MATCO TOOLS Franchise Complaints

4,850 thoughts on “MATCO TOOLS Franchise Complaints”

• Guest I started my new route in 2010 the previous guy was below 80%, npa, told me the same thing as you, I was in the top 30 last year, right there this year, do to answer your question, I think it’s s great time, the guys that have been laid off, are gone, the guys that are there are making hours , plus when they re hire guys that’s going to add to my headcount and Matco won’t see that for. 8 more years

• MATCO#1:

  It sounds like you are an exceptional dbr and have achieved exceptional results. Maybe its a result of your years of experience, financial stability, understanding of the business, work ethic, or a combination of several of those things. But I think where you lack perspective is that you assume others can or should have the same success as you, even though they might lack those qualities. But they obviously don’t, because many aren’t succeeding.

  It sound to me that you would have been able to make a go of it with any of the other tool companies and maybe even as an independent. How many of the “Lennys” that Matco will sign up in 2012 can say the same thing? How many of the 200 or so “Lennys” have those qualities (years of experience, financial stability, understanding of the business, work ethic, etc.) that enabled you to succeed?

  Just because you don’t have a serious problem doesn’t mean that many that Matco is recruiting and allowing to pile up steep debt won’t. Matco has been at this long enough to be able to determine what personal, financial and route characteristics will lead to success. At the very least, shouldn’t they make sure all those elements are in place before they put someone in place as a distributor?

• I agree with you on financial that’s why they require a reserve. But personally and routes disagree. When I first started I had zero sales experience and I can tell you know way could I have made it as an independent, I wouldn’t do it now either, I would loose 25% of my business minimum because I couldn’t write contracts for large tool purchases.

  I do believe in the tool business it’s a fine line to walk for personality. You have to be firm, but not too firm, flexible but not too flexible , you have to be willing to take chances with inventory, you have to be able to wheel and deal, consistent, full truck and a few more, does everyone have that ability ???nope

• I figured it out

  **MDAC**

  Matco Damage Assessment & Control………….

  .>>>A distributor in Colorado has the audacity to want to communicate with other distributors – MDAC to the rescue

  Matco Damage Assessment & Control – We should shut her up, we recommend Tom Willis send an email

  >>>Unhappy Franchisee is posing unflattering comments – MDAC in action
  Guest?# posts , posts, posts and posts

  >>>Distributors have problems with procedures or products – no worries, MDAC will talk about maybe one or two of those topics Twice a Year……….

  Matco has MDAC – so we can sleep now…………..

• Here is a thought

  Instead of Damage Control – why doesn’t Matco address the causes, and then they wouldn’t have to worry about Damage Control

  Be honest about routes, be honest about income potential

  Be clear about REPO procedures, ie what is legal and what is not?

  Be clear about writing contracts – Pam in Credit gets very upset if that trade in box is not PAID OFF BEFORE – YES BEFORE the contract is written

  Be HONEST about budgets – let’s not deceive the distributor for MONTHS

  oh , the list goes on

• sure is quiet tonight. everybody needs to take a break and relax a little.

• I posted this on the ‘positive’ side of this site. I’d like to share here too. Is this correct?

  Doing some math, again… after making a bunch of calls…
  Purchase ave 3400xmargin, my guess on weekly profit (1,800) or 7,200 / month
  Monthly expenses(taken from Matco Goal worksheet):
  Personal 4,000
  Business loan 700
  Truck payment 1300
  insurance 200
  Fuel (still guessing)750
  Maintenance 100
  Utilities 100
  Computer/software 100
  office supplies 100
  bank charges/credit card 100
  mail /freight 50
  expo / tool fair 200
  loss on TP 360
  Advertizing and promotional 100
  Total expenses 8160
  At 100 percent of national average, this business doesn’t work.
  Am I missing something?

