Matco Tools
Health Score
62 Our derived Health Score (1–100) = growth (30%) + fees (20%) + scale (20%) + transparency (15%) + data quality (15%) mobile_distributorship_not_traditional_franchisemandatory_inventory_purchasessystem_slightly_shrinkingno_royalty_revenue_model_unusual
Investment Range Total estimated initial investment from the FDD, including franchise fee, build-out, equipment, and working capital.
$108K–$383K
Franchise Fee One-time upfront fee paid to the franchisor for the right to operate under their brand.
$7,000–$10,000
Royalty Ongoing fee paid to the franchisor, typically a percentage of gross revenue, paid weekly or monthly.
$0/unit
No royalty fee. Matco Tools is a distributorship model — distributors purchase products from Matco at distributor pricing and resell from mobile truck/van at retail prices. Revenue to Matco comes from mandatory product purchases, not a percentage of distributor sales.
Total Units Total number of franchised and company-owned locations currently operating.
1,829
-1.2% growth
Initial Investment Breakdown
| Category | Low | High |
|---|---|---|
| Initial Franchise Fee (IFF) | $7,000 | $10,000 |
| Initial Mandatory Inventory | $55,500 | $92,000 |
| Mobile Sales Unit (Truck/Van — Lease Deposit + Payments) | $20,000 | $230,000 |
| Software License Fee | $899 | $899 |
| Web Page Setup Fee | $195 | $195 |
| Document Processing Fee | $99 | $99 |
| Insurance (3 months prepaid) | $768 | $3,591 |
| Additional Funds (3 months working capital) | $23,618 | $45,982 |
| Total | $108,079 | $382,766 |
Financial Performance (Item 19)
Avg Revenue Average gross revenue reported by franchisees in the FDD's Item 19 financial performance representation.
$519K
Median Revenue Middle value of reported revenues — half of units earn more, half earn less. Often more useful than average.
$488K
Sample Size Number of franchise locations included in the financial performance data. Larger samples are more reliable.
1,545
Above Average Percentage of reporting units that earned above the system average. Below 50% means a few top performers skew the average up.
43.1%
Reporting period: 2024-01-01 to 2024-12-31
Unit Growth
| Year | Total Units | Opened | Closed |
|---|---|---|---|
| 2022 | 1,815 | — | — |
| 2023 | 1,852 | — | — |
| 2024 | 1,829 | — | — |
Other Ongoing Fees
| Fee | Amount | Frequency |
|---|---|---|
| Initial Mandatory Inventory Purchase | $$55,500–$92,000 (mandatory at signing) | one-time |
| Ongoing Inventory Purchases (mandatory weekly) | $Weekly purchase orders at Matco distributor pricing (variable) | weekly |
| Annual Software Maintenance Fee | $$450/year | annually |
| Web Page Fee | $$195/year | annually |
| Insurance (Commercial Auto + General Liability) | $$256–$1,197/month | monthly |
| Successor Distributorship Fee (transfer equivalent) | $50% of then-current Initial Franchise Fee (currently ~$5,000) | upon transfer |
Quick Facts
Franchised Number of locations owned by independent franchisees, not the franchisor.
1,811
Company-Owned Locations owned directly by the franchisor. High ratios can signal corporate confidence — or difficulty selling franchises.
18
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Free Consultation
Seriously considering Matco Tools?
A franchise consultant can verify the Item 19 numbers with real franchisee contacts, flag territory conflicts, and walk you through the FDD before you sign. Their fee is paid by the franchisor — your consultation is free.
Source: FDD filed in MN, 2025. Extracted 2026-04-05.
Frequently Asked Questions
- Is Matco Tools a franchise?
- Yes, Matco Tools is a franchise with 1,829 locations worldwide. Prospective owners purchase the right to operate under the Matco Tools brand and system by signing a franchise agreement and paying a franchise fee. The full terms are disclosed in the Franchise Disclosure Document (FDD).
- How much does it cost to open a Matco Tools franchise?
- The total initial investment for a Matco Tools franchise ranges from $108K to $383K, according to the 2025 FDD. This includes the franchise fee, build-out, equipment, and initial working capital.
- How much do Matco Tools franchise owners make?
- According to the 2025 FDD Item 19, the median annual gross revenue for a Matco Tools franchise is $488K (based on 1,545 units). Note that gross revenue is not profit — operating costs, royalties, rent, and labor must be subtracted.
- How many Matco Tools franchise locations are there?
- As of the 2025 FDD, Matco Tools has 1,829 total units (-1.2% growth rate).