Is
Michelin Commercial Service Network
a franchise?
How many
Michelin Commercial Service Network
franchises
are there?
What are the
Michelin Commercial Service Network
franchise
fees?
Initial Franchise Fee
The initial franchise fee for the Michelin Commercial Service Network franchise is $2,500, payable upon signing the Franchise Agreement. This fee is non-refundable and covers pre-opening and planning assistance.
Technology Fee
The cost of licensing the MCSN Software is a one-time license fee per Service Center ranging from $10,000 to $30,000. There may be additional fees, such as licensing fees or subscription fees for software, estimated to be about $6,000 to $22,000 per year.
Advertising Fee
Franchisees may incur costs related to initial advertising and brand identification per location, estimated between $2,000 - $10,000, payable as required and incurred to local advertising agencies.
Note: The fees presented here can be found in the Item 5 of the Franchise Disclosure Document. For a complete list of all the fees borne by the franchisee, please consult the Franchise Disclosure Document.
How much does
it cost
to start a
Michelin Commercial Service Network
franchise?
Note: The table above provides a snapshot of the main costs associated with starting the most common franchise format (as disclosed in the Item 7 of the Franchise Disclosure Document). For a complete overview of all the expenses involved with the various formats offered by the franchisor, please consult the Franchise Disclosure Document.
Does
Michelin Commercial Service Network
provide
training
to its
franchisees?
The Michelin Commercial Service Network offers a detailed training program for its franchisees, covering various aspects necessary for successfully operating a Service Center.
- Initial Training Program: Mandatory for the franchisee's manager and key personnel, covering MCSN best practices, audit processes, web applications, and operation of MCSN Software and Equipment.
- Supplemental Training: Available for managers and other personnel, focusing on updates and additional skills necessary for Service Center operations.
- Certification: Participants in the initial training must complete it satisfactorily and obtain certification within a specified timeframe.
- Ongoing Guidance: The franchisor provides regular updates and technical bulletins related to the MCSN Service System.
Does
Michelin Commercial Service Network
provides
territory
protection?
The Michelin Commercial Service Network franchise assigns specific operating areas to franchisees but does not guarantee exclusive territory protection. Franchisees are expected to operate within their designated areas, but the agreement may allow the franchisor or other franchisees to compete within the same territory.
This suggests that while there is a defined operating area, it may not be exclusively reserved for a single franchisee, indicating a potential for internal competition within the franchise network.
Can a
Michelin Commercial Service Network
franchise
be run as
a passive
investment?
The Michelin Commercial Service Network franchise does not provide a passive investment opportunity. The franchise model emphasizes the need for active participation by the franchisee in the daily operations of the Service Center.
This hands-on involvement is especially encouraged for individual franchisees and is expected from legal entities like corporations or partnerships that own the franchise.