• Lenny, you have to make your own decision on this, but your numbers are about correct, a little low on some. Listen to both sides, but weigh the complaints versus the happy ones, matco has their select who they give great routes to, make sure they succeed, and they pamper, example, some have charters and they are not bound by the franchise agreement, they dont have to report numbers, and some are not on computers, so they cant pick up your skip, and you will have a bunch of skips, the techs will take your tools and run.The business was fun, but is not fair to have different types of franchises, or charters, we were supposed to be on one team, but its never been that way.If your D.M. has any problems out of you, you will be terminated. It is supposed to be your business, but they have alot of control over you. If you want to talk, e-mail admin here and he will contact me, or you can e-mail me at [redacted]. Think about it real hard before you sign, alot of families have been destroyed and had to file bankrupt. My honest opinion, DO NOT DO IT.

• lenny– what i find unbelievable is the fact that they add the new dbrs initial inventory on to the national purchase average to get the weekly npa. thats crazy. thats $960,000 per class of 16 people. thats very unfair when you have to compete against that and any and all other purchases to schools ,students , any other sales that the company makes. they dont tell you all that in class.

• I’ve always felt the purchase average was bogus, let alone that it is totally UNFAIR. and a basis of their right to terminate SCAM. Given the Danaher / Matco relationship, I don’t believe that Matco has a requirement to release numbers or proof of the numbers to the distributors or public.

  Does anyone know the legal requirements that Matco provide a definition and provide evidence of the purchase average that franchisee’s are bound by?

• Example: I would assume (and we know what that means)

  My purchases would increase the purchase average, my warranty returns would decrease the average. My over stock returns would decrease the average LESS 15%. So again, another way to artificially inflate the average.

  And since they ALWAYS SCREWED me out of 10% of my warranty returns, they again inflate the average.

• Lenny – I’m with Tommy, please don’t do it…
  The numbers just don’t work, and Tommy is right- yours are
  even a little low. Fuel prices continue to rise, truck maintenance
  can bury you (in 2 years- replaced 2 fuel pumps, oil changes cost
  $150 every 3-4 months, replaced fuel filters 2 extra times last winter
  because the cold temps made the diesel gel, and more)
  Sales are great some months – fall others. December Sales are
  low because of the holidays – collections suffer when there is ANY
  Holiday – shop closed on 4th of July? Some (not all) guys figure they
  have a holiday from payment that week too.
  There is So much more to consider than the rosy picture
  Matco tries to paint for new distributors.

• WOW, i’ve received numerous emails explaining the National Purchase Average is indeed a BOGUS number………………….

  why would veteran distributors – distributors with 10 plus years (and more) experience feel the need to email ME this information???

  why do you suppose they feel this information is important??

  why does Matco have a need to deem the success of a distributor based on HOW MUCH THEY BUY from Matco???

  MUST be a reason,

  WHY?? can’t that success be based on a distributor paying their bills, keeping their business alive, and growing their business

  FORCING out distributors – based ALONE on not meeting the National Purchase Average (a number MANY agree is fictional or not based on true figures)
  FORCING out distributors based on this criteria is simply wrong, maybe illegal

• Lenny

  Business Loan-Mine was 1000 a month in 2004. $43000+ $18000
  Minimum Inventory today I think is $72000.
  I think your number for Matco payback is probably double.

  Insurance is required on two policies. 200 not enough. Probably more like $400 per month.

  Mail is probably double as well.

  Average Expo expense just to go will be more than 200.

• Someone brought up a great point about purchase average. How can Matco legally terminate a distributor without burden of proof. I know when I was terminated I asked my Regional Manager why I was being terminated and I knew I was nowhere near last in sales at that time.

  If this number is so important, why is it not published? I hadn’t been at 80% for over 3 yrs. when I received my Separation letter. Why did they wait so Long? I mean I had been asking for my DM to resurvey my route do to low head count so why did he say he would and then send me a letter saying they were going to separate me.

