You are told softly thousands of times annually that franchises are successful

And humans see success (just as they have been evolved to recognize faces) where only randomness really exists.

The success does not materialize.

There’s  a wh0le industry out there working 24/7 to tell you how you fcuked up.

[Mighty Optical Illusions]

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4 Responses to You are told softly thousands of times annually that franchises are successful

  1. Ray Borradale says:

    And the only people that fail [constantly] are the ‘poor performers’.

    If there are so many tens of thousands [or more] of poor performers do glassy-eyed firtst time investors ever wonder what level of incompetance exists within lord and master franchisors relying on their capital.

    On a brighter note every time we see a sparkling franchise we think profit and never consider franchisee capital investment with possibly no freakin return.

    It was suggested they could not fail … no one I ever knew could fail. After years of being smart they nearly all failed.

    Damn those generations of ‘poor performers’. Must have been a mid-life crisis … Morons!

  2. Carol Cross says:

    Yes! Franchising –because there are so many franchises — appears to be very successful. The inherent risk of small startups is hidden from view by the franchisors. The government policy makers cooperate because even the 50% who will fail do feed the economy. as well as the franchisor and other special interests etc.. all of the time they are trying to bring their businesses to break even.

    Because of the nature of this exploitive business model that captures the cheap labor and cheap venture capital of good-faith franchisees in order to gtow the EBITDA’s of the franchisors, CHURN-BASED PROFITS do perpetuate the franchise systems.

    The CNBC and Zarco fiasco confirms the obvious — i.e. that public policy concerning franchising is about protecting that percentage of franchisees who survive within any system from those who are failing or who have failed. Again! the nature of the business model works always to protect the franchisor, i.e. the system.

    The attorneys drive the get-a-way cars! “Thou Shalt Not Steal” unless it is legal!

    http://thegreatfranchisingrobbery.blogspot.com

  3. Ray Borradale says:

    There probably are not that many that read every submission to our 2 state franchising inquiries and our federal inquiry and I suspect that many cannot fully interpret the implications of the recommendations that came from those inquiries or how absolutley rediculous was the federal ‘reform’ that came about almost 2 years later.

    What they came up with can be made to sound like a step forward but it is the tiniest of steps that will ultimatley mean nothing to the continuing destruction of franchisees into the future.

    The whole bloody thing was a facade.

    The whole bloody thing was dealt with on the buddy system. One pathetic federal minister buddied up to the FCA lawyers and the rest of those hungry ass lawyers who worked to maintain the status quo of fees from fear. It is so bloody obvious what happened and yet they get to brazenly sell it as if it is a magic cure.

    It is a ‘boys’ type club and average Jo, moms and dads, doen’t have an appropriate tie and a jacket.

  4. Carol Cross says:

    Yes! Those who profit from franchising, this exploitive business model, either directly or indirectly, can always protect themselves by pointing out how important franchising is to the economy and how many jobs are produced, etc.. and ask ” where are the statistics on the victims?”

    Since there are “intentionally” no hard statistics concerning the fate of “founding” or first-generation franchisees, and churning and exploitation remains invisible to the government regulators, who then have deniability and will not put themselves at risk to change this ugly status quo?

    Government relies on deniability that there are any “victims” of franchising and will not remove the blinders –because this is what the special interests want government to do.

    Unfortunately, most of the victims of franchising are silent and fade away into obscurity because they know that there is no solution for them —it is over — they are broken — and want to move on! They are too beaten and ashamed to be altruistic.

    What hurts is that we humans cannot prevent the unfairness, ravages and injustices of Mother Nature; we cannot prevent the violence of sick minds who violate our laws and kill innocents, but we could prevent the “violence” done to innocent investors in franchises. WE, the people should demand fair and true disclosure of the “known” risk of buying any franchise before the sale, and before innocents sign away their legal rights in binding and malicious un-bargained contracts.

    But WE, the people, the average Moms and Dads, cannot raise our voices to be heard over the voices of money and influence on our legislatures. Too bad! So sad!

    http://thegreatfranchisingrobbery.blogspot.com

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