FranchiseVerdict
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FV-02363·MODERATEExcellent91

Snap-on

Automotive - Repair & ServiceFranchising since 1990Website
Investment
$223K – $509K
54th pct Repair & Serv…
Avg revenue
54th pct Repair & Serv…
Royalty
Units
3,328
99th pct Repair & Serv…
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $223K – $509K including a $16K franchise fee.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated MODERATE with a risk score of 56/100. SBA loan default rate of 0.0% across 110 loans (below the industry average).
  • Established system with 3,328 units across 36 years of franchising — strong brand recognition and operational playbook.

Item 1 · who you're contracting with

The Franchisor

Legal entity
Snap-on Tools Company LLC
Parent company
Snap-on Incorporated
Incorporated in
Delaware
HQ
2801 80th Street, Kenosha, Wisconsin, 53143
Auditor
Deloitte & Touche LLP
Audited financials
Franchisor revenue
$5.1B
vs $5.2B 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 Snap-on 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: automotive
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $223K–$509K
Working capital
$
FDD reports $5K–$39K

Unlevered ROIC · per unit

31%

In Yale's "attractive" band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$120K
EBITDA margin
16.0%
Total invested
$388K
Payback
39 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

Snap-on franchisees operate mobile tool and equipment distribution businesses, traveling to industrial and automotive customer locations (shops, factories, construction sites) to sell professional-grade tools, diagnostic equipment, and related products. Day-to-day activities include route management, customer relationship building, inventory management, and sales execution across assigned protected territories.

CEO
Timothy L. Chambers
Founded
1920
FDD year
2026
States available
52

Item 7 · what it costs

The Vitals

Total investment
$223K – $509K
All-in to open one unit
Liquid capital
$5K – $39K
Cash you must have on hand
Franchise fee
$16K
Royalty
$156.00 per month
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
3,328
Opened
195
Last reporting year
Closed
25
Turnover rate
0.8%
Company-owned
169
Corporate units in the system
% franchised
95%
vs corporate-owned
Net growth (yr3)
-2.4%
Net unit change last year
3-yr CAGR
-3.4%
Compounded over last 3 years
2024
3,159-79
Franchised units
2025
3,238
Franchised units
2026
3,270
Franchised units

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

Item 20 · 18 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 · 18 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.

Total loans
110
Loan volume
Avg loan
Default rate
0.0%
vs <3% typical · system-wide
5-yr default

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

Risk & Legal

56
Risk · 0-100
MODERATE56 / 100

Snap-on presents a CAUTION-to-HIGH RISK profile: declining market presence, active misclassification litigation, undisclosed earnings, and labor compliance issues create material uncertainty around franchisee viability and franchisor accountability.

Score breakdown · what drove the 56 / 100 rating

  1. 01MINORDeclining unit count (-2.4% YoY) suggests system contraction and potential market saturation
  2. 02HIGH7 total litigation cases involving misclassification of franchisees—3 pending—indicating systemic employment classification disputes
  3. 03MINORNo Item 19 (average revenue/income disclosure) prevents validation of franchise profitability claims
  4. 04MINORHigh initial investment ($223k–$509k) combined with low monthly royalty ($156) suggests reliance on upfront fees rather than revenue sharing
  5. 05MINORMultiple labor code violation settlements indicate potential compliance issues with franchisee treatment
  6. 06MINORData security breach settlement raises operational and liability concerns

Severity inferred from the FDD text · not a regulatory classification

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

Contract & Territory Detail

Territory
List of Calls
Protected territory
Yes
Initial term
10 years
Renewal term
5 years
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
7
Right of first refusal
Yes
Franchisor can buy back on resale
Mandatory arbitration
Yes
Jury trial waiver
Yes
Non-compete
1 yrs
Post-termination restriction
Owner-operator
Required
Governing law
State in which the List of Calls is located

Item 11

Training & Operations

Classroom training
80 hrs
On-the-job training
135 hrs
POS system
Snap-on Chrome
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

95 numbers

Locked
(955) 652-••••
(809) 105-••••
(135) 502-••••

One-time purchase · CSV download · Validation questions included

FDD download

Snap-on · FDD (2026) PDF

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