  On separate note. I would like to thank Snap-On (Mark Diaz) for purchasing my truck today. Now I finally have what attorneys want. MONEY>MONEY>MONEY

• if the national purchase average is around 3500.00 and you must be at 80% of that , you need to purchase 2700.00 a week. if you have a 35% margin that means you ony make about 945.00 how could you survive to pay all your bills on that, Matco wants you to do better then survive, they want dbrs to compete and prosper,.Get out there and sell tools,this is a job. if you were working for a Co, and you were not putting out min. effort you would be gone. you cannot expect to work short days, 4 days aweek and make money to pay all start up fees. wake up,. people.this is a commission based busness, you are paid on what you sell. if you do not sell you do not make money, you are competing with cornwell,mac snap on. napa and others, not everyone should be doing this .its hard out there.

• I can say this on hear because unlike most Distributors Matco screws when I was terminated I only owed them less than $1300 on my franchise. With my tool bill, the things on back order and one gold card I paid the $6500 (On my Credit Card) so I would not owe Matco one red cent. You see Matco knows if you owe them money it is kind of hard to pay for an attorney that you deserve to represent you. Because believe you me I have spent 9mo. of my life trying to find someone in our justice system to represent me on a bulletproof case of fraud and misrepresntation of a franchisor. Not to mention False Termination. I know my rights it is just a shame that when someone screws you over like Matco has me you can not get justice without the all mighty dollar in your hand. I won’t say how much because I am still unemployed and still dealing with the stress and embarassment of not selling tools anymore. Even though I have another truck and $80000 of inventory to sell still.

• Look matcoman Matco#1,

  I did that and Matco stripped it away from me. I was in the top 50 back then over 1500 distributors. Matco took a successful distributor who increased his inventory to over $240000 in less than two years and who had just purchased a 26′ truck and put him back to 350. Don’t get on here and tell me that Matco wants you to be successful. Bullshit!!!

• i keep hearing how matco put people out of busness, hey wake up. you signed the paper you leased the truck you barrowed the money for tools,you filled out the sheet on how much you need on living expences, were you honest on the sheet.hey take a look at what it takes to make it. at 80% npa it is not there you have to work,i have been on commission my whole career and i love it .nothing is given to us.if you cannot take if maybe you chose the wrong busness.walmart pays hourly and I see they hire all the time.quit whining and get to work. matco wants us all to succeed but it takes alot of hard work and commitment.don’t blame others because you failed.

• there was a snap on dbr who had over 600 custumers on his route, he got alot of complaint to corp. and he had been in busness for more then 20 years. he was one of snap ons top dealers, they split his route. poor customer service . you cannot take care of 600 custumer, wake up,there is a reason your not a matco dealer any more.your just lucky i was not your dm.

• Matcoman, let me be clear… [redacted]

  You have no clue. I wasn’t at NPA, I paid my bills, I owed Matco NO Money. This business is NOT commission based! are you an idiot? It is Time Payment BASED.
  Commission sales has nothing to do with collections. You are stupid. Sorry, did I say that? YES I DID!

  people like you piss me off. You got no clue what the hell you are talking about.
  in 10 years, 4 Snapon failed, 3 cornwell failed and Mac couldn’t startup against me. WHY, there was NO Business to be had. I had it all, and there was nothing left.

  Commission based! [redacted]

  [Please refrain from name-calling & personal attacks or risk suspension. Thanks. ADMIN]

• if you understand business you would know we get paid on what we sell,we get a margin / commission on what we sell we get paid on time but it is still commission,no sell no pay. no collect no pay,nobody pays us a wage. understand what we do.duh!!!!!!!!!!!!

• I can and did service over 600 Happy Matco customers. In fact, at a over 95% GOOD customer service according to a Texas DM whom I happen to STILL have the CUUSTOMER ROUTE SURVEY SHEETS he performed. Also I did it, as I mentioned in earlier posts, WORKING MY ASS OFF!!! 14 to 16 hrs. a day. Two days were closer to 18 hrs. So if I can and did and you say you can’t and you are uncapable. WHO IS THE SUPERIOR TOOL GUY???

