About Colors On Parade Franchise
Colors On Parade is a mobile automotive cosmetic repair franchise that has been offering unit level opportunities since 1991.
This Virginia registration renewal allows individual operators to continue providing mobile vehicle appearance repair services throughout the state.
Each operator brings professional repair capabilities directly to dealerships, fleet companies, and individual vehicle owners.
Colors On Parade Franchise Cost & Fees
Minimum Investment
$26K
Average Investment
$62K
Maximum Investment
$98K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $7,500 | One-time payment upon signing |
| Royalty Fee | 20%-30% of Gross Sales of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | None | National brand fund |
| Total Investment Range | $26,450 – $97,500 | Includes build-out, inventory, working capital |
The investment range of $26K–$98K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (20%-30% of Gross Sales) and marketing fee (None) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $7,500 | $7,500 |
| Vehicle | $5,000 | $35,000 |
| Laptop Computer & Printer | $300 | $2,000 |
| Equipment | $4,000 | $24,500 |
| Tools | $1,600 | $2,000 |
| Insurance | $300 | $6,000 |
| Training | $4,000 | $5,000 |
| Travel and living expenses while training | $1,500 | $6,000 |
| Miscellaneous opening costs | $250 | $1,500 |
| Additional funds – 3 to 6 months | $2,000 | $15,000 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $1,000 |
| Renewal Fee | 50% of the then-current Initial Franchise Fee at the time of renewal (but in no event less than $3,750) |
| Audit Fee | Actual costs and expenses of audit or review, including salary or fees paid to employees or accountants |
| Liquidated Damages | The greater of $25,000 or 30% of your Gross Sales for the 12-month period prior to termination. |
| Indemnification | Actual amount of fines, losses, damages, costs and expenses (including attorneys’ fees) incurred by us. |
| Training Surcharge | Amount of the Initial Franchise Fee |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Up to 2 weeks |
| Classroom Training | 152 |
| On-the-Job Training | 0 |
| Training Location | Conway, SC or Springdale, AR (for paint repair, operations, marketing, finance, computer training, and paintless dent repair); Myrtle Beach, SC, Wilmington, NC, and Kailua, Hawaii (for interior repair by third parties) |
| Additional Training | Refresher and additional training programs are offered, sometimes regionally. Mandatory programs are free; optional programs may incur a reasonable fee. Training may also be provided at national or regional meetings. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive |
| Exclusive Territory | No |
| Territory Size | at least 100,000 |
| Description | Franchisees are granted a non-exclusive right to operate within a defined geographic territory with an estimated population of at least 100,000, specified in the Franchise Agreement. The territory cannot be changed without prior written approval. Franchisees may not solicit or provide services outside their territory without consent. The franchisor reserves the right to operate or license others to operate businesses under the System within the territory, and to develop other markets or use alternative distribution channels. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 20 years |
| Renewal Term | 10 years |
| Renewal Fee | 50% of the then-current Initial Franchise Fee at the time of renewal, but in no event less than $3,750.00 |
| Renewal Conditions | Franchisee must give notice, not be in default, sign the then-current Unit Franchise Agreement (which may have materially different terms), sign a general release (subject to state law), and pay the renewal fee. |
| Transfer Fee | $1,000 |
| Transfer Conditions | All monetary obligations satisfied, no default, franchisee signs a general release (subject to state law), franchisee agrees to non-competition provisions, transferee agrees to discharge all obligations, transferee qualifies and meets training requirements, transferee signs then-current Unit Franchise Agreement, franchisee remains liable for existing obligations, and all applicable fees are paid. |
| Termination for Cause | The franchisor may terminate the agreement if the franchisee defaults under the Unit Franchise Agreement, including failure to pay fees, misrepresentation, underreporting sales, failure to complete training, suspension of operations, bankruptcy, unauthorized transfer, conviction of certain crimes, or violation of health/safety laws. |
| Non-Compete Period | 2 years |
