MATCO TOOLS Franchise Complaints:  Have you had any dealings with MATCO Tools  or the MATCO Tools franchise?  Please share a comment about your experience – good or bad – below, as well as advice for those considering investing in a MATCO Tools franchise.

Also read: FRANCHISE LAWSUIT Alleges Matco Tools Scam, TD Bank Fraud

We received the following franchise warning about the MATCO TOOLS franchise opportunity.  According to commenter “TOMMY CHEUNG” :

“STAY AWAY FROM MATCO TOOLS. THEY WILL SELL YOU A BILL OF GOODS,WHICH IS NO GOOD.

“RUMOR HAS IT ,MATCO MAKES MORE MONEY SIGNING NEW FRANCHISES THAN THEY DO TAKING CARE OF THEIR CURRENT ONES.

“DARYL PRITCHETT AND MIKE RAMEY WORK TOGETHER TO SIGN YOU UP AND THEN KICK YOU TO THE CURB. I AM WORKING ON A LAWSUIT AGAINST MATCO, HOPING TO TURN IT INTO A CLASS ACTION SUIT. YOU MAY CONTACT JERRY MARKS AT MARKS AND KLEIN LAW FIRM AT [redacted], IF YOU ARE INTERESTED.

“I INVESTED ALOT OF MONEY IN MATCO AND AFTER 3.5 YEARS THEY SHUT ME DOWN. WHEN THE ECONOMY SLOWED IN 2008,THEY PUT ME OUT OF BUSINESS.

“I ALSO SPOKE TO A PREVIOUS EXECUTIVE, WHO CALLED ME, AND STATED THATS THE WAY MATCO DOES BUSINESS. STAY AWAY FROM MATCO TOOLS AND RUN LIKE HELL WHEN YOU SEE THEM. I REPEAT DO NOT BUY OR INVEST IN MATCO TOOLS…”

Marks & Klein is a legitimate franchise law firm that often represents franchisees in lawsuits against their franchisors, but we haven’t verified with them whether a lawsuit against Matco Tools is in the works or not.

WHAT DO YOU THINK?  IS MATCO TOOLS A GOOD FRANCHISE OPPORTUNITY, A FAIR FRANCHISE OPPORTUNITY OR A FRANCHISE SCAM? 

If you’ve had dealings with Matco Tools, please share a comment below.

Matco Tools Franchise Posts & Discussions

MATCO TOOLS Franchise Complaints  June 8, 2011 (1000+
comments)

MATCO TOOLS Franchise Defenders Speak Out December 7,
2011 (Comments defending Matco invited)

MATCO TOOLS Distributor Franchise December 7, 2011 (Overview with
links)

MATCO TOOLS Franchise Report Alleges Distributor Churning  November 29,
2011

MATCO TOOLS 2011 Franchise Disclosure Document (FDD) & Other
Resources
  November 22, 2011

MATCO TOOLS Class Action Lawsuit, “Secret” Sales Projections  November
22, 2011

FRANCHISE LAWSUIT Alleges Matco Tools Scam, TD Bank Fraud  November 15,
2011

Failure Rates of the 10 Most Popular Franchises  April 26, 2010

Other Mobile Tool Franchise Posts:

MAC TOOLS Guilty of Franchise Fraud?  November 7, 2011

CORNWELL TOOLS Franchise Scam or No Scam?  November 17, 2011



unhappyzee

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  • Tommy wrote – “I was in the top 200, for your info”

    Junior – With Matco? I can’t seem to find this anywhere Tommy.

  • Tommy wrote – “I was not liked by my D.M. he has a reputation for kicking people out.”

    Junior – You were disruptive Tommy. And DM’s can’t do ANYTHING without an RM approving it. And an RM has to run ANY separation thru Matco. Unless you decided to sign a separation agreement, which if I recall you did. So you kicked yourself out Tommy.

  • Tommy wrote – “I have recovered from my losses and moved on”

    Junior – Huh? When does this start?

    Tommy wrote – “but I am not letting up on Matco.”

    Junior – So which is it? You moved on…but you didn’t. This is how you ran your truck Tommy. You’re all over the place.

  • Tommy wrote - "MATCO, GUESS WHAT, THE FEDS ARE COMING TO STOW, AND SO IS JERRY AND THE GANG, INCLUDING THE DEFENDERS, THEY WANT A REFUND ALSO, THEY HIDE BEHIND US, UNHAPPY FRANCHISEES AND SCREEN NAMES."

    Junior - What is is this? Where do you come up with this stuff? An facts on the Feds? Why would they let Tommy know anything?

    THERE'S THREE WAYS TO GETTING SOMETHING AROUND, TELEPHONE - TELEVISION - TELL-A-TOMMY!

  • Debbie wrote - ****************DISTRIBUTOR CHURNING – FACT*********************

    Junior - Debbie, the statement they make only proves the turnover/separation rates. You have to prove Matco is negligent or malicious in its actions to prove churning.