• So, if you collect ZERO on a 300 dollar skip how much commission do you make EINSTIEN?

• Another point! If you sold a guy $300 dollars in tools and he skips. How much do you have to sell to make up the money for your loss?

  Just a clue! It’s not $300. This is fact. You have to sell close to $1000 to make up for a 80 dollar commission loss.

  [redacted] Do you see Former Dist point. NOT A COMMISSIONED BASED BUSINESS.

  [Please refrain from name-calling & personal attacks or risk suspension. Thanks. ADMIN]

• You say your a top distributor but dealing with real street FAILEDdistributors is making you look like a moron. Which foot you going to shove in your mouth next? Maybe you better enlist the help of guest2 he seems to be a little more intellegent than you.

• There are only two kinds of people posting here
  Distributors that have lost so much NOT because
  They failed but, rather because Matco failed Them

  …. and Matco damage control plants

  The damage is Done – time to be held accountable

• BTW – I am not attacking Matco (as someone accused)
  this is pure Self Defense!

  If you see it as an attack – fine – I’m attacking an injustice

  Fighting LIES, FRAUD, and unjust business practices

• if uoy sell a ratchet to a cust and he pays cash i guess im hourly duh…… always someone eleses fault,not mine i couldn’t be the problem……….

• at least all the childishness seems to have faded away. there are much better and more informative posts now.

• Back to NPA, I understand the NPA was always pretty close to Mac’s
  I’m told it increased steadily along with tool prices
  I’m told it was around $2000 grew to around $2200 then about 8
  years ago had this big jump. – curious though because Mac is
  about $1000 less than Matco. No longer are they close, and no explanation
  as to “why” Matco jumped so much. Tool prices increased, yes
  Economy dived, purchases by mechanics dropped off, and yet
  magically Matco’s purchase average grew so high?
  How? NPA bogus!

• relintless if you were as good as you say.matco just took your franchise,not your truck and tools.if as you say,why not be independent.you still have 600 cust. and same route,no one to make you go out of business.wd for tools.what another excuse,thats what i thought,must be MATCOS fault,can’t be mine.

• Matco didn’t own his truck – whatever lease company that is in bed with Matco holds the lease. Same route?

  WHO is not reading their franchise agreement now?

  One year non compete – can’t legally sell on his same route for one year
  after leaving Matco

• Commission – ?????

  Well out of our “margin” – that 20 – 35%
  we get to cover ALL the costs of running a business

  Truck lease & insurance
  Truck maintenance
  FUEL
  Shipping costs
  Computer costs
  Accounting costs
  Cell phone costs
  Internet costs
  Advertising costs – calendars, promotions/give a ways
  …..and MAYBE if anything is left – pay ourselves a salary!

  I went to 4 District meetings last year before this one
  distributor paid Himself
  Yep, that was finally His success story…,,,
  He finally Paid Himself! sad

• Debbie,

  You are correct about the non-compete clause in the contract. When I decided to leave Matco that was my concern as well.

  Talked with my lawyer and discussed the situation; depends on the state and how they deal with non-compete’s. In my state, even though non-competes are typically upheld, they have a difficult time trying to enforce them. You also have a right to ‘earn a living’, and the non-compete cannot deny you that right.

  I had mucho money on the street, and they cannot stop you from collecting, I also felt it was my right to ‘service’ my customer. YES, MY Customer, not Matco’s. I earned that customer, Matco did not. If the Judge wanted to rule in favor of the non-compete, he would not only deny me a right to earn a living, but potentially deny my customers that right to the SERVICE they purchased from ME, in effect potentially harming their ability to earn their living.

  It took Matco 3 months before they started termination letters. I guess they didn’t notice all the tools being returned. I had six months to train and inform my customer to what was happening. And I stood by my warranties as best I could. ie. you bought a Matco Tap, I would replace it with Irwin, I educated them in that it was the same product. Again, Matco doesn’t make anything but tool boxes.

