Abra Auto Body & Glass Franchise Costs, Fees & Owner Salary (2023)

Auto-Lab Complete Car Care Centers, established in 1987, is a franchise in the automotive repair and maintenance industry. The company began franchising in 1989 and is managed by Auto-Lab Franchising, LLC, which was formed on November 15, 2011. Its headquarters are located in Bloomfield Hills, Michigan.

Auto-Lab offers a range of services, including automotive and engine diagnostics, electrical system repair, air conditioning repair, and engine repair. These services are available for various makes and models of cars, SUVs, and light-duty trucks. This extensive range of offerings sets Auto-Lab apart in the automotive service market, where some competitors may have more limited service options​​​​​​.

Initial Franchise Fee

This fee ranges from $10,000 to $25,000. It is paid when signing the Franchise Agreement and is partially refundable under certain conditions. The fee includes a $10,000 deposit for site selection, of which $5,000 (50%) is refundable if the franchisee terminates the Site Selection Agreement. If ABRA terminates the agreement within six months of signing, the full $10,000 deposit plus interest is refunded.

Continuing Fee

This fee is a royalty payment based on Gross Sales. For example, if the Gross Sales are $1.5 million, the franchisee would pay a total Continuing Fee of $70,000 for the year.

Regional/Local Marketing Fee

Franchisees must participate in a regional/local marketing program for their Designated Market Area, with fees up to a maximum of 3% of Gross Sales.

National Brand Fund Fee

Franchisees are required to contribute up to 1% of Gross Sales to the ABRA® National Brand Fund, although currently, the contribution is set at 0.7% of Gross Sales.

Renewal Fee

To renew the franchise after an initial term of at least 10 years, the franchisee must pay a Renewal Fee of $7,500. This fee compensates ABRA for direct and indirect costs associated with the renewal.

1. Initial Training: The program is designed for new franchisees and transferees of existing ABRA® Repair Centers. It covers both theoretical and practical aspects of running an ABRA® Repair Center and is provided to the franchisee and specific managers. The training is conducted within approximately 10 weeks after the effective date of the franchise agreement, either on-site or online.
2. Ongoing Training: ABRA offers additional training programs periodically. This includes specific sessions like bumper repair training and mandatory programs such as the annual ABRA convention and other training programs conducted annually. These programs may require franchisees to bear associated costs, including any fees, travel, and accommodation expenses.
3. Specialized Training: If a franchisee faces operational standard-related defaults under the Franchise Agreement, ABRA can mandate re-attendance and completion of training programs at the franchisee's expense.

ABRA Franchisor SPV LLC provides franchisees with a "Protected Area" typically extending a one-mile radius around their Repair Center. However, this does not equate to an exclusive territory.

Franchisees may face competition within this area from other ABRA franchises, company-owned centers, or alternative distribution channels controlled by ABRA. The franchisor and its affiliates retain rights to advertise and serve customers within this Protected Area.

ABRA Franchisor SPV LLC requires franchisees to actively manage and operate their Repair Centers. This can be delegated to a Repair Center Manager only with the franchisor's prior written consent. Additionally, principal owners, holding at least a 10% interest, must sign a Personal Guaranty, committing to all franchise obligations.

Therefore, the franchise model does not support passive investment or absentee ownership; active involvement in franchise operations is a key expectation​​​​.