Big O Tires's 2026 FDD discloses the initial investment in Item 7, including a $18K franchise fee, with ongoing royalties of 2%. The franchisor makes no Item 19 earnings claim.
Investment Range
Franchise Fee
Industry avg: $34K
Not Disclosed
Big O Tires does not provide financial performance representations in their 2026 FDD. This means the franchisor does not disclose revenue, earnings, or other financial metrics. Consider reaching out directly to current franchisees for performance information.
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The investment range disclosed in Item 7 of the Big O Tires franchise FDD covers everything required to open the unit — franchise fee, build-out, equipment, signage, opening inventory, training, and a working-capital reserve. The High end of the range is the realistic budget. Most automotive buyers see actual costs cluster within 5-15% of the High range once site-specific real estate and construction costs are factored in.
Item 7 does not include personal living expenses, debt service, or the cost of due diligence (attorney, accountant, validation calls). Plan for an additional 20-30% of the Item 7 High range to cover these gaps. Lenders evaluating an SBA loan for a Big O Tires franchise will look at the High range as the deal size, not the Low.
If Item 19 is disclosed, the franchisor has provided either gross sales averages, profit metrics, or both. Median figures are more reliable than averages — top performers can pull the mean upward by 30% or more. If Item 19 is blank, the franchisor declined to make financial performance representations. Absence of data is itself a signal — call 10-15 existing franchisees from Item 20 and ask directly.
Net worth and liquidity requirements published by Big O Tires are the franchisor's filter for new buyers, not necessarily what your SBA lender will accept. SBA underwriting overlays its own credit, debt-service-coverage, and post-closing liquidity requirements on top. The published numbers are a floor, not a ceiling — many approved Big O Tires franchise buyers carry significantly more capital than the listed minimums.
Data shown is extracted from the 2026 Franchise Disclosure Document filed with state regulators. Fees, investment ranges, and other terms may have changed since this filing. Always request the current FDD directly from the franchisor before making any investment decisions. This information is not financial, legal, or investment advice. Full disclaimer.
$18K
2%
462
Not disclosed
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