MATCO TOOLS Franchise Complaints

4,850 thoughts on “MATCO TOOLS Franchise Complaints”

• Be loud and proud. MATCO is the most profitable franchise opportunity out there.

• Matco will put you in business with little money down because they have nothing to risk. When you have lots of competition they will give you a minimum head count so they can laugh at you as you file bankruptcy a year later and they blame you because you didn’t follow their plan. When your 10 year contract ends they will not renew. Your trucks too old. Your not at 100% of the National average. Yeah read that contract carefully or you will be a statistic. Matco loves to kick people to the curb who have failed because of an economy and no head count in the first place. Then say its all your fault, you are weak and I am strong. Matco is #1 but churned almost 50% of distributors in the last 2 yrs.

• It is most profitable for 50%. The other 50% are just lazy, ignorant, tool challenged individuals like myself.

• Best built toolboxes. I once believed that.

  I have a current customer that wanted the new Matco JSC500 Service cart, he waited 8 weeks for delivery. Had the wrong casters, missing prybar rack, drawer side plates lower on one side by more than 1/2 inch, they forgot to paint in the corners. Logo on the front was crooked.

  Nice sticker on the back now, Made in Jamestown, NY with globally sourced parts.
  $1600 + plus finance charges.

  He was unhappy with the quality, asked for a better deal or just take it away. Instead of offering a better deal, the distributor with the support of the DM offered $500 off a 6s Hutch / door assembly if he took the cart as is. He suggested take $500 of the CART!.. Matco Distr and DM said no.

  5 mins later they sold that cart to his co-worker for $900. No warranty. I know what the cost of that cart was after credit from Matco. They did that guy wrong.

  That is the kind of stuff that is supported by Matco. And they lost a few customers because of it.

• Matco has everything to risk. Who finances these starts……….Matco themselves……so quick lesson here, if Matco finances them in house then why wouldnt Matco be the one at risk????????? And you said the last comment
  “The other 50% are just lazy, ignorant, tool challenged individuals like myself.” relentless. By the way, old trucks look like crap(have you ever seen an old rundown mcdonalds???) and the purchase average is so easy if you dont buy everything outside. I have just been through my 10 year renewal, AND was not forced to buy a new truck(my business needed the upgrade far before my renewal) and still bought a brand new truck to show my customers my committment to “their” tooltruck. And it is your fault if you dont review the documents and drive the route yourself before signing.

• Sounds like your dbr your competing with did not have the customers satisfaction at heart. Why wouldnt you the dbr take the deal, sell the cart and make a customer a good deal on a hutch for a box. And that sticker has been that way since Accuride moved their plant to Mexico. You know the same plant that makes slides for cornwell, snapon, mac etc.

• If I was interested in selling tools, believe me after Matco I am not, I would go independent or maybe even try Cornwell. Cornwell is really trying to do things right with new distributors and going independent I have heard really great things from ISN. Whatever you do. Run like HELL from Matco. Management could care a less if you succeed or fail because they know you will not be around long. They will make sure of that.

• But Relentless, why would someone take any advice from someone who failed at a business…………….sounds like someone has a lil bone to pick with Matco???? Yet another dbr failure that the dbr is blaming Matco. WOW Take some responsibilities for your own actions people!!!

  Heres some statistics
  Last year’s failure rate is a sharp increase over past years. In 2004, the SBA loan failure rate was 2.4%, but it has increased each year since, rising to 8.4% in 2007, according to Coleman’s calculations. The 2008 failure rate of nearly 12% covers the fiscal year that ended on Sept. 30. In that year, the SBA’s 7(a) and 504 p”The numbers are brutal, but it validates what we already know,” said the report’s editor and publisher, Robert Coleman. “In towns, we see established businesses going under every day, and [I’ve heard] bankers say their small business portfolios have become a disaster

• Very interesting. I have often read the statistic that 90% of firms are out of business by year 10. Amazingly, in Internet mythology that sometimes that gets shortened to year 5 — that 90% are out of business at the end of five years!!! Which would be incredibly depressing ….

  But from these figures, 29% are still in business at the end of year 10 — is that right? And the biggest drop comes in the first 5 years, when half of startups go belly up. Still shows the odds are against startups staying in business, but at least the real numbers you cite are not quite so dismal.

• Former and Relentless people don’t listen to you guys because you never post facts. You should go with Cornwell, they like low performing distributors.
  Still trying to convince people 400 is 50% of 1400 your math truly does suck.
  Loud and Proud MATCO #1

• Non-employer firms represent the highest number of businesses in the small business statistics collected every year. There were 25 million non-employer firms in the United States alone in 2006 and that includes freelancers, contractors and other individuals that work alone. The average that each of these businesses earned was $47,000, which is a good living and one that is indeed higher than the average salary for individuals in employment. However, the profit of those small businesses employing individuals was, on average, $3,000 higher at $50,000.

