Mr. Transmission / Milex logo

Mr. Transmission / Milex Franchise

Audited Financials
AutomotiveEst. 1990Orland Park, IL
www.moranfamilyofbrands.com

Risk Score

Pending analysis

Investment Range

$267,300 - $393,700

Franchise Fee

$35,000

Min Cash Required

$50,000

Total US Locations

111

Business Summary

Mr. Transmission Milex Complete Auto Care offers franchises for businesses specializing in the repair, service, and installation of automobile transmissions under the service mark "Mr. Transmission," and businesses specializing in automotive maintenance and a full line of repair services under the service mark "Milex Complete Auto Care." The brand also offers co-branded centers that provide services from both business types. Franchisees can establish a new location or convert an existing independent automotive business to a franchised one.

Corporate History

Moran Industries, Inc., doing business as Moran Family of Brands, was incorporated in Illinois on July 27, 1990. The company's predecessors began operating centers under the Mr. Transmission trade name in 1962, with franchising starting in 1970. Moran Industries, Inc. acquired intellectual property rights related to Milex Tune-Up and Brakes in November 1997 and has offered Milex Complete Auto Care franchises since then. The company also previously offered franchises under the names Dr. Nick's Transmissions and Multistate Transmissions, and from 2007 to 2020, under Alta Mere, which offered similar services to the currently offered Turbo Tint brand.

Financial Overview

Investment Range

$267,300 - $393,700

Franchise Fee (Low)

$35,000

Franchise Fee (High)

$55,000

Minimum Cash Required

$50,000

Royalty %

7%

Marketing %

1%

Equipment Costs (Low)

$98,500

Equipment Costs (High)

$151,200

Working Capital

$60,000

Audited Financials

Yes

Offers Financing

No

Audit Opinion

Unqualified opinion

Financial Health Notes

Moran Industries, Inc. appears to be in sound financial health. The company's audited financial statements for 2024, 2023, and 2022 received an unqualified opinion from its independent auditor, indicating that the financial statements are presented fairly in all material respects. The auditor's report does not contain any going concern qualifications, meaning there are no substantial doubts about Moran Industries, Inc.'s ability to continue operations. The notes to the financial statements also indicate that Moran Industries, Inc. regularly maintains cash balances that exceed Federal Deposit Insurance Corporation limits, suggesting strong liquidity and financial stability.

Financing Details

Moran Industries, Inc. does not offer direct or indirect financing to its franchisees and does not guarantee any notes, leases, or other obligations. However, upon request, Moran Industries, Inc. can provide franchisees with a list of lending organizations that may offer financing options for equipment and other investment needs for establishing a center. Franchisees are solely responsible for obtaining any necessary financing through third-party lenders and for any associated fees or expenses.

Performance Metrics

Total US Locations

111

Franchised Units

106

Corporate Units

5

Avg Square Footage

4,500

Franchising Since

1970

Agreement Terms

Initial Term

15 years

Renewal Term

15 years

Renewal Conditions

To renew their franchise agreement, Moran Industries, Inc. franchisees must be in good standing, meaning they have complied with all terms of the Franchise Agreement and any other agreements with the franchisor and its affiliates throughout the initial term. They must sign Moran Industries, Inc.'s then-current Franchise Agreement, which may have materially different terms and conditions, and pay the current renewal fee. Additionally, franchisees may be required to complete any retraining programs at their own expense and ensure their center reflects the then-current image of a Mr. Transmission or Milex Complete Auto Care center through all necessary maintenance, refurnishing, renovation, modernizing, and remodeling.

Training & Support Program

Franchisor Assistance

Moran Industries, Inc. provides comprehensive assistance to its franchisees, starting with pre-opening support including designating the territory, furnishing standard site plans (if building constructed), and evaluating proposed sites. They assist with market assessment, coordinating with brokers, and finding suitable locations. Franchisees receive a loan of the operating manuals and detailed specifications for signs, equipment, fixtures, inventory, and supplies. Initial mandatory training consists of two weeks of online training, one week of classroom training (typically in Orland Park, IL), and one week of in-center field training, plus a three-day outside sales community development program to develop fleet sales. After opening, Moran Industries, Inc. offers additional supervisory assistance, advice, and services at its discretion, including periodic field representative visits. The franchisor also schedules mandatory conferences covering sales, marketing, financial management, technical updates, and advertising programs, where franchisees are responsible for their own travel and lodging expenses. Moran Industries, Inc. conducts research and development, making results available to franchisees, and provides creative advertising and promotional tools through the Moran Creative Fund. The franchisor also protects franchisees against trademark and service mark infringement.

Initial Training Hours

138

Training Location

Orland Park, IL

Ongoing Support

After opening, Moran Industries, Inc. offers ongoing support and services to its franchisees. This includes providing additional assistance, supervision, advice, or services at its sole discretion. Moran Industries, Inc. schedules mandatory conferences periodically for all franchisees, covering topics such as sales, marketing, financial management, automotive technical updates, performance standards, advertising programs, and procedures. Franchisees are responsible for their own expenses for these conferences. The franchisor also furnishes counseling and advisory services, apprises franchisees of plans and new developments through bulletins and field visits, and allows participation in national or regional meetings. Research and development results are shared with franchisees, and creative advertising and promotional tools are provided through the Moran Creative Fund. Moran Industries, Inc. assists in developing and maintaining the brand's online presence, including creating business Facebook accounts and Google listings, and requires use of specific keywords for pay-per-click advertising.

Franchise Requirements

Ideal Candidate Profile

Moran Industries, Inc. seeks franchisees who will operate, supervise, and manage the day-to-day operations of their Mr. Transmission or Milex Complete Auto Care center on a full-time basis. If there are multiple owners, one designated owner must hold at least a 33.3% equity share and be primarily responsible for full-time, on-site supervision and management. This emphasizes a hands-on approach and direct involvement in the business's daily activities. Moran Industries, Inc. evaluates each applicant on a case-by-case basis.

Industry Experience Required

No

Management Experience Required

Yes

Sales Experience Required

No

Technical Skills Required

No

Operational Details

Location Type

retail

Owner Participation

full-time

Territory Type

limited

Territory Size Requirements

Each Mr. Transmission, Milex Complete Auto Care, or Co-Branded Center is granted protection within a 3-mile radius of its specific location, where Moran Industries, Inc. will not allow another franchised or company-owned center of the same brand to open. For Area Developers, territories are granted based on market penetration and demographic analysis to support multiple Co-Branded Centers, with adherence to a development schedule required to maintain exclusive rights.

Staffing Notes

Moran Industries, Inc. requires the franchisee, or a designated owner with at least a 33.3% equity share, to be primarily responsible for supervising and managing the day-to-day operations of the center on a full-time basis. Franchisees may appoint other individuals to manage sales or production; these managers must complete the customer service management portion of the online training program. The franchisor emphasizes that the franchisee is the sole employer of their staff and is responsible for all aspects of hiring, firing, compensation, scheduling, and performance evaluation. Franchisees are also required to maintain trained personnel to serve the public and to maintain the premises and equipment according to franchisor standards.