  Guess what? over time they were pretty happy about the change, tool prices dropped, and they got the same service, and the same products. They would ask for a MSTxxx and I would show them the KD xxx and tell them the matco price and then MY price. It made it even worse for the competition.

  I make a higher margin to help me, and still have a lower price for my loyal customers.

  Again, discuss with your lawyer about that clause and the ability for you to stay in business, if that works for you.

  When Matco finally sent the LAST letter, they owed me money. I understand everyone has a different situation, and I hope the best for you and the others out there that deserve compensation for the damage Matco has done.

• Everyone, please remember the rule: “attack the argument, not the arguer.” This is an important conversation, and anyone who can’t fight the urge to resort to personal attacks and namecalling will have comments held for moderation, or will lose commenting privileges.

  The goal is to have a forum where Matco dbrs are free to vent their complaints and others are free to respectfully disagree, provide suggestions and/or rebuttals so readers and interested parties can make up their own minds. I think we’re getting closer to that goal. Keep the great comments coming. Thanks. ADMIN

• Remember people why we are here, keep to the point and staythe course. We are here to state the damage that matco has cause us personally. We are making progress and people are looking at this site. Hopefully we can get back to the way we were before matco.Keep posting, hit all sites possible, link them to this site and remember the cause.We can save other people from signing, then we have done our job. GO GET EM JERRY.

• Remember people why we are here, keep to the point and staythe course. We are here to state the damage that matco has cause us personally. We are making progress and people are looking at this site. Hopefully we can get back to the way we were before matco.Keep posting, hit all sites possible, link them to this site and remember the cause.We can save other people from signing, then we have done our job. Lets not back down from any matco supporters, they too will need Jerry soon.

• reember what Obama said it not your fault, blame the rich, you did all you could …. please wake up people. you did it to yourselves .work for a living don’t look for hand outs.its your business not matcos.you control your store

• Debbie, I have a question for you. Just to see maybe where your anger and such is comeing from.

  You say the NPA is wrong and should not be used to judge how sucessful you are. You said that you should be graded on if you pay your bills on time.

  That to me says “I am sucesful because I break even” would that be a correct statement?

  Also, based on your postings, I assume that you are below the 80% NPA. Just wondering figures, what its your Matco PSA and your outside PSA?

• all togeather class….. matco is mean matco hates us , matco is mean matco hates us,don”be responsible it matcos fault ,GET A LIFE>>>enough whining already.

• It is funny to me that various posts are concerned about ‘where’ my anger comes from….. Really?

  Doubtful.

  There is no honest ‘concern’

  A $100,000 investment of my money and my husband’s money – and countless hours of time and energy –

  WE followed the plan, WE did EVERYTHING that was asked of us.

  AS DID HUNDREDS OF OTHER DISTRIBUTORS –

  HUNDREDS OF OTHER DISTRIBUTORS DID NOT FAIL BECAUSE they were lazy or didn’t work hard enough or didn’t follow the plan

  HUNDREDS OF hard working individual, VETERANS, invested in a small business and followed the plan

  So, why? would or should I be angry??

  Maybe because a PONZI scheme to defraud people out of so much continues….

  Oh, it will end, trust me.

  It is not just some whiny losers complaining …………….. THIS IS SYSTEMATIC FRAUD PERPETRATED ON HUNDREDS OF INVESTORS

  Inflated call lists
  Erroneous budgets
  Non viable routes with exorbitant expenses
  No corporate support
  LIES from district managers and regional managers

  The lists are long……………………

  It will ultimately be decided my a JUDGE in a COURT and not by some Matco plants trying to do damage control on the internet.

• In addition,

  NONE of you know me –

  It IS offensive that you attempt to impugn my integrity – offensive.

  I HAVE done everything that Matco asked me to do. PERIOD.