  In terms of failure rates, non-employer businesses are more likely to fail than any other form of small business in the United States today, but not necessarily because they close. Business failure rates are defined as a company disappearing from tax records.

• Most business failure occurs small businesses fail because of mismanagement

• hello???? why are none of my posts going through???? admin are you blocking them????

  [guest2: your comments were being moderated after the comment spamming incident. All have been published and you’re off moderation now. ADMIN]

• OMG – grow up….

  Guest2/3 – apparently you ARE being paid, otherwise you wouldn’t
  be here

  I DON’T LIE – period, you’re LOUD and proud of it,
  but still WRONG

  SO, what happens to the customer whose contract gets charged back
  to the distributor?

  No answers – Matco is probably still taking their money

  PDI / how many times does Matco charge the DBR full $$
  I’ll tell – as often as they can. Oh sure, they will correct – but only if
  You catch it and call them

  Back Orders? – expected dates of delivery- that CHANGE every week
  I have a documented case and a customer that bitched to my DM

  Warranty credit – takes off from your Purchase Average
  Since Matco is SO Hell bent on PA – any excuse to diminish….

  Inflated income projections – FALSE budgets- despite SIX
  MONTHS of asking for an explanation? This I have
  documented!

  Customers that move to another DBR territory- that DBR doesn’t service
  that shop, customer CALLS and asks for service, gets NONE
  And my DM won’t let me service – customer honest and continues
  to pay off his balance – again – I have this documented

  Right on, Matco #1 – for screwing distributors

• BTW – who? Is listening??

  The over 800 posts in three weeks – you bet your ass
  There are thousands reading

  Facebook? To date *WOW* A LOT of
  People Are Reading!!!
  Post Views?
  25,760

• Good morning people– Tommy Boy here

  Remember to stay the course on how matco has treated us and continue to state your complaints. Guest2 and 3 are trying to change the course and we wont let this happen. We are being heard. It will play out in court, just ask snapon. In case you need help, call Jerry, guest2 and 3 you will need him soon, it wont be long before matco does away with you too.WE CAN HELP.

  I have been sending out some e-mail to snapon and business review magazine to check out this site. I will continue to send out more to other sites. Numbers speak volume and the way matco treated us wont be tolerated. I noticed alot of questions are not being answered.

  MATCO IS #1 FOR SCREWING DISTRIBUTORS AND TERMINATING THEM.

  When I was in business they had tools being made overseas and now with matco,snapon and mac selling tools in sears,k-mart,lowes and home depot, you can bet they are cutting their distributors throat. Matco has always kept quiet on their tools being made overseas,why? We know why.

  GUYS AND GALS KEEP POSTING.

  SINCERELY,

  TOMMY, THE UNOFFICIAL SPOKESPERSON FOR JERRY’S GANG.

• “The over 800 posts in three weeks – you bet your ass”
  And all those posts are from what 10 people? Good job!

  “Facebook? To date *WOW* A LOT of
  People Are Reading!!!
  Post Views?
  25,760”

  And how many of those are the same people looking? And good job making it a fair talk on that page too. Reposting only what you agree with, never any differing ideas.

• No franchise fees- ITS BUILT IN THE PRICE OF THE TOOLS YOU BUY
  * No royalty fees-ITS BUILT IN THE PRICE OF THE TOOLS YOU BUY
  * No advertising fees- YOU PAY, YOU JUST DON’T KNOW IT
  * 5 week Training- 2 WEEKS IN CLASS – 1 WEEK ON THE ROAD-THATS NOT 5 WEEKS
  * Local training and field support- NONE,DM LIVES TOO FAR AWAY
  * National Brand- EXPENSIVE-QUALITY, NOT GOOD AND MADE OVERSEAS
  * Computerized business system- SO THEY CAN WATCH YOUR EVERY MOVE, BUT ITS YOUR BUSINESS.
  * Exclusive Territories- THEY WONT DO ANYTHING WHEN SOMEONE ELSE IS COMING INTO YOUR TERRITORY, WHATS EXCLUSIVE?
  * Pre identified potential customer base- 50-50, SOME SHOPS THEY JUST CALL AND SOME THEY MAY GO BY.
  * No employees- NO SUPPORT FROM MATCO EITHER.
  * Home based business-BASED IN YOUR HOME AND STOW
  * National conventions at world class resorts- YOU PAY BECAUSE MATCO JACKS UP THE PRICES FOR ROOMS.
  * Financial assistance- THRU MATCO AND AMERICAN TAXPAYERS.
  * Modest overall investment- BECAUSE TAXPAYERS AND BANKRUPTCY, PAYS YOUR BILLS.
  * SBA approved Franchise- 37% FAILURE RATE, AMERCAN TAXPAYERS AGAIN FOOT THIS BILL AND THERE GOES YOUR TAXES.UP,UP,UP
  * IFA member-MILITARY PEOPLE, STAY AWAY
  * VetFran sponsor- RUN LIKE HELL VETS, DON’T GET SCREWED.

