How much does a Hello Garage franchise cost?
The 2026 Hello Garage Franchise Disclosure Document estimates $165,340 to $205,250 to start one Hello Garage Franchised Business. The range applies to the individual U.S. franchise format operated within one or more Protected Territories; Item 7 does not publish a separate investment range for a home office, leased office, or multi-territory business.
Data basis: Hello Garage Franchising, LLC; 2026 Hello Garage® Franchise Disclosure Document issued April 6, 2026; cover page and Items 5, 6, 7, 8, 10, 11, and 17; checked July 23, 2026. The researched FDD has no verified matching public copy on a franchise-controlled website, so FDD citations below are unlinked and identify the Item and printed page. Current U.S. franchise availability was also checked against the official Hello Garage franchise information page.
Official Estimated Initial Investment. The 2026 Item 7 total includes pre-opening costs and estimated expenses for the first three months of operation, including a $6,000 to $10,000 Additional Funds allowance. It does not establish a separate liquid-capital or net-worth threshold.
Source: 2026 Hello Garage FDD, cover page; Item 7, pp. 9–11.
Key cost figures
The Initial Franchise Fee, opening inventory and equipment, opening marketing, Additional Funds, and Royalty Fee are the five figures most likely to be confused with one another.
Metric sources: 2026 Hello Garage FDD, Item 5, p. 4; Item 6, pp. 5–8; Item 7, pp. 9–11.
What is included in the $165,340 to $205,250 range?
The Item 7 total is the sum of ten disclosed categories. The two tables below preserve the official low and high bounds, payment timing, and payee without treating the midpoint as a typical budget.
Core launch commitments
These five categories contain the Initial Franchise Fee and the largest supplier, marketing, vehicle, and storage commitments.
| Item 7 category | Amount | When paid | Payee |
|---|---|---|---|
| Initial Franchise Fee | $59,500 | When the Franchise Agreement is signed | Hello Garage Franchising, LLC |
| Minimum Opening Marketing Spend | $20,000–$30,000 | As incurred, primarily during the first three months | Third-party suppliers |
| Vehicle Financing & Vehicle Wrap | $4,500–$7,000 | As agreed and as incurred | Third-party suppliers |
| Opening Inventory Purchase and Initial Equipment Package | $70,000–$85,000 | As agreed and as incurred | Supportworks or third-party suppliers |
| Storage | $1,500–$3,000 | As agreed and as incurred | Third-party supplier |
Source: 2026 Hello Garage FDD, Item 7, pp. 9–10.
Setup, training, insurance, and operating reserve
The remaining Item 7 categories cover local approvals, hardware, required training travel, three months of insurance, and the initial operating reserve.
| Item 7 category | Amount | When paid | Payee |
|---|---|---|---|
| Business Licenses and Permits | $140–$250 | As incurred | Government agencies and departments |
| Computer System | $0–$4,000 | As agreed and as incurred | Third-party supplier |
| Travel Expenses to Attend Initial Training In-Person | $3,000–$5,000 | As incurred | Third-party suppliers |
| Insurance | $700–$1,500 | As incurred | Third-party supplier |
| Additional Funds — 3 Months | $6,000–$10,000 | As incurred during the initial operating period | Third-party suppliers |
Source: 2026 Hello Garage FDD, Item 7, pp. 9–11. The two tables together reconcile to the official $165,340 to $205,250 total.
This chart shows disclosed ranges, not averages. A short marker represents the fixed Initial Franchise Fee.
Source: 2026 Hello Garage FDD, Item 7, pp. 9–11. Bar positions are a geometric rendering of the official amounts.
The $6,000 to $10,000 Additional Funds amount is already inside the Item 7 total. It covers the first three months of listed operating expenses, including fuel and mileage, storage, Software License Fees, vehicle and equipment maintenance, consumables, QuickBooks Online and QuickBooks Payroll, supplies, uniforms, and professional fees. The FDD does not state that owner compensation or personal living expenses are included.
Why do the cover-page payments differ from the Item 7 equipment range?
The figures describe two related but different scopes. Item 5 requires a $40,000 to $50,000 purchase of initial product inventory and certain equipment from Supportworks, while Item 7 estimates $70,000 to $85,000 for the full Opening Inventory Purchase and Initial Equipment Package from Supportworks or third-party suppliers. The Item 5 amount is a subset of the Item 7 package, not a separate amount to add again.
Payments to the franchisor and affiliate
The FDD cover states that $99,500 to $109,500 of the total investment is paid to Hello Garage Franchising, LLC or its affiliates. That range consists of the Initial Franchise Fee plus the required Supportworks inventory and equipment purchase.
Source: 2026 Hello Garage FDD, cover page; Item 5, p. 4; Item 7, pp. 9–10. Supportworks is identified as an approved affiliate supplier in Item 1, pp. 1–2, and on the official Supportworks company website.