| Non-Compete Details | During the term, no involvement in competing businesses or solicitation of franchisor's/other franchisees' customers. After termination or expiration, for 2 years, no involvement in competing businesses, no solicitation of customers serviced in the prior 3 years, and no offering services within the territory or within 5 miles of commercial customers serviced in the prior 3 years. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | The franchisee must personally operate and supervise the Franchised Business and devote full time and best efforts, unless a fully trained, full-time employee, approved and authorized by the franchisor, acts in their stead. A substantial time commitment is required, especially during the initial years, including full-time on weekdays, several evenings, and some weekends. Franchisees may not operate any other business or utilize unauthorized automobile products or services. |
| Required Suppliers | Franchisees must use the accounting program designated in the Manual. Insurance must be purchased from an A.M. Best “A” or better rated insurance carrier. Proprietary mobile lab with assigned paint related products must be purchased from the franchisor. Required tools, equipment, and supplies must be purchased from the franchisor, its affiliates, or approved suppliers. Vehicles must meet franchisor specifications. Laptop computers and printers must meet or exceed minimum specifications. Sherwin Williams, Inc. is a designated supplier for automotive refinishing paint products. |
| Supply Restrictions | Franchisees may not use any equipment, tools, supplies, and inventory not obtained from the franchisor or an approved supplier without prior written approval. Purchases are prohibited from any company or person that has attempted to “knock off” or otherwise analyze for replication the franchisor's products, including patented or patent-pending items and those sold with the Colors on Parade® trademark or trade name. |
| Franchisor Revenue from Suppliers | During the fiscal year ended December 31, 2023, total revenues from the sale of products ($424,076) and collection services ($408,486) to franchisees were $832,562, representing approximately 24% of the franchisor's total revenues of $3,448,720. The franchisor receives a $25,000 annual marketing credit, a 15% paints and coatings rebate, a 5% associate products rebate, and a $400 franchise logo credit for each new franchisee from Sherwin Williams. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | No |
| Description | We do not offer direct or indirect financing. We do not guarantee your note, lease or obligation. |
Colors On Parade Franchise Earnings — Item 19
Average Revenue
$180K
Median Revenue
$141K
Revenue Range
$835 – $1.1M
Sample Size
166 units
Past financial performance does not guarantee future results. Individual results will vary.
Colors On Parade Litigation & Risk Flags
Clean Litigation RecordColors On Parade has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Colors On Parade System Growth
Total Units
214
Franchised
214
Company-Owned
0
Colors On Parade currently operates 214 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2021 | 12 | 10 | 219 |
| 2022 | 26 | 22 | 223 |
| 2023 | 16 | 25 | 214 |
Transfers: 1 | Closures: 25
State Registrations
Registered in 18 states: CA, MI, HI, MN, IL, NE, IN, NY, MD, ND, OR, VA, RI, SD, TX, UT, WA, WI
Franchisor Financials (Item 21)
Revenue
$3.5M
Net Income
$-23,954
Total Assets
$2.9M
Audited by Smith Sapp Professional Association for year ending December 31.
Colors On Parade Franchise — FAQ
The total investment to open a Colors On Parade franchise ranges from $26,450 to $97,500, per their Franchise Disclosure Document. This includes the initial franchise fee of $7,500. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Colors On Parade charges a royalty fee of 20%-30% of Gross Sales of gross sales, plus a None contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Colors On Parade Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Colors On Parade to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, Colors On Parade franchise owners report average revenue of $180K and median revenue of $141K. This is based on a sample of 166 units. Past performance does not guarantee future results.
Colors On Parade has been franchising since 1991. The FDD shows an investment range of $26,450-$97,500, a 20%-30% of Gross Sales royalty, and includes an Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $7,500 and the total investment ranges from $26,450 to $97,500 depending on location size and market. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Colors On Parade and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Colors On Parade or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com