Problems with “franchisor associates”

This is an interesting article from the U.K. regarding allegations of misdeeds of a sales agent and system developer:

Knutsford-based Franchise Group is the focus of an inquiry which is being led by the Department of Business, Enterprise and Regulatory Reform.

It has temporarily closed its headquarters as a result.

The company creates franchises for bosses of small firms who wish to expand, then recruits franchisees and manages their performance.

What’s the same: the U.K. case and the New Zealand ironing franchise scam?

Simple. Both relationships are called “franchisor associates” under any half-decent franchise law.

Too bad that New Zealand and Britain don’t have any franchise law.

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