Major Tire and Auto Repair Franchisee Files for Bankruptcy

Automotive Solutions Inc., a Tuffy Tire & Auto Service franchisee with two locations in Fort Wayne, Indiana, has filed for Chapter 11 bankruptcy protection in the U.S. Bankruptcy Court for the Northern District of Indiana.

The filing on July 7 shows the company possesses over $1.1 million in assets against more than $2 million in liabilities. Its largest creditors include Newtek Small Business Finance, owed over $1.4 million, and the U.S. Small Business Administration, owed over $515,000. Snap-on Credit LLC and Allen County Treasurer are each owed more than $29,000.

Owned by President Kenneth W. Smith, Automotive Solutions operates the two Tuffy Tire & Auto Service stores, both of which remain open. Tuffy Tire & Auto Service, headquartered in Toledo, Ohio, is a national network with 118 franchise locations across 14 states, primarily in the Midwest and Southeast.

The bankruptcy filing by Automotive Solutions is the latest indicator of financial strain within the tire industry. The U.S. Tire Manufacturers Association reported a 0.3 percent decrease in national tire shipments in 2025 compared to the previous year.