FranchiseVerdict
MICHELIN® COMMERCIAL SERVICE NETWORK™ logo
FV-01622·MODERATEStandard67

Michelin® Commercial Service Network™

OtherFranchising since 2010Website
Investment
$189K – $4.3M
62nd pct Other
Avg revenue
50th pct Other
Royalty
Units
340
92nd pct Other
SBA default

Bottom line

  • Total investment $189K – $4.3M including a $3K franchise fee.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated MODERATE with a risk score of 64/100.
  • No Item 19 financial performance representation. Without franchisor-disclosed revenue data, you'll need to gather unit economics directly from existing franchisees.

Item 1 · who you're contracting with

The Franchisor

Legal entity
MICHELIN RETREAD TECHNOLOGIES, INC.
Parent company
Michelin Corporation
Incorporated in
Delaware
HQ
101 Harrison Bridge Road, Simpsonville, South Carolina 29681
Auditor
PricewaterhouseCoopers LLP
Audited financials
Franchisor revenue
$253.6M
vs $229.0M prior year

Yale framework · single-unit ROIC

Returns Analysis

Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.

The model · Yale framework

What would one MICHELIN® COMMERCIAL SERVICE NETWORK™ unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: generic
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $189K–$4.3M
Working capital
$
FDD reports $50K–$300K

Unlevered ROIC · per unit

4%

Below typical band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$105K
EBITDA margin
14.0%
Total invested
$2.4M
Payback
274 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Overview

About

Michelin franchise operators run commercial tire service centers managing inventory of tires and maintenance supplies, performing tire installation/repair, wheel balancing, and roadside assistance services for fleet and commercial customers. Revenue depends heavily on local market density, competitive pricing, and ability to retain B2B accounts. Daily operations involve managing technician staff, customer service, parts ordering, and fleet account management.

CEO
Peter G. Dunphy
Founded
1997
FDD year
2025
States available
47

Item 7 · what it costs

The Vitals

Total investment
$189K – $4.3M
All-in to open one unit
Liquid capital
$50K – $300K
Cash you must have on hand
Franchise fee
$3K
Royalty
n/d
Ad fund
n/d

Item 19

Financial Performance

This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.

Item 20 · unit dynamics

The Growth Chart

Total units
340
Opened
18
Last reporting year
Closed
16
Turnover rate
4.7%
Company-owned
0
Corporate units in the system
% franchised
100%
vs corporate-owned
Multi-unit owners
24.1%
Net growth (yr3)
+0.6%
Net unit change last year
3-yr CAGR
+2.1%
Compounded over last 3 years
2023
340+2
Franchised units
2024
338
Franchised units
2025
333
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 31 states with active franchisees

The Territory Map

Derived from franchisee contact records. Shows states with at least one current operator — not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 31 states
Not registered

States derived from franchisee phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.

Government records

SBA Loan Data

Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.

No SBA loan data available for this brand.

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

64
Risk · 0-100
MODERATE64 / 100

Declining unit count, undisclosed financials, murky fee structure, and unprotected territory create meaningful profitability uncertainty despite a stable brand.

Score breakdown · what drove the 64 / 100 rating

  1. 01MINORMassive investment range ($189K–$4.25M) suggests inconsistent unit economics and unclear cost structure
  2. 02MEDRoyalty rate not disclosed — hidden ongoing fees could erode profitability significantly
  3. 03MEDZero unit growth (0.6% YoY decline) across 340 units indicates market saturation or franchisee struggles
  4. 04MINORNo Item 19 financial disclosures (avg revenue/net income) prevents assessment of franchisee earnings potential
  5. 05MINORUnprotected territory creates direct competition risk from other franchisees in same market
  6. 06MINOR10-year term is longer than industry standard (5-7 years), locking franchisees into potentially unfavorable agreement
  7. 07MINORLow franchise fee ($2,500) relative to investment range suggests hidden costs elsewhere (working capital, inventory, equipment)

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Protected territory
No
Initial term
10 years
Renewal term
5 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
0
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Owner-operator
Optional
Governing law
South Carolina

Item 11

Training & Operations

Classroom training
56 hrs
On-the-job training
70 hrs
POS system
MCSN Software
Operating tech stack

Item 20

Franchisee Contacts

Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.

Franchisee contacts

100 numbers

Locked
(302) 328-••••
DE
(678) 902-••••
GA
(904) 389-••••
FL

One-time purchase · CSV download · Validation questions included

FDD download

MICHELIN® COMMERCIAL SERVICE NETWORK™ · FDD (2025) PDF

Single-page checkout · instant download · CSV export of contacts available separately above