15 frequently asked questions answered with data from the 2025 Franchise Disclosure Document.
The total initial investment to open a Michelin Commercial Service Network franchise ranges from $189K to $4.3M (2025 FDD). This includes the franchise fee, equipment, build-out, inventory, and working capital needed before opening.
View full investment analysisThe initial franchise fee for Michelin Commercial Service Network is $3K (2025 FDD). This one-time fee is paid to the franchisor when signing the franchise agreement and covers the right to use the brand, systems, and initial training.
View full investment analysisData sourced from the Michelin Commercial Service Network 2025 Franchise Disclosure Document (FDD). Always review the most current FDD and consult with a franchise attorney before making investment decisions.
No, Michelin Commercial Service Network does not require franchisees to have dedicated real estate (2025 FDD). This can significantly reduce startup costs and ongoing overhead.
View full investment analysisMichelin Commercial Service Network charges a royalty fee of 0.0% of gross sales (2025 FDD). This ongoing fee is typically paid weekly or monthly to the franchisor for continued use of the brand and support systems.
View full fees analysisThe total ongoing fee rate for a Michelin Commercial Service Network franchise is approximately 0.0% of gross sales (2025 FDD). This includes the royalty fee, a 0.0% marketing/advertising fund contribution, and other recurring charges.
View full fees analysisMichelin Commercial Service Network has been involved in 0 litigation cases over the past 3 years (2025 FDD). There are no class action lawsuits pending.
View full litigation analysisNo, the Michelin Commercial Service Network franchisor has no bankruptcy filings in their disclosure history (2025 FDD).
View full litigation analysisMichelin Commercial Service Network offers non-exclusive territory rights to its franchisees (2025 FDD). The franchise agreement does not include encroachment protection. Online sales are managed by the franchisor, not individual franchisees.
View full territory analysisMichelin Commercial Service Network currently operates 340 locations (2025 FDD) (340 franchised, 0 company-owned). The system grew by 0.6% over the past year. The 3-year compound annual growth rate is 0.0%.
View full growth analysisThe 1-year franchisee turnover rate for Michelin Commercial Service Network is 4.7% (2025 FDD). This includes closures, terminations, non-renewals, and transfers. A lower turnover rate generally indicates higher franchisee satisfaction and system stability.
View full growth analysisMichelin Commercial Service Network does not include an Item 19 financial performance representation in their FDD (2025 FDD). This means the franchisor has chosen not to disclose revenue, profit, or other financial figures in the Franchise Disclosure Document.
View full financials analysisThe initial franchise agreement term for Michelin Commercial Service Network is 10 years (2025 FDD). The total potential term is 10 years.
View full contract analysisMichelin Commercial Service Network's post-termination non-compete clause restricts former franchisees from operating a competing business for 0 years within 0 miles of the former location (2025 FDD).
View full legal analysisYes, Michelin Commercial Service Network's franchise agreement requires mandatory arbitration for dispute resolution (2025 FDD).
View full legal analysisMichelin Commercial Service Network does not provide site selection assistance (2025 FDD). Franchisees are responsible for finding and securing their own location. The franchisor also provides technology support and systems.
View full support analysis