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MAACO

I am considering a MAACO franchise in Florida, all I can find on them so far has been relatively  positive. does anyone have recent experience either positive or negative with starting a new MAACO franchise?

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WE ALL NEED TO GET TOGETHER

WE ALL NEED TO GET TOGETHER

association

Hello - sorry for the informality of this - i was just perusing through info on Maaco online and came across your post - Maaco owners have an Association that just started a few years back - we do need to stick together and assert that what we have invested is valuable and that franchisee owners should be profitable too - association's phone number is (866)809-6060 - My name is Stephanie - please call when you get a chance.

THIS GUY IS GOING THROUGH

THIS GUY IS GOING THROUGH WHAT I WENT THROUGH 15 YEARS LATER NEARLY 300K IN DEBT
WHAT DID WE GET INTO..... MATERIALS COST RIGHT ON THE MONEY / THIS GUY WANTS TO DO A GOOD JOB AND TO DO SO IT COST MONEY... THE SHOP THAT CUT COSTS STAY IN BUSINESS AND DONT CARE WHAT PEOPLE CARE

Great Business

Brings in A ton of money! As long as you are on top of things. with any business you need hard workers, and people who are smart. As long as you provide great service, your customers will keep coming back.

Must be a Driven Brands employee response

I saw this and cannot believe it! I am a current Maaco owner for over 6 years and have been losing money since day 1. I have never paid myself and have turned it over to my son to run so I can go back to work full time to support myself and put money into it. The training was a joke, done by adversarial incompetents. The "Developers" are a joke. They have no experience and lie. They gave bad advice that cost me lots of money, made promises to "comp" me if we didn't make money on their ideas and then laugh and refused to make good (M Tidd are you reading this?) their promises. The "support" is a joke as well. It has been a horrible experience and I have put over $350,000 into it since opening at the expense of mortgaging my house (that was paid off), maxing out my credit cards and raiding my 401K's. Why don't I get out? Because I made the mistake of buying land and having a building built and with this Barackalypse economy it is worth a lot less than when I opened. I am hoping if I can hold out for another two years the loan balance will be low enough that I can sell it.

Automotive Experience Helpful

I am not a Driven Brands employee but have been in the car business for over forty years. Am in the BHPH used car business and have used a MAACO shop for the past twenty years. Now, this gentleman owned a towing company prior to MAACO he owned one shop and now owns two more; BTW, he acquired those two stores from dealers who went into very comfortable retirements. He has plans to acquire additional stores when folks in his trade area retire or simply put are NOT car people. I looked at a local MAACO franchise before this gentleman bought the store from a owner who was retiring and who did VERY well. I did not care for MAACO for a few reasons (1) At my age I didn't want to work very hard and did well in my used car business and (2) I felt the "cost of admission" to be high and I frankly felt too tempted to paint cars on "Sunday" ;-). Anyway, there are so many people who whine on this website I have to ask myself if these folks were under capitalized, had no automotive experience or were simply poor operators. I knew of a highly skilled body man in Michigan and was VERY much a failure; simply put a poor businessman.

I am not making this post to be critical of those who have had a rough go of it, but I think MAACO gives potential dealers a unrealistic sales presentation to how tough ANYTHING regarding car business can prove to be. Anyway, good luck to those who make a go of it. Frankly, unless you have the funds to BUY the real estate, you probably should avoid unless you can get a sweetheart lease for the first three years. Furthermore, I wouldn't even attempt this business model without buying an existing location. With a existing location (even poorly managed) has cash flow. Poor process, people and sales can be fixed. Good luck to all. Earl Schieb died for our automotive sins.

WHERE ARE YOU OPERATING SIR?

WHERE ARE YOU OPERATING SIR? A TON OF MONEY MAYBE YOU GET FREE RENT OR HAVE A SLAVE LABOR? 15 YEARS IN THIS THING CALLED MAACO..........

Not for me

I had a maaco shop for several years, IT WAS THE WORST EXPERIENCE OF MY LIFE!!! I had my shop longer than the other guys I went to training with, one lost everything in less than 8 months. I walked away losing just my investment and owing maaco some fees. They sued me for the outstanding fees. maaco is a lose lose situation. After a couple of years you find the dirty little secret that only a handful of maaco franchisees make any money, even shops that are generating more than a million in sales have very little profit and many owners rely on other sources or their spouse's income for support. maaco's operations support is a study in absolute incompetence. Once you are in there is no accountability throughout management of the franchisor. I had a bad feeling in my gut several times as I went into maaco. I really wished I had trusted my instincts.

worst experience ever!

