At a Glance: Key Differences
Data-driven observations based on disclosed figures. Not investment advice — verify current numbers in each franchise's FDD.
Detailed Analysis: The UPS Store vs Ace Hardware
According to FranchiseStack.ai's franchise database of 188+ FDD-sourced opportunities, The UPS Store and Ace Hardware are among the most-researched franchise comparisons. The choice comes down to your investment capacity, risk tolerance, and operational preferences. Both operate in the Retail & Services sector, which means they compete for similar customers and territory. Ace Hardware has a larger footprint, which typically translates to stronger brand recognition but potentially more territorial saturation.
From a capital perspective, The UPS Store has a lower entry point. However, initial investment alone doesn't determine ROI — ongoing royalties, revenue potential, and failure rates all factor into long-term returns. Ace Hardware charges a lower royalty rate, which means more of your gross revenue stays in your pocket.
Franchisee satisfaction is one of the strongest predictors of long-term success. Ace Hardware leads with a 82/100 satisfaction score, indicating that existing owners are more positive about their decision. Before committing to either franchise, we recommend running both through our Financial Model tool to project personalized 5-year P&L scenarios. You should also review each franchise's complete Franchise Disclosure Document using our FDD Checker to understand litigation history, termination rates, and territory restrictions.
Investment & Fees
| Metric | The UPS Store | Ace Hardware |
|---|---|---|
| Min Investment | $178K | $302K |
| Max Investment | $403K | $2.2M |
| Franchise Fee | $30K | $5K |
| Royalty Rate | 5.0% | 0.0% |
| Ad Fund Rate | 2.5% | 3.0% |
Unit Economics
| Metric | The UPS Store | Ace Hardware |
|---|---|---|
| Avg Unit Revenue | $550K | $2.2M |
| Avg Profit Margin | N/A | N/A |
Scale & Growth
| Metric | The UPS Store | Ace Hardware |
|---|---|---|
| Total Units | 5,600 | 5,700 |
| Annual Growth | 0.5% | 1.5% |
| Failure Rate | 2.0% | 2.0% |
Franchisee Performance
| Metric | The UPS Store | Ace Hardware |
|---|---|---|
| Franchisee Satisfaction | 70/100 | 82/100 |
Track Record
| Metric | The UPS Store | Ace Hardware |
|---|---|---|
| Years in Business | 44 | 100 |
| Years Franchising | 44 | 48 |
Financial Requirements
| Metric | The UPS Store | Ace Hardware |
|---|---|---|
| Min Net Worth Required | $150K | $400K |
| Liquid Capital Required | $75K | $250K |
Operations
| Metric | The UPS Store | Ace Hardware |
|---|---|---|
| Avg Employees | 4 | 15 |
| Training Weeks | 2 | 2 |
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Frequently Asked Questions
Is The UPS Store or Ace Hardware a better franchise investment?
The answer depends on your goals, budget, and market. The UPS Store has 5,600 total units and a 70/100 franchisee satisfaction score. Ace Hardware has 5,700 total units and a 82/100 franchisee satisfaction score. Use our ROI Calculator to model both scenarios.
How much does it cost to open a The UPS Store franchise?
Based on data in our database, opening a The UPS Store franchise requires an initial investment of $178K – $403K. The franchise fee is $30K, with ongoing royalties of 5.0%. Always request the current FDD for exact figures.
How much does it cost to open a Ace Hardware franchise?
Based on data in our database, opening a Ace Hardware franchise requires an initial investment of $302K – $2.2M. The franchise fee is $5K, with ongoing royalties of 0.0%. Always request the current FDD for exact figures.
What is the royalty rate for The UPS Store vs Ace Hardware?
The UPS Store's royalty rate is 5.0%. Ace Hardware's royalty rate is 0.0%. That means Ace Hardware has the lower ongoing royalty burden.
Which has more locations — The UPS Store or Ace Hardware?
The UPS Store has 5,600 total units. Ace Hardware has 5,700 total units. A larger system can mean more brand recognition, but also more territorial competition.
Is The UPS Store or Ace Hardware semi-absentee friendly?
The UPS Store is typically run as a owner-operator model. Ace Hardware is typically run as a owner-operator model. If passive income is your goal, semi-absentee models let you hire a manager to run day-to-day operations.
Related Comparisons
Data sourced from franchise disclosure documents and public records. Investment ranges, royalty rates, and unit counts change — always request current FDD before making investment decisions. Last updated March 2026.
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