The Initial Franchise Fee is fully earned when received and non-refundable. It includes the Launch Kit, trade show start-up kit, a tablet, the Hello Garage CRM fee for the first three months, and email addresses for three individuals for the first three months. A qualifying honorably discharged veteran or spouse receives a 10% discount on the first Protected Territory. Applied to the disclosed fee, that is a derived $5,950 reduction, producing a $53,550 Initial Franchise Fee; the discount does not reduce inventory, marketing, vehicle, storage, or other Item 7 costs.
When is the money paid?
The largest fixed payment occurs at signing, while the remaining Item 7 costs are paid as purchases, travel, insurance, storage, licensing, marketing, and operating expenses arise. The FDD states that development typically takes four to six weeks and may be terminated if the business is not opened within eight weeks of signing.
Before any agreement or payment
The FTC Franchise Rule generally requires delivery of the FDD at least 14 calendar days before signing a binding agreement or paying the franchisor or an affiliate. The FTC Consumer’s Guide to Buying a Franchise explains this disclosure period and how to review Items 5 through 7.
At Franchise Agreement signing
Pay the $59,500 Initial Franchise Fee in a lump sum. The fee is non-refundable and is the only Item 7 line expressly due at signing.
During the four-to-six-week development period
Acquire the approved vehicle and wrap, opening inventory, initial equipment, required Computer System hardware, business licenses, insurance, and temperature-controlled storage. Initial training has no tuition fee, but the franchisee pays the travel and accommodation expenses included in Item 7.
At opening and through month three
Fund the Minimum Opening Marketing Spend and the expenses covered by Additional Funds. Royalty Fee, Hello Garage Brand Fund Contribution, and National Appointment Center Fee begin according to their disclosed Gross Revenue basis and biweekly schedule; required local advertising is paid as incurred.
Sources: 2026 Hello Garage FDD, cover page; Item 5, p. 4; Item 6, pp. 5–8; Item 7, pp. 9–11; Item 11, pp. 19–22. See also the FTC Franchise Rule.
Which percentage-based obligations continue after opening?
The current percentage obligations use Gross Revenue as the disclosed denominator, but they are not all paid to the same recipient or for the same purpose. The 8% Minimum Local Advertising Spend Requirement is local spending; the other three percentages shown below are paid to Hello Garage Franchising, LLC.
Bars use an 8% scale and show the current rates in the April 6, 2026 FDD, not annual dollar estimates.
Paid as approved local advertising is incurred
Payable biweekly
Payable biweekly with Royalty Fee
Payable biweekly with Royalty Fee
Source: 2026 Hello Garage FDD, Item 6, pp. 5–8. The chart uses the same Gross Revenue basis for all four current percentages.
The four current percentages sum to 16% of Gross Revenue, but 16% is not one franchisor fee: 8% is the Minimum Local Advertising Spend Requirement, while 5% Royalty Fee, 2% Hello Garage Brand Fund Contribution, and 1% National Appointment Center Fee are paid to the franchisor. If the Brand Fund or National Appointment Center percentage increases, the FDD requires a corresponding reduction in the local advertising percentage.
How Gross Revenue is defined
For these fees, Gross Revenue generally includes all sales of goods and services connected with the Franchised Business, regardless of payment method, excluding specified sales, value-added, or retailer’s excise taxes paid or accrued. A sale occurs when goods are provided or installed or services are performed, and uncollected accounts are not deducted. Source: 2026 FDD, Item 6, p. 7.
What fixed operating systems cost
In addition to percentage obligations, the Franchised Business has recurring software, bookkeeping, technology, and conference costs.
- Software License Fee
- $150 per month for Hello Garage CRM, $99 per month for each GarageView sales account, and $11 per person per month for Hello Garage email. Each Franchised Business must use the CRM and at least one GarageView account.
- Bookkeeping service
- $625 per month to the designated third-party vendor. The first three months are covered by the franchisor.
- GarageView AI visualizer
- $0.06 to $0.10 per photo, paid to a designated third-party vendor.
- Computer System updates
- Estimated at $0 to $1,000 per year for maintenance, upgrades, or updates; an additional business-analytics license is currently $75.
- Annual Summit
- Currently $500 per attendee, with registration required for at least two people, plus travel and related expenses. The two-person registration amount may be collected even if the franchisee does not attend.
Sources: 2026 Hello Garage FDD, Item 6, pp. 5–9; Item 8, pp. 12–13; Item 11, pp. 19–23.
The Royalty Fee and Hello Garage Brand Fund Contribution also have annual catch-up provisions tied to the Minimum Performance Requirement Per Protected Territory. If actual Gross Revenue produces lower payments than the fees that would have been due at the applicable minimum performance level, the franchisor may collect the difference within 30 days after the year ends. This is a conditional fee mechanism, not an estimate of annual sales.
Which costs arise only after a specific event?
Item 6 contains several fixed, capped, currently uncharged, or variable obligations that do not belong in the initial investment unless the triggering event occurs. They can still be material over a ten-year Franchise Agreement.
Renewal or transfer
Renewal Fee: $15,000, due at least 30 days before renewal. Transfer Fee: $10,000 before completion, plus any broker fee. Item 17 also requires upgrade or modernization at renewal but gives no dollar estimate.