Franchisor bled us dry with weekly advertising and royalities. They offer absolutely no support and their Operations team is a joke. A teenager could have created their data base and computer applications. We have lost everything and had to declare bankruptcy. I have also watched numerous Maaco franchisees close their doors over the past 6 years with the owners either losing all they had or just coming out with the skin of their teeth. It is true that a handful of franchisees actually succeed, but their success has absolutely nothing to do with Maaco or Driven Brands. These few shops usually do their own thing and ignore what the franchisor promotes as their "Blueprint to success". Maaco destroyed my life and I will be working long past retirement age to recoup my losses.
Whatever you do - DO NOT BUY A MAACO FRANCHISE!!!!!!!!!!!!

Thank you so much. You just

Thank you so much. You just saved my family and me. I just got over the presentation stage with their franchise director. First I felt really confident about it. But then when we started brain storming later that day we came up with more questions. They just talk big about their numbers and make you dream of how much money you can make.

YOU CAN REACH ME AT

YOU CAN REACH ME AT OK2SENDMAILNOW@AOL.COM

IN THE SAME BOAT WE ALL NEED

IN THE SAME BOAT WE ALL NEED TO GET TOGETHER

Previous franchise owner

Previous franchise owner here. Though I take the majority of the responsibility for the less than desirable outcome; I believe in part as I look back, MANY false claims of post-opening support where misrepresented. I would support any majority efforts to bring this to light.

maaco is horrible

maaco bases everything on that i've been in business 20yrs crap. the problem is for folks buying now. their system fails and maaco's poor operations support just points at the 20yr guy and says it works for them so any problems must be the newbie's fault. do this 20yr man don't just give sonny boy your shop, sell it to him at fair market value if he even qualifies as a buyer, pay maaco their 30% premium, rent him the building at fair market value and really retire. even then he has a leg up because of your reputation but if you did the math as an actual sale today you would see it doesn't work.

maaco currently has active lawsuits against 3percent of its franchisees. add to that all the meineke lawsuits and it is an astronomical number compared to good franchisors. maaco's failure rate is also huge. the argument "the only problem with maaco's system is they are really bad at choosing who owns their franchises" is pathetic.

I've owned a Maaco shop for

I've owned a Maaco shop for 20 years. I am getting ready to retire and my son is taking
over the shop. I left the corporate world and did not know anything about the body shop
business. Maaco is the greatest thing I have done in my life for my family.
The business is what you make it. You cannot go home at noon or be an absentee owner.
You have to work it. Maaco is hard work and worth it.
Wow there sure is a ton of cry babies in this world.

MY FRIEND MAYBE YOUR RENT IS

MY FRIEND MAYBE YOUR RENT IS $5000 A MONTH AND MAYBE PEOPLE WORK FOR YOU FOR $9.00 AN HOUR BUT HERE THE AVERAGE RENT IS OVER $8000 AND LABOR IS MUCH HIGHER AND I WORK IN THIS BUSINESS 65 HOURS WEEKLY.......... THE PEOPLE THAT COMPLAIN ARE RIGHT THE MODEL HAS FEW STORIES LIKE YOURS.......... I HAVE ALWAYS BEEN SUCCESSFUL IN MY PAST ....... THE COST TO OPERATE IS JUST TO GREAT.........

I am an owner of Maaco. If

I am an owner of Maaco. If you work for your self in the front office , Do good work and have exceptional customer service.If will make money as self employed. It all depends on what is your break evens are and the location of the shop if you have lot of trade and retail customers yes you are for sure going to make money.It takes two years to turn around the bad reputation of an existing run Maaco.
Should be willing to invest in high end equipment which derives quality.

YOUR RIGHT BREAK

YOUR RIGHT BREAK EVEN......... I HAVE A FLAWLESS REPUTATION WITH MY CUSTOMERS THATS WHAT KEPT ME GOING......... BUT THE FEES, RENT, ADVERT, LABOR, SUPPLIES IT DOESNT WORK BELIEVE ME IN 15 YEARS I HAVE TRIED VERY HARD TO MAKE IT WORK...........

Right on Point

Again, and thank you for your comment. If maaco is a good franchisor then why is there a maaco franchise with a bad reputation? why would it take an individual two years to fix that bad reputation? why wouldn't that reputation be fixed by the franchisor prior to re-selling? why is an individual having to invest in additional equipment in order to fix a maaco? why wouldn't that franchise location have needed equipment included with the franchise package? where is the franchisor and the franchise support? there are many maaco's with bad reputations, would a good franchisor put out bad businesses and rely on individual owners to fix the problems?

