Big O Tires charges a royalty fee of 5.0% of gross sales (2025 FDD). This ongoing fee is typically paid weekly or monthly to the franchisor for continued use of the brand and support systems.

The total ongoing fee rate for a Big O Tires franchise is approximately 5.9% of gross sales (2025 FDD). This includes the royalty fee, a 0.9% marketing/advertising fund contribution, a $304/month technology fee, and other recurring charges.

Big O Tires has been involved in 3 litigation cases over the past 3 years (2025 FDD). There are no class action lawsuits pending.

No, the Big O Tires franchisor has no bankruptcy filings in their disclosure history (2025 FDD).

Big O Tires offers protected territory rights to its franchisees (2025 FDD). The franchise agreement includes encroachment protection, preventing the franchisor from placing another unit in your territory. Online sales are managed by the franchisor, not individual franchisees.

Big O Tires currently operates 461 locations (2025 FDD) (461 franchised, 0 company-owned). The system contracted by 0.2% over the past year. The 3-year compound annual growth rate is 0.1%.

The 1-year franchisee turnover rate for Big O Tires is 1.9% (2025 FDD). This includes closures, terminations, non-renewals, and transfers. A lower turnover rate generally indicates higher franchisee satisfaction and system stability.

According to the Big O Tires FDD Item 19 financial performance representation (2025 FDD), the average gross sales per unit is $2.8M.

The initial franchise agreement term for Big O Tires is 10 years (2025 FDD). Franchisees can renew 1 time for 10-year periods. The total potential term is 20 years.

Big O Tires's post-termination non-compete clause restricts former franchisees from operating a competing business for 2 years within 10 miles of the former location (2025 FDD).

Yes, Big O Tires's franchise agreement requires mandatory arbitration for dispute resolution (2025 FDD). The agreement includes a jury trial waiver.

Big O Tires provides 240 hours of initial training over approximately 6 weeks (2025 FDD). The cost of training is covered by the franchisor (travel and lodging are typically the franchisee's responsibility). Ongoing field support is provided on a as-needed basis.

Yes, Big O Tires provides site selection assistance to help franchisees find the right location (2025 FDD). The franchisor also provides technology support and systems.