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Garage Kings franchise — is it worth it?

Low risk Significant turnover Item 19 disclosed

What Garage Kings's most recent Franchise Disclosure Document says about the money, the litigation, and the franchisee churn — before you wire a five- or six-figure franchise fee.

Everything below is free, read straight off Garage Kings's registered filing, with where the numbers land against category peers. Weighing Garage Kings against other options? Get a free shortlist of franchises that fit your budget.

Figures above are as disclosed in Garage Kings's most recent FDD (registered 2022). Source: Minnesota Dept. of Commerce — CARDS franchise registrations · filing 24458-202205-07 — check it yourself. See every other Minnesota-registered franchise.

How much does a Garage Kings franchise make?

Garage Kings is one of the franchisors that answers this on the record: its most recent FDD makes an Item 19 financial performance representation — actual unit earnings figures, disclosed by the franchisor itself. The headline figure did not machine-read cleanly from this filing, so we don't print one; Item 19 of the source FDD has the tables. See every other brand that discloses earnings in the Other franchises with disclosed Item 19 earnings ranking.

Garage Kings franchise profit vs. revenue

Revenue is not profit. An Item 19 almost always reports sales — what a location takes in — not what an owner keeps. Out of that number come Garage Kings's 6% royalty, the ad fund, rent, payroll, supplies and debt service. No FDD tells you a Garage Kings franchise's profit, because profit depends on your site, your rent and how you run it — so treat any "Garage Kings franchise profit" figure quoted elsewhere as someone's estimate, not a disclosure.

Garage Kings lawsuits & legal history (FDD Item 3)

Garage Kings's most recently filed Franchise Disclosure Document (2022) discloses no litigation in Item 3. That is a real signal rather than a gap: the FTC Franchise Rule requires a franchisor to disclose material litigation involving itself, its predecessors, parents, affiliates and management, so an empty Item 3 in a current filing means there was nothing it was required to report. It is worth reading alongside the churn numbers — a system can have a clean Item 3 and still be losing franchisees, which is what Item 20 shows.

Garage Kings closures & failure rate

Before you sign, Garage Kings will hand you a list of current owners to call as references — and they choose who's on that list. It won't include the owners who quit, got bought out, or were forced out last year. The FDD does report that number, even though the reference list leaves those people off. Below is what Garage Kings's most recent filing shows, and whether it's normal for a franchise of this kind.

The closest thing an FDD has to a failure rate is Item 20 — outlet openings, closures, terminations and non-renewals, reported by the franchisor. Garage Kings's latest tables show significant franchisee turnover. Its franchised-outlet closure rate — closures, terminations and non-renewals against outlets — is 16.7%. Net franchised outlets moved +5 to 23 in the latest reported year.

Who owns Garage Kings?

Garage Kings's franchise is offered by GK USA Franchise, LLC — the franchisor named on the cover of its most recently filed Franchise Disclosure Document (2022), and the entity a franchisee actually signs with. That name comes straight off the filing at MN CARDS; it identifies the franchisor, not necessarily the ultimate parent company behind it.

Franchises at a similar investment level at a similar investment level

Anyone weighing Garage Kings is really weighing it against the other brands their money could go into. These are the closest by total initial investment (FDD Item 7), each with its own FDD-based page.

Garage Kings franchise — frequently asked