SNAP-ON TOOLS Franchise Complaints

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• We've upgraded "Just a number"'s comment to a full post.

  SNAP-ON FRANCHISE Pros & Cons of Being a Snap-on Dealer

  Thanks, Just a number

• I was screwed blues and tattooed by snapon tools,due to a disability.I was promised the world and ended up broke and out of business. My 1 st 3 months I had alot of help from bms and sds but as I started learning some and thinking for myself the help was gone because I didn't do what bms and sds wanted when I started getting in trouble I asked for help every week and couldn't get any at all in cost me around 50k when it was over.After check in some slicksters from snapon try to take me for 30k more when I emailed regional manager asking for there back up I never heard from them again because I informed him my records showed they owed me at least 25 k they have no idea snapon didn't even give me my 7500 veterans credit can't believe this is the same company I worked for in the mid 90s as a tech rep beware of them and there slick talking management team
  Bob

• The product is still great. Just the management has made it a tough job.

• I wanted to add a little inside information about Snap On Tools. I am currently a dealer that will be leaving soon. This is more of a Buyer Beware tips.

  Snap On Tools is not a business opportunity. Recruiters will tell you that but it isn't. Here is why.....

  1. Snap on only will give you 200 potential customers that you can sell tools too. That means you can't sell to anyone outside those list of people. Even if someone walks in your truck cash in hand to buy something. Snap On can also take away any customers at the discretion that is over 200. If you don't believe me read the FDD Document. So how is it a business opportunity if you can't grow? There is an answer to that question.

  Snap On does allow you to get 2nd route if your looking to grow. It is at there discretion if they will allow it but it can be an option. Here is the problem with that...

  1. Snap On has to approve your employee that will drive your truck on 2nd route.

  2. You have to meet the criteria which isn't as easy then when you first got started.

  3. You will either have to buy a route from a dealer leaving which doesn't guarantee you a route because Snap On has the first right of refusal. Or you will have to wait till a route opens which then don't guarantee you anything because a new prospect coming in will get first choice. Reason for that is because Snap On makes more money on a new start up then adding a 2nd truck for an existing dealer.

  4. If you figured out how to make money outside of the Snap On way then they deffinently don't want you to grow. Snap On only wants people that will struggle most of there career because it gives the company more power over you. If they allow you to grew so you can make the kind of money any REAL independent person expects to make then that would give you too much power.

  So buyer beware. When you join Snap On you are just a glorified employee. You can even read why SBA won't guarantee Snap On Franchise loans. If you are thinking the Snap On Tool business invest your money in a business that can earn you more then $35k a year. That is all you will make driving a Snap On truck if you make it. Don't forget Snap On has a over 40% failure rate.

• Whether its Snap-On, Mac, Matco or Cornwell, if they are a member of the IFA they are not worth the time to invest in. Franchising is supposed to be an opportunity for you to own your own business. To be your own boss. To make your own decisions.

  Companies who are members of the IFA are members of an organization which PROTECTS franchisors. That is why the franchise agreements called F.D.D.'s which you have to sign to become a franchisee are worded the same protecting the franchisor by having the franchisee sign away his or her right's to DUE PROCESS in a court of law. The F.D.D. states that should the franchisee have an issue with its franchisor that the franchisee agrees that if mediation can not correct the issues that arbitration is a final answer between the franchisee and franchisor of which the arbitrator will be from the state where the franchisor resides.

  I would never agreed to sign this contract had I known that my franchisor would commit CRIMINAL acts to my franchise and hide behind a contract for its criminal behavior involving my franchise. I believed that should my franchisor break the law and fraud my franchise, steal my customers or falsely terminate me an attorney would represent me and my voice could be heard.

  BOY was I wrong!

• So guys i just found out about this website and thought i'd share a little of my story.

  I was a 2nd van for 2 years and made a percentage commission on paid sales and was fairly successful because I ran good numbers.
  I decided to buy in as a full franchisee after 2 years of being a 2nd van.

  I buy in for $160k plus a truck, I was asked to put $30k down and did.

  And then... oh yea this business is worth at least $30k blue sky....
  So in order to make all this work out I was told that that $30k needed to come from somewhere. So it was slipped in to the inventory number and also the RA on the street. So... Part numbers that i didn't own and RA accounts that i didn't have.
  So... On day 1 once everything was cleared out and corrected i started with -30k equity...
  The idea was devised by the dealer i worked for and was known about by the business manager that still currently works for Snapon tools in Va.
  There's no way you can convince me that this was either ethical or right for him to know about this and let it happen, i was definitely stupid to buy in but it was made out to me that this was the normal mode of operation.
  I ran very good paid sales numbers during the first 7-9 months of business.
  I was a top dealer in my group for multiple months.
  I don't see how Snapon can keep going like this if things like this are the normal...
  They as a company have got to realize there is a major problem here!

  So i lasted about 11 or 12 months and decided i was done... Tool bill on hold and no clear way out... i check in... I'm left owing somewhere around $150 after all the tools were checked in and after the accts where verified... in just 12 months.... unbelievable!
  So i was made to believe that i was totally screwed but i might have an option of offering snap on some money and them letting it all go....
  So the number was $40K... i offered it to them after getting a personal loan and.... sure enough they took it... i sign a release document and everything is dandy....

  X-Dealer

• X-Dealer
  Of course they took the $40K and had you sign the release...you see as soon as you hire a lawyer Snap On knows that $150K is gone-they will never see a dime of that money AND they may have to pay you a settlement as well. The debt in most cases is negotiated away.
  Now they know that there is very little chance of recourse against them in the future should you decide to pursue them for fraud...

  hope you did not lose too much in the end...

• Organized...

  Yea you are correct and unfortunately I didn't realize that until after the release was signed away....
  I was made to believe that i only had that as a possible option but otherwise it'd be my life screwed forever.... or however you want to look at it.

  I'm in the whole about $120k from it i'd say... hard to say exactly but it's not pretty.
  I believe the contract was fraudulent because the $30k "blue sky" was in the paperwork and there was no official product to back up the value or part numbers for the $30k . So the fact that the business manager was aware of it is enough for me to pursue them! It's unbelievable that he or anyone who knows of such things is able to sleep at night!

  Talking to the guy who to over my route.... he has been in the route now for 2.5 years and is a gateway....considering getting out... .
  they make you believe that it just must be you... everyone else is booming... not sure what your problem is... that's what i was told... as i'm doing $9200 a week in paid sales and a pretty decent RA book at that...... unbelievable!

• there are so many ways around this release of liability. Your wife could sue, you might even be able to go after the dealer and Bus. manager themselves. I am so glad you contacted me and we can share this story. Snap-on management has to be held accountable for their ethics. The sad thing is I am getting emails on a daily basis from terminated dealers and it all revolves around unethical or incompetant business, regional and asset managers. I knew there were bad managers in Snap-on but wow is the problem widespread. I can't help if there is a class put on teaching how to strech ethical boundrias to fill another route.

  any dealer who needs help please go to http://www.mobiletooldealersassociation.com or email me directly at jlager7@att.net

• Does anyone know how we stand legaly with Snap On turning a blind eye to dealers selling into another dealers area, is this in breach of the franchise agreement ??