Snap On Tools Owners Manual For Toolbox

Posted : admin On 16.01.2020
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Year Business Began: 1920 Franchising Since: 1991 Headquarters: Kenosha, Wisconsin Estimated Number of Units: 4,860 Franchise Description: The franchisor, Snap-on Tools Company LLC, offers a license to operate a franchised mobile store selling high quality repair and diagnostic tools and equipment. Snap-on manufactures and/or distributes these tools and equipment to professional mechanics and other tool users in the United States. The franchisor’s parent corporation is Snap-on Incorporated. Training Overview: Before franchisees begin operation of the franchise, the franchisor provides Store Management Training. Franchisees or their Store Manager must complete Snap-on Franchise Store Management Training.

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Training currently consists of between an estimated 57 hours of classroom training and 135 hours of on-the-job training. Between five to six months after franchisees begin operating their business, franchisees are required to attend Franchise Store Management Training – Level 2 at the franchisor’s training school located in Grapevine, Texas, or such other location as the franchisor designates. This consists of approximately 12 hours of training (usually on Friday and Saturday) and is intended to reinforce previous training after franchisees have had actual experience operating their franchise. Once franchisees begin operation of their franchise, the franchisor suggests, but does not require, that franchisees and their Store Manager, if applicable, participate in ongoing training, including Franchise Performance Team meetings (if provided by the franchisor). The franchisor generally holds these meetings once per quarter, but may hold them more or less frequently as it determines appropriate.

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Territory Granted: The franchisor grants franchisees the right, subject to terms, to use the Snap-on Program, and to purchase products from the franchisor for resale only at the locations identified on their List of Calls. The List of Calls consists of a series of business addresses or “stops” at which the franchisor has determined that there are, or should be, tool users who purchase their own tools.

While the number of potential customers on a List of Calls will vary to some extent from franchisee to franchisee, it is the franchisor’s intent that each List of Calls contains at least 200 potential Core Customers at the time a Franchise Agreement is signed. Investment Tables: Estimated Initial Investment Name of Fee Low High Real Estate $0 $0 Initial License Fee $8,000 $16,000 Initial Inventory $107,000 $117,000 Technology Package $0 $3,000 Supplies $0 $400 Van $50,000 $136,000 Van Insurance (3 months) $625 $1,875 Van Delivery Charge $180 $4,100 License $200 $2,400 Acquisition/Development of Revolving Accounts $0 $60,000 Other Equipment, Fixtures, Expenses $150 $170 Computer Software License Fee $770 $770 Additional Funds - 3 months $4,460 $17,852 Estimated Total $171,385 $359,767.

Other Fees Type of Fee Amount Weekly Remittance for Products and Services Purchased from Snap-on The minimum amount is 100% of miscellaneous charges less miscellaneous credits, plus any amount necessary to be $1 under the franchisee’s credit limit. Monthly License Fee $120 Computer Software Maintenance Fee $26 Franchise Finance Program Loan Payment No payment for the first 90 days (interest accrues from inception of loan); thereafter, the estimated payment is $1,404–$1,628/month, except for a Transfer Franchise the estimated payment is $1,330–$2,401/month. RA Loan Payment $739–$848/month, except for a Transfer Franchise the estimated payment is $0–$848/month. Credit Program and Open Account Payments To be determined. Open Account Payments To be determined.

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Transfer Fee This fee is currently $10,000. Renewal Fee 50% of our then-current Initial License Fee, which is currently $8,000. Insurance and Other Coverage $5,674–$10,503 Indemnification To be determined. Administrative Handling Charge To be determined. Van Lease and Maintenance Fee Payment $2,078–$2,444/month van lease payment plus $325/month maintenance fee. Van Lease Termination (under Snap-on Credit Van Lease Program) Unless franchisees purchase their van, franchisees must return the van to a location designated by Snap-on Credit (estimated cost to the franchisee is between $180-$4,100, depending on their location) and franchisees are responsible for damage in excess of ordinary wear and tear.

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Up to one month’s lease payment for early termination will be due. Late Charges (under Snap-on Credit Franchise Finance and Credit Programs) Under franchise finance loan: 4% over regular rate (subject to maximum permitted by law). Under Snap-On credit van lease program 5% of amount due (plus interest at 10%) for payment delayed more than 10 days or $10, whichever is greater (subject to maximum permitted by law). Charges for Insufficient Funds/ Dishonor of Payment under Snap-on Credit Franchise Finance and Credit Programs or for Payment to Snap-on Up to $25, which may increase during the term of the franchise agreement. Training $0 - $3,000 The above information has been taken from the FDD of Snap-on Tools. Year of FDD: 2018 Franchise Direct's.