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Automotive franchise · No. 179 by global search interest

CARSTAR

CARSTAR is a North American collision repair franchise built around independently owned body shops. Part of Driven Brands, it combines local business ownership with shared branding, insurer relationships and operational support in an increasingly technical automotive repair market.

Overview

CARSTAR is a franchise network specialising in collision repair, including accident damage, bodywork, refinishing and related vehicle restoration services. Its customers include motorists and commercial vehicle operators, while insurers play an important role in directing and paying for repairs. Unlike routine maintenance businesses, collision centres generally handle less frequent but more complex jobs, often involving several stages of assessment, parts procurement, repair and quality control.

The brand belongs to Driven Brands, the automotive services group whose portfolio also includes Maaco, Meineke and Take 5. CARSTAR’s proposition centres on bringing independently owned repair businesses into a common network while preserving local ownership. Its franchisees operate in a sector where technical competence, turnaround times and relationships with insurers can materially influence business performance.

History and growth

CARSTAR was founded in the United States in 1989. It developed around the idea that independent collision repairers could benefit from shared systems, purchasing relationships and a recognisable national identity without selling their businesses outright. Canadian operations followed in the 1990s, establishing the cross-border footprint that remains central to the brand.

Driven Brands acquired CARSTAR’s US business in 2015, subsequently bringing the US and Canadian networks together under its ownership. Growth has relied substantially on recruiting established repair shops, alongside expansion by existing franchisees. This history matters to prospective owners: CARSTAR is not simply a standardised retail format installed in identical premises. Its network includes businesses with different local histories, facilities and ownership structures, operating within common brand expectations.

Global footprint

Despite its scale, CARSTAR is principally a North American business rather than a worldwide automotive franchise. Brand materials described a network of around 700 locations across two countries, the United States and Canada, as of 2024. That figure should be treated as a dated indication of scale, not a live count of trading outlets or available franchise territories.

Its parent company, Driven Brands, is headquartered in Charlotte, North Carolina. For a prospective franchisee, the more relevant geography is often local: the concentration of competing body shops, insurer activity, customer travel patterns and the availability of suitable industrial premises. National network size does not establish whether a particular market is open for development, and availability needs to be confirmed directly with the franchisor.

How the franchise model works

CARSTAR franchisees own and operate their local collision repair businesses under the brand’s franchise arrangements. Joining the network can give an established operator access to business support, training, marketing resources, purchasing programmes and relationships developed at network level. Owners remain responsible for running the shop, employing staff, managing repair work and meeting applicable operating standards.

Insurance relationships are particularly important. Collision repair networks can participate in insurer programmes that establish processes for estimates, repairs, communication and performance measurement. However, network membership should not be interpreted as a guarantee of referrals or a fixed volume of work. Participation and results depend on factors including market conditions, shop capabilities and programme requirements. Multi-location ownership also forms part of the model, allowing experienced operators to expand their businesses within the network.

Investment and requirements

There is no single cost that meaningfully describes every CARSTAR opportunity. Converting an established body shop is different from acquiring a repair business or developing a facility from scratch. Existing equipment, building condition, lease terms, required improvements and working capital all affect the capital needed. A franchise fee, considered alone, would therefore give an incomplete picture of the commitment.

Prospective franchisees should request the current franchise disclosure documents and a written explanation of the charges and requirements applicable to their market. These are the appropriate sources for initial fees, ongoing payments and disclosed investment estimates; current figures are not reproduced here. The operational assessment should also cover technician capacity, estimating systems, paint facilities, repair equipment and management experience. Any required upgrades can be significant even when a shop is already trading.

What franchisees should consider

Modern collision repair requires continuing technical investment. Advanced driver assistance systems, electric vehicles, new materials and manufacturer-specific procedures can change how damage is assessed and repaired. Some work requires specialist tools, scanning, calibration or external service providers. Vehicle manufacturer certifications are separate considerations: joining a franchise network does not automatically give a shop every manufacturer approval.

Staffing and workflow are equally important. Shortages of experienced technicians, delays in parts supply and supplementary damage discovered during repairs can extend completion times and tie up workshop capacity. Owners should examine how the franchise supports training, estimating accuracy and operational improvement, while understanding which costs remain local. Conversations with existing franchisees can help clarify day-to-day support, insurer programme expectations and the practical demands of adapting an independent business to network standards.

Competitive landscape

CARSTAR competes with independent body shops, dealership collision centres, franchise networks and large company-owned repair groups. Fix Auto is a particularly relevant franchise comparison. Caliber Collision and Gerber Collision & Glass are important competitors for customers, insurer relationships and skilled employees, although their ownership models differ from CARSTAR’s franchise structure.

Maaco, another Driven Brands business, overlaps in bodywork and painting but has a different service positioning. The competitive question is therefore broader than which brand has the most locations. Repair capabilities, local reputation, insurer access, manufacturer certifications and the speed of returning vehicles to customers all matter. For an existing shop considering conversion, the central comparison is between the network’s support and obligations and the alternative of remaining independent.

Outlook

CARSTAR’s outlook is tied to the changing economics of collision repair. More sophisticated vehicles increase the importance of training, equipment and documented repair procedures, potentially strengthening the appeal of network support. At the same time, repair volumes can fluctuate, while rising costs and decisions to write off damaged vehicles can affect the work available to shops.

The brand offers a route for independent operators seeking a larger organisational framework without necessarily giving up ownership. Its suitability depends on the individual business rather than the name alone. Prospective owners should assess the current franchise terms, local opportunity, required capital expenditure and evidence of operational support before judging whether membership fits their plans.

CARSTAR franchise: frequently asked questions

How much does a CARSTAR franchise cost?

The cost depends on whether an owner is converting an existing body shop, buying a business or developing premises. Equipment, building improvements and working capital can materially change the total. Prospective franchisees should request the current franchise disclosure documents for applicable fees, investment estimates and ongoing charges rather than treating a franchise fee as the full cost.

How many CARSTAR locations are there?

CARSTAR described its network as around 700 locations across the United States and Canada, as of 2024. This is a dated measure of network scale rather than a current outlet count. The number of locations and the availability of particular markets can change, so prospective franchisees should confirm both directly with the brand.

Who owns CARSTAR?

CARSTAR is owned by Driven Brands, the automotive services group headquartered in Charlotte, North Carolina. Driven Brands acquired CARSTAR’s US business in 2015 and subsequently brought the US and Canadian networks together. The brand’s repair centres are independently owned and operated by franchisees, distinguishing ownership of the franchise system from ownership of individual shops.

Can an existing body shop become a CARSTAR franchise?

Yes. Recruiting established collision repair businesses has been an important part of CARSTAR’s growth. Acceptance and conversion requirements depend on the franchisor’s assessment and the relevant market. An existing owner should clarify requirements covering premises, equipment, branding, operating systems and training, as well as any investment needed to meet network standards.

Does CARSTAR guarantee insurance repair work to franchisees?

Network membership should not be treated as a guarantee of insurance referrals or repair volumes. CARSTAR provides access to network-level relationships and support, but insurer programme participation and results depend on local conditions, shop capabilities and programme requirements. Prospective franchisees should ask how these arrangements work in their specific market and what obligations they create.

Latest CARSTAR news

Our news engine monitors CARSTAR announcements. New reports will appear here as they are published.

Figures are approximate and based on publicly reported information as of 2024. Franchise costs and terms change; prospective franchisees should obtain the brand’s current disclosure documents and take independent legal and financial advice. Profile updated October 2026.

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