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Ace Hardware

Information based on 2023 FDD
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Brand Highlights
  • Founded in 1924
  • Franchising Since 1976
  • 4645 US Franchises
  • $579,350 - $1,913,080 Investment Range
  • $4,297,469 Average Gross Revenue
  • N/A Royalty Fee
  • $5,000 Franchise Fee
Pre-qualification Amount

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Brand Description

Ace Hardware stands as America's most trusted neighborhood hardware retailer, with a legacy dating back to 1924. As a cooperative of independently owned stores, Ace Hardware combines the personalized service of a local business with the buying power and resources of a national brand. Each location is uniquely tailored to its community while maintaining the consistent quality and service that has become synonymous with the Ace name.

What sets Ace Hardware apart is their unwavering commitment to customer service, epitomized by their famous slogan 'The Helpful Hardware Folks.' Store owners and employees are known for their deep product knowledge and willingness to provide personalized solutions for every customer's needs. Whether you're a DIY enthusiast or a professional contractor, Ace Hardware stores offer expert advice and guidance for projects of any size.

The stores feature comprehensive departments including hardware, paint, lawn and garden, tools, plumbing, electrical, and seasonal items. Ace Hardware is particularly renowned for their paint department, offering premium brands and expert color matching services. Their convenient locations and well-organized stores make it easy for customers to find exactly what they need without the overwhelming experience of big-box retailers.

As a franchise owner, you'll become part of a trusted brand that emphasizes community involvement and relationship-building. The cooperative structure provides entrepreneurs with the independence to tailor their store to local needs while benefiting from Ace's established supply chain, marketing support, and training programs. This business model has proven successful across diverse markets, from small towns to urban centers, making Ace Hardware a cornerstone of communities nationwide.

Financial Summary
Franchise Fee
$5,000
Investment Range
$579,350 - $1,913,080
Investment Midpoint
$1,246,215
Minimum Cash Required
$579,350
Royalty Fees
N/A
Brand Fund
N/A
Brand Bragging Rights
100 years established brand (since 1924)
4,867 locations nationwide network
Exceptional revenue performance: $4.3M average vs $937K subsector average
Revenue 4.6x higher than retail subsector average
Cooperative buying power advantages
Proven recession-resistant business model with century-long track record
Financial Analysis
Ace Hardware requires a substantial investment of **$579,350 - $1,913,080**, positioning it as a premium franchise opportunity significantly above the retail sub-sector average of $453,266 - $715,998. The maximum investment is nearly 2.7x higher than the subsector average, reflecting the comprehensive nature of a full-service hardware store operation including inventory, fixtures, equipment, and working capital.

The financial performance justifies this premium investment, with **gross revenue of $4,297,469** - an impressive **4.6x higher** than the subsector average of $937,273. This exceptional revenue performance demonstrates the effectiveness of Ace's proven business model and strong market position in the hardware retail sector.

With **4,867 units** and **100 years** of operation since 1924, Ace Hardware represents one of the most established franchise systems in retail. This extensive network provides significant purchasing power, brand recognition, and operational infrastructure through their cooperative business model, allowing franchisees to benefit from collective buying advantages while maintaining local ownership.

The hardware retail sector benefits from consistent consumer demand for home improvement, maintenance, and seasonal products. Despite e-commerce growth, hardware stores maintain competitive advantages through immediate product availability, expert advice, and local community connections, contributing to the strong revenue performance.

Ideal investors should possess substantial liquid capital exceeding the minimum investment, retail or business management experience, and commitment to community engagement. The proven financial track record and comprehensive support systems make this an attractive opportunity for qualified investors seeking a recession-resistant business model.
Expected Investment Range
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Average Gross Sales
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Financing
Financing Details

Franzy connects you with top-tier financing partners to help secure the funds to invest in a franchise like Ace Hardware. Whether you're looking for a loan or exploring other financial products, our partners provide expert guidance to ensure you obtain the necessary capital. They specialize in offering solutions tailored to the needs of franchisees, making the process of securing financing smooth and straightforward.

Why Financing with Franzy Partners?

Choosing to finance through Franzy's partners ensures you get the best terms and support for your franchise investment. Our partners have extensive experience in the franchising industry and offer specialized financial solutions tailored to your needs. With competitive interest rates and flexible repayment options, you can find the right financing plan that fits your budget and goals. Our partners are committed to providing personalized guidance throughout the financing process, making it easier for you to secure the necessary funds and confidently move forward with your franchise venture.

Finance Partners
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First Bank of the Lake

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Golden Capital Solutions

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Location Analysis
Ace Hardware demonstrates robust national coverage across numerous states, showcasing particularly strong presence in the Midwest and Eastern regions. The brand maintains notable concentrations in states like Michigan, Virginia, New York, North Carolina, and Tennessee, indicating successful market penetration in diverse geographic areas. The franchise's impressive customer satisfaction ratings across thousands of reviews suggests consistent service quality nationwide.

The brand's strategic positioning typically targets suburban and small-town markets, where it effectively competes against big-box retailers through personalized service and community integration. Successful locations often feature 8,000-12,000 square feet in community-centric retail zones with strong residential density and median household incomes above $50,000.

Expansion opportunities exist particularly in the Western United States, where market coverage is less extensive. Ideal locations demonstrate strong local housing markets, active DIY communities, and limited competition from other hardware retailers within a 3-5 mile radius. The franchise shows particular success in areas with high homeownership rates and active construction markets.

Prospective franchisees should focus on communities with stable population growth, strong retail corridors, and demographics aligned with home improvement spending. The brand's proven success across diverse markets suggests adaptability to various regional contexts while maintaining consistent service quality.
Total US Locations4867
Open Franchises4645
Corporate Locations222
Average Sq. FootN/A
Territory Map

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Franchise Net Unit Growth
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Additional Information

Executive Team

Get to know the leadership behind Ace Hardware. Learn about the experience and expertise of the executive team guiding Ace Hardware's success. For more details, refer to Item 2 of the Franchise Disclosure Document (FDD).

Litigation

Review any legal actions or pending litigation involving Ace Hardware. Understanding the legal history helps assess potential risks and the brand's business practices. For more details, refer to Item 3 of the Franchise Disclosure Document (FDD).

Bankruptcy

Review Ace Hardware's bankruptcy history and any filings by key personnel or affiliates. This critical information provides transparency about the brand's financial stability and management. For more details, refer to Item 4 of the Franchise Disclosure Document (FDD).

Franchisor Assistance

Learn about Ace Hardware's comprehensive support system for franchisees, including initial training programs and continuous operational assistance. Understanding the available resources and support structure is crucial for franchise success. For more details, refer to Item 11 of the Franchise Disclosure Document (FDD).

Frequently Asked Questions
Disclaimer

The information provided on this page is based on the latest Franchise Disclosure Document (FDD) that is publicly available and that we have on record, which was issued in 2023. This information is for informational purposes only and is not intended to constitute legal, financial, or business advice. We make no guarantees or claims regarding the completeness or accuracy. For the most current and detailed information, we recommend consulting the franchisor directly for the most recent FDD and regarding any questions that you may have about the information provided.

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