About Snap Franchise
Snap-on Tools is a franchised mobile store that sells high-quality repair and diagnostic tools and equipment to professional mechanics and other tool users throughout the United States.
Franchisees operate mobile stores from specially equipped vans, visiting customers at their business locations on an assigned List of Calls (route).
The product line includes over 50,000 items encompassing hand and power tools, tool storage, saws, cutting tools, pruning tools, vehicle service diagnostics equipment, vehicle service software, wheel service equipment, safety-testing and collision repair equipment, vehicle service information, business management systems, and equipment repair services.
Snap Franchise Cost & Fees
Minimum Investment
$175K
Average Investment
$294K
Maximum Investment
$412K
| Fee Type | Amount | Notes |
|---|---|---|
| Initial Franchise Fee | $8,000 - $16,000 | One-time payment upon signing |
| Royalty Fee | $135.00/month (Monthly License Fee) of gross sales | Ongoing; paid monthly |
| Marketing/Ad Fund | None required | National brand fund |
| Total Investment Range | $175,146 – $411,941 | Includes build-out, inventory, working capital |
The investment range of $175K–$412K reflects variability in build-out costs, store size, lease terms, and market. The combined royalty ($135.00/month (Monthly License Fee)) and marketing fee (None required) are ongoing costs paid as a percentage of gross sales.
Investment Breakdown (Item 7)
| Item | Low | High |
|---|---|---|
| Real Estate | $0 | $0 |
| Initial License Fee | $8,000 | $16,000 |
| Initial Inventory | $114,500 | $125,000 |
| Electronic Signature Pad | $0 | $200 |
| Supplies | $0 | $400 |
| Van | $45,000 | $155,000 |
| Van Insurance (3 months) | $688 | $2,063 |
| Van Delivery Charge | $180 | $4,100 |
| License | $200 | $2,400 |
| Acquisition/Development of Revolving Accounts | $0 | $85,000 |
| Other Equipment, Fixtures and Expenses | $150 | $170 |
| Computer Software License Fee | $1,800 | $1,800 |
| Documentation Fee with Snap-on Franchise Finance Loan | $100 | $250 |
| Minimum Down Payment with Franchise Finance Program | $21,500 | $21,500 |
| Additional Funds - 3 Months | $4,628 | $19,808 |
Additional Fees (Item 6)
| Fee Type | Amount |
|---|---|
| Transfer Fee | $12,000 |
| Renewal Fee | 50% of then-current Initial License Fee (currently $8,000) |
| Technology Fee | $80.00/month (Computer Software Maintenance and Development Fee) |
| Weekly remittance for Products | 100% of miscellaneous charges less miscellaneous credits, plus amount to be $1.00 under credit limit |
| Franchise Finance Program Loan Payment | $1,495-$1,678/month (new); $1,445-$2,798/month (transfer) |
| RA Loan Payment | $1,047-$1,166/month |
| Insurance and Other Coverage | $5,924-$11,253/year |
| Van Lease and Maintenance Fee Payment | $2,322-$2,722/month lease plus $325/month maintenance |
| Training (Additional Franchise) | $0-$3,600 |
| Charges for insufficient funds/dishonor of payment | Up to $35.00 |
Training Program (Item 11)
| Detail | Information |
|---|---|
| Total Duration | Approximately 5 days classroom plus 3 weeks field training (135 hours) plus 14 hours FSMT2 |
| Classroom Training | Approximately 68.25 hours |
| On-the-Job Training | 135 hours (45 hours per week for 3 weeks minimum) |
| Training Location | Grapevine, Texas or online (classroom); Franchisee's route (field training) |
| Additional Training | FSMT2 (14 hours) held 4-8 months after starting; Franchise Performance Team meetings (monthly/quarterly); Franchise Development Training; Snap-on Franchisee Conference annually; Business Contact reviews |
Territory Rights (Item 12)
| Detail | Information |
|---|---|
| Territory Type | Non-exclusive |
| Exclusive Territory | No |
| Territory Size | List of Calls with at least 200 potential Core Customers |
| Description | Franchisees receive a List of Calls consisting of business addresses or stops where tool users purchase their own tools. Not an exclusive territory. Snap-on will not sell or license others to sell Products at stops on the List of Calls during the franchise term if franchisee is not in default. However, Snap-on reserves the right to sell through National Accounts Program, Industrial Stops, internet sales, racing teams, other channels of distribution, and through competitive brands. Snap-on may adjust the List of Calls with 10 days written notice. |
Renewal, Termination & Transfer (Item 17)
| Detail | Information |
|---|---|
| Initial Term | 10 years (5 years for Renewal Franchise) |
| Renewal Term | 5 years |
| Renewal Fee | 50% of then-current Initial License Fee (currently $8,000) |
| Renewal Conditions | Prior written notice between 9 and 12 months prior to expiration; meet new franchisee standards; compliance with all agreements; satisfy all monetary obligations; sign general release; comply with current qualifications; sign then-current forms of agreements |
| Transfer Fee | $12,000 |
| Transfer Conditions | Interest must first be offered to Snap-on; Snap-on must approve terms; satisfy all monetary obligations and comply with all agreements; sign general release; transferee must qualify and sign then-current Franchise Agreement, complete training, and pay transfer fee |
| Termination for Cause | Snap-on can terminate only if franchisee defaults. 10 days to cure nonpayment; 30 days to cure other defaults. Non-curable defaults include bankruptcy, insolvency, material misrepresentation, abandonment, felony, sale to customer on another franchisee's List of Calls, threat to public health/safety, three defaults in 12-month period, unapproved assignment or transfer. |
