Carstar vs Meineke Car Care Centers
Carstar vs Meineke Car Care Centers: Carstar costs $150K to $2.5M to open; Meineke Car Care Centers costs $250K to $550K. Carstar has 102 units, Meineke Car Care Centers has 531. SBA loan history: Carstar = 118 loans (3.4% default); Meineke Car Care Centers = 632 loans (18.8% default). The franchise with more SBA funded units, a lower SBA default rate, and a lower royalty load is the safer financing bet; see the comparison below.
Carstar vs Meineke Car Care Centers: Capital, Scale & Lending Analysis
Analysis based on FDD filings and SBA 7(a) loan level data. Each pairing reflects a unique combination of capital intensity, system scale, and financing path.
Capital Intensity
Carstar requires the lower minimum capital commitment ($150K vs $250K for Meineke Car Care Centers), a 40% spread. Initial franchise fees come in at $20K for Carstar versus $35K for Meineke Car Care Centers, Carstar has the lower entry fee. Ongoing royalty load is 5% for Carstar and 5% for Meineke Car Care Centers, equal royalty drag.
System Scale & Tenure
On scale, Meineke Car Care Centers operates 531 units to Carstar's 102, roughly 5× the system size. Meineke Car Care Centers has been operating 54 years (founded 1972) versus 37 for Carstar (founded 1989), a 17-year tenure gap that affects unit-economics maturity and FDD revision history.
SBA Lending Profile
Meineke Car Care Centers has the deeper SBA lending track record, with 632 7(a) approvals compared with 118 for Carstar.
Risk Signal
SBA default rates are 3.4% for Carstar and 18.8% for Meineke Car Care Centers, Carstar has the cleaner SBA loss record by 15.4 points. PeerSense FPI scores come in at 56 (Moderate) for Carstar and 57 (Moderate) for Meineke Car Care Centers, giving Meineke Car Care Centers the stronger composite signal across SBA performance, lender appetite, and operational consistency.
Health & Performance
FPI Score | 56/100 | 57/100 |
Health Tier | Moderate | Moderate |
Confidence | N/A | N/A |
Lending Trend | Declining | Declining |
SBA Lending
SBA Loans | 118 | 632 |
SBA Volume | – | – |
Default Rate | 3.4% | 18.8% |
Peer Tier | major | major |
Investment & Costs
Total Investment | $150K to $2.5M | $250K to $550K |
Franchise Fee | $20K | $35K |
Royalty Rate | 5% | 5% |
Ad Fund | 2% | 0.7% |
Liquid Capital | N/A | $100K |
Net Worth Required | $500K | $500K |
Financial Performance (Item 19)
Item 19 Status | Disclosed | Disclosed |
System Size & Operations
Total Units | 102 | 531 |
Franchised Units | 102 | 531 |
Company Owned | – | – |
Term Length | 10 yrs | N/A |
Brand Information
Year Founded | 1989 | 1972 |
Franchising Since | 1989 | N/A |
Years Franchising | 37 yrs | N/A |
Headquarters | ANAHEIM, CA | N/A |
Category | General Automotive Repair | General Automotive Repair |
Website | ||
FDD Year | 2025 | 2025 |
Which Is Better, Carstar or Meineke Car Care Centers?
Lower upfront capital required
Carstar
Carstar: $150K starting · Meineke Car Care Centers: $250K starting
More SBA lender confidence
Meineke Car Care Centers
Carstar: 118 SBA loans · Meineke Car Care Centers: 632 SBA loans
Lower SBA default rate
Carstar
Carstar: 3.4% · Meineke Car Care Centers: 18.8%
Larger system & brand presence
Meineke Car Care Centers
Carstar: 102 units · Meineke Car Care Centers: 531 units
Lower ongoing royalty load
Tie
Carstar: 5% · Meineke Car Care Centers: 5%
More lender financing options
Meineke Car Care Centers
Carstar: 72 unique lenders · Meineke Car Care Centers: 193 unique lenders
Decision matrix uses publicly disclosed FDD and SBA loan data. Not a recommendation. Your best franchise depends on capital, market, operating capacity, and risk tolerance.
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About These Franchises
Carstar vs Meineke Car Care Centers: Franchise Funding Comparison
Comparing Carstar and Meineke Car Care Centers is about more than brand preference. It's about which franchise fits your financial profile and funding strategy. Investment ranges from $150K to $2.5M.
Carstar has 118 SBA loans on record and Meineke Car Care Centers has 632. Those totals are cumulative history rather than a measure of current appetite. Recent lending activity is trending down for at least one of these brands, so current lender appetite has to be checked deal by deal rather than assumed from the totals.
SBA 7(a) loans are the most common franchise funding vehicle, offering up to $5M with as little as 10% down. PeerSense connects franchise buyers with the specific lenders who have approved loans for these brands, not generic referrals, but lenders with actual franchise lending track records.
Data sourced from SBA loan records, Franchise Disclosure Documents, and public filings. Updated regularly. Not financial advice, consult with a lending professional before making investment decisions.
Carstar vs Meineke Car Care Centers, Frequently Asked Questions
Which is a better franchise investment, Carstar or Meineke Car Care Centers?
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Which has a lower SBA default rate, Carstar or Meineke Car Care Centers?
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Page Review
Reviewed by Edward L. Freeman, Founder and Managing Director, PeerSense
- PeerSense is a capital advisory firm that places commercial financing with direct capital sources; the capital source sets final terms.
- Edward L. Freeman founded PeerSense in January 2020.
- He is a Registered Franchise Consultant with Business Alliance, Inc., a credential issued in March 2022, and worked as a franchise consultant there from March 2022 to May 2023.
- His recorded experience includes a $22 million SBA construction loan, with about $16 million funded on the deal.
- In the 12 months through September 30, 2026, PeerSense tracked 912 publicly announced financings with a disclosed size of $361.32 billion. PeerSense Capital Data Report · Methodology page
Last reviewed LinkedIn profileAbout Edward Freeman