Franchise Startup Cost

It is common for there to be confusion between out of pocket cost vs total investment cost for a franchise.

Start costs are considered out of pocket costs, or the amount of money you will need upfront to get started with a franchise. This amount can vary in relationship to your personal budget needs, amount financed, and equipment needs.

Total investment cost includes money out of pocket and loans to finance your initial franchise investment. Your total investment differs from start-up costs, which are required for you to launch your business.

A comparison can be made between buying a home and starting a business. An initial down payment on the home (start cost) will get you moved in, and the mortgage (total investment cost) are required to continue living there.

Matco Tools Total Franchise Costs


Up to

Initial Franchise Fee



Initial Inventory



Acquisition and Establishment of Time Payment Reserve


Time Payment Line of Credit







Mobile Store Lease



Computer Hardware



Computer Software and Internet Service - 3 months' payments



Insurance - 3 months' premiums



Travel, Lodging and Meals (for training)



Professional Services (accountant, legal help for you)



Fixtures, Supplies, Licenses



Additional Funds - 3 months' living expenses (reserve)






Matco cannot give any specific numbers because of the variables and the franchise disclosure laws don't allow us to give any specific income numbers.

*Cost per Matco Tools 2024 FDD issued March 6, 2024.

Franchise Investment Overview

Matco, backed by one of the largest companies in the country, handles all franchise investment financing in our office.

If you qualify, Matco can finance:

• Up to $92,000 of the initial inventory

• Time Payment Reserve (all or part)

• $30,000 to cover other startup expenses

Each situation varies based on your finances, however, the investment needed for a new franchisee can be relatively low compared to other franchise opportunities.