• Seriously??? “same people looking”

  Wow, then those “same people” have no job or anything else to do……..
  **************25,760 times the Facebook page was viewed****************

  800 posts here – well if the Matco Militia wasn’t always on damage control – then there wouldn’t be so many.

  UNANSWERED QUESTIONS – LET’S GET TO IT

  SO, what happens to the customer whose contract gets charged back
  to the distributor?
  No answers – Matco is probably still taking their money

  PDI / how many times does Matco charge the DBR full $$
  I’ll tell – as often as they can. Oh sure, they will correct – but only if
  You catch it and call them

  Back Orders? – expected dates of delivery- that CHANGE every week
  I have a documented case and a customer that bitched to my DM

  Warranty credit – takes off from your Purchase Average
  Since Matco is SO Hell bent on PA – any excuse to diminish….

  Inflated income projections – FALSE budgets- despite SIX
  MONTHS of asking for an explanation? This I have
  documented!

  Customers that move to another DBR territory- that DBR doesn’t service
  that shop, customer CALLS and asks for service, gets NONE
  And my DM won’t let me service – customer honest and continues
  to pay off his balance – again – I have this documented

  Right on, Matco #1 – for screwing distributors

• Good morning Tommy,

  Right ON – each and EVERY point!!!

  Have a great day!
  http://www.ladymatco.com
  [redacted]

  email me…

• Actually Debbie he was incorrect on every single one, I will respond later when not busy…oh yeah makes me laugh that it drives you crazy you don’t know who I am….welcome back Tommy boy talk to you later. 198 more posts to that toaster…lol

• Guest 3

  Tommy is right on every count

  I could care less ‘who’ you are……….
  I don’t anybody past my own district – so ‘whatever’ name you use doesn’t matter

  How about MY QUESTION???

  What EXACTLY happens to the customer when a PSA contract is charged back to me? I want to know WHAT he is told. IS Matco still collecting his payments??

  What EXACTLY happens????

• Don’t you read responses. I already told you, you get charged back, the customer at that point owes YOU not Matco. Matco can’t collect the money.
  Tommy put some facts up not just your opinion. When I say Matco is #1 it’s because they are!0

• Tommy makes a great point. Stay on message and don’t take the bait.

  If a prospective franchisee were to scan these 800 comments, what would he or she see?

  > A lot of disturbing evidence that half of Matco dbrs flush out of the system each year to be replaced by a new batch of disposable dbrs

  > Numerous stories from once-successful dbrs whose routes were cut, accounts taken, and were then flushed

  > Numerous examples by Debbie and others distributor-unfriendly policies & behavior that demonstrates how Matco puts extra burdens on franchisees that set them up for flushing

  > Absolute silence from Matco and Danaher Corp. who are obviously too busy crunching numbers and recruiting the next batch of disposables to even pretend to be concerned with their failed and failing distributors

  > Gnat-like harrassers with names like Guest2 and Guest3 who try to dilute the conversation with adolescent pranks, catcalls, insults and attempted diversions from the serious issues. Their unintended effect is to confirm the suspicions that Matco employees and their suck-up OBC (Old Boys Club) has no compassion for anyone but themselves, and could care less about the new franchisees who are sucked in, relieved of their money, time and creditworthiness, then flushed out.

  Up til now, Matco has been able to replace their disposables because the Internet is filled with phony reviews and propaganda. Wonder how easy that’s gonna be now that this outspoken team is shouting the truth, and won’t bow to the heckling and harrassment of the little mini-thugs of the OBC?

• Guest3 or Guest2, since you guys/gals have all the answers-PLEASE give this your best shot with a credible response:

  I’m not renewed because of purchase average is less than 80%, as of March YTD, I’m in a depressed town with 14+ % unemployment. My Customer count is down, but there is nothing you can do about it, my territory is surrounded.

