About Cornwell Quality Tools Company Franchise
Cornwell Quality Tools is a mobile tool dealership franchise where owners operate a rolling tool store from a truck or van, selling professional quality mechanics' hand tools and related equipment directly to automotive and industrial businesses within a defined territory.
The franchise has no initial franchise fee and has been franchising since 1996.
The direct to customer mobile model allows owners to build strong personal relationships with mechanics and service managers through regular route stops.
Cornwell Quality Tools Company Franchise Cost & Fees
Minimum Investment
$60K
Average Investment
$169K
Maximum Investment
$278K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $0 | One-time payment upon signing |
| Royalty Fee | None of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | None | National brand fund |
| Total Investment Range | $59,525 – $277,825 | Includes build-out, inventory, working capital |
The investment range of $60K–$278K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty (None) and marketing fee (None) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Initial Franchise Fee | $0 | $0 |
| Training Expenses | $0 | $4,000 |
| Real Estate | $0 | $0 |
| Initial Inventory | $25,000 | $60,000 |
| Vehicle | $40,000 | $145,000 |
| Insurance | $250 | $2,550 |
| Additional Funds – Three Months | $10,000 | $35,000 |
| Equipment/Clothing/Fixtures/Other Fixed Assets | $0 | $5,000 |
| Reserve | $20,000 | $20,000 |
| Computer System | $3,500 | $3,500 |
| Computer Software | $275 | $275 |
| Security & Utility Deposits/Business Licenses/Other Prepaid Expenses | $500 | $2,500 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | None |
| Technology Fee | $275 initial fee; $50 monthly fee |
| Cooperative Advertising | None |
| Additional Training | None |
| Additional Assistance | None |
| Lease Payments | None |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | 107.5 hours |
| Classroom Training | 16 hours |
| On-the-Job Training | 91.5 hours |
| Training Location | Virtual (Zoom) and on-site in the franchisee's territory by a District Manager or Trainer during the pandemic; typically near Cornwell's corporate offices in Wadsworth, Ohio for classroom training. |
| Additional Training | Optional conferences and seminars are held periodically, with no charge for participation, but franchisees cover their own expenses. |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Protected Non-exclusive |
| Exclusive Territory | No |
| Territory Size | Minimum of 350 potential customers |
| Description | Franchisees are assigned a specific geographic territory designed for sales growth, with a minimum of 350 potential customers. While the territory is non-exclusive, Cornwell's policy is to assign only one dealer per territory and not to solicit orders within it (except for vocational-technical school sales). Territory revisions are possible by mutual agreement. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | No set term |
| Renewal Term | Not Applicable |
| Renewal Fee | Not Applicable |
| Renewal Conditions | Not Applicable |
| Transfer Fee | None |
| Transfer Conditions | Transfer of the franchise or assets requires Cornwell's written approval, which will not be unreasonably withheld. Transfers upon death or disability to an active family member are possible. Debt satisfaction is required for asset transfers. |
| Termination for Cause | Cornwell may terminate for various defaults, including non-payment, failure to maintain inventory purchase levels, misuse of trademarks, failure to supply required data, bankruptcy, appointment of a receiver, assignment for benefit of creditors, or a felony conviction. Cure periods (e.g., 30 days for non-payment) apply to some defaults, but not all. |
| Non-Compete Period | Not Applicable |
| Non-Compete Details | Not Applicable |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | The principal Operator of the Dealership and the owners are required to personally engage full-time in the business, dedicating their best efforts to serve the assigned territory. This obligation continues even if operating a second franchise or truck, and hiring employees or independent contractors does not negate the owner's personal full-time participation requirement. |
| Required Suppliers | Cornwell (for initial inventory, computer hardware, and software, and minimum ongoing inventory purchases) |
| Supply Restrictions | Must maintain average weekly purchases from Cornwell equal to at least 90% of the national average of Cornwell franchise dealers’ weekly purchases during the current calendar year. Failure to meet this may result in termination or territory decrease. |