    And not all separations are due to failure. Some leave on a positive note like I did. Some become DM's, trainers, you name it.

  • Sounds like Matco#1 is an ex Snap-On distributor or he sure knows a lot about how Snap-On treated their distributors. Perhaps if he paid attention to what is going on with Matco and its distributors maybe he would have a clue WHY WE ARE POSTING ON UNHAPPY FRANCHISEE.COM.

  • "Churn and Burn, Non Factual"

    The facts come from Matco Tools own FDD:

    MATCO TOOLS Franchise Report Alleges Distributor Churning
    https://unhappyfranchisee.mystagingwebsite.com/matco-tools-franchise-distributor-churning/

    The fact is that nearly half of Matco distributors flush out of the system each year.

    A portion of the other half are lucky enough to have been granted old agreements and solid, profitable routes. They claim their success (a good degree of which is luck and circumstance) is entirely due to their own business savvy, heroic work ethics and macho good looks.

    These are the Matco Old Boys Club members. They choose to boost their egos by coming on here to flaunt their success and pretend that the Matco system is "nearly perfect" despite overwhelming evidence to the contrary. They strut their massive egos and take on fantasy roles (the karate kid, the motor pool war hero, the self-made ex-pig farmer turned tool magnate). They each generally have one friend they respect who got screwed over but they refuse to acknowledge the validity of anyone else's identical stories.

    Don't bother to try to argue with them because if they acknowledge that the system flushes half and lets the other half be, they'll have to acknowledge the fact that their success is little more than the luck of the draw, not a result of their personal & professional superiority.

    But that seems to be the deal. Some got lucky , signed old agreements and kissed *ss and brownnosed til they got in the Old Boys Club. It's obvious by their comments here that they didn't succeed through their personal charm, team spirit or ethics.

    Then there are some who were doomed from the start, like the dbr in Todd A. Peterson's detailed account who was sold a franchise, & sold an initial inventory even though no LOC existed for him.

    And then there were those, like Todd, who were successful but never got granted the protection of Old Boys Club status. They were encouraged to buy inventory, lease new trucks only to have customer shops taken, LOC cut until they fell below the required purchase level and were then abruptly terminated to make way for a new creditworthy future flushee.

    Stories like Todd A. Peterson's and all the others I quoted earlier are detailed, believable and credible. I doubt anyone is reading the white noise of the Old Boys Club disruptors except the OBC members themselves. The OBCs think they are oh so clever and cutting but are really just sad and embarrassing.

  • Junior writes: "the statement they make only proves the turnover/separation rates...not all separations are due to failure. Some leave on a positive note..."

    If their franchise was successful and profitable, it would stand to reason that they would sell it, since it would be a valuable, profit-producing asset. Yet fewer than 7% were able to pawn off their franchises on someone else.

    Wouldn't it would be fair to assume that the 93% were either terminations or simply abandoned as unsaleable?

    From the report:

    "During the three year period from 1/1/08 to 12/31/10, seven hundred fifteen (715) Distributors, forty nine percent (49%) of the total number of MATCO Tools Distributorships open at any time during the period, left the MATCO system.

    "Of that 715, only fifty (50) transferred their MATCO Tools business to third party franchisees. Of the remaining six hundred and sixty five (665) Distributors who left the MATCO Tools system, five hundred thirty one (531) closed their Distributorships, and one hundred thirty four (134) had their distributorships terminated. If a MATCO Tools distributor desired to exit the system during this three year period, and hoped to sell its business through a MATCO approved transfer, that franchisee had less than a seven percent (7%) chance of success. Statistically speaking, such a low success rate indicates that the MATCO Tools businesses run by distributors who were leaving the MATCO system were so unprofitable as to be unmarketable."

    Note to Jerry: That may be another point in favor of an employee, not franchise, designation. When you leave a job as an employee, you have nothing to sell... just like when you leave your Matco Tools "franchise."

  • Here is another interesting tid bit. If you know a DM or RM ask if they get FAT bonuses after getting three new Franchises started. I know more specifics but that is all I am saying for Now.

    Remember how Matco gave us a step-up program to find new recruits. Is there a similar step-up program for DM's.

    Is a $5000 bonus enough incentive to get a DM or an RM to lie, cheat and fraud franchisees for bonuses?

    I guess these are questions for the courts to decide.

  • Guest said: "The fact is that nearly half of Matco distributors flush out of the system each year."

    Guest, you're a liar. You've always been a liar. You will always be a liar. That's not at all what the report said, and you know it. Anyone who clicks on the link YOU provided will see that you are a liar. Please keep posting lies, so potential distributors can see what you are, along with the rest of the WMD. You continuously discredit the WMD with your lies, and it's really surprising that they keep agreeing with you. I guess it shows their true integrity is as poor as yours, and that's exactly what I would like you to demonstrate. Thanks for proving it.

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