Top 250 Franchise by Entrepreneur-Rank no.152- Maaco Franchising Inc. – US
Products & Services: Automotive painting & body repair
Number of Locations: 446
Total Investment: $364.04K – 471.04K
Began Franchising: 1972
About Maaco Franchising Inc.
Anthony A. Martino, who had previously co-founded AAMCO Transmissions, started Maaco in 1972, once again using his initials to name the company. In 2008, Maaco was bought by Driven Brands, which also manages Meineke, Econo Lube N’ Tune, AutoQual and Aero Colours. Franchisees offer auto painting and collision repair services.
Startup Costs, Ongoing Fees and Financing
Franchise Fee: $30,000
Ongoing Royalty Fee: 8%
Term of Franchise Agreement: 15 years, renewable
Net Worth: $300,000
Liquid Cash Available: $90,000
Number of employees needed to run franchised unit: 7 – 8. Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators).
MAACO Collision Repair & Auto Painting is an American franchisor of auto painting and collision repair shops based in King of Prussia, Pennsylvania. It was founded in 1972 by Anthony A. Martino and Daniel I. Rhode.
Ten years before MAACO’s founding, Martino had launched AAMCO Transmissions with partner Robert Morgan. He created both names by using the first letters from his name (Anthony A. Martino).
In 1967, with close to 500 stores in operation, Martino sold AAMCO to Morgan.
In 1972, Martino opened a pilot auto painting center Wilmington, Delaware. He chose the name MAACO (Martino, Anthony A. and Co.) to instill confidence in potential franchisees who knew of AAMCO’s success. The new company grew quickly, with close to 200 franchises open in less than five years. In October, 2008, Driven Brands of Charlotte, N.C., a holding company which owns Meineke Car Care Centers, Inc. as well as Econo Lube and other auto service related concerns, purchased Maaco outright from Martino’s family after his death in January 2008. The financial terms of the deal were not disclosed.
In 1993, a MAACO franchise in Framingham, Massachusetts won a painting contract for Massachusetts State Police cruisers, which caused controversy after a Boston newspaper reported that some of the MAACO shops involved in the contract were owned wholly or partly by Jane Gnazzo, the wife of Jerold Gnazzo, the state’s Registrar of Motor Vehicles.
MAACO Franchising, Inc., has been cited numerous times by Entrepreneur magazine as #1 in its category in the Annual Franchise 500 survey.
Through the 1980s and 1990s, the company ran a television and radio ad campaign featuring the slogan “Uh oh, better get Maaco”.
MAACO is the current sponsor of the Maaco Bowl Las Vegas at a reported $2 million a year.
Since 1972, Maaco has repaired some 16.5 million vehicles. The company currently has 475 bodyshop locations across the United States and Canada. Maaco has trademarked the term North America’s Bodyshop. The franchises provide auto paint and auto body repair services for over 500,000 vehicles a year, more than any other paint and body repairer.