Matco Tools franchise – distributor program is under fire. Failed & failing Matco Tools mobile distributors claim that they are victims of a callous and unethical investment scheme that sets them up for failure. Yet Matco Tools also has its defenders. The comment section below is for Matco Tools and its supporters to share their opposing views, and show their support for the Matco Tools franchise opportunity.
Our post MATCO TOOLS Franchise Complaints sparked more than 1000 spirited, often angry, comments in less than a month, an UnhappyFranchisee.com record.
Central among the criticisms of the Matco Tool franchise is a high failure rate and allegations that Matco intentionally “churns” up to half of its distributor population in order to replace them with the fresh investments of new distributors (See MATCO TOOLS Franchise Report Alleges Distributor Churning).
Complaints also include a frighteningly high SBA default rate for Matco Tools franchise loans (see Failure Rates of the 10 Most Popular Franchises) and allegations that Matco colluded with TD Bank to fraudulently get distributor loans they knew were doomed to fail (see FRANCHISE LAWSUIT Alleges Matco Tools Scam, TD Bank Fraud ).
Both on UnhappyFranchisee.com and a Matco franchisee Facebook page, Matco defenders have shared a different view than the angry detractors.
Veteran Matco distributor Kevin writes: “Matco is not a perfect company. None are. You must use your own common sense in any business dealing. I have been a distributor for 22 years, and have experienced none of the above problems. I am self employed, and I buy what I want from Matco, nothing more. They do not run my business, nor force me to buy anything.”
Another distributor Scott writes: “Matco is not the evil empire that so many are making it out to be, but they are definitely out of touch with what we go through… the complaints you and others are voicing are nothing new. If you do a little research you will find the exact same thing happening in Mac and Snap On throughout the years and it’s almost word for word. This business is damn tough…”
None of the supporters thus far have provided unqualified praise for Matco Tools, but many say Matco is the best choice in a tough business segment.
Jay writes: “I have been with another tool company before that would make all these complaints seem very trivial and chose to switch to Matco over 11 plus years ago all as a distributor. I am not saying they are perfect but they are the best choice out of the 4 major tool companies…”
Some object to the characterization of “terminated distributors” (a term used in Matco’s Franchise Disclosure Document) as being synonymous with “failed distributors.” Some point out that Matco Tools franchisees leave the system for a variety of reasons
Jason writes: “What I saw as a district manager was guys would become matco distributors because they thought it was easy, and matco would set up a route for them and they thought it was instant success. It wasn’t I saw high performing distributors succeed and fail. I had distributors get divorced and fail, I had 2 distrbutors in 1 year die, I had distributors become district managers, all of these are examples of terminated distributors, so the 36% fail rate is inaccurate.”
ARE YOU FAMILIAR WITH THE MATCO TOOLS FRANCHISE DISTRIBUTOR PROGRAM? DO YOU DISAGREE WITH THE MATCO TOOLS CRITICS WHO ALLEGE IT’S A SCAM? SHARE A COMMENT BELOW!
Also, feel free to read & comment on these related posts:
MATCO TOOLS Franchise Complaints June 8, 2011
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
To contact the author and site admin, email UnhappyFranchisee[at]gmail.com
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View Comments
How are you Matco distributors offering warranty from Grey Pneumatic?
I purchased a lot of Grey via Matco, now you have to cheat the system, or VIOLATE the CONTRACT to honor your customers and the warranty they bought from you.
Sorry about the knife in the back... That was Tom Willis and company :-)
Former Dist had you bought your grey somewhere else ---- never mind some people just can't be helped.
I bought 100% Matco, A lot of special orders, but via Matco.
The reason Matco droped grey is distributors would buy it on the outside and use Matco for their warranty. I don't blame them for that makes sense. Sometimes you do need to purchase products on the outside and if you are good with your money it is not a problem but some people are not cut out to be business owners and get in over there head. Why you feel the need to blame everyone and your neighbors goat is beyond me.
The Neighbors Goat is eating MY GRASS!
Former ,
You bought 100% and drank 100% of the koolaide how did that work out for you ?? No one no matter what they say buys 100% from Matco. Do you really think Matco can give deals on everything. So what you a saying is I was 100% loyal to the end and it killed me how stupid was that friend. Like I have said before some people can't be helped.
you sell a screw driver set to customer...$100. set the terms, 20 down 20 a week. Everybody agrees.
three weeks in customer notifies you that his wife had some unexpected health issues. He can't make the payment this week and won't be able to 'double-up' next week, but will continue the payments a week later.
What do you do? Repo the driver set? Slap a late fee on him? Sympathy with the guy and move on? Or sue him for failing his portion of the contract?
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Matco finds out your only 70% of NPA, and there is no way you can get it above 80% this year. What should they do? Terminate you? or maybe realize the economy is bad in various areas, or maybe the list of calls was less than honest and give you another year to work it out, by honestly looking at the list, and the economic statistics for the location your in?
Maybe even listen to your concerns and attempt to address them.
No, it is more profitable and less manpower is required to just terminate you and start over with a new body.
Good people die young
Former,
You said the goat was eating your lawn no wait you said grass now I understand the problem. Matco does not support the drugs
in my contract, I did not have to do drug testing. Matco tried, but i do not have to honor contracts I didn't sign.