Novus Glass franchise

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Novus Glass outlets and mobile stores primarily provide auto glass replacement products and services. With more than 44 million windshields repaired since 1972, the company claims to be the global leader in their market.

Novus Glass business details

Novus Glass is headquartered in St. Paul, Minnesota. They’ve offered franchise opportunities since 1985. Best known for their auto glass repair services, they also offer commercial and residential glass replacement plus a mix of other automotive aftermarket products and services. They currently operate in 30 countries and have more than 1300 locations worldwide.

Novus Glass at a glance:

  • US stores: Approximately 250
  • Required Investor net worth: $150,000
  • Required investor liquid cash: $30,000
  • Min. investment: $59,000
  • Max. investment: $274,000
  • Standard franchise term: 10 years

Can I start a Novus Glass franchise?

Novus Glass say you don’t need previous experience in the automotive service industry to successfully operate one of their glass replacement outlets, and with a requirement of $30,000 liquid cash and $150,000 net worth, the financial hurdles to ownership are low. However, keep in mind that with more than 20,000 businesses offering auto glass repair in the US, a number which has grown by 3.4% since 2019, the competition for customers could be challenging – as evidenced by this franchise’s failure rate, which is 23% by year three. 

How much does a Novus Glass franchise cost?

A Novus Glass franchise is affordable, requiring an initial investment that ranges from $59,000 up to $274,000 (a cost that includes a vehicle fee that could be reduced by leasing your van or truck). This set-up cost ranks as low. 

The initial franchise fee is $10,500 and military veterans may qualify for a $1,000 discount. Note that franchisees can choose between a retail franchise, which requires a bricks and mortar store, or a mobile-only franchise, which utilizes a van or truck to deliver Novus Glass products and services. Retail set-up costs range from $79,000 to $274,000. Mobile set-up costs range from $59,000 to $159,000.

After opening, you are required to pay an array of ongoing fees and charges. They include:

  • Royalty fee: 6% of gross sales 
  • Marketing contributions: 2% of gross sales
  • Local advertising fee: Minimum of 4% of gross sales
  • Vehicle lease payments: $1,300 to $1,600 per month
  • State, regional and national meetings: $600 to $1,000 per person per meeting
  • Other training: $0 to $5,000
  • Novus success team: Up to $1,000 per week plus expenses
  • Electronic data interchange: $2 per transaction
  • Monthly POS software license: $150 to $175 per month
  • Annual NAGS license fee: $750 to $900 per user
  • Late payments fee: $100 per month or maximum legal rate

Estimated key costs to open a Novus Glass franchise – leased retail location:

Key Costs GuideLowHigh
Franchise fee$10,500$10,500
Initial training fee$14,000$14,000
Training expenses – up to two people including salaries$3,000$9,000
Leased premises cost – first month’s rent$1,000$4,200
Leasehold improvements – store build-out$2,500$40,000
Furniture and fixings$0$25,000
Exterior signage$5,000$10,000
Insurance$10,000$20,000
Vehicle (lease or buy outright)$3,800$50,000
Equipment packages$10,000$25,000
Additional tools and supplies$1,000$2,500
Inventory and supplies$0$10,000
Software package$2,500$2,500
Calibration package$0$11,990
Franchise ID package$1,500$3,000
Initial marketing set-up package$5,000$5,000
Initial advertising campaign costs$0$5,000
Insurance premiums$2,500$5,000
Security deposits$0$3,000
Additional costs – 3 months$17,000$35,000

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Are Novus Glass franchises profitable?

Yes. Average annual gross revenues for a US Novus Glass franchise are $612,000. Auto repairs – all kinds – generally earn profit margins of 20% to 30%. Assuming a 25% profit margin, the average net income per Novus outlet would be around $150,000, which ranks as good and would repay your initial investment in approximately 4 years. 

What is the failure rate for a Novus Glass franchise?

High. The failure rate of a Novus Glass franchise is 6% in the first year, rising to 23% by year three.

Why should you start a Novus Glass franchise?

Low initial investment, good profits and fast payback make a Novus Glass franchise an attractive business opportunity, but there are concerns over the unusually high failure rate, with almost a quarter of all franchises going bust within their first 3 years. If you think you can beat this trend and you like working with cars and trucks and you’re also prepared to go on the road to rescue motorists in an emergency, this could be the franchise for you.

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What are the franchise territory policies for Novus Glass?

Franchises receive the right to operate one Novus Glass business within a territory that the company designates. While there is no minimum size for the territory, the company uses mapping software and vehicle data to determine the territory, which will typically include approximately 120,000 vehicles or more. As long as the franchisee is compliant with their franchise agreement, Novus Glass will not operate, or grant to any third party the right to operate another glass repair and/or glass replacement business, including a mobile business, using the Novus trademarks within the territory.

What franchise resources does Novus Glass offer?

Novus Glass support for franchisees includes:

  • Training: Franchisees or their nominated manager must attend and successfully complete the Novus Glass initial training within 60 days after they sign the franchise agreement, and before they begin operating their Novus business. The initial training is designed to assist franchisees in launching their Novus franchise. Additionally, Novus Glass will, for the first franchise, make a ‘fast start’ field representative available to franchisees to provide further training. This will take up to two weeks for a retail location franchise, and one week for a mobile franchise. At the franchisee’s request, the company will also provide additional telephone advice during the first 60 days after training is completed. 
  • Marketing support: Novus Glass provides promotional and other marketing support for their franchisees.
  • Third-party financing: Novus Glass provides limited financial support for investors seeking franchise funding. Alternatively you may be able to obtain more economical and flexible funding solutions from the many independent funders who provide business loans to franchise operators.

What is the process for starting a Novus Glass franchise?

It begins with an application. Start the process here.

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Starting a new franchise can be an exciting opportunity, but it’s easy to get lost in a maze of business loan applications that can make funding your new glass replacement business like too much hard work. Instead, cut out the hassle and cut to the chase. Swoop has the best lenders for the best franchises across the US. Just tell us what you need and leave the rest to us.

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Testimonials

Written by

Chris Godfrey

Chris is a freelance copywriter and content creator. He has been active in the marketing, advertising, and publishing industries for more than twenty-five years. Writing for Wells Fargo Bank, Visa, Experian, Ebay, Flywire, insurers and pension funds, his words have appeared online and in print to inform, entertain and explain the complex world of US consumer and business finance.

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At Swoop we want to make it easy for SMEs to understand the sometimes overwhelming world of business finance and insurance. Our goal is simple – to distill complex topics, unravel jargon, offer transparent and impartial information, and empower businesses to make smart financial decisions with confidence.

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Article sources
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Swoop requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate.

Franchise funding: https://swoopfunding.com/us/blog/funding-your-franchise-a-guide-for-franchisees/

Van leasing: https://swoopfunding.com/us/business-loans/asset-finance/equipment-leasing/commercial-equipment-leasing/

Profitability: https://sharpsheets.io/blog/novus-glass-franchise-costs-profits/

Margins: https://dojobusiness.com/blogs/news/auto-repair-shop-profitability

Novus Glass franchise application: https://www.novusfranchising.com/hot-markets/

Novus Glass: https://www.novusfranchising.com/novus-history/

Failure rate: https://www.vettedbiz.com/franchises/novus-glass/

Set-up costs: https://www.franchisedirect.com/directory/novusglass/ufoc/120/

Auto glass repair businesses in US: https://www.ibisworld.com/united-states/market-research-reports/auto-windshield-repair-services-industry/

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