Automotive Transmission Repair Revenue Benchmarks

The average automotive transmission repair business in the United States generates $471K in annual revenue, according to the U.S. Census Bureau Statistics of U.S. Businesses (SUSB 2021). There are 3,787 automotive transmission repair businesses in the U.S., employing 14,853 workers with an average profit margin of 8.0%.

What Does a Automotive Transmission Repair Business Actually Do?

Specialty auto repair shops focused on transmissions and drivetrains — diagnosis, service, rebuild, and replacement. Franchise chains (AAMCO, Cottman) and independents share the market.

Who buys: Vehicle owners with transmission problems (often on older vehicles), fleet operators.

Average Revenue

$471K

per year

Profit Margin

8.0%

industry average

Revenue / Employee

$120K

per year

Total Businesses

3,787

in the US

Est. Owner Income

$38K

small business avg

Labor Cost

38.0%

of revenue

Avg Employee Wage

N/A

per year (BLS)

Market Saturation

1.1

firms per 100K people

How Much Do Automotive Transmission Repair Charge?

Transmission shops earn on labor plus rebuild/replace parts, with wide variance by vehicle type.

ServiceTypical range
Transmission diagnostic
$150–300
Transmission fluid flush
$200–400
Solenoid/valve body replacement
$400–1,500
Transmission rebuild
$1,800–4,500
Transmission replacement (used)
$1,500–4,000
Transmission replacement (new/reman)
$3,500–8,500

Ranges based on industry rate surveys and typical published pricing. Actual quotes vary by city, business size, and job complexity.

Complete automotive transmission repair business plan

A 12-section data-backed business plan for a automotive transmission repair business — executive summary, market analysis, competitive landscape, revenue model, 3-year financial projections, operations, marketing, staffing, funding request. Pre-populated with real Census, IRS, and BLS data on this industry. Free to view.

View the plan

Cost Structure — Where Every $100 in Revenue Goes

Approximate P&L breakdown for the automotive transmission repair industry. Labor share and net profit are grounded in Census SUSB and IRS SOI data. Other lines are split using sector-typical ratios.

16%
38%
11%
22%
8%
CategoryPer $100 revenue
Supplies & materials
$16
Wages & benefits
$38
Rent & facilities
$11
Marketing & advertising
$5
Other operating costs
$22
Net profit
$8

Directionally accurate for a typical business in the industry. Individual businesses vary widely — a franchise may run a very different cost mix from an independent, and older established businesses often have lower labor share than newer ones.

Average Revenue by Business Size

1-4 employees
$223K
5-9 employees
$766K
10-19 employees
$1.6M
20-99 employees
$4.0M
500+ employees
$6.2M

Industry Dynamics (Census BDS 2023)

New Business Rate

10.42%

openings/year

Closure Rate

9.1%

closings/year

Net Job Growth

+3.4%

annual

Businesses Closed

12,052

in 2023

Firm Count Trend

19
20
21
22
23
134,590 firms135,684 firms

Should You Start a Automotive Transmission Repair Business?

Startup Cost

$30K$150K

Break-Even

29 months

5-Year Survival Rate

50.0%

Frequently Asked Questions

What does a automotive transmission repair business do?
Specialty auto repair shops focused on transmissions and drivetrains — diagnosis, service, rebuild, and replacement. Franchise chains (AAMCO, Cottman) and independents share the market. Vehicle owners with transmission problems (often on older vehicles), fleet operators.
How much do automotive transmission repair charge?
Transmission shops earn on labor plus rebuild/replace parts, with wide variance by vehicle type. See the pricing table above for typical rates by service type.
How much does the average automotive transmission repair make per year?
The average automotive transmission repair business generates $471K in annual revenue, based on U.S. Census Bureau data (SUSB 2021). After expenses, the estimated owner profit is $38K per year at a 8.0% profit margin.
How many automotive transmission repair businesses are there in the US?
There are 3,787 automotive transmission repair businesses operating in the United States, employing a total of 14,853 workers.
How much does it cost to start a automotive transmission repair business?
Startup costs for a automotive transmission repair business typically range from $30K to $150K, with a 5-year survival rate of 50.0%.

Industry Growth & Survival

62%
Est. 5-year survival rate
+3.4%
Net job growth rate
135,684
Total firms (2023)

The automotive transmission repair industry is actively growing — adding jobs at a net rate of 3.4% per year. New establishments are opening faster than existing ones close (10.4% entry vs 9.1% exit), indicating healthy demand.

Approximately 62% of automotive transmission repair businesses survive their first 5 years. This is above the national average (~50%), making it a relatively safe industry to enter. In 2023, 12,052 firms in this industry closed permanently.

Industry Trend (2000–2023)

120K128K137K145K154K20002005201020152020Number of Firms

The automotive transmission repair industry has declined 2% since 2000 (from 138,176 to 135,684 firms).

See full historical statistics →

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