  If you can prove my call list was accurate, if you can explain the errors on my budget, if you can explain how my route could be viable, if you can sort the lies I’ve been told,
  Well, then, comment.

  UNTIL then, attack the argument – explain what is right about Matco.

  Until then, attack the argument and leave ME the Hell alone.

  I’m not sorry you don’t like what I have to say – Face it I AM NOT THE ONLY PERSON SAYING IT…………..

  Fundamental problems at Matco –

  I’m NOT the only person complaining,
  SOMETHING IS WRONG

  let’s find the problem
  fix the problem

  and move on…………..

• Stay the course people, we have a few more people trying to change the course, we can not let this happen, they dont know what personal suffering each has gone through.There are more distr’s that are failing because of matco’s lies and there are successful ones, the ones they pamper, and they are out there. If the few people, who are supporters,like matco, then go to the other site, we dont need you here, we had problems with matco and we are not stopping until we are satisified.GO JERRY.

• For those of you that ” follow the plan” my advice come up with your own plan one that works for your business find a way to become profitable ASAP. Yes Matco is dishonest Yes Matco if you let them will ruin you Yes Matco only cares about themselves who doesn’t. Matco needs to fix many problems and all distributors need to sound off on this regardless of who you are. Just ask REDBACK BOOTS if there is a problem or any other vendor at EXPO. I encourage all distributors to talk to all venders at EXPO about Matco talk to them outside the show floor you will find the truth. The best way to see the difference is to goto the ISN EXPO you can be the judge. Ask Matco leadership how ISN, MEDCO, ACE TOOLS, NEU TOOLS, EAGLE TOOLS ect ect ect have gotten so big and keep asking is it greed no it can’t be that would be dishonest.

• Tommy the coure is forward merry xmas to all fighters,go away you heels,theres other sights you can disrupt.peace

• Like Matcoman is saying your on your own you either succeed or Matco profits from your failure. WELL put matcoman! See your on the right side after all.

• matcoman

  I got my hand out! Snap-On guy bought my truck. Good thing I paid it down instead of buying more tools. Oh thats right! Now you can tell me I would be at 80% of the National Average if I didn’t pay ahead on my truck. Good thing I didn’t let my business partner (Matco) decide whether paying ahead on debt is better than buying more tools.

• Finally a good Question from matcoman!

  Why don’t I go independent if I am such a great salesman?

  Let me respond to that.

  Who all out here loved Matco tools BEFORE they started a franchise with them. You see before I became a Matco Distributor I was a tech. If Matco wasn’t around I didn’t buy tools. When I decided to become a Distributor I didn’t check with SNAP-ON, MAC, Cornwell or STS if I couldn’t do it with Matco I didn’t want to do it. I LOVED MATCO!

  When Matco management (Ernie Lauber, Tom Willis, Mike Swanson) would not even look at my proof or investigate my allegations about my Regional and District Managers Falsely Terminating and respond to me I realized I will never sale tools again. You see, I asked my RM if I could move my franchise, be allowed to service my customers until they found a replacement, do anything to retain my franchise and my RM told me on three different occassions “I don’t care what you do, YOU just won’t be doing it for MATCO!”

  Again, I LOVED this company. DIE HARD MATCO fan. Don’t believe me ask my customers. I gave away thousands of dollars of clothes to promote Matco. Looking back now I was a F*&%ing idiot to throw away my hard earned money away for a company I believed in. Even when they shit on me and took away my shops I worked hard to service I never would have dreamed they would do the things they have done since. Obviously Matco had one purpose for me and after that purpose was served I am just another failed distributor on Matco’s very long list. Shall I name a few?

• debbie 1st, did you not go on a ride along with your dm to seed your route,you should have checked your calls.2nddid you not fill out your budget before and after you started your route,were you honest on it? 3rd do you work 5- 6 days aweek on your route, collect and sell. (doing paper work-loading truck and maint, is not included in that) 4th did you have enough capital when you started or did you finance all of your tools and truck?