RNR Tire Express

The $1,000 monthly technology fee is approximately 2-6 times higher than typical for automotive franchises. What specific technology services and systems does this fee cover, and how is this justified compared to industry standards?

Your royalty rate of 5.0% is below the typical range of 5.38-7.5% for automotive franchises. Is this rate permanent, or could it increase during renewal periods or if system sales targets are not met?

You have no advertising fund contribution requirement (0%) while typical franchises charge 0.75-2.0%. How are marketing initiatives funded, and how are marketing investments allocated across the system?

Your non-compete restriction extends 50 miles, significantly exceeding the typical range of 5-25 miles. What is the rationale for this expanded geographic restriction, and has this been enforced against former franchisees?

The non-compete duration is 3 years compared to a typical range of 1-2 years. How was this extended period determined, and are there circumstances where this could be reduced or waived?

Your median gross sales of $1,726,278 significantly exceed typical ranges. Can you provide a breakdown of sales by location type (urban/suburban/rural) and by product category to understand this outperformance?

Termination causes number 20 compared to the typical range of 13-18. Can you provide the complete list of termination triggers and explain which ones are most frequently invoked?

Renewal conditions total 9 compared to the typical range of 5.5-8. What are all renewal conditions, and how difficult are renovations/modernization requirements to achieve?

Two terminations and 2 closures occurred in 2024. Can you explain what caused these terminations and whether they were franchisor-initiated or franchisee-initiated departures?

Your system demonstrates a 1.1% three-year turnover rate, significantly below the typical 2.95-15.5% range. What factors contribute to this unusually high retention, and how sustainable is this rate?

Transfer rate is 0.0% compared to a typical range of 0.6-5.6%. Why are franchisees rarely transferring units, and what is the process and approval requirement if a franchisee wants to sell their unit?

Personal and spousal guarantees are required for all franchise obligations. Are there any circumstances under which guarantees can be limited or released, and what does personal liability extend to?

Binding arbitration in Hillsborough County, Florida is required for all disputes. If you operate in another state, what are the logistical and cost implications of arbitrating disputes in Florida?

The franchise agreement includes 11 non-curable defaults allowing immediate termination. Can you provide examples of these non-curable defaults and the circumstances under which they are typically invoked?

Your renewal fee is $1,500 per 10-year renewal term. Are there additional costs for required renovations/modernization, and what is the typical capital investment required to renew?

How many franchisees have renewed at the end of their initial 10-year term, and what percentage actually proceed with both optional renewal periods to achieve the full 30-year potential term?

The franchise has zero litigation cases. Has the franchisor entered into confidential settlements or arbitration awards with franchisees, and can you provide non-confidential summary data on dispute patterns?

Current system growth is 7 units year-over-year with 200 total units. What is your growth strategy and target for the next 3-5 years, and are you planning to expand into new geographic markets?

Can you provide the average unit economics including typical operating costs, labor, inventory, and net profit margins for a mature RNR location versus a new location in year 1-3?

What support and training is provided to new franchisees, and is there ongoing operational support? How do franchisees access your Item 19 financial data to compare their performance to system averages?