Maaco FDD Item 6: Other Fees | What Franchisees Need to Know
Maaco is one of the largest auto painting and collision repair franchise systems in the United States, with 363 centers in operation as of the end of the 2024 fiscal year. The initial franchise fee is $45,000, and total investments range from $276,000 to $1,016,000. FDD Item 6 reveals the ongoing fee structure, including an 8% royalty and a weekly marketing fee starting at $1,200, that will affect your margins for the entire franchise term.
At Lopes Law LLC, we review Maaco FDDs for prospective franchisees. The fee structure in Item 6 is one of the most impactful sections because the combined royalty and marketing obligations are substantial for an automotive repair business. This guide breaks down every fee.
What Fees Does Maaco FDD Item 6 Disclose?
| Fee Category | Amount | When Paid |
|---|---|---|
| Royalty Fee | 8% of gross receipts (4% first 6 months for new centers) | Regular payments |
| Marketing Fee | $1,200/week minimum (or local market rate) | Weekly |
| Training/Opening Fee | $10,000 (non-refundable) | 30 days before training |
| Technology Fees | Varies | Monthly |
| Insurance | Required minimums | Annually |
| Transfer Fee | As disclosed | Upon transfer |
How Do Maaco Fees Add Up Annually?
Maaco centers have reported average gross receipts of approximately $1.56 million for the top-performing half. Using this baseline:
| Fee | Calculation | Annual Cost |
|---|---|---|
| Royalty (8%) | 8% of $1,560,000 | $124,800 |
| Marketing Fee | $1,200 x 52 weeks | $62,400 |
| Technology/Insurance | Estimated | $12,000 to $20,000 |
| Total Item 6 Fees | $199,200 to $207,200 |
That is approximately 12.8% to 13.3% of gross receipts going to Item 6 fees. For an automotive repair business with significant material costs, labor, and facility expenses, this fee burden requires strong revenue performance to generate adequate owner income.
Attorney’s note: Maaco’s fixed weekly marketing fee of $1,200 (minimum) is unusual in the franchise industry. Most franchisors charge marketing fees as a percentage of revenue. A fixed fee means you pay the same amount whether your center generates $500,000 or $2,000,000 in revenue. For lower-performing centers, the $62,400 annual marketing obligation represents a larger percentage of revenue and creates proportionally more pressure on margins. At Lopes Law LLC, we model this fixed fee against realistic revenue scenarios to assess viability.
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The First-Year Royalty Reduction
New Maaco centers receive a 4% royalty rate for the first 6 months. On projected revenue during ramp-up, this saves approximately $15,000 to $30,000 compared to the full 8% rate. While meaningful during the critical early months, the savings are temporary and should not be the primary factor in your investment analysis.
For related analysis, see Item 19 financial performance data, our FDD review guide, and our franchise exit audit service.
Important: Fee amounts are based on publicly available Maaco FDD information. Actual fees vary. Always review the current FDD with a qualified franchise attorney before investing.
Frequently Asked Questions About Maaco FDD Item 6
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Last updated: March 12, 2026
Understand Every Fee Before You Sign
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