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Tint World Franchise ProfileAutomotive Franchises > Auto Repair |
Initial Investment Overview for Tint World Franchise
The Tint World franchise requires an initial investment ranging from $289,950 to $469,950. This includes a franchise fee of $49,950. It's important for potential franchisees to prepare for ongoing costs, including a 6% royalty fee and a 6% marketing fee. Assessing your financial readiness is crucial, as you'll need cash reserves within the same range as the initial investment to cover startup expenses.
Revenue Potential of Tint World Franchise
The average annual revenue per unit for a Tint World franchise is approximately $883,270, with a median annual revenue of $704,447. Revenue can vary significantly, with the lowest annual revenue recorded at $328,977 and the highest reaching $3,266,413. This potential for high revenue may attract investors looking for profitable opportunities in the auto services sector.
Financial Performance Metrics
Tint World franchises show a gross profit margin of 80%, which indicates strong profitability. After accounting for operating expenses averaging $451,309 annually, franchisees can expect an EBITDA of about $252,501, representing 29% of revenue. Understanding these financial metrics can help prospective franchisees gauge the potential return on investment and overall viability of the business.
Growth and Expansion of Tint World Franchise
Tint World has shown consistent growth, increasing its number of franchised units from 69 in 2020 to 84 in 2022. This upward trend suggests a strong demand for its services and a robust business model. The breakeven time for new units is approximately 12 months, which is an attractive feature for entrepreneurs seeking quicker returns on their investments.
Tint World Franchise Financial Requirements
Below, you’ll find an overview of the initial investment needed to launch the business, along with the ongoing fees required by the franchisor to maintain operations over time.
The minimum total assets (minus liabilities) you must possess.
Net Worth Required:
The estimated period to recoup your total investment.
Investment Payback:
The initial fee paid to join the franchise system.
Franchise Fee:
Ongoing percentage of revenue paid to the franchisor.
Royalty Fee:
Regular contribution toward the franchise’s advertising fund.
Marketing Fee:
The estimated timeframe to recover your initial costs.
Breakeven Time:
The total amount required to launch the franchise.
Initial Investment:
The minimum liquid capital you must have on hand.
Cash Required:
The typical yearly revenue generated per franchise location.
Average Revenue:
The middle value of yearly revenue among franchise locations.
Median Revenue:
The largest reported annual revenue among franchisees.
Highest Revenue:
The smallest reported annual revenue among franchisees.
Lowest Revenue:
A broad sector defining similar types of franchise businesses.
Industry:
A more specific division within the broader industry.
Category:
The key individuals guiding the franchise’s strategy and growth.
Leadership:
The official business address of the franchisor’s headquarters.
Corporate Address:
Available financing options to help start the franchise.
Funding Year:
The main organization that owns the franchise brand.
Parent Company:
Tint World Franchise Unit Growth Summary
A breakdown of corporate, franchised, and total units, with yearly net changes.
Total Units
Franchised Units
Corporate Units
| Units | 2020 | 2021 | 2022 |
|---|---|---|---|
| Total Units | 69 | 71 | 84 |
| Net Change YoY | 2 | 13 | |
| Franchised Units | 69 | 71 | 84 |
| Net Change YoY | 2 | 13 | |
| Corporate Units | 0 | 0 | 0 |
| Net Change YoY | 0 | 0 |
Initial Investment
Starting a Tint World franchise requires an initial investment ranging from $289,950 to $469,950. This includes a franchise fee of $49,950, with additional costs for equipment, inventory, and location setup. Aspiring franchisees should also consider the cash required, which aligns with the total investment range.
Revenue Potential
Tint World franchisees can expect an average annual revenue of approximately $883,270, with a median of $704,447. The revenue can vary significantly, with the lowest reported annual revenue at $328,977 and the highest reaching $3,266,413. This potential for high earnings makes Tint World an attractive opportunity for investors.
Ongoing Fees
Franchisees are subject to ongoing fees, including a royalty fee of 6% on gross sales and a marketing fee of 6%. These fees contribute to the overall operational costs and marketing efforts that support the brand's growth and visibility in the marketplace.
Financial Performance
The average profit and loss statement for Tint World indicates a gross profit margin of 80%, translating to a gross profit of $703,810 on average annual revenue. After accounting for operating expenses of $451,309, franchisees can anticipate an EBITDA of approximately $252,501, which is about 29% of revenue.
Breakeven and Payback
Franchisees can expect to reach breakeven within 12 months of operation, with an investment payback period also estimated at 12 months. This relatively quick return on investment is a key factor for many entrepreneurs considering Tint World as a franchise opportunity.
Growth and Expansion
Tint World has shown steady growth in the number of franchised units, increasing from 69 in 2020 to 84 in 2022. This growth reflects the brand's expanding market presence and the potential for new franchisees to establish successful locations in various territories.
Frequently Asked Questions
The initial investment for a Tint World franchise ranges from $289,950 to $469,950, which includes the franchise fee of $49,950 and other startup costs.