Franchise Deep Dive: Mighty Auto Parts Franchise Costs, Fees, Profit and Data

With nearly 60 years of experience, Mighty has developed a reputation for being a leading supplier of auto parts to repair shops and dealerships around the country.

By Jeff DwyerStaff Writer

11:11AM • 01/02/24

LAST UPDATED: November 2023
FRANCHISE WEBSITE: https://www.mightyfranchise.com/#~3E0m2F7
NUMBER OF LOCATIONS: 100+
REPORTED COST TO GET IN: $240,500 to $517,600
REPORTED ROI (Item 19): $1.7 million (Average Unit Volume in 2022)

Mighty Auto Parts is a franchise brand that specializes in providing automotive parts, supplies and services, primarily to automotive service providers such as repair shops, dealerships and fleet maintenance facilities. Mighty offers a wide range of products for vehicle maintenance and repairs, including automotive fluids, chemicals, lubricants, filters and belts.

Mighty was founded in 1963, when Dallas “Dick” Wallace began selling tire repair products from his car in Washington, D.C. The brand eventually moved its headquarters to Georgia and became a direct sourcing model for preventative maintenance, common-use auto parts and other shop supplies.

Since it began offering franchise opportunities in 1970, Mighty now serves more than 15K automotive service facilities. As a result of its offerings, in 2022, Mighty was named a top franchise by Entrepreneur magazine.

How Many Mighty Auto Parts Locations Are There?

As of November 2023, there are more than 100 Mighty franchises spanning over 44 states. The brand is currently seeking new franchise candidates in the following hot markets:

Boston, Massachusetts
Chicago, Illinois
Cincinnati, Ohio
Lexington, Kentucky
Los Angeles, California
Sacramento, California
Tampa, Florida

Mighty is also currently considering additional expansion in international markets, such as Canada, Central and South America.

What Is Mighty Auto Parts’ Business Model?

Mighty runs a wholesale business model where it supplies its customers, such as repair shops and dealerships, with auto parts.

“We are inventory management and training experts in the preventive maintenance space,” the brand wrote on its website. “We help our customers stock the correct level of inventory for anticipated demand and provide extensive training so that they can turn vehicles faster, maximize service opportunities and make more money.”.

The brand boasts that its franchise opportunity comes with lower facility costs, lower inventory investment with higher turns and fewer employees to manage. Mighty also lists the following benefits of operating one of its franchises:

Income: Build wealth with our proven business model
Stable industry: Average U.S. vehicle age is 12-plus years, all requiring preventative maintenance
Balanced lifestyle: Mighty’s wholesale-only model provides more freedom and flexibility
The Mighty Brand: Mighty has been a trusted brand since 1963 and is recognized as one of the best franchise opportunities

The ideal Mighty Auto Parts franchise owner is someone who is skilled in business management, customer-relationship-oriented, passionate about the automotive industry, experienced in managing others, and will be very hands-on and active in the day-to-day business. Mighty provides ample support to get new owners up and running, which includes business setup and opening, technical support services, financial and personnel management, sales and marketing, inventory management, and business planning.

How Much Can Mighty Auto Parts Franchise Owners Make?

According to the brand’s consumer-facing website, in 2022, Mighty Auto Parts franchises saw an average unit volume of $1.7 million.

How Much Does It Cost To Open a Mighty Auto Parts Franchise?

As of the publishing of this story, the initial investment required to open a Mighty Auto Parts franchise ranges from $240,500 to $517,600. This investment is broken down into the following costs:

Starting Inventory: $75,000 to $150,000
Computer, Fixtures, Furniture, Equipment and Vehicles: $60,500 to $134,000
Facility and Warehouse Costs: $20,000 to $55,000
Training and Franchise Fees: $25,000 to $60,000
Working Capital: $50,000 to $100,000

This investment also guarantees you will receive:

Mighty-branded inventory customized for your territory
Franchise operations and sales training
Complete assistance with business setup and layout
Sales and marketing tools and support
Proprietary technology and product information
Exclusive, protected territory

What Is the Franchise Fee for Mighty Auto Parts?

Mighty’s franchise fee is based on the number of registered vehicles in the territory and is currently $0.035 per vehicle for an open/unlicensed territory and $.0175 per vehicle to acquire a territory already licensed. Mighty offers a 25% discount off its initial license fee for qualified veterans.

Additionally, there is also a one-time initial training and setup fee of $7,500. Mighty requires its franchisees to pay an ongoing monthly royalty fee of 5% of gross sales and an advertising co-op fee of 0.5%.

Who’s On Mighty Auto Parts’ Leadership Team?

What Helpful Articles Can I Read to Learn More About Mighty Auto Parts?

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