Late payment, audit, or non-compliance
Interest is the lesser of 16% per year or the maximum legal rate. A Non-Compliance Fee can be up to $1,000 per occurrence. Audit costs, related expenses, and interest apply when the stated audit conditions are met. Insurance costs can be reimbursed if the franchisor obtains required coverage after a lapse.
New programs, technology, or supplier review
The Technology Fee is currently not charged but may begin at $300 per month after notice. The Inside Sales Program Fee is currently not charged but may be up to 2% of Gross Revenue from sales derived from transferred proposals. Supplier Evaluation is currently not collected and is capped at $10,000 per review. Designated Accounts Program charges are currently not collected.
Additional assistance or required purchases
Additional on-site training or operating assistance is charged at the franchisor’s costs and expenses plus product materials and equipment. Advertising materials, Webstore Purchases, replacement or rewrapped vehicles, annual trade-show hardware, and shipping vary with the purchase. The franchisee must participate in at least five trade shows or similar in-person events per calendar year.
Management interruption, dispute, taxes, or exit
If no acceptable Operating Manager is appointed after death or permanent disability, management charges can be up to $500 per day. Applicable taxes, costs and attorneys’ fees, and indemnification may apply. On termination or expiration, the Customer Complaint Fee is 3% of total Gross Revenue for the preceding 24 months, with additional indemnification for costs above that amount.
Sources: 2026 Hello Garage FDD, Item 6, pp. 5–9; Item 8, pp. 11–15; Item 11, pp. 19–23; Item 17, pp. 29–31.
What makes the actual startup cost move within the range?
Hello Garage has one Item 7 range, but several operating choices and local conditions affect where a buyer lands. The office may initially be home-based or leased, yet every franchisee must secure temperature-controlled storage and an approved installation vehicle.
- Office and storage
- A dedicated home office is permitted as of the FDD issuance date, subject to local law, but the franchisor may later require an outside office. About 400 square feet of storage may be sufficient; the FDD recommends at least 800 square feet with a loading dock and front office, which corresponds to the higher storage estimate.
- Vehicle and wrap
- The Item 7 estimate assumes one new or used installation truck, three months of projected payments, tax, registration, licensing, and a required wrap estimated at $3,000 to $5,000. Additional vehicles are not assumed at opening.
- Computer System
- The low end assumes the buyer already owns compliant hardware. The franchise fee includes one tablet, while additional tablets and other designated hardware are extra.
- Opening marketing
- The $20,000 to $30,000 estimate is driven by lead goals, brand development in the market, advertising prices, and market dynamics. It is in addition to the Hello Garage Brand Fund Contribution.
- Licenses and insurance
- Local contractor licensing, permits, zoning, and insurance requirements can vary. The Item 7 insurance amount covers three months, not the full Franchise Agreement term.
Sources: 2026 Hello Garage FDD, Item 1, pp. 1–2; Item 7, pp. 9–11; Item 8, pp. 11–13; Item 11, pp. 19–20. The official Hello Garage FAQ also identifies the U.S. locations as independently operated franchise businesses.
Do not treat “home-based” as “no premises cost.” A home office may avoid a separate office lease initially, but temperature-controlled storage remains mandatory, local law may require commercial storage, and the franchisor may later require an outside office. The FDD does not provide a separate home-office total or estimate the later relocation and build-out cost.
Does Hello Garage disclose a liquid-capital or net-worth minimum?
No liquid-capital, net-worth, or non-borrowed-funds minimum appears in the 2026 FDD. That absence means the $165,340 to $205,250 Estimated Initial Investment should not be described as the required cash-on-hand amount. Net worth, available cash, lender equity requirements, and the official Item 7 total are separate concepts.
Item 10 states that Hello Garage Franchising, LLC does not offer direct or indirect financing, does not guarantee a note, lease, or obligation, and does not receive consideration for placing financing. A buyer who borrows must arrange financing independently and still meet each payment deadline. The SBA 7(a) loan program is one official source for general small-business financing rules; lender approval and brand eligibility are separate decisions.
Ask the franchisor to identify any current financial qualification used in screening and compare it with the current FDD. For SBA-backed financing, lenders use the current SBA Franchise Directory as an eligibility tool; directory placement is not an endorsement and does not guarantee a loan.
Source: 2026 Hello Garage FDD, Item 10, p. 16.
What should a prospective franchisee verify before committing capital?
The official starting range is clear, but the final cash plan depends on supplier quotes, local premises requirements, vehicle financing, marketing conditions, and whether later fees are triggered. The most important checks are specific to the current Franchise Agreement and Protected Territory.
Cost synthesis: the 2026 Hello Garage Estimated Initial Investment is $165,340 to $205,250, including a $59,500 Initial Franchise Fee and three months of Additional Funds. Inventory and equipment are the largest Item 7 category, marketing creates both opening and ongoing obligations, and the FDD does not convert the total into a required liquid-capital figure. The unresolved buyer-specific questions are premises, supplier and vehicle quotes, financing terms, and costs that arise after opening or renewal.