Dave- I've been a tool distributor for 21 years, so I'll tell you what I know- I think your route would have to be HUGE to be able to move enough product to survive. Your presence would be appreciated, but your markup would have to be substantial to overcome your expenses, and the guys (especially the shop owners) will shop price over convienience most of the time, moreso if the local welding shop delivers. I think you would find that a much bigger variety of products (i.e. tools) would be needed to make the business work, which wouldn't be a bad thing, just more inventory to maintain. A bigger variety would cause the route to be more condensed, since you will have more to offer each customer. I have two franchises (the second operated by an employee) and each truck has $250K+ in inventory. I don't have it all, but my customers know I'm the best chance around to have what they need, when they need it. I don't do everything right, but I do a few things very well, and I'm fair and honest, and that keeps most of the guys happy. The hook is to sell the customer a product that requires regular service (warranty, etc.) and provide the best service possible, so as to be their "go-to" guy. Make them dependent on you, and they won't run elsewhere. I've also seen a few independent dealers come and go, and I believe a franchise with solid company backing gives you the best chance of survival. DO NOT get hooked up with a company that charges you for the franchise or charges any other "fees". Buying their products from them is enough. If you're serious about jumping in to some thing like this, feel free to email me.
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