Large franchisees

[connorm]

Purely a curiosity question, I had this thought while I was waiting for a meeting-
Are there any large franhisees of tool trucks? A company that owns a bunch and hires drivers, kinda like with restaurant franchises. Seems like everything is owner-operator, so I was curious.

 

[Tallpilot]

I'm not aware of it. It is an interesting question. My assertion would be no because the licensing companies want you to take out a collateralized loan. They would say to make sure you have skin in the game but really it's because they know how high the failure rate is and that is mostly by design since the deck is completely stacked in their favor.

If they let you get 10+ trucks through an LLC it would be easy for you to walk away without losing your house or filing for personal bankruptcy protection.

 

[WhiffySpark]

My guy had 4 trucks and I think 6 “routes”. Each route costs money and a lot of people can’t afford to do that

 

[L.Cheapo]

The guy local to my house (not the guy I buy from) has two trucks and an employee that drives one. I believe you actually get more favorable terms on additional franchises than your original if you are in good standing.

 

[L.Cheapo]

If they let you get 10+ trucks through an LLC it would be easy for you to walk away without losing your house or filing for personal bankruptcy protection.

Most SO dealers I know/have seen are all set up as "XYZ Tools, LLC" or something similar, even with just one route/truck.

 

[WittHay]

I think all tool trucks are set up as Ltd or LLC company's. No failure rate on most Snap-on franchises, waiting lists though.

I have seen 2 truck franchises, 2 brothers or a father and son. Tool truck driver is not a minimum wage job. You have to be a salesman, credit manger, able to quickly fix a ratchet or screwdriver for warranty work. Lot different than owning 2 restaurants

 

[dr_clyde]

My SO guy has 3 or 4 trucks running different routes with drivers on his payroll. He owns the franchises, routes and trucks and pays the guys a salary. They work for whatever LLC his tool company is and not Snapon.

He does very well. Sells a TON of tools. Best SO dealer I've ever had.

 

[Tanro]

I've had both, and I tend to ignore the driver/owner/salesman trucks. Too many of them are fly by night, and been screwed by a matco rep that stole my tools when he quit taking payments because his business was failing and he couldn't even get to/from the shops where people owed him money.

Oh well, no loss there, matco doesn't make a god damned thing besides toolboxes I don't need.