  I’m the oldest and most respected distributor in town, (not what I said, what my customers told Matco’s DM). I showed my commitment to Matco and customers by recently investing $100K+ in a new truck . I’m paid to terms, always have been. If you base my purchase average over the last 10yrs, I’m at or near 100% NPA,

  Every well paid mechanic in town has already purchased toolboxes from me.

  I don’t call on 100% of my list of calls, because they are bogus AND I do not call on Lube Shops, certain national muffler chains, and the other various scamming auto shops in town. I understand Matco has you budget for bad debt (5%), but at $250,000 in yearly sales, I don’t like loosing as much as $25,000 a year.

  Matco has no one waiting to take my route. Matco is getting $100K + in purchases from me or they’re getting nothing.

  Why was I kicked to the curb?

• No matter how many irrelevant posts are made by guest2, guest3, guest69 (all the same poser by the way). The facts are already out there……………..

  1. 49% churnover rate.

  2. Inflated list of calls.

  3. Illegal SBA loans and secret income projections.

  4. Sworn, signed statements by former Matco DM’s in Jerrys hands. (He has bigger testimonies from even higher powers I’m sure).

  5. Struggling AS WELL as successful veterans are being tossed aside for the grinder.

  6. People on the fence looking at the Matco pyramid scam saying………..Thanks, but NO THANKS !

  Good job everyone, keep the REAL FACTS coming !

• Good morning guest back in the office today, you never answered my questions yesterday just spewing your unfactual data again. Matco tools #1 baby!

• I have changed my sign in name.

• Nice Gary, you say pyramid scam and on the next line “real facts”?? You’re all about those real facts now aren’t you?

• Yes I am Mr. Poser, I wouldn’t be here otherwise. What’s your excuse ?

• RE: Former Distr on December 6th, 2011 10:56 am comment

  No credible response from Guest2, Guest3 or Guest666. No surprise there.

  Former Distr: It is bewildering that you would be kicked to the curb with the scenario you described.

  You know the answer has to lie with $$$. The only thing that makes sense is that they will make more money booting you and reselling your route to a new disposa ble dbr.

  What do you think? A new opening inventory. New financing. Perhaps there’s some accounting write-off they can claim with your departure. And then in a year or so when the new disposable dbr has made all his big upfront purchases and there are no more commissions to be made off him, they kick him to the curb and get a new opening inventory, new truck, new financing, new write-off…

  I don’t know what it is, but there’s something we’re missing that makes this churn & burn tactic profitable even against those who have contributed long-term. If it wasn’t somehow profitable to them, there’d be no reason to flush you out of the system.

• Former, I think you just answered your own question, not calling on all of your shops and your p/a is $1900 per week national avg is $3400, so you didnt give Matco a reason to keep you. What would happen to a race car driver if he said, I only want to race at 75% of the tracks because I hate the small 1/2 tracks because they are over rated, besides 10 years in, aren’t you happier as independent?

• Gary it’s obvious your facts and your common sence come from the same place. I assure you I’m not guest2 or 3. But nice try, keep pulling out those”facts”!!

• The reason I believe I was kicked to the curb:

  Limited future Matco purchases based on my business knowledge. My DM knows I was nothing but trouble to any new prospects they bring in within the district. I would share information and the facts that would spoil the Matco system.

  I owe Matco nothing, I have no debt. I don’t base my purchases on the required average, I base my purchases on my Sales.

  They are willing to trade me for someone heavily in debt, that would require them to sell to make the numbers required to pay their business expenses(loans, truck lease, etc.)

  I think I’m average for the system, in that it took me 2 years to figure out the ‘bad debt / skips scenario. I lost 95% of my bad debt in the first two years. I hold Matco responsible for that. They push-push-push the unaware distributor to sell to everyone and their brother, only to find out 2-3 years later, those were bad calls made. Again, given your ‘list of calls’ , the local economic situation and the ETHICS of your DM, this could vary to different degrees.

• Geez, skirt the issue AGAIN

  Yeah, yeah, yeah – I get it, I will get charged back

  MY QUESTION IS -****WHAT**** IS THE CUSTOMER TOLD?????
  DOES HE GET A LETTER
  DOES THAT LETTER STATE THE BOX IS PAID
  DOES THAT LETTER INSTRUCT HIM TO NOW PAY THE DISTRIBUTOR

  **OR**MORE LIKELY*** DOES THE CUSTOMER CONTINUE TO PAY MATCO
  —-DESPITE THE FACT THEY HAVE ALREADY CHARGED BACK THE DISTRIBUTOR?????????????????

  ANSWER PLEASE

• Ok to change my sign in name admin?