Thank you for your comment

Thank you for your comment maaco franchise sales. The 1,200 franchisees you've churned through
in the past 20yrs, for net-zero growth, were just lazy cry-babies.

maaco = financial suicide

maaco = financial suicide

http://investing.businessweek

http://investing.businessweek.com/research/stocks/private/snapshot.asp?privcapId=33331604

Business week 09/09/2011

Driven Brands Reportedly Mulls Sale
09/9/2011

"Driven Brands, Inc. has appointed Credit Suisse to manage a sale process, three industry bankers told mergermarket."

Less than 3 years into their "commitment" to ownership of Maaco their flagship company. Churn through a bunch of franchisees then sell. Is this company committed to building a successful brand? Their commitment is not to franchisees only their own bottom line.

Sale = more debt to parent company = new parent squeezing franchisees harder = even more franchisee failures.

Wait this one out before becoming involved with Driven Brands / Maaco / New ownership.

Why do franchisees pay maaco 100s of thousands?

Tom Monaghan, Maaco's Vice President of Operations, testified that Maaco believed its process of starting and running a franchise to be a trade secret. However, Monaghan and Maaco have not identified any aspect of the Maaco System that meets the requirement of substantial secrecy, since information was available to customers of Maaco and the public at large about the aspects of the Maaco System that Maaco claims to be proprietary.
"MAACO FRANCHISING, INC. v. PIERRE PHILIPPE AUGUSTIN, Dist. Court, ED Pennsylvania 2010
MAACO FRANCHISING, INC., Plaintiff, v. PIERRE PHILIPPE AUGUSTIN, et al., Defendants.
Civil Action No. 09-4548. United States District Court, E.D. Pennsylvania. April 20, 2010."

W. Michael Garner. “What was remarkable was the court’s denial of the motion to prevent the former franchisee from using Maaco’s confidential system. The court held that there was nothing in the system that was confidential— it was all in the public domain. Franchisors Frequently claim that their systems contain confidential and proprietary information, which franchisees rely on when deciding to purchase. If, in fact, there’s no confidential information in the system, then there is less of an incentive to become a franchisee.”
"Franchise Times — May 2011" - http://www.onlinedigitalpubs.com/display_article.php?id=716464

maaco / meineke / driven brands

these folks are absolute thieves do not buy a maaco franchise or any of the driven brands group

Darnelle White's picture

Drivel

these folks are absolute thieves - Guest

That's it? That's your complete reasoning and facts? You'll have to do much better. You need evidence of what kind of investment this is. Data. Anonymous writer, you'll need to provide hyperlinks to credible sources since you are an unknown guest and so no one can trust that what you write is true.

I assume that you are a competitor who is bored at your computer because franchise sales aren't pouring in. You want your competitors to feel the same misery that you are feeling. However, it doesn't work that way. The post above will have absolutely no impact.

At least you can feel like you've done something with your time.

I AM SITTING HERE ON SATURDAY

I AM SITTING HERE ON SATURDAY IN MY MAACO SHOP AND NO BUSINESS IS FLOCKING IN EVEN WITH THE MOST LOWEST PRICE IN THE INDUSTRY............

Ever consider poster is a

Ever consider poster is a current employee or current franchisee trying to provide good information without exposing themselves to reprisals? Is it possible poster is trying to give advice but is unable to give true guidance because of their current situation? Buyer be very aware of Driven Brands / Maaco they do not supply enough information to allow you to make an informed decision. Seek out the failures there are many of them.

could be a compeditor, disgruntled ex employee,

anti franchising pundit, or failed franchisee. What matters is the facts that ack up such a point. Anyone can say anything andfor a number of reasons.

no no no

Do not buy any franchise that does not grant an exclusive and defined area of operation. Maaco has no barriers to entry and no recourse for franchisees. That means any of the run down warehouses, garages, shops around you can get a little blue and white paint and a couple of signs and abracadabra there is another maaco 3 miles from the maaco you just opened. Your non-compete clause with maaco 10miles. maaco's non-compete clause with you - NONE!

PEOPLE DOING THIS STUFF TO

PEOPLE DOING THIS STUFF TO OTHER PEOPLE //// HEAR ABOUT THE CRAZY THINGS THAT HAPPEN TO PEOPLE TODAY.......... THINK TWICE BEFORE RUINING PEOPLES LIVES

maaco do not buy

do not buy into maaco franchising. you will regret it.

Liars and Theives. maaco does

Liars and Theives. maaco does bad work and has a bad reputation because maaco corporate forces shops to cut corners. maaco's plan is far from industry standard and it is reflected in their reputation.

