VetFran or VetScam? An unhappy franchisee claims that Matco Tools uses phony patriotism to sell its high-risk, high-failure franchise opportunity to trusting veterans.
According to IFA press releases, “more than 2,000 veterans have taken a path to business ownership through the International Franchise Association’s Veterans Transition Franchise Initiative, known as VetFran. According to IFA’s recently completed VetFran survey, 2,089 veterans have become small-business franchisees since 2002 by taking advantage of financial incentives.”
About 217 (about 10%) of those veterans were sold the Matco Tools franchise opportunity. For an investment ranging between $82,000 and $191, these veterans were granted the right to drive around in a mobile tool store, peddling Matco Tools to a pre-approved list of customers (known as a “List of Calls” or “LOC”). As an incentive, Matco Tools “gifted $5,000, at list price, in free hand tools to any honorably discharged veteran.”
Matco Tools aggressively promotes its franchise opportunity to veterans, and proudly publicizes that it signs up more veterans than any other company in the VetFran program.
Unhappy Franchisees Claim Matco Tools Defrauds Veterans.
Growing numbers of failed, failing and struggling Matco Tools franchise owners are claiming that Matco Tools is using deception to sell a franchise opportunity designed to fail.
More than 4000 comments have been left on our post MATCO TOOLS Franchise Complaints.
The orchestrated protests against the Matco Tools franchise are documented here: MATCO TOOLS Distributor Franchise.
Now, veteran and former Matco Tools franchisee Todd Allen Peterson has launched a Facebook page specifically to protest Matco Tools recruitment of veterans.
Peterson write that the purpose of his Veterans Against Matco Franchises Facebook page is to publicize “ACCOUNTS of REAL soldiers who DEFENDED their Country and what Matco did for their Businesses.”
According to Peterson:
I have created this page to make Veterans aware that Matco is a Corporation of greed and destroys those who fall prey to their claims of success through support and partnership. Matco has no interest in creating a relationship with Franchisee’s but to take their money, ruin their credit and at any means terminate them is what they do best. Do not believe their lies! …My Matco graduation class in Stow, OH had 10 Distributors in it. Today there is only 1 left. I recently spoke to him and he told me that he has already been warned about Matco wanting to ditch him by his District Manager. I have been calling terminated Distributors and these reoccurring themes seem to be told. NO SUPPORT, BAD ECONOMIC CONDITIONS, UNVIABLE ROUTES, MATCO STOLE MY SHOPS AND THEY LIED TO ME.
Richard Brannies posted this warning on the page:
i too was a veteran that was misled into the matco franchise system.
it is not set up to build a profitable business.
they will lie to you, mislead you and dump you with all that they have stuck you with in the end.
In addition to the Veterans Against Matco Franchises Facebook page, the Matco Tools Distributor Association facebook page was also launched recently to protest alleged fraudulent inducement and lack of support by franchisor Matco Tools.
IS THE MATCO TOOLS FRANCHISE A GREAT OPPORTUNITY FOR VETERANS? WHAT DO YOU THINK? SHARE A COMMENT BELOW.
Or contact Unhappy Franchisee.