Non-Franchise / Independent

Non-Franchise / Independent retailers are specialty member dealers who are owners of the company, making a stock investment in United Hardware, purchase product on a cost-plus basis through the warehouse, but do not identify themselves by flying a United Hardware "program" flag.  These retailers typically concentrate their efforts toward the hobby farmer or rural customer by offering Ranch and Pet or a combination of hardware and Ranch and Pet products.

Equity InvestmentMidland Crossing

Stock purchase required:
Voting Stock – $3,450 (69 shares at $50.00 per share)
New dealer pays $500 (10 shares) when joining United Hardware and balance of $2,950 (40 shares) is paid by adding 5% to warehouse purchases
Class A Stock – Purchase shares based on 2% of warehouse purchases (after Voting Stock is purchased)
- Class A Stock is capped at $75,000 or ten years, whichever occurs first
- Class A Stock capped at $37,500 for each additional location
Voting Stock/Class A Stock Repurchase - Voting Stock and Class A Stock redeemed (repurchased by United Hardware) to dealer after leaving the business or resigning the franchise

Cost of Goods

Warehouse – United Hardware landed cost +2%, 7% & 11%, 15% items under $3.00 - Reduced price product available – Circular program, Active Promotions, Fax, Monthly Specials, Buying Markets
Ship Direct – S/D cost + 0% truckloads, 1% over $500, 2% under $500

Warehouse Assortment

55,000+ items stocked in warehouse - Major Departments:
  • Paint
  • Hardware
  • Ranch & Pet
  • Automotive
  • Tools
  • Sporting
  • Plumbing
  • Toys
  • Electrical
  • Housewares
  • Heating
  • Farm Supplies
  • School Supplies
  • Store Supplies
  • Lawn & Garden
  • Christmas Trim
Freight Cost

Warehouse merchandise delivered based on percent of cost. Many items shipped at reduced freight rate, some items at zero percent.Valspar Paint

Valspar Paint

Paint line manufactured by Valspar
Valspar Paint Representatives – in field support
Paint delivered by United Hardware's carrier – 100 gallon orders billed at cost +2%
50 to 99 gallon orders billed at cost +7
Advertising support – Co-op advertising 3% previous year’s purchases


Dealers Choice (build your own) circulars – Newspaper ads, radio spots
Reduced cost product to support circular/dealer choice advertising
Co-op funds – Co-op Quick Pay program

Store Identification                                                                                                                          

No requirement, none available

Field Support

District Managers, Sales & Marketing Specialists, Retail Operations personnel

Dealer Group Meetings

Area meetings hosted by District Managers

Buying Markets

Two buying markets per year

Profit Sharing Rebate

Rebate declared after year-end by Board of Directors
Paid based on warehouse purchases
Usually paid 50% in cash, 50% with three-year Interest bearing note
Rebate not guaranteed – based on United Hardware's profitability

United Hardware Distributing Company Ranch & Pet Supply Rental Tools & Equipment United Home & Garden Hardware Hank
© 2018, United Hardware Distributing Co. All Rights Reserved.