| Franchisor Revenue from Suppliers | In 2021, Cornwell derived 84.1% or $205,470,200.00 of its total revenue of $244,374,177.31 from the required dealership minimum purchase of tools, equipment, and sales aids. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | Yes |
| Description | Cornwell offers direct financing for initial inventory purchases up to $60,000, with terms up to 5 years and an annual interest rate of 10.24% (variable with Prime Rate). A Military Veteran Incentive Program offers interest-free loans for qualified veterans. Franchise Developer and Special Representative programs also offer interest-free inventory financing with potential loan forgiveness based on performance. Additionally, Cornwell provides a Tech-Credit Customer Financing program for franchisees' customers, deferred billing for limited purchases over 10 weeks, and Cornwell Extended Box (CBX) financing for tool box purchases over 20 weeks. |
Cornwell Quality Tools Company Franchise Earnings — Item 19
Cornwell Quality Tools Company does not make an Item 19 financial performance representation in their FDD. This means they do not disclose revenue, profit, or earnings data for franchised locations. Before investing, ask the franchisor directly for franchisee contact information so you can speak with existing owners about their actual financial performance.
Cornwell Quality Tools Company does not include an Item 19 financial performance representation in their FDD. Contact information for current and former franchisees is listed in Item 20 of the FDD.
Cornwell Quality Tools Company Litigation & Risk Flags
1 Pending Action ListedReview the full FDD for details on pending litigation.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Cornwell Quality Tools Company System Growth
Total Units
776
Franchised
776
Company-Owned
0
Cornwell Quality Tools Company currently operates 776 franchised locations and 0 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2019 | 118 | 121 | 689 |
| 2020 | 107 | 67 | 729 |
| 2021 | 137 | 90 | 776 |
Transfers: 31 | Closures: 90
Public Figures (Item 18)
The following public figures are associated with this franchise: Stacey David (GearZ® TV show), John Force Racing, Inc.
State Registrations
Registered in 18 states: AR, CA, CT, DE, HI, IL, IN, IA, MI, MN, MS, MO, NE, NJ, SD, VA, WA, WI
Franchisor Financials (Item 21)
Revenue
$245.7M
Net Income
$26.5M
Total Assets
$181.9M
Audited by Akron, Ohio for year ending December 31, 2021.
Cornwell Quality Tools Company Franchise — FAQ
The total investment to open a Cornwell Quality Tools Company franchise ranges from $59,525 to $277,825, per their Franchise Disclosure Document. This includes the initial franchise fee of $0. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Cornwell Quality Tools Company charges a royalty fee of None of gross sales, plus a None contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Cornwell Quality Tools Company Franchise Disclosure Document free on this page. The FDD is a public document filed with state franchise registries. Always also request the current FDD directly from Cornwell Quality Tools Company to ensure you have the most up-to-date version.
Cornwell Quality Tools Company does not provide an Item 19 financial performance representation in their FDD, which means they do not disclose franchisee revenue or earnings data. Prospective investors should contact existing franchisees directly (listed in Item 20 of the FDD) to gather real-world financial performance information.
Cornwell Quality Tools Company has been franchising since 1996. The FDD shows an investment range of $59,525-$277,825, a None royalty, and no Item 19 earnings disclosure. There are 1 pending litigation action(s). Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $0 and the total investment ranges from $59,525 to $277,825 depending on location size and market. A minimum of $10,000 in liquid capital is required. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
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Data Source & Disclaimer: This website is for informational purposes only. It is not an offer to sell or buy a franchise. This profile is based on publicly available FDD data sourced from state franchise registry filings. All information is for research purposes only and does not constitute legal, financial, or investment advice. Data may be outdated or contain errors. Always obtain the current FDD directly from Cornwell Quality Tools Company and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Cornwell Quality Tools Company or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com