Mighty Auto Parts Franchise FDD, Profits & Costs (2025)

Mighty Auto Parts was founded in 1963 by Dallas “Dick” Wallace. It started as a network of local and regional suppliers for the automotive service industry. The company is headquartered in Atlanta, Georgia, and began franchising in 1970.

Mighty Auto Parts specializes in preventive maintenance products, common-use auto parts, shop supplies, oils, chemicals, and lubricants.

It offers high-quality, direct-sourced products to automotive service professionals. Mighty Auto Parts operates a unique wholesale-only business model. This approach sets it apart from other automotive parts franchises.

Today, Mighty Auto Parts has grown to over 100 franchise distributors nationwide. It serves approximately 15,000 customers across the U.S. The company’s dedication to quality and support has earned it a trusted reputation in automotive parts.

Initial Investment

How much does it cost to start a Mighty Auto Parts franchise? It costs on average between $248,000 – $571,000 to start a Mighty Auto Parts franchised store.

This initial investment includes costs for construction, equipment, inventory, and initial operating expenses. The exact amount varies based on multiple factors, such as the size and location of the service area, the level of inventory required, and whether the franchisee decides to lease or purchase the facility.

Type of ExpenditureAmount
Initial Franchise Fee – Training and Setup$7,500
Franchisees Assn. Initiation Fee$300 per year
Franchisees Assn. Dues$250
Real Property$20,000 – $55,000
Office Equipment$1,500 – $2,000
Warehouse Equipment$15,000 – $45,000
Stationery, Other$250
Start-up Supplies$1,200 – $1,800
Initial Training Travel Expense$500 – $1,000
Professional Fees$5,000 – $50,000
Leasehold Improvement$5,000 – $50,000
Initial Franchise Fee – 10-Year License$17,500 – $52,500
Opening Inventory$75,000 – $150,000
Vehicle(s)$40,000 – $80,000
Computer/Software$6,000 – $10,000
Initial Promotions$5,000 – $10,000
Required Insurance$2,000 – $3,500
Deposits, Licenses$500 – $1,500
Additional Funds (3-6 months)$50,000 – $100,000
Total Estimated Initial Investment$247,500 – $570,600

Average Revenue (AUV)

How much revenue can you make with a Mighty Auto Parts franchise? A Mighty Auto Parts franchised business makes on average $1,588,000 in revenue (AUV) per year.

Here is the extract from the Franchise Disclosure Document:

Mighty Auto Parts fdd item 19 extract

This compares to $1,588,000 yearly revenue for similar auto parts franchises.

Below are a few competitors as a comparison:

Mighty Auto Parts franchise competitors

Mighty Auto Parts Franchise Disclosure Document

Frequently Asked Questions

How many Mighty Auto Parts locations are there?

As of the latest available data, Mighty Auto Parts operates a total of 92 locations, consisting of 90 franchised units and 2 company-owned units.

What is the total investment required to open a Mighty Auto Parts franchise?

The total investment required to open a Mighty Auto Parts franchise ranges from $248,000 to $571,000.

What are the ongoing fees for a Mighty Auto Parts franchise?

Mighty Auto Parts franchisees are required to pay a royalty fee of 5% of their gross sales, which contributes to the continuous development and support provided by the franchisor.

Additionally, there is an advertising co-op fee of 0.5% of gross sales, matched by Mighty Auto Parts, to fund collective marketing initiatives aimed at enhancing brand visibility and driving customer engagement. These fees are typically paid on a monthly basis.

What are the financial requirements to become a Mighty Auto Parts franchisee?

To become a Mighty Auto Parts franchisee, candidates should have a minimum net worth of $500,000 and at least $100,000 in liquid capital.

These financial thresholds ensure that franchisees possess the necessary resources to cover initial investments, including inventory, warehouse setup, equipment, and other startup expenses, thereby facilitating a successful launch and sustainable operation of the franchise.

How much can a Mighty Auto Parts franchise owner expect to earn?

The average gross sales for a Mighty Auto Parts franchise are approximately $1.59 million per location. Assuming a 15% operating profit margin, $1.59 million yearly revenue can result in $239,000 EBITDA annually.

Who owns Mighty Auto Parts?

Mighty Auto Parts is a subsidiary of Grupo Gonher, a leading manufacturer and distributor of automotive filters and lubricants based in Mexico. Grupo Gonher acquired Mighty Auto Parts in 2017, integrating it into its portfolio to expand its presence in the automotive aftermarket industry.

Disclaimer

Disclaimer: This content has been made for informational and educational purposes only. We do not make any representation or warranties with respect to the accuracy, applicability, fitness, or completeness of the information presented in the article. You should not construe any such information or other material as legal, tax, investment, financial, or other professional advice. Nothing contained in this article constitutes a solicitation, recommendation, endorsement, advertisement, or offer to buy or sell any franchises, securities, or other financial instruments in this or in any other jurisdiction in which such solicitation or offer would be unlawful under the franchise and/or securities laws of such jurisdiction.

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