https://www.tintworld.com/franchise-opportunities/ownership/
https://www.tintworld.com/franchise-opportunities/training-support/
https://fddexchange.com/wp-content/uploads/2014/08/TINT-WORLD-FDD-04-01-2014.pdf
https://www.ziebart.com/franchise-opportunities/pricing-model