  [Yes. Guest3 is now MATCO#1. ADMIN]

• Debbie, asked and answered several times read my posts

• Former Distr:

  Matco is owned by a Wall Street firm (Danaher). One thing we’ve learned about Wall Street is they’ve engineered things to make big money from bad debt and the failure of those they’ve set up to fail.

  It is amazing how they push push push without worry for bad debt. Anyone know if they are somehow insured for it? Or just benefit from the write-off? Or by that time is it someone else’s problem?

  Would love to hear an insider or a competitor explain how this works from Matco’s perspective.

• Or just maybe the bad debt isn’t that much ???? Just sayin.

• Guest, I haven’t thought about the ‘bad debt’ write off. I understand the real estate business and the tax advantages (for losses) there, never thought about it in this case.

  The only reason Danaher keeps Matco is the ‘cash’ income. Matco gets ‘months’ to pay their bills, while Distributors get 2 weeks.

  $3000×1300=$3.9 million a week. Need some cash?

• Debbie. If you check my post last night the sba says 29% of small businesses fail in year1.

• Guest3(matco#1),

  I think it was you that said, even though you violated the contract terms, the contract doesn’t say they HAVE to let you go.

  So, what would you do with your customer? He hits hard times, wife gets laid off, his hours are cut, kids in the hospital…. Accept that he just can’t purchase $100/week anymore and kick him to the competition? Or work with the fact he can only purchase $25/week until things get better?

• Former. Trying to figuire out why you would want to buy a new truck on a 1900 purchase average?

• My purchase average YTD for the first 3 months of the year, when I left was over $2000, but less than 80%. Again, you don’t note the details. In the first 9.5 years I purchased over $1.5 million from Matco.

• yep, read em —– “I honestly dont now if the customer gets a letter, I would be lying if I answered that question in any way.”

  Yeah, yeah, yeah – I get it, I will get charged back

  MY QUESTION IS -****WHAT**** IS THE CUSTOMER TOLD?????
  DOES HE GET A LETTER
  DOES THAT LETTER STATE THE BOX IS PAID
  DOES THAT LETTER INSTRUCT HIM TO NOW PAY THE DISTRIBUTOR

  **OR**MORE LIKELY*** DOES THE CUSTOMER CONTINUE TO PAY MATCO
  —-DESPITE THE FACT THEY HAVE ALREADY CHARGED BACK THE DISTRIBUTOR?????????????????

  ANSWER PLEASE

  and – it doesn’t matter what businesses fail or when
  MATCO HAS A FLAWED SYSTEM – THEY ARE SETTING DISTRIBUTORS UP FOR FAILURE

  IT IS SYSTEMATIC FRAUD – PERIOD

• Guest don’t know, I do know that my bad debt is a write off, but that doesn’t mean I get it back , would live to have the money over the right off. I am sure Matco feels the same way.
  Former: do you agree? I go to Midas, meineke, pep boys, firestone, good years, brake masters…etc do very well there, you should go there too.

• Debbie,

  I can tell you what happened to my PSA’s. My DM gave me the 90 song and dance. Told me “not too worry”, that he and only his magic could help me. He would “speak to PSA and ask them that they take me PSA in house”. Told me it would take time and to be patient. I waited and waited.

  Finally I picked up phone and called PSA dept. Told them what was going on and asked if DM had spoken to them yet. He had NOT. Within FIVE MINUTES all of my PSA’s were moved “in house”! NO QUESTIONS ASKED!

  My customer then received a letter from Matco saying that he now had to pay them. Funny thing is that he had ALREADY received at letter, when I first signed termination papers, that told him he was to stop paying me and pay them!

  Meanwhile they were going to charge me for it! YEP sounds like “double dipping to me”! Why would they have sent him a letter saying where to send payment IF they were charging me for it!!!!!!!!!!!!!!

• Im the one who said it was their choice. Also I never said I violated my contract. Get your facts and people straight

• ……………..and let’s get to details

  Are we charged back the whole amount – wouldn’t be right

  Are we charged back the “pay off” amount – customer still signed and obtain credit from Matco – still unsure if it is even ‘legal’ to charge back, besides- customer signed a loan stating HE would pay the full amount, why bother charging back distributors anyway????? one more thorn

  ….. and what about the 9% – because, if the distributor is getting charged back, the PSA department would have no reason to keep that 9%

• Now regarding “Matco’s risk” by them financing rather than turning you over to SBA to get a loan.

  I have heard that MATCO “insures” each new “Matco financed” new DBR against failure to a tune of MORE than what they actually loan!!!!

  IF true, THAT is why they CHURN AND BURN! DUUHHHH!!!!!!!!!!!!!!!!!!!!!!!!!!!!