HONEST 1 AUTO CARE Franchise Startup Cost, Profit Margin, Revenue and Locations
Honest-1 Auto Care is considered to be the most powerful franchise in the automotive industry and the company has grown to become the most trusted center for automotive repair center and maintenance in the country. If you are looking for a franchise to buy in the automotive industry, this is one of the best choices that you can go for. So the question now is how much is an Honest-1 Auto Care franchise.
INFORMATION ABOUT THE COMPANY
Honest-1 Auto Care was established in the year 2003 in Scottsdale, Arizona. The company is involved in the repairs and maintenance of automobiles. Services may include brake repair, oil change, transmission repair, tune-ups as well as preventive maintenance.
IS HONEST-1 AUTO CARE A FRANCHISE?
The company started selling franchise the year it was established and they have been doing well ever since. They have 15 years of franchising experience that is centered on a franchise model that truly works. Honest-1 Auto Care is a franchise and there are franchise opportunities opened to the public.
WHAT IS THE FRANCHISE OFFER?
Honest-1 Auto Care, which is referred to as the franchisor, sells the franchise to centers that are ready to offer automobile services such as tire and rims repair, oil changes, brakes, tune-ups and general services. Franchisees can purchase either a multiple or single location franchise.
HOW MUCH DOES AN HONEST-1 AUTO CARE FRANCHISE COST?
Buying into an Honest-1 Auto Care franchise is lucrative but it does come with its own expenses. The Honest-1 Auto Care franchise cost will be the total amount of money that you will expend to set up a franchise unit with the company.
The initial investment that is required to set up a franchise unit is to the tune of $200,000 to about $650,000. The company also requires franchisees to have a net worth of about $700,000 and then a liquid cash requirement of $200,000.
HONEST-1 AUTO CARE FRANCHISE FEE
The Honest-1 Auto Care franchise fee is the payment that you will be expected to pay to the company before you can be given the license to operate under their brand. The fee is non-refundable and will only be valid for a period of time, after which it can be renewed. The initial franchise fee is $45,000 and there is also a mandatory ongoing royalty fee of 6% and an ad royalty fee of 1% of the monthly gross revenue of your franchise unit.
HOW MUCH DOES AN HONEST-1 AUTO CARE FRANCHISE MAKE?
The average income that an Honest-1 Auto Care franchise owner can make will depend on so many factors. The location of the franchise unit is well important. It is expected that units within cities will get more patronage and business that units within small towns.
The actual earning that can be made is not disclosed, but new franchisees with the company can actually get the actual figure from the FDD and also get more information from existing franchisees with the company.
WHO QUALIFIES FOR AN HONEST-1 AUTO CARE FRANCHISE?
It I expected that prospective franchisees with the company should possess a business management experience, though it is not necessary that they have automotive repair and servicing experience. Candidates are also expected to have a passion for automobiles and should also have the desire to serve.
Training will be held for 4 weeks and candidates will be expected to have about 30 to 50 hours of training in a week, Monday to Friday. There will also be onsite training at the franchise location and this will serve as a follow up to the initial training held at the corporate headquarters.
If the franchisee has purchased a single franchise location, they will be granted the obligation to run their unit at the location that the franchisor has approved. The franchisor does not permit the franchisee to open another location within a 3-mile radius of the 1st franchise unit.
The agreement does not hinder franchisees from getting customers from outside the location that is approved for them, but they are not allowed to solicit actively for customers outside of their protected location.
TERMS OF AGREEMENT
The length of the period at which a franchisee can hold the license of the company is 20 years. At the expiration of this period, a renewal of 10 years is allowed if the franchisee is able to meet the company’s term and conditions for term renewal.
Honest-1 Auto Care does not offer any form of direct financing to their franchisees. However, franchisees that need additional funding can work with the company’s 3rd party affiliates that do so. Financing can be gotten to cover for the cost of the franchise fee, equipment, account receivable, inventory, and payroll and so on
Veterans can also get a $5,000 off the initial franchise fee payment.
HOW TO OPEN AN HONEST-1 AUTO CARE FRANCHISE
For more information on how to open an Honest-1 Auto Care franchise, you will need to proceed to the company’s website and submit your application. Once your application is received, it will be evaluated and if you are considered for a franchise opportunity, the company will assign a franchise manager to assist you in establishing your new Honest-1 Auto Care franchise unit.