THATS WHY INSURANCE COMPANIES

THATS WHY INSURANCE COMPANIES "DON'T WANT MAACO DRP'S"

Before you give maaco a dime

ask maaco what the exit plan is should your maaco not perform. find maaco shop owners who have recently closed and ask them how maaco helped them get out of the business. what you will find is once you are in, maaco acts as though their franchise agreement has you enslaved for 15 years. they act as though they own you and any problems fall on the shoulders of the individual owners.

Maaco does not deliver

Read all the complaints about Maaco individual shops online. The only way to pay Maaco Corporate is to short-cut. Their process is flawed and folks who go into business to put out a quality product do not make enough to pay fees to Maaco - Good Maaco's go away. Bad Maaco's make money. If you are still considering buying visit as many Maaco's you can find that have gross revenue less than $1mil and who have been in business less than 5 years. Better yet find a couple of the many owners Maaco has put in failed businesses in the past few years. The percentages say you will fail. Buyer beware.

Do not buy

Your expenses will be double what they disclose to you in their UFOC. You fool yourself into thinking you can absorb the costs Maaco is in the business of helping people be successful right? Wrong! They are in the business of selling franchises and paying themselves. They no longer have good operations support. If you watch TV very little of the advertising is spent on advertising. If anything advertising is Maaco corporate advertising to get more people to buy Maaco's not to bring customers to shops. Do yourself a favor, do something else with your money.

Maaco out of business??

Here are some stats you won't get from Maaco when you consider buying a franchise from them.

In the past 5 years they have churned through about 300 people/shops.

They currently have fewer than 450 shops open.

They are at about a 70% turnover rate and they are losing ground.

Maaco Corporate makes their money by taking your life savings in up-front franchise fees. Then they take your advertising budget and put it to their bottom line.

Please do not buy. They are riding their success from 10+ years ago. They have the franchise sales people in their pockets for now. If you look at the franchising magazines the published statistics are from 2-3 years ago. If you wait 2-3 years Maaco will be with the other Driven Brands franchises as worst to buy.

If you are considering Maaco

If you are considering Maaco weigh your options. Plan A Maaco. Plan B quit your job take your life-savings and party it away gambling, drinking, family vacations whatever you enjoy, sell your home get divorced declare bankruptcy. Then go back to work. You will lose everything anyway at least with Plan B you will have some fun doing it.

WHAT A TRUE

WHAT A TRUE STATEMENT............ CURRENT OWNER

Go for Plan B

How I wish I had chosen Plan B!

you ain't joking

thats the truth

Should you buy Maaco?

Quotes from BodyShop Business Executive Interview: Maaco President Talks David Lapps President and COO 04/20/2010 - full article: http://www.bodyshopbusiness.com/Article/72965/executive_interview_maaco_president_talks_marketing_lean_and_drps.aspx

Lapps - "my daughter called me and asked, “Dad, do you guys do collision work?” She has been in and out of Maaco shops her whole life and didn’t know that we do collision repairs."

This quote is funny because you will be paying this company franchise fees and advertising every week, no matter how bad a job they do for you. Remember the above when you are losing your life savings, house, marriage etc. Funny anecdote by ineffective leadership. Oh, by the way Mr. Lapps' wife is in charge of advertising for Maaco.

Lapps - "We currently have over 20 shops that are fully certified DRP shops"

20 out of approximately 475 shops or about 4-5% preferred vendors for insurance companies - When you sign up for Maaco they will tell you about all the opportunities they bring but don't kid yourself, you will be so buried in fees you will not have the time or money for the outside training you will need to become successful.

Lapps - "One of the major issues we encountered concerned our contamination control"

Maaco has trash in their paint as acknowledged by the President of Maaco, and cited thousands of times by consumer complaints. This is not an industry standard but is acceptable for Maaco.

Go figure, Maaco is a marketing scheme and it will be up to you to do industry comparable work at hugely discounted prices if you want to survive. Good Luck, the math does not work and poor leadership and lacking advertising get paid every week by the franchisee no matter how poor a job Maaco does for you.

Darnelle White's picture

Better

This is much better. An anonymous commentator provides a hyperlink to an interview with Maaco's president. That provides credibility and evidence to what they are posting about. He/she then uses the president's own words as a launching point for her/his own commentary -- that something isn't quite right.

Do not buy Maaco has changed

Do not buy Maaco has changed ownership. The new owners own Meineke one of the 25 worst franchises. Look around the web there are ten Maaco's for sale in California all at deep discounts. Owners are running away from these places.

Twice as bad

They have changed ownership twice in less than three years.

changed owners again

company sold again 3 ownership changes in less than 5 years???

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