| Non-Compete Period | 12 months after termination or expiration |
| Non-Compete Details | No direct or indirect solicitation or sale of competing Snap-on Products to any customer at a location on the List of Calls at termination for 12 months after Franchise Agreement terminates or expires. During the franchise term, not permitted to sell competitive merchandise manufactured by or for Snap-on. |
Operations & Supply (Items 8 & 15)
| Detail | Information |
|---|---|
| Owner-Operator Required | Yes |
| Participation Details | Franchisee is responsible for supervision of the franchised business and must use best efforts to promote and develop sales. Must devote all necessary business attention and efforts. Recommended to call on every potential customer at stops on List of Calls at least once a week. For Additional Franchises, must hire a Store Manager who must complete Snap-on Store Management Training. The franchise entity may not conduct any business other than Snap-on. |
| Required Suppliers | Products manufactured by or for Snap-on are only available from Snap-on. Initial inventory must be purchased from Snap-on. Van must meet Snap-on Program specifications. Software must be from Snap-on. BA items must be from Snap-on licensed suppliers. |
| Supply Restrictions | Franchisees must purchase substantially all products from Snap-on. Purchases of required goods or services expected to exceed 95% of all purchases and leases. May not sell items directly competitive with Snap-on manufactured products. |
| Franchisor Revenue from Suppliers | In fiscal year ending January 1, 2022: $1,425,820,894 from product sales (92.5% of total revenue of $1,541,014,025); $7,935,283 from third-party suppliers; $2,945,141 from software licensing and maintenance; $2,613,411 from Paymentech fees. Snap-on Credit revenue: $305,250,905. Snap-on SecureCorp insurance premiums: $21,394,118. Snap-on Equipment sales: $551,965. |
Financing (Item 10)
| Detail | Information |
|---|---|
| Financing Available | Yes |
| Description | Snap-on Credit (owned by Snap-on Incorporated) offers the Franchise Finance Program covering initial license fee, initial inventory, Computer Software License Fee, and RA Acquisition. Loan term is 10 years less 90 days, with no payments for first 90 days. Minimum down payment of $21,500. Interest rate between 7.60% and 10.22% (as of January 13, 2022). Also offers RA Financing Program (interest-free credit line up to $85,000), RA Loan Program, Snap-on Credit Van Lease Program (72-month term), and Extended Credit Program for customer financing. |
Snap Franchise Earnings — Item 19
Revenue Range
$200K – $2.0M
Sample Size
3018 units
Past financial performance does not guarantee future results. Individual results will vary.
Snap Litigation & Risk Flags
Clean Litigation RecordSnap has no pending litigation actions listed in their FDD. There is also no bankruptcy history disclosed.
Litigation and bankruptcy data is sourced from Items 3 and 4 of the FDD. Always verify current status directly from the most recent FDD.
Snap System Growth
Total Units
3428
Franchised
3287
Company-Owned
141
Snap currently operates 3287 franchised locations and 141 company-owned units. Unit count data is sourced from Item 20 of the FDD.
Unit History (Item 20)
| Year | Opened | Closed | Total |
|---|---|---|---|
| 2019 | 193 | 214 | 3302 |
| 2020 | 191 | 203 | 3280 |
| 2021 | 191 | 183 | 3287 |
Transfers: 130 | Closures: 183
Public Figures (Item 18)
The following public figures are associated with this franchise: Cruz Pedregon
State Registrations
Registered in 13 states: CA, HI, IL, ME, MD, MI, MN, NY, NC, ND, RI, VA, WA
Snap Franchise — FAQ
The total investment to open a Snap franchise ranges from $175,146 to $411,941, per their Franchise Disclosure Document. This includes the initial franchise fee of $8,000 - $16,000. The investment covers build-out, inventory, equipment, signage, working capital, and other startup costs.
Snap charges a royalty fee of $135.00/month (Monthly License Fee) of gross sales, plus a None required contribution to the marketing/advertising fund. These fees are paid on an ongoing basis.
You can download the Snap 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 Snap to ensure you have the most up-to-date version.
According to the Item 19 financial performance representation in their FDD, Snap franchise owners report . This is based on a sample of 3018 units. Past performance does not guarantee future results.
Snap has been franchising since 1990. The FDD shows an investment range of $175,146-$411,941, a $135.00/month (Monthly License Fee) royalty, and includes an Item 19 earnings disclosure. There is no pending litigation. Review the full FDD and contact current franchisees listed in Item 20 before making any investment decision.
The franchise fee is $8,000 - $16,000 and the total investment ranges from $175,146 to $411,941 depending on location size and market. A minimum of $21,500 in liquid capital is required. Contact the franchisor directly for current net worth and liquid capital requirements, territory availability, and application details.
Similar Automotive Franchises
Interested in Snap?
Get free info on this franchise. We will send you a detailed FDD report by email.
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 Snap and consult a qualified franchise attorney before making any investment decision. FranchiseOverview.com is operated by Franchising Compliance, LLC and is not affiliated with Snap or any of its subsidiaries. To report an inaccuracy: